b'LEGAL COLUMNPRACTICAL RISK MANAGEMENTIN FIXED PRICE CONTRACTSBY ANDREW PRIOR AND NATHAN MACDERMOTTPIHL LAW CORPORATIONhe current state of the globaldifficulties for parties involved in thesefrom these issues. After all, fixed price T marketplace is creating uniqueagreements. Although we hope that contracts provide cost certainty for owners problems for the constructionsome of the concerns level out asat the risk of contractors. However, industry, which can be amplified whenvaccinations increase and case numbersit is likely worth having the contract operating within a fixed price contract.decline, there are a number of practicaldocuments reviewed by a lawyer to Decreasing availability of materials andsteps that can be taken to help minimizedetermine if there are any clauses within labour, increasing costs, growing timelinesthe impact they are having on fixed the agreement that would allow the and looming inflation are just a few of theprice projects.contractor to share some of the burden major issues impacting the industry as itwith other parties. For example, certain moves through the COVID-19 pandemic.In many cases, agreements that aredelay clauses may provide protection Due to the nature of fixed price contracts,already in place may significantly limit aif delays caused by others result in these occurrences can cause specialcontractors ability to protect themselvesincreases in labour and material costs 50 INDUSTRIAL - COMMERCIAL ! TWIN RIVER"#$#%&\'()*+&,)Plumbing & Heating(1985) Co. Ltd. ! " 227 Leigh Road, Kamloops, BC V2B 2L7#$ %!MARK HENNING Bus: 250-376-0221&\'())\')**\'+&&\'())\',,\'+-&,President Fax: 250-376-7249Email: mark@trph.caCell: 250-318-883728 SOUTHERN INTERIOR CONSTRUCTION ASSOCIATION'