Force Majeure and Fortuitous Events Quiz

Contract Terms and Concepts

• Force Majeure (Fortuitous Event): unforeseeable and unavoidable catastrophes that may prevent parties from performing contractual obligations (e.g., earthquake, flood).

Alternative Dispute Resolution (ADR)

• Arbitration: a method of dispute resolution where a private tribunal determines the resolution of a dispute between parties to a contract.
• Mediation and Negotiation: other types of ADR involving a third-party mediator or direct negotiation between parties.

Contract Provisions

• Assignment (Novation): transfer of liabilities, rights, or obligations to a third party under agreed conditions.
• Bid Bond: a security provided by a bidder to guarantee fulfillment of obligations if awarded the contract.

Contract Concepts

• Conditions of Contract: terms, rules, and provisions governing the rights and obligations of parties involved in a contract.
• Contract Time Suspension: temporary halt or cessation of contract time due to circumstances beyond the control of the parties involved.
• Fortuitous Event: an unforeseeable event or circumstance that prevents parties from fulfilling contractual obligations.

Bidding and Procurement

• Abstract of Bids: a summary or compilation of bids received in response to a solicitation or invitation to bid.
• Bid Security: a form of guarantee provided by a bidder to ensure their bid remains valid.
• Invitation to Bid: a formal solicitation or invitation to submit bids or proposals for providing goods or services.

Time and Schedule

• Calendar Days: a period of 24 hours, including all days, regardless of weekends or holidays.

Financial and Performance Requirements

• Evidence of Working Capital: documentation or financial records demonstrating the availability of liquid assets or funds.
• Specifications: detailed descriptions or requirements outlining the characteristics, dimensions, quality standards, or performance criteria of goods, services, or works.

Contract Classification and Completion

• Conforme Contract: a contract or agreement signed or accepted by all parties involved, indicating their agreement or consent to its terms and conditions.
• Slippage: deviation or delay from the planned schedule or budget in a project or contract.
• Condition: a requirement or stipulation that must be satisfied for a contract or agreement to be valid or enforceable.
• Innominate Contract: a type of contract where the obligations and rights of the parties are not clearly categorized as either conditions or warranties.
• Substantial Performance: the completion of the majority or essential parts of the obligations under a contract, even if some minor details remain unfinished.
• Discharge of Contract: the termination or fulfillment of contractual obligations, resulting in the end of the contractual relationship between the parties involved.

Contract Clauses and Terms

• Penalty Clause: a provision in a contract that imposes a financial penalty or consequence for breaching the terms or conditions of the agreement.
• General Terms & Conditions: standardized terms and conditions that apply to all contracts or agreements entered into by a company or organization.

Bidding and Procurement Process

• Advertisement: a public notice or announcement designed to promote or inform the public about a product, service, event, or opportunity.
• Bidding Committee: a group of individuals appointed to oversee the bidding process, evaluate bids, and recommend the selection of a winning bidder.
• Bid Schedule: a timetable or plan outlining key dates, deadlines, and milestones related to the bidding process.
• Project Proposal: a document submitted by a contractor, consultant, or organization detailing their plan, approach, and cost estimates for a specific project.