SEYCHELLES Law and Practice Contributed by: Tamara Christen, Christen Chambers
7. Construction 7.1 Common Structures Used to Price Construction Projects The most common structures used to price construc - tion projects closely mirror international best practices and private developers may use a mix of fixed price and cost-plus contracts. 7.2 Assigning Responsibility for the Design and Construction of a Project For private projects, responsibility is typically con - tractually defined, with architects/engineers handling design integrity and contractors executing construc - tion under Quality Assurance and Building Control Unit oversight. 7.3 Management of Construction Risk Construction projects typically employ indemnifica - tions, warranties, limitations of liability and waivers to manage risk, though these devices face legal con - straints. Indemnifications are enforceable if clearly drafted, but may be subject to liability caps and con - tributory negligence reductions, as courts apportion damages based on fault. Warranties can include extended terms, though their enforceability is lim - ited by statutory periods (eg, five years for breach of contract). Limitations of liability are upheld if explicitly defined in contracts, even in cases of negligence, pro - vided they comply with public policy and contractual fairness principles. Waivers of consequential damages (eg, loss of use or indirect costs) are permissible, but must be unambiguous to withstand judicial scrutiny. These mechanisms are further constrained by Sey - chelles’ civil code principles, which allow courts to adjust claims based on comparative fault and ensure remedies align with proven losses. Larger construc - tion projects may use performance security bonds and retention amounts. 7.4 Management of Schedule-Related Risk Schedule-related risks in construction projects are managed through contractual mechanisms that emphasise proactive notification and structured compensation for delays. Under local procurement frameworks, contractors must promptly notify project owners of delays and their causes, allowing for poten - tial time extensions with or without penalties. Parties
Tenants may seek termination under the following statutory grounds: expiry of fixed-term leases, period - ic tenancies, landlord’s breach, or mutual agreement. 6.20 Registration Requirements Leases for over two years require registration under the Land Registration Act. Leases of two years or less are exempt unless they include an option to extend the total period beyond two years. Leases must be in the prescribed form outlined in the Land Registra - tion Act. There is stamp duty ranging from 5%–15% payable on the equivalent of annual rent as well as a few other minor statutory costs. A foreigner tenant is required to obtain sanction approval prior to entering into the lease. 6.21 Forced Eviction An eviction starts with an application to the Rent Board filed by the landlord, specifying the grounds for eviction. The tenant must be notified and given a chance to respond at a hearing. If eviction is granted, the Board sets a “reasonable” timeframe for the tenant to vacate (typically weeks to months, depending on circumstances). The Rent Board may also order pay - ment of arrears. Eviction orders are enforced like court judgments, potentially involving bailiffs. It is important to note landlords cannot forcibly remove tenants with - out a Rent Board order. An eviction process tends to take 12–18months. 6.22 Termination by a Third Party Third parties such as the government or municipal authorities can terminate leases under specific statu - tory conditions, though this authority is tightly regu - lated. The process duration and compensation eligi - bility depend on the legal grounds for termination and whether due process is followed. 6.23 Remedies/Damages for Breach Cash deposits are standard, often equivalent to one- to-three months’ rent. Remedies are confined to eviction (after Rent Board approval). The Act explic - itly prohibits lessors from demanding excess rent as penalties.
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