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FIDIC - 1999 Red Book - Outline of Claim

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FIDIC - 1999 Red Book - Outline of Claim

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Eric
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Page |1 TABLE OF CONTENTS Table of Contents... Introduction... Literature Review..... Need for Contract and Regulations... Construction Contracts and Claims .... Conclusion Objectives... Methodology. Data Collection & Analysis CLAUSES THAT ENTITLE CONTRACTORS TO CLAIM AGAINST EMPLOYERS...... 10 1.9 Delayed Drawings or Instructions .... 2.1 Right of Access to Site. 4.7 Setting Ot. cnnnnnnnnnneninnininninininnnnnninnnninnninnnniennnnennie 4 4.12 Unforeseeable Physical Conditions ......00 15 4.24 Fossils... 16 7.4 Testing 7 8.4 Extension of Time for Completion .. 18 8.9 Consequences of Suspension... 19 Page |2 10.2 Taking Over of Part of the Works. 20 1033 Interference with Tests on Completion... 13.1 Adjustment for Change in Legislation 16.1 Contractor's Entitlement to Suspend Work 22 17.4 Consequences of Employer's Risk sone 18.1 General Requirements for Insurances. 24 19.4 Consequences of Force Majewte.... CLAUSES THAT ENTITLE EMPLOYERS TO CLAIM AGAINST CONTRACTORS... 27 4.19 Electricity, Water and Gas 27 4.20 Employer's Equipment and Free-Issue Materials 7.5 Rejection 29 7.6 Remedial Works. 8.6 Rate of Progress... 8.7 Delay Damages 31 9.4 Failure to Pass Tests on Completion... 11.3 Extension of Defects Notification Period 32 11.4 Failure to Remedy Defects. 15.4 Payment after Termination ...... 18.1 General Requirements for Insurances. 34 PROCEDURE OF HOW A CONTRACTOR CAN MAKE A SUCCESSFUL CLAIM ove 36 Page PROCEDURE OF HOW AN EMPLOYER CAN MAKE A SUCCESSFUL CLAIM PROCEDURE OF HOW ARBITRATION CAN BE COMMENCED ivsinsssnnsntnsest Conelusions Recommendations. Bibliography \3 38 40 41 Page |4 INTRODUCTION In most construction contracts issued in Trinidad and Tobago, the FIDIC line of Contract Conditions is vastly utilitized. That is provided a company does follow their own tailored construction contract format, These FIDIC contracts outline measures and procedures that all parties entering the contract shall abide by to ensure said contract is executed fairly, transparently and effectively. This report analyses some key aspects of one of the FIDIC Conditions of Contract, namely; The 1999 FIDIC Red Book: Conditions of Contract for Construction, The elements being analysed related to claims; that is, what conditions are required for either Contractor or Employer to make a claim to the other party, how do said parties go about making the claim, and provided a dispute arises, what is the process of settling the dispute. Claim — “A demand or request for something considered one’s due” -Osford Dictionary The statement above is a simple but accurate definition of a claim under the FIDIC Conditions of Contract. Once the Employer or the Contractor for any reason feel entitled to compensation (money and/or time) for any events imposed onto them this can be described as one’s due. At this point, either party must now follow the procedure given in the FIDIC book and proceed to make such claim, The FIDIC Conditions of Contract however outline in its many sub-clauses, under what circumstances either party becomes entitled to compensation; once the conditions are met, only then can the claiming party be compensated. A further analysis on these clauses and procedures for claiming shall be presented in the report. LITERATURE REVIEW Need for Contract and Regulations: ‘© Australian mining companies are linked to hundreds of deaths and injuries in Africa, which can go unreported at home. ‘+ Inall, reporters counted more than 380 employees, subcontractors and community members in 13 countries who died in accidents or incidents linked to the companies since the beginning of 2004 © "There is a very strong perception that when Australian mining companies come here they take every advantage of regulatory and compliance monitoring weaknesses, and of the huge disparity in power between themselves and affected communities, and aim to get away with things they would’ even think of tying in Australia," Tracey Davies, attorney with the Centre for Environmental Rights in Cape Town. Will Fitzgibbon, Companies Accused of Taking Advantage of Regulatory Weakness’, 2015 The above extracts were taken from an online article which goes on to discuss the negative effects Australian Mining Companies are having on the people and environment of Africa, were a number of these mining companies are located. The article highlights that many incidents occur, as a result of the mining companies and their subcontracted companies taking advantage of the lack of proper regulation in Africa and their lack of ability to ensure compliance. This breach resulted in a number of the incidents in which the mining companies distanced themselves from liability. This article suggests the importance of having some legal authority to clearly define who accepts liability for certain aspects of works when entering into a contract. Together with this, it is also important to have a body willing to enforce the regulations of the contract. In so doing, parties shall be more encouraged to execute their aspect of the contract in a more fair and lawful manner; and if not it will ensure fair relief is due to the other affected party. Page |6 Construction Contracts and Cl “4 construction contract is a mutual or legally binding agreement between two parties based on certain policies and conditions generally recorded in documentation form. The two parties involved are one or more owners, amd one or more contractors.” Wikipedia The FIDIC suite of Conditions of Contract is a vasily utilized form of construction contract. According to Jeremy Glover’s, “FIDIC an overview: the latest developments, comparison, claims and a look into the future", these books were developed by the organization FIDIC. Originally as one