Summary

This document details general conditions of a construction contract, likely from a large project. It covers matters such as programme management, extensions of time, and employer's suspension. It emphasizes the importance of clear communication and adherence to contractual agreements in construction projects.

Full Transcript

(e) (f) This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org (g) (h) (i) (j) (k) The Engineer shall Review the initial programme and each revised programme submitted by the C...

(e) (f) This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org (g) (h) (i) (j) (k) The Engineer shall Review the initial programme and each revised programme submitted by the Contractor and may give a Notice to the Contractor stating the extent to which it does not comply with the Contract or ceases to reflect actual progress or is otherwise inconsistent with the Contractor’s obligations. If the Engineer gives no such Notice: - within 21 days after receiving the initial programme; or - within 14 days after receiving a revised programme the Engineer shall be deemed to have given a Notice of No-objection and the initial programme or revised programme (as the case may be) shall be the Programme. The Contractor shall proceed in accordance with the Programme, subject to the Contractor’s other obligations under the Contract. The Employer’s Personnel shall be entitled to rely on the Programme when planning their activities. General Conditions © FIDIC 2017 47 GENERAL CONDITIONS GUIDANCE (d) FORMS (c) stated in the Contract Data. If not so stated, the dates the Contractor requires the Employer to give right of access to and possession of (each part of) the Site; the order in which the Contractor intends to carry out the Works, including the anticipated timing of each stage of design (if any), preparation and submission of Contractor’s Documents, procurement, manufacture, inspection, delivery to Site, construction, erection, installation, work to be undertaken by any nominated Subcontractor (as defined in Sub-Clause 5.2 [Nominated Subcontractors]) and testing; the Review periods for any submissions stated in the Specification or required under these Conditions; the sequence and timing of inspections and tests specified in, or required by, the Contract; for a revised programme: the sequence and timing of the remedial work (if any) to which the Engineer has given a Notice of No-objection under Sub-Clause 7.5 [Defects and Rejection] and/or the remedial work (if any) instructed under Sub-Clause 7.6 [Remedial Work]; all activities (to the level of detail stated in the Specification), logically linked and showing the earliest and latest start and finish dates for each activity, the float (if any), and the critical path(s); the dates of all locally recognised days of rest and holiday periods (if any); all key delivery dates of Plant and Materials; for a revised programme and for each activity: the actual progress to date, any delay to such progress and the effects of such delay on other activities (if any); and a supporting report which includes: (i) a description of all the major stages of the execution of the Works; (ii) a general description of the methods which the Contractor intends to adopt in the execution of the Works; (iii) details showing the Contractor’s reasonable estimate of the number of each class of Contractor’s Personnel, and of each type of Contractor’s Equipment, required on the Site, for each major stage of the execution of the Works; (iv) if a revised programme, identification of any significant change(s) to the previous programme submitted by the Contractor; and (v) the Contractor’s proposals to overcome the effects of any delay(s) on progress of the Works. GENERAL CONDITIONS Nothing in any programme, the Programme or any supporting report shall be taken as, or relieve the Contractor of any obligation to give, a Notice under the Contract. If, at any time, the Engineer gives a Notice to the Contractor that the Programme fails (to the extent stated) to comply with the Contract or ceases to reflect actual progress or is otherwise inconsistent with the Contractor’s obligations, the Contractor shall within 14 days after receiving this Notice submit a revised programme to the Engineer in accordance with this Sub-Clause. 8.4 Advance Warning FORMS GUIDANCE (a) (b) (c) (d) This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org Each Party shall advise the other and the Engineer, and the Engineer shall advise the Parties, in advance of any known or probable future events or circumstances which may: 8.5 Extension of Time for Completion The Engineer may request the Contractor to submit a proposal under Sub-Clause 13.3.2 [Variation by Request for Proposal] to avoid or minimise the effects of such event(s) or circumstance(s). The Contractor shall be entitled subject to Sub-Clause 20.2 [Claims For Payment and/or EOT] to Extension of Time if and to the extent that completion for the purposes of Sub-Clause 10.1 [Taking Over the Works and Sections] is or will be delayed by any of the following causes: (a) (b) (c) (d) (e) 48 © FIDIC 2017 adversely affect the work of the Contractor’s Personnel; adversely affect the performance of the Works when completed; increase the Contract Price; and/or delay the execution of the Works or a Section (if any). a Variation (except that there shall be no requirement to