A proper allocation of risk is generally not achieved by simply accepting a standard or doctrinaire approach.

Risks are usually project specific, and therefore need to be identified on a project by project basis. This is most effectively done by developing a risk register, first within the project team, then refining it during the tender process, and maintaining it after award on a collaborative basis with the contractor as work progresses. Skilled, experienced project teams for the employer and contractor working together from the outset of a project are important to this process.

This paper, Risk-Avoidance, Transfer, Acceptance or Management was jointly prepared by John Walton and English construction law specialist, John Bellhouse (of Gray’s Inn).  We previously worked together in Hong Kong on the new airport project.  The paper was presented to the Society of Construction Law international conference in May 2012, for which it was awarded a prize.