book resembling the English construction law conditions, the contract was eventually made into more in 1963. This was so to accommodate cases where the Contractor did designs together with works for the Employer. As time progressed, more books were introduced to cover different dimensions of construction and procurement. The 1999 suite of FIDIC Conditions of Contract books now allocates risks and responsibilities to both parties entering into the contract in a fair manner. The contracts go on to give conditions where either party becomes entitled to compensation due to the action or inaction of the other party or extemal sources. It also describes the procedures that shall be adhered to in making a lait n for the compensation. This report goes on to analyse these procedures and claims “A claim is a request for compensation not anticipated in the terms of the original contract.” The National Academy of Science, Reducing Construction Costs: Uses of Best Dispute Resolution Practices by Project Owners, 2007 Page |7 The authors of the book sought to reduce the amount of claims and disputes occurring in the construction industry in the United States as it takes up time; is very costly; and is counterproductive. In doing so they thought it best to determine the leading causes for disputes in an attempt to sought the answer to reducing disputes. Through a survey done, the results yielded that the primary drivers of claims were: # Increased profit pressure on Contractors # Poorly developed contracts # Increasing risk allocated to Contractors © Inadequate owner involvement Overly aggressive schedules Conclusion Although there is a need for contracts and regulations to exist between parties entering into an agreement to ensure proper performance, the contract may possibly lead to numerous disputes and claims in various ways. This report is geared into analyzing the FIDIC 1999 Conditions of Contract for Construction: Red Book. In so doing, it shall analyse the grounds on which either party entering into the agreement shall be able to claim, how they go about claiming and provided a dispute arises, their possible options of settling it. Page |8 OBJECTIVES To analyse and discuss the grounds in which Contractors shall be entitled to claim against Employers as per the sub-clauses in the FIDIC 1999 Red Book: Conditions of Contract for Construction. To analyse and discuss the grounds in which Employers shall be entitled to claim against the Contractors as per the sub-clauses in the FIDIC 1999 Red Book: Conditions of Contract for Construction. To examine various construction law cases in an attempt to verify some of the sub- clauses mentioned above To outline the procedure for a Contractor to make a successful claim and produce a flow chart to represent this procedure. To outline the procedure for an Employer to make a successful claim and produce a flow chart to represent this procedure. To outline the procedure required to commence arbitration and produce a flow chart to represent this procedure. Page |9 METHODOLOGY ‘The FIDIC 1999 Conditions of Contract for Construction: Red Book shall be read and all clauses which gives the Contractor or the Employer entitlement to claim shall be selected, analysed and discussed. Cases relevant to the sub-clause shall be sought, analysed and included in the discussion where applicable. Sub-clauses 20.1(Contractor’s Claim) and 2.5 (Employer's Claim) shall be analysed; subsequently the process for either Contractor or Employer to make a successful claim shall be outlined by bullet points and a flow chart. Sub-ciauses 20.4 (Obtaining Dispute Adjudication Board's Decision) and 20.5 (Amicable Settlement) shall be analysed and the process for commencing arbitration shall be outlined ad represented in a flow chart. 10 ~ DATA COLLECTION & ANALYSIS a) Examine a FIDIC 1999 Conditions of Contract (state clearly which Form you are usin; FIDIC 1999 RED BOOK: CONDTIONS OF CONTRAC FOR CONSTRUCTION i. Identify the clauses under which the Contractor may be entitled to claim against the Employer. Analyse and discuss in respect of each clause the grounds under which the Contractor is entitled to claim CLAUSES THAT ENTITLE CONTRACTORS TO CLAIM AGAINST EMPLOYERS The following is a tabulated list of all the sub-clanses under which the Contractor is entitled to claim against the Employer: ‘Table 1 listing the sub-clouses in the FIDIC-1999 Red Book, in which a Contractor is entitled 1 claim against an Employer Sub-Clause Clause Title Page No. 19 Delayed Drawings or Instructions 7 2 Right of Access to the Site 89 47 Setting Out 15 42 Unforeseeable Physical Conditions 16-17 424 | Fossils 20 74 Testing 24-25 84 Extension of Time for Completion 77 8.9 ‘Consequences of Suspension 29 10.2 Taking Over of Parts of the Work 31-32 13.7 | Adjustment for Change in Legislation 39 16.1 ‘Contractor's Entitlement to Suspend Work 8 17.4 | Consequences of Employer's Risk 2 18.1 Insurance 19.4 | Consequences of Force Majeur 37 uu ~ 1.9 Delayed Drawings or Instructions Description: The Contractor has not been issued drawings, specifications or instructions, etc. as yet and as a result foresees that this may delay or disrupt the scheduled programme of the works. The Contractor at this point shall give notice to the Engineer within reasonable time to inform him/her that the delayed passing over of the relevant information will incur a delay on the works. This notice shall be accompanied by documents giving evidence to how the lack of information will delay the works and to what extent. The supporting documents shall also inform the engineer of what specific drawings, specs and instructions are required and shall further specify a time in which it should be handed over. Should the Engineer fail to hand over the information by the time specified in the initial notice given by the Contractor, and the Contractor incurs delays or costs as a result of the this, the Contractor shall then give notice to the Engineer claiming as per Sub-Clause 20.1 (Contractor's