The healthcare sector in Scotland is undergoing a significant transformation, driven by a series of ambitious construction and infrastructure projects. These projects, ranging from the Monklands Replacement Project to the Queen Elizabeth University Hospital and Royal Hospital for Children, are not only reshaping the physical landscape but also setting new legal precedents in the contentious construction area of law.
Our firm has been at the forefront of these developments, providing expert legal advice and representation to various healthcare providers and stakeholders.
NHS Lanarkshire - Monklands Replacement Project
We are acting for NHS Lanarkshire in relation to the Monklands Replacement Project (“MRP”), which will involve the design and construction of a new hospital at Wester Moffat in Airdrie, Lanarkshire. The MRP will be the largest capital project in Scotland once the works are underway. The project involves a two-stage design and build procurement route under the Competitive Dialogue procedure.
The contract documents are complex, involving a Pre-Construction Services Agreement, Enabling Works Contract, and Main Works Contract, all based on NEC4 documentation. We prepared all of the contract documentation for the procurement process and continue to be heavily involved, owing to the two-stage process. The new hospital will be the first in Scotland to be designed from the outset to be fully Net Zero for both the build and operation phases, meaning it will not contribute to carbon emissions.
NHS Greater Glasgow & Clyde - Queen Elizabeth University Hospital and Royal Hospital for Children
We act for NHS Greater Glasgow & Clyde in relation to the numerous multi-million-pound disputes with Multiplex, Currie & Brown, and Capita concerning the construction of the £800 million Queen Elizabeth University Hospital and Royal Hospital for Children in Glasgow. These disputes encompass multiple adjudications and significant legal actions.
One of the major cases involves a £72 million Court of Session action addressing multiple defects in major acute systems and services at the facility, including the ventilation system, domestic water system, heating systems, and glazing. This case has already involved a legal debate regarding the interpretation of the W2 provisions under NEC 3, establishing an important new precedent.
Additionally, there are £20 million Court of Session proceedings concerning the chilled water system and £32 million Court of Session proceedings concerning the atrium cladding system. Both cases raise novel points of law regarding the interpretation of section 6(4) of the Prescription and Limitation Act 1973.
NHS Lothian - Royal Infirmary and Royal Hospital for Children and Young People
We act for a major healthcare provider in relation to various issues that arise with their two PFI hospitals at a significant medical campus. These instructions include successfully handling multiple adjudications concerning the interpretation of payment mechanism provisions at one of the hospitals. We provide comprehensive advice on the ongoing dispute regarding the handover of the hospital to the healthcare provider, which is the first major PFI healthcare project to return to the public sector and is likely to set a precedent for future projects.
Additionally, we represent the healthcare provider in statutory appeals to enforcement notices issued by the fire safety authority concerning fire safety defects at one of the hospitals, and we offer all associated advice to protect the provider's position against the PFI contractor. We also advise on defects in the external cladding system at the other hospital, which raises complex issues regarding the recoverability of losses in light of changes to building regulations post Grenfell.
Robertson Facilities Management Limited
We work for a client in connection with a dispute with other parties regarding a PFI project for the design, construction, and FM service delivery at two hospitals. The disputes concern various issues, including defects in the drainage system and active and passive fire protection systems at the hospitals.
Two legal proceedings have been raised, involving novel arguments related to prescription and limitation, as well as important issues concerning the extent to which notification provisions can be considered a condition precedent to the recovery of losses. These matters will hinge on the interpretation of the interface provisions in the PFI documents.