comply with Sub-Clause 20.2 [Claims For Payment and/or EOT]); a cause of delay giving an entitlement to EOT under a Sub-Clause of these Conditions; exceptionally adverse climatic conditions, which for the purpose of these Conditions shall mean adverse climatic conditions at the Site which are Unforeseeable having regard to climatic data made available by the Employer under Sub-Clause 2.5 [Site Data and Items of Reference] and/or climatic data published in the Country for the geographical location of the Site; Unforeseeable shortages in the availability of personnel or Goods (or Employer-Supplied Materials, if any) caused by epidemic or governmental actions; or any delay, impediment or prevention caused by or attributable to the Employer, the Employer’s Personnel, or the Employer’s other contractors on the Site. The Contractor shall be entitled subject to Sub-Clause 20.2 [Claims For Payment and/or EOT] to EOT if the measured quantity of any item of work in accordance with Clause 12 [Measurement and Valuation] is greater than the estimated quantity of this item in the Bill of Quantities or other Schedule by more than ten per cent (10%) and such increase in quantities causes a delay to completion for the purposes of Sub-Clause 10.1 [Taking Over the Works and Sections]. The agreement or determination of any such Claim, under Sub-Clause 20.2.5 [Agreement or determination of the Claim], may include a review by the Engineer of measured quantities of other items of work which are significantly less (by Conditions of Contract for Construction When determining each EOT under Sub-Clause 20.2 [Claims For Payment and/or EOT], the Engineer shall review previous determinations under Sub-Clause 3.7 [Agreement or Determination] and may increase, but shall not decrease, the total EOT. If a delay caused by a matter which is the Employer’s responsibility is concurrent with a delay caused by a matter which is the Contractor’s responsibility, the Contractor’s entitlement to EOT shall be assessed in accordance with the rules and procedures stated in the Special Provisions (if not stated, as appropriate taking due regard of all relevant circumstances). This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org 8.6 Delays Caused by Authorities If: (a) (b) (c) 8.7 Rate of Progress the Contractor has diligently followed the procedures laid down by the relevant legally constituted public authorities or private utility entities in the Country; these authorities or entities delay or disrupt the Contractor’s work; and the delay or disruption was Unforeseeable, then this delay or disruption will be considered as a cause of delay under sub-paragraph (b) of Sub-Clause 8.5 [Extension of Time for Completion]. If, at any time: (a) (b) actual progress is too slow to complete the Works or a Section (if any) within the relevant Time for Completion; and/or progress has fallen (or will fall) behind the Programme (or the initial programme if it has not yet become the Programme) under Sub-Clause 8.3 [Programme], other than as a result of a cause listed in Sub-Clause 8.5 [Extension of Time for Completion], then the Engineer may instruct the Contractor to submit, under Sub-Clause 8.3 [Programme], a revised programme describing the revised methods which the Contractor proposes to adopt in order to expedite progress and complete the Works or a Section (if any) within the relevant Time for Completion. Unless the Engineer gives a Notice to the Contractor stating otherwise, the Contractor shall adopt these revised methods, which may require increases in the working hours and/or in the numbers of Contractor’s Personnel and/or the Goods, at the Contractor’s risk and cost. If these revised methods cause the Employer to incur additional costs, the Employer shall be entitled subject to Sub-Clause 20.2 [Claims For Payment and/or EOT] to payment of these costs by the Contractor, in addition to Delay Damages (if any). Sub-Clause 13.3.1 [Variation by Instruction] shall apply to revised methods, including acceleration measures, instructed by the Engineer to reduce delays resulting from causes listed under Sub-Clause 8.5 [Extension of Time for Completion]. General Conditions © FIDIC 2017 49 GENERAL CONDITIONS GUIDANCE FORMS more than 10%) than the corresponding estimated quantities in the Bill of Quantities or other Schedule. To the extent that there are such lesser measured quantities, the Engineer may take account of any favourable effect on the critical path of the Programme. However, the net effect of all such consideration shall not result in a net reduction in the Time for Completion GENERAL CONDITIONS This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org If the Contractor fails to comply with Sub-Clause 8.2 [Time for Completion], the Employer shall be entitled subject to Sub-Clause 20.2 [Claims For Payment and/or EOT] to payment of Delay Damages by the Contractor for this default. Delay Damages shall be the amount stated in the Contract Data, which shall be paid for every day which shall elapse between the relevant Time for Completion and the relevant Date of Completion of the Works or Section. The total amount due under this Sub-Clause shall not exceed the maximum amount of Delay Damages (if any) stated in the Contract Data. These Delay Damages shall be the only damages due from the Contractor for the Contractor’s failure to comply with Sub-Clause 8.2 [Time for