25% retention? “That’s what the Building Contract says.”

One of my favourite books I own is a third addition of the Architects Guide published in 1894, this is a fascinating, and eye opening, insight into the workings of the construction industry during the 19th Century. It would appear that the second addition was published in July 1884.

First page of the book

The index is interesting, it shows the huge range of skills that the 19th Century Architect would need to be competent in, this ranges from advice on specifications through to types of building stones, both sandstone and lime stones in Great Britain and their qualities on using them. Subjects also covered among others is Brickwork, Hydraulic lime, Timber and Carpentry, iron construction, below ground drains and canals.

Contents pages.
Contents pages.

In the first chapter the writer talks about many aspects of the profession, it also talks about the social shortcomings of standard wages for those craftsmen who are gifted and those who are less so. He then moves on to the subject of fees and talks extensively about the short comings of a fixed percentage:
“Thus a payment of five percent. Upon the cost of a long line of plain prison walling, appears a monstrously liberal amount, earnable by the lowest of talent; while the same rate of percentage upon an elaborately decorated church, with all its minute fittings, screen work, and furnishings, would hardly give the architect the living of a hedge carpenter.

All this inequality, for the ultimate good of the profession, ought to be changed; for, however honourable a man may be, his direct worldly interest should be that the cost of a building should be as much, not as little, as possible.”

Another wonderful chapter of the book is on guidance on Building Contracts. The basic principles described are very similar to a traditional JCT contract, although I do not recall the last time I wrote:

“Agreement made this 21st day of June in the year of our Lord 1884......”

The contract stipulates completion dates as one would expect, however it does still talk about Liquidated Damages if the work continues beyond the stated completion date. It also talks about the control of workmanship, labour and quality of materials on site.
 
One of the most interesting items in the contract is the section on payments where the wording requires the client to pay the contract sum to contractor:

“...by instalments at the rate of 75 per cent. Of the value of the work done and fixed in its place, and .........per cent. Of the value of work and materials brought upon the site...” 

To my simple mind, this would suggest that the retention on interim invoices under the contract of the day was 25%! So while the architect writing this book feels undervalued, the contractors of the day too had a pretty hard time, 25% retention seems unimaginable in this day and age of 5% and 2.5% penultimate and rectification period. Rather strangely there is no mention of the rectification period or how the poor contractor can get his 25% back at the end of the rectification period in the book, if there was no framework for it in the contract the scope for disputes for those large sums would be huge.

Towards the end of the book the methods of measuring for quantities are discussed at length, and the best methods for particular types of trade. A wonderful, and very timely section, looks at the Methods of Measurement for the Building of the Houses of Parliament.
The first of several pages on the Methods of Measurement for the Building of the Houses of Parliament.
 

I hope the above has been interesting.
Thanks for reading
James

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