Y 99 - 2

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Questions and Answers

In accordance with the Contract, when shall the Contractor pay taxes, duties, and fees?

The Contractor shall pay all taxes, duties, and fees required to be paid by him under the Contract, and the Contract Price shall not be adjusted for any of these costs, except as stated in Sub-Clause 13.7 [Adjustments for Changes in Legislation] (correct)

The Contractor shall pay taxes, duties, and fees only if they exceed a certain threshold specified in the Contract

The Employer is responsible for paying all taxes, duties, and fees

The Contractor is not responsible for paying taxes, duties, and fees under the Contract

When shall the advance payment be made by the Employer?

The advance payment shall not be made under any circumstances

The advance payment shall be made as an interest-free loan for mobilization and design when the Contractor submits a guarantee in accordance with the Sub-Clause (correct)

The advance payment shall be made in installments based on the progress of the project

The advance payment shall be made after the completion of the project

What happens if the total advance payment is not stated in the Appendix to Tender?

The Sub-Clause related to advance payment shall not apply (correct)

The advance payment will be made in equal installments

The Employer is required to make the advance payment regardless

The Contractor is responsible for determining the total advance payment

How is the advance payment repaid by the Contractor?

The advance payment shall be repaid through percentage deductions in Payment Certificates Signup and view all the answers

What happens if the terms of the guarantee specify its expiry date and the advance payment has not been repaid by the date 28 days prior to the expiry date?

The Contractor shall extend the validity of the guarantee until the advance payment has been repaid Signup and view all the answers

When does the Engineer issue an Interim Payment Certificate for the first installment of the advance payment?

The Engineer issues an Interim Payment Certificate for the first installment after receiving a Statement and after the Employer receives the Performance Security and a guarantee in amounts and currencies equal to the advance payment Signup and view all the answers

What constitutes taking-over under Employer's Taking Over clause?

Trial operation Signup and view all the answers

When does the product from trial operation belong to the Employer?

Unless stated otherwise Signup and view all the answers

What happens if the Contractor fails to attend Tests after Completion?

Employer may proceed and Contractor must accept readings as accurate Signup and view all the answers

Who is responsible for carrying out Tests after Completion as per Contractor's manuals?

Employer Signup and view all the answers

What is the consequence of delayed Tests on Completion due to undue delay by the Employer?

Contractor is entitled to additional payment Signup and view all the answers

What happens in case of retesting after Works or Section fail Tests after Completion?

Both Parties share the retesting costs Signup and view all the answers

What happens if the contractor fails to pass tests after completion?

They trigger payment of non-performance damages defined in the contract Signup and view all the answers

When can the contractor be instructed that access cannot be given until a convenient time for the employer, after proposing adjustments or modifications to the works?

After failing a test Signup and view all the answers

In what situation is the contractor entitled to payment for incurring additional cost due to unreasonable delay by the employer in permitting access to the works?

Unreasonable delay in permitting access to the works Signup and view all the answers

When can variations be initiated by the engineer?

Before issuing the Taking-Over Certificate Signup and view all the answers

When may the contractor submit a proposal to the engineer?

At any time Signup and view all the answers

What must the contractor provide if the engineer requests a proposal before instructing a variation?

Description of the proposed design and/or work, a programme for execution, and a proposal for necessary modifications to the programme and the contract price Signup and view all the answers

According to Clause 5.6, when must the Contractor supply as-built drawings to the Engineer?

Before the Tests on Completion Signup and view all the answers

What does Clause 6.1 obligate the Contractor to do?

Make arrangements for the payment, housing, feeding, and transport of all staff and labor Signup and view all the answers

Under Clause 6.4, what is the Contractor prohibited from doing?

Recruiting staff and labor from amongst the Employer's Personnel Signup and view all the answers

What does Clause 8.12 require after the resumption of work?

The Contractor and the Engineer must jointly examine the Works and make good any deterioration, defect, or loss of Works, Plant, or Materials Signup and view all the answers

According to Clause 9.1, when must the Tests on Completion be carried out?

Within 14 days after the specified date Signup and view all the answers

What does Clause 5.7 mandate the Contractor to supply?

Provisional operation and maintenance manuals before the Tests on Completion Signup and view all the answers

Study Notes

FIDIC Plant and Design-Build Contract: Key Clauses Summary

Clause 5.5 requires the Contractor to provide training to the Employer's Personnel on the operation and maintenance of the Works as specified in the Employer's Requirements.
The Contractor is obligated under Clause 5.6 to prepare and maintain as-built records of the execution of the Works, and to supply as-built drawings to the Engineer for review before the Tests on Completion.
Prior to the issue of any Taking-Over Certificate, the Contractor must supply the specified copies of the relevant as-built drawings to the Engineer, as per Clause 5.6.
Clause 5.7 mandates the Contractor to supply provisional operation and maintenance manuals before the Tests on Completion, and final operation and maintenance manuals in such detail as specified in the Employer's Requirements.
The Contractor is required to correct any errors, omissions, or defects found in the Contractor's Documents at their own cost, as per Clause 5.8.
Clause 6.1 obligates the Contractor to engage and make arrangements for the payment, housing, feeding, and transport of all staff and labor, local or otherwise, unless otherwise stated in the Employer's Requirements.
The Contractor is required to pay rates of wages and observe conditions of labor not lower than those established for the trade or industry where the work is carried out, as per Clause 6.3.
Under Clause 6.4, the Contractor is prohibited from recruiting staff and labor from amongst the Employer's Personnel and must comply with all relevant labor laws.
Clause 6.5 specifies that no work shall be carried out on locally recognized days of rest or outside normal working hours without consent, except in unavoidable or necessary circumstances for the protection of life or property or safety of the Works.
After resumption of work, as per Clause 8.12, the Contractor and the Engineer must jointly examine the Works and make good any deterioration, defect, or loss of Works, Plant, or Materials that occurred during the suspension.
Clause 9.1 requires the Contractor to carry out the Tests on Completion after providing the necessary documents and giving the Engineer at least 21 days' notice of the date for the tests.
Unless otherwise agreed, the Tests on Completion must be carried out within 14 days after the specified date, as per Clause 9.1.

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Description

Test your understanding of key clauses in the FIDIC Plant and Design-Build Contract with this quiz. Explore important obligations and requirements for contractors regarding training, record-keeping, manuals, labor arrangements, work schedules, tests on completion, and more.