UKTC Archive

Re: Collateral warrenty for a contractor?

Subject: Re: Collateral warrenty for a contractor?
From: Bettina Broadway-Mann
Date: Jan 29 2019 13:25:46
Thanks Ron,
I still don't get why a contractor that has nothing to do with me,
appointed directly by the client, would be asking me for such a thing?

regards
Bettina


On Tue, Jan 29, 2019 at 1:22 PM Howe, Ron <Ron.Howe@xxxxxxxxxxx.gov.uk>
wrote:

What is a Collateral Warranty?

"A collateral warranty is a contract under which a construction
professional, contractor or sub-contractor promises to a third party (the
"beneficiary") that it has complied with the requirements of its
professional appointment, contract or sub-contract.  For example, a
sub-contractor may provide a collateral warranty to the project's ultimate
employer and / or its funder by which it promises it has completed its
works in accordance with its sub-contract.

A collateral warranty has all the requirements and manifestations of an
ordinary contract.  It gives the beneficiary a direct contractual
relationship with the party providing it (the "warrantor"), which would
otherwise not have existed.  In the scenario above, the Employer is the
beneficiary and the Sub-Contractor is the warrantor. "

Ron Howe
Tree Officer (Planning)
Mole Valley District Council
Tel. 01306 XXX XXX

-----Original Message-----
From: uktc-request@xxxxxx.tree-care.info [mailto:
uktc-request@xxxxxx.tree-care.info] On Behalf Of Bettina Broadway-Mann
Sent: 29 January 2019 13:03
To: UK Tree Care
Subject: Collateral warrenty for a contractor?

Hello all,
I have had a rather strange request come in in relation to a BS5837 survey
I did last year - copied below -

Your report has been included in their contract and they are concerned that
they are relying on your PI insurance for the report. They asked if you
could provide a collateral warranty. I have spoken to our solicitors who
have said that a collateral warranty can be provided if you agreed to this,
otherwise a letter of reliance in favour of the contractor would be
acceptable to the contractor.


I'm not really sure what they are asking, but shouldn't they have their own
insurances to cover whatever it is that they are worried about?


And as far as I know, surely my insurance would only cover me anyway?


Any thoughts appreciated.


regards

Bettina



--
The UK Tree Care mailing list
To unsubscribe send mailto:uktc-unsubscribe@xxxxxx.tree-care.info

The UKTC is supported by Bosky Trees arboricultural consultancy
http://www.boskytrees.co.uk/
Important: If you currently use a gsi-family domain name (gsi.gov.uk,
gcsx.gov.uk or gsx.gov.uk) you must replace it with a government domain
like gov.uk, gov.scot, llyw.cymru or gov.wales by March 2019.


This email is only intended for the individual or organisation to whom or
which it is addressed and may contain, either in the body of the email or
attachment/s, information that is personal, confidential and/or subject to
copyright. If you are not the intended recipient, please note that copying
or distributing this message, attachment/s or other files associated within
this email, is strictly prohibited. If you have received this email in
error, please notify the sender immediately and then delete it.



--
The UK Tree Care mailing list
To unsubscribe send mailto:uktc-unsubscribe@xxxxxx.tree-care.info

The UKTC is supported by Bosky Trees arboricultural consultancy
http://www.boskytrees.co.uk/




-- 
The UK Tree Care mailing list
To unsubscribe send mailto:uktc-unsubscribe@xxxxxx.tree-care.info

The UKTC is supported by Bosky Trees arboricultural consultancy
http://www.boskytrees.co.uk/