ABSTRACT

JCT 98 provides for the issue of 10 different kinds of certificate. In order to be a valid certificate, a document must be headed 'Certificate', start with the words 'I certify' or be clearly referenced to the contract provision empowering issue. Interim certificates are to be issued at the dates noted in the Appendix, usually at monthly intervals. They must state the amount due to the contractor from the employer and the employer has 14 days in which to pay from the date of the certificate. Under JCT standard form contracts the contractor cannot recover money without a certificate. The importance of keeping trust money separate is that, if the employer becomes insolvent, clearly identified trust money can be paid to the contractor. If the employer goes into receivership before a separate account has been set up, it seems that the contractor has lost his right to the money.