Australian Standard Contracts

AS 4300 Design and Construct Contract Advice

AS 4300-1995Design and construct

AS 4300-1995 is the design and construct form of the earlier Australian Standard suite. Advice on design risk, novation, special conditions and disputes, from a solicitor and registered architect.

AS 4300-1995, the General Conditions of Contract for Design and Construct, was the design and construct counterpart to AS 2124. Where a construct-only contract has the principal supply the design, AS 4300 has the contractor take on the design as well as the construction. It was drafted to support several procurement paths: design and construct, design development and construct, and design novate and construct.

In substance AS 4300 is largely AS 2124 with the additional provisions needed for the contractor to carry design responsibility. It is administered by a Superintendent, who is required to act honestly and fairly, and it deals with the design obligations, warranties and novation that distinguish design and construct work.

AS 4300 has since been succeeded by AS 4902-2000, so it is now most often encountered on legacy or long-running arrangements and where parties have continued to use a form they know. When it is used, the design risk allocation is frequently sharpened by special conditions, and understanding those amendments is essential.

Where Christopher can help with AS 4300

Design and construct is where risk allocation gets complicated, and AS 4300 is often heavily amended to move design risk onto the contractor. Christopher reads that risk from both the legal and the design side. Here is where he can help.

Design risk and warranties

Advice on how design responsibility, fitness for purpose and design warranties are allocated under AS 4300 and any special conditions, and whether that allocation is workable and insurable.

Novation

Advice on the novation of design consultants to the contractor, the terms of the deed of novation, and what changes for each party when it takes effect.

Special conditions and review

Drafting and reviewing the special conditions that sharpen design risk allocation, and reviewing the whole contract before you commit.

Should you move to AS 4902

Advice on whether to continue with AS 4300 or move to its modern successor AS 4902, and what that would change for your project.

Key features of AS 4300

Design and construct

The contractor is responsible for the design as well as the construction, carrying design obligations and warranties that a construct-only form does not impose.

Novation options

Supports design novate and construct, where the principal design consultants are novated to the contractor so a single party carries responsibility for design and delivery.

Superintendent administration

A Superintendent administers the contract and is required to act honestly and fairly, the standard used across the earlier AS suite.

Predecessor to AS 4902

AS 4300 was replaced by AS 4902-2000 in the modern suite, so its use today is largely on legacy arrangements or where parties prefer a familiar form.

When AS 4300 is used

  • Design and construct projects using the earlier AS suite
  • Legacy or long-running arrangements already built on AS 4300
  • Design novate and construct procurement with consultant novation
  • Head contracts intended to sit above an AS 4303 subcontract

The AS 4303-1995 subcontract

AS 4303-1995 (Subcontract Conditions for Design and Construct). AS 4303-1995 is the design and construct subcontract companion to AS 4300, used to pass design and construct obligations down to subcontractors.

Get advice on your AS 4300 contract

If you are working on an AS 4300 project, or deciding whether to move to its modern successor AS 4902, early advice on design risk and novation can save a great deal later. Christopher can review the contract, the deed of novation and the special conditions before you commit.

Common questions about AS 4300

What is AS 4300?

AS 4300-1995 is the Australian Standard general conditions of contract for design and construct. Unlike a construct-only form, it makes the contractor responsible for the design as well as the construction, and it supports design and construct, design development and construct, and design novate and construct procurement. It is administered by a Superintendent and is largely AS 2124 with the additional provisions needed for design responsibility.

What is the difference between AS 4300 and AS 4902?

Both are design and construct forms. AS 4300-1995 is the earlier contract, aligned with AS 2124 and requiring the Superintendent to act honestly and fairly. AS 4902-2000 is its modern successor, part of the AS 4000 suite, requiring the Superintendent to act reasonably and in good faith and updating a number of mechanisms. AS 4902 is now the more commonly used design and construct form, though AS 4300 is still seen on legacy arrangements.

What is novation under AS 4300?

Novation is where the principal design consultants are transferred to the contractor, so that after novation the consultants act for the contractor rather than the principal. This lets a single party, the contractor, carry responsibility for both the design and the construction. The terms of the novation, recorded in a deed, should be dealt with carefully because they change who is responsible for the design as the project moves from principal to contractor.

Is AS 4300 still used?

It is used less often than it once was, because AS 4902-2000 replaced it in the modern suite. AS 4300 is now most commonly encountered on legacy or long-running arrangements, or where parties have continued with a form they know well. When it is used, its design risk provisions are usually adjusted by special conditions.