S 99 - 4

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What may the Employer do if the Contractor fails to remedy a defect within a reasonable time and the remedial work was to be executed at the cost of the Contractor?

Carry out the work himself or by others at the Contractor's cost (correct)

Terminate the Contract as a whole

Agree on a reduction in the Contract Price

All of the above

Under what circumstance may the Employer terminate the Contract as a whole, or in respect of a major part which cannot be put to the intended use?

If the Contractor fails to provide other appropriate security

If the defect or damage deprives the Employer of substantially the whole benefit of the Works (correct)

If the remedial work was to be executed at the cost of the Contractor

If the Contractor fails to remedy any defect or damage within a reasonable time

What action may the Contractor take if the defect or damage cannot be remedied expeditiously on the Site and the Employer gives consent?

Increase the Performance Security by the full replacement cost

Agree on a reduction in the Contract Price

Terminate the Contract as a whole

Remove from the Site for the purposes of repair such items of Plant as are defective or damaged (correct)

Under what circumstance may the Employer require the repetition of tests described in the Contract?

If the work of remedying of any defect or damage may affect the performance of the Works Signup and view all the answers

When does the Contractor have the right of access to all parts of the Works and to records of the operation and performance of the Works?

Until the Performance Certificate has been issued Signup and view all the answers

What may the Contractor be required to do if the Employer requires a search for the cause of any defect?

Search for the cause of any defect under the direction of the Employer Signup and view all the answers

What costs may the Contractor be liable for if the work of remedying any defect or damage may affect the performance of the Works?

The cost of the tests described in the Contract Signup and view all the answers

What may the Employer do if the defect or damage deprives the Employer of substantially the whole benefit of the Works or any major part of the Works?

Terminate the Contract as a whole, or in respect of such major part which cannot be put to the intended use Signup and view all the answers

Under what circumstance may the Employer be entitled to recover all sums paid for the Works, plus financing costs and the cost of dismantling the same, clearing the Site and returning Plant and Materials to the Contractor?

If the Contract is terminated as a whole, or in respect of such major part which cannot be put to the intended use Signup and view all the answers

When can the Employer require a reduction to be agreed and paid before a Taking-Over Certificate is issued?

When the relevant reduction for a failure is not defined in the Contract Signup and view all the answers

When are the Works taken over by the Employer?

When completed in accordance with the Contract and a Taking-Over Certificate is issued Signup and view all the answers

Under what circumstances is a Taking-Over Certificate deemed to have been issued?

If the Employer fails to issue the Taking-Over Certificate or reject the Contractor's application within 28 days Signup and view all the answers

When can parts of the Works be taken over or used by the Employer?

As may be stated in the Contract or as may be agreed by both Parties Signup and view all the answers

Under what circumstances is the Contractor entitled to an extension of time and payment of any Cost plus reasonable profit?

If delayed in carrying out the Tests on Completion due to the Employer's responsibility Signup and view all the answers

When is the Contractor required to complete any outstanding work and remedy defects?

Within a reasonable time as instructed by the Employer or as soon as practicable after the expiry date of the Defects Notification Period Signup and view all the answers

Under what circumstances is the Employer entitled to an extension of the Defects Notification Period?

If the Works cannot be used for their intended purpose due to a defect or damage, but not exceeding two years Signup and view all the answers

What entitlements does the Contractor have if they suffer delay and/or incur Cost from complying with the Employer's instructions under Sub-Clause 8.8?

An extension of time and payment of any such Cost Signup and view all the answers

Under what circumstance is the Contractor not entitled to an extension of time or payment of the Cost incurred?

When the delay is due to the Contractor's faulty design or workmanship Signup and view all the answers

What action should the Employer take after receiving notice from the Contractor regarding delay and/or Cost incurred?

Proceed in accordance with Sub-Clause 3.5 [Determinations] to agree or determine these matters Signup and view all the answers

When is the Contractor not entitled to an extension of time or payment of Cost incurred?

When the delay is due to suspension of work by the Employer Signup and view all the answers

Under what circumstance does Sub-Clause 8.9 not apply?

When the cause of suspension is the responsibility of the Contractor Signup and view all the answers

What should the Contractor do if they suffer delay and/or incur Cost from complying with the Employer's instructions under Sub-Clause 8.8?

Give notice to the Employer and claim entitlements under Sub-Clause 20.1 Signup and view all the answers

What should the Employer do after receiving notice from the Contractor regarding delay and/or Cost incurred?

Proceed in accordance with Sub-Clause 3.5 to agree or determine these matters Signup and view all the answers

If the Contractor suffers delay and/or incurs cost due to complying with the Employer's instructions under Sub-Clause 8.8, what is the Contractor entitled to?

An extension of time and payment of any such cost Signup and view all the answers

If the cause for suspension is the responsibility of the Contractor and is notified by the Employer, which SubClauses shall not apply?

8.9, 8.10 and 8.11 Signup and view all the answers

When is the Employer required to proceed in accordance with Sub-Clause 3.5?

After receiving notice from the Contractor Signup and view all the answers

In which circumstance is the Contractor not entitled to an extension of time or payment of cost?

Making good the consequences of faulty design, workmanship, or materials Signup and view all the answers

What action is the Employer required to take after the Contractor gives notice of delay and cost incurred?

Proceed in accordance with Sub-Clause 3.5 to agree or determine these matters Signup and view all the answers

What happens if the cause for suspension is the responsibility of the Contractor and is notified by the Employer?

SubClauses 8.9, 8.10 and 8.11 shall not apply Signup and view all the answers

What is the Contractor entitled to if completion is delayed due to complying with the Employer's instructions under Sub-Clause 8.8?

An extension of time and payment of any cost incurred Signup and view all the answers

Study Notes

Construction Contract Clauses Summary

The contractor is entitled to payment for plant and materials not delivered to the site if work on them has been suspended for more than 28 days and marked as the employer's property.
If a suspension lasts for more than 84 days, the contractor can request permission to proceed, and if not granted within 28 days, can treat the suspension as an omission or terminate the contract.
After resumption of work, the contractor is responsible for making good any deterioration, defect, or loss of the works, plant, or materials during the suspension.
The contractor is obligated to carry out tests on completion in accordance with the contract, providing notice to the employer and carrying out the tests within agreed timelines.
The tests on completion should be carried out in a specific sequence, including pre-commissioning tests, commissioning tests, and trial operation.
Trial operation does not constitute taking over by the employer, and any product produced during this phase belongs to the employer.
The contractor must submit a certified report of the test results to the employer after the tests on completion have been passed.
If the tests on completion are unduly delayed by the employer, applicable clauses allow for resolution and potential assumption of testing by the employer's personnel.
If the works or a section fail the tests on completion, retesting may be required under the same terms and conditions.
If the works or a section fail the repeated tests on completion, the employer may order further repetition, reject the works or section, or issue a taking-over certificate, which impacts the contract price.
The contract price will be reduced if the failure to pass the tests on completion results in the reduced value to the employer.
The contract contains detailed clauses regarding payment, suspension, resumption of work, tests on completion, and consequences of failure to pass the tests on completion.

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Description

This quiz provides a summary of important clauses in a construction contract, including those related to payment, suspension, resumption of work, and the tests on completion. It also covers the responsibilities of the contractor and employer during the testing phase.