Miscellaneous legal requirements

This is the legal small print. Contracts often have clauses that deal with such matters the legal jurisdiction that will apply to the contract, what conditions would apply to the sub-contracting of the work, liability for damage to third parties, and liquidated damages. Liquidated damages are estimates of the financial losses that the customer would suffer if the supplier were to fall short of their obligations. It is worth noting that under English law. the penalties laid down in penalty clauses must reflect the actual losses the customer would suffer and cannot be unrealistic and merely punitive. Even this limitation will not be enough in some cases as far as the supplier is concerned. As computer systems assume increasingly critical roles in many organizations and in safety-critical systems can even be life-threatening in the case of malfunction, the possible consequential damage could be very great. Suppliers will not unnaturally try to limit this kind of liability. The courts (in England and Wales) have tended to look critically at such attempts at limiting liability, so that suppliers will, in the case of major contracts, take out insurance to cover such liabilities.

If there is a dispute, resorting to litigation, while being lucrative to the lawyers involved, is both time-consuming and expensive. An alternative is to agree that disputes be settled by arbitration. This requires that any dispute be referred to an expert third party whose decision as to the facts of the case is binding. Even this procedure is seldom quick and inexpensive and another option is alternative dispute resolution where a third party acts as a mediator who has only an adv isory capacity and attempts to broker an agreement between the two sides.

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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