Completion], other than in the event of termination under Sub-Clause 15.2 [Termination for Contractor’s Default] before completion of the Works. These Delay Damages shall not relieve the Contractor from the obligation to complete the Works, or from any other duties, obligations or responsibilities which the Contractor may have under or in connection with the Contract. This Sub-Clause shall not limit the Contractor’s liability for Delay Damages in any case of fraud, gross negligence, deliberate default or reckless misconduct by the Contractor. FORMS GUIDANCE 8.8 Delay Damages 8.9 Employer’s Suspension The Engineer may at any time instruct the Contractor to suspend progress of part or all of the Works, which instruction shall state the date and cause of the suspension. During such suspension, the Contractor shall protect, store and secure such part or all of the Works (as the case may be) against any deterioration, loss or damage. To the extent that the cause of such suspension is the responsibility of the Contractor, Sub-Clauses 8.10 [Consequences of Employer’s Suspension], 8.11 [Payment for Plant and Materials after Employer’s Suspension] and 8.12 [Prolonged Suspension] shall not apply. 8.10 Consequences of Employer’s Suspension If the Contractor suffers delay and/or incurs Cost from complying with an Engineer’s instruction under Sub-Clause 8.9 [Employer’s Suspension] and/ or from resuming the work under Sub-Clause 8.13 [Resumption of Work], the Contractor shall be entitled subject to Sub-Clause 20.2 [Claims For Payment and/or EOT] to EOT and/or payment of such Cost Plus Profit. The Contractor shall not be entitled to EOT, or to payment of the Cost incurred, in making good: (a) (b) 8.11 Payment for Plant and Materials after Employer’s Suspension 50 © FIDIC 2017 the consequences of the Contractor’s faulty or defective (design, if any) workmanship, Plant or Materials; and/or any deterioration, loss or damage caused by the Contractor’s failure to protect, store or secure in accordance with Sub-Clause 8.9 [Employer’s Suspension]. The Contractor shall be entitled to payment of the value (as at the date of suspension instructed under Sub-Clause 8.9 [Employer’s Suspension]) of Plant and/or Materials which have not been delivered to Site, if: Conditions of Contract for Construction (b) 8.12 Prolonged Suspension If the suspension under Sub-Clause 8.9 [Employer’s Suspension] has continued for more than 84 days, the Contractor may give a Notice to the Engineer requesting permission to proceed. If the Engineer does not give a Notice under Sub-Clause 8.13 [Resumption of Work] within 28 days after receiving the Contractor’s Notice under this Sub-Clause, the Contractor may either: This document is restricted for distribution within the Lexis Nexis platform - NOT FOR CONTRACT USE AND NOT PRINTABLE - ORIGINAL FOR SALE AT www.fidic.org (a) or (and if the Parties fail to reach agreement under this sub-paragraph (a)) (b) 8.13 Resumption of Work agree to a further suspension, in which case the Parties may agree the EOT and/or Cost Plus Profit (if the Contractor incurs Cost), and/or payment for suspended Plant and/or Materials, arising from the total period of suspension; after giving a (second) Notice to the Engineer, treat the suspension as an omission of the affected part of the Works (as if it had been instructed under Sub-Clause 13.3.1 [Variation by Instruction]) with immediate effect including release from any further obligation to protect, store and secure under Sub-Clause 8.9 [Employer’s Suspension]. If the suspension affects the whole of the Works, the Contractor may give a Notice of termination under Sub-Clause 16.2 [Termination by Contractor]. The Contractor shall resume work as soon as practicable after receiving a Notice from the Engineer to proceed with the suspended work. At the time stated in this Notice (if not stated, immediately after the Contractor receives this Notice), the Contractor and the Engineer shall jointly examine the Works and the Plant and Materials affected by the suspension. The Engineer shall record any deterioration, loss, damage or defect in the Works or Plant or Materials which has occurred during the suspension and shall provide this record to the Contractor. The Contractor shall promptly make good all such deterioration, loss, damage or defect so that the Works, when completed, shall comply with the Contract. 9 Tests on Completion 9.1 Contractor’s Obligations General Conditions © FIDIC 2017 The Contractor shall carry out the Tests on Completion in accordance with this Clause and Sub-Clause 7.4 [Testing by the Contractor], after submitting the documents under Sub-Clause 4.4.2 [As-Built Records] (if applicable) and Sub-Clause 4.4.3 [Operation and Maintenance Manuals] (if applicable). 51 GENERAL CONDITIONS GUIDANCE the work on Plant, or delivery of Plant and/or Materials, has been suspended for more than 28 days and (i) the Plant and/or Materials were scheduled, in accordance with the Programme, to have been completed and ready for delivery to the Site during the suspension period; and (ii) the Contractor provides the Engineer with reasonable evidence that the Plant and/or Materials comply with the Contract; and the Contractor has marked the Plant and/or Materials as the Employer’s property in accordance with the Engineer’s instructions. FORMS (a)

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