| Author: | Fan, Lap-kai |
| Title: | A study of security of payment in the Hong Kong construction industry |
| Degree: | M.Sc. |
| Year: | 2010 |
| Subject: | Hong Kong Polytechnic University -- Dissertations Construction projects -- Finance |
| Department: | Department of Building and Real Estate |
| Pages: | viii, 115, xxiv leaves ; 30 cm. |
| Language: | English |
| Abstract: | Most disputes found in construction projects are due to payment problems. The aim of this dissertation is to understand what security of payment is and how security of payment can be improved through legislation or contractual provisions in the Hong Kong construction industry. The scope of this study is focus on the contractor perspective. The research has taken view points of academic, practical, and legal aspects i.e. reviewing literature, conducting a pilot interview and five interviews with practitioners and researchers, and studying six payment dispute court cases, respectively. The Objectives set for study have all achieved. The first objective is an understanding of payment problems and the 10 causes due late payment, under payment and non-payment which are found in main contracts and / or subcontracts. The second objective is to review the methods for dispute resolution. In practice, it is commonly used the dispute resolution methods in order of negotiation, mediation and arbitration. Litigation is least favourable and adopted for settlement of some non-payment disputes. The third objective is reviewing contractual and legislative measures for security of payment in construction projects. Getting the contract right is the most effective measure. Effective contract administration and documentation control help to agree project payments and avoid late or under payment. Problems of payment practice in subcontracts like back-to-back, pay-if-paid, pay-when-paid are found in court cases. Lastly, recommendations are made for consideration. Generally we can consider improving contract writing and introducing new legislation to forbid using the terms such as back-to-back, pay-if-paid and pay-when-paid into any construction contracts. Hong Kong is a free economy market consideration of contractual provisions is recommended. |
| Rights: | All rights reserved |
| Access: | restricted access |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| b23911074.pdf | For All Users (off-campus access for PolyU Staff & Students only) | 22.34 MB | Adobe PDF | View/Open |
Copyright Undertaking
As a bona fide Library user, I declare that:
- I will abide by the rules and legal ordinances governing copyright regarding the use of the Database.
- I will use the Database for the purpose of my research or private study only and not for circulation or further reproduction or any other purpose.
- I agree to indemnify and hold the University harmless from and against any loss, damage, cost, liability or expenses arising from copyright infringement or unauthorized usage.
By downloading any item(s) listed above, you acknowledge that you have read and understood the copyright undertaking as stated above, and agree to be bound by all of its terms.
Please use this identifier to cite or link to this item:
https://theses.lib.polyu.edu.hk/handle/200/5954