Claims). Entitlement: The Contractor shall be entitled to an extension of time for completion for all delays incurred as per Swb-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost plus reasonable profit. The cost shall be stated in the Contract Price If failure in submitting the documents was as a result of any error due to the Contractor however, the claim now becomes void. The Contractor can no longer claim for time, cost or profit, Analysis: As can see in the description above, a Contractor must give notice beforehand stating that delayed documents will adversely affect the progress of the works. It cannot be that after the delay or disruption has affected the Contractor can he now then claim for losses. It must be 2 ~ shown to the Engineer, with a notice and documents to support, how and to what extent the delay will affect the works. This then emphasizes the necessity for Contractor’s to keep records while works are progressing. “The most common reason why a contractor is unable to obtain an extension of time or recover additional costs for delays and disruptions to a project is that there is insufficient evidence to support its claim, While it may be possible to support a claim with evidence created after the event, such as witness statements and retrospective analysis, these will be of little help if they are not based on contemporaneons records of whst happened at a particular time.” “In AG Falkland Islands v Gordon Forbes, the term ‘contemporary records’ was held 10 mean “original or primary documents, or copies thereof, produced or prepared at or about the time gi g rise to a claim, whether by or for the contractor or employer” The above two (2) quotes were taken from a commentary done by Herbert Smith Freehills LP's Emma Kratochvilova, 2009, United Kingdom about the importance of record keeping. Records, whether pictures, invoices, progress reports, letters, etc., shall always be kept up to date with the progress of the works. Without it, the Contractor's claim becomes void. Furthermore, the Contractor cannot delay the process of receiving the documents in an attempt to ensure the Engineer misses the deadline date set; if such is the case the claim can also be voided. 2.1 Right of Access to Site Description: The Contractor has not been given access to the site, plant, equipment or particular area(s) of site as had agreed upon in before a time and in a manner stated in the contract; and if no time was stated in the contract, delivered at a time where it affected the progress of the works. 1B ~ If at this point the Contractor then suffers delays and/or incurs additional cost due to late possession of site to the fault of the Employer, the Contractor is now entitled to claim. The ineer and claim under Sub-Clause 20.1 (Contractor's Contractor shall give notice to the E Claims). Entitlement: The Contractor shall be entitled to an extension of time for completion for all delays incurred as per Sub-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost plus reasonable profit. The cost shall be stated in the Contract Price, If the delay in gaining access to site is, however, at fault of the Contractor, he/she is no longer entitled to claim. ‘is: The Employer must deliver the site as agreed in the Contract. The only grounds on which the Employer can withhold the site are provided he/she does not receive the Performance Certificate or whether another agreement was made. This clause applies also for all equipment and plant the Employer has due for the Contractor as per the Contract. In this clause, the Employer has to hand over the site and/or all equipment, plant and material due to the Contractor as per the contract. A deadline date is usually provided in the contract for when this is to be done by: if a date is not given, this shall be done by a date and time that will not affect the scheduled programme of works. If the Employer fails to hand over the site, or hands over the site at a time where the programme is affected, and delays and costs are incurred onto the Contractor, only then can he/she claim. This is unless of course the reason for the delay of hand over of the site is due to the Contractor, such as late submission of Performance Certificate, ete. 4 ~ The Contractor shall give notice to the Engineer of all intention to claim at this point. The Contractor is entitled to claim back for time, cost and reasonable profit, 4.7 Setting Out Descriptior ‘The Contractor shall perform all works using all Lines, levels and references set by the Employer. The Contractor shall also be responsible for correcting any errors seen in the levels and references. These errors are still however the responsibility of the Employer. Provided that the Contractor experiences delays or incurs cost as result of erroneous levels and references, where the errors are such that an experienced Contractor could not notice the error and resolved it him/herself; the Contractor is entitled to claim as per Sub-Clause 20.1 (Contractor's Claims). Notice shall be given to the Engineer Entitlement: The Contractor shall be entitled to an extension of time for all delays incurred as per Sub-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost plus reasonable profit, The cost shall be stated in the Contract Price The Engineer shall determine whether or not the error could have been reasonably discovered. Analysis: The Contractor is responsible for checking the lines, levels and references before proceeding with works. If delays and cost incurs due to wrong reference information, the Contractor can only claim if the error could not have been reasonably seen by the Contractor. ‘The Engineer shall make this determination, Hence the Contractor shall always make an effort to correct all errors if present. ~ a 4.12 Unforeseeable Physical Conditions Physical Conditions: * Natural Physical Conditions Manmade Physical Conditions + Pollutants * Subsurface and Hydrological Conditions Description: If the Contractor encounters any physical conditions on