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Contractor and main contractor

📐 Article5 min read

What you will learn The two possible arrangements and what they change, what approval is for and why it governs a guarantee, what a main contract provides and costs, and why this choice cascades.

Entrusting a site to a main contractor or to several firms is not a question of organisation. It is the decision that determines the legal regime of the whole project.

The two arrangements

Main contract Separate trades
Number of contracts one as many as there are trades
Coordination borne by the contractor borne by the client or delegated
Counterpart when a defect arises one that of the trade concerned, to be identified
Breyne Act protection applicable if the other conditions are met excluded

The last line weighs most heavily, and it is covered in the article on the single contractor test.

Approval of contractors

A mechanism little known to private clients, and yet decisive. It concerns the approval of contractors.

Approval is an administrative recognition attesting that a firm has the technical and financial capacity to carry out works of a given nature and scale. It is graded by category and by class.

Two main effects.

In public contracts it governs access to certain contracts, according to the category and class required, covered in the guide on measurement and specification.

In private contracts under the Breyne Act it determines the guarantee regime. An approved contractor provides security of a limited amount; a non-approved party must provide a guarantee covering the whole.

That very differentiation has been held contrary to European law by the Court of Justice of the European Union, as developed in the article on payments, guarantees and security.

For a private client, checking approval therefore remains useful today, while knowing that the attached regime is set to change.

What a main contract provides

Three real advantages, beyond the apparent simplicity. They relate to the single point of contact, coordination and the guarantee.

A single counterpart. When a defect arises, the client need not determine which trade is at fault before acting.

Coordination included. Sequencing, interfaces between trades and arbitration fall to the contractor.

Statutory protection, where applicable. Where the other conditions are met, the arrangement triggers the Breyne Act.

Those advantages have a price, corresponding to the coordination margin and the assumption of interface risk. It is addressed from the cost angle in the guide on construction costs per m².

What separate trades provide

Two symmetrical advantages, and a burden. They relate to price, choice of firms and coordination.

The choice of each firm, with the ability to select specialists rather than inherit a third party's subcontractors.

Transparency of prices by trade, without an intervening coordination margin.

In return, coordination falls to the client unless delegated, with the corresponding responsibilities and without the Breyne Act's protection.

The point not to miss: this arrangement presupposes a coordination capability few private clients possess, and its absence is paid for in delay and interface disputes.

The cascading effects of the choice

Five consequences, often discovered afterwards. They concern coordination, time and liability.

The statutory regime, with or without the Breyne Act.

The number of guarantees to obtain and monitor, one per contract.

The complexity of acceptance, covered in the branch on acceptance.

Identifying who is responsible for an interface defect, markedly harder in separate trades.

The architect's role, whose supervision of execution bears on more counterparts.

This choice is therefore made at brief stage, not at tender stage. Revisiting it during the project means reworking the whole contractual arrangement.

What this means for a professional

Four rules.

Put the arrangement choice at brief stage, setting out its legal and not merely organisational effects.

Check approval where it governs a guarantee or access to a contract.

Do not present separate trades as a simple saving, coordination being real work that falls to someone.

Document the choice and its rationale, since it governs the whole applicable regime.

This article reflects the position of the rules at the date of checking and serves professional orientation. It does not constitute legal advice and does not replace assessment of the individual case.

Frequently asked questions

It is an administrative recognition attesting that a firm has the required technical and financial capacity, graded by category and by class. It is little known to private clients and yet decisive.

A single point of contact, coordination carried by the firm and a guarantee borne by one contracting party. Those advantages are paid for through a coordination margin built into the price.

Often a lower price and a finer choice of firms, at the cost of coordination falling back on the client. The trade-off is made before tendering.

Five consequences of the arrangement chosen, bearing on coordination, time and liability. They are settled in the contract rather than during the works.

Contracts and liability in a Belgian construction project