NZS 3916 Conditions of contract for building and civil engineering – Design and construct

Overview

Overview

We are consulting on the draft DZ 3916 Conditions of contract for building and civil engineering – Design and construct. 

What is NZS 3916 about? 

Contracts that are comprehensive but at the same time easy to understand are important in today’s technical and highly competitive building and construction environment. New Zealand’s building, construction, engineering, and infrastructure industries rely on New Zealand standard conditions of contract to ensure that their contracts are suited to New Zealand’s industrial and legislative scene.

NZS 3916:2025 is based on NZS 3916:2013 Conditions of contract for building and civil engineering - Design and construct and NZS 3910:2023 Conditions of contract for building and civil engineering construction. NZS 3910 was first published in 1987.

The updates in this edition include those introduced in NZS 3910:2023 and extend to almost every section. Some parts have been moved, but the overall structure has been maintained so that the contract remains familiar and easy to navigate.

Some of the more notable changes are:

1. The introduction of a Target Cost Contract Price, and provisions for the Contract Price to have various components including Lump Sum, Cost Reimbursable, and Target Price;
2. The inclusion of a new clause dedicated to the protection of the environment;
3. The addition of clear contract administration processes throughout, including new content on reviewing instructions and decisions;
4. The elimination of the Engineer to the Contract and its dual role, replacing it with two distinct new roles. This significant change ensures clarity on the purpose of each role, emphasising when specific activities demand fairness and impartiality;
5. The transition to a fault-based indemnity and the introduction of a limitation on liability; and
6. The introduction of the Final Account and Interim Final Account processes.

Consultation draft

Please find below the consultation document (DZ 3916 consultation draft) for you to view or download. 

Important to note

All submissions need to go through this portal. There is no option to upload separate files during the submission process. Documents with submissions sent to Standards New Zealand separately will not be considered by the committee. 

DZ 3916 consultation draft

DZ 3917 Public consultation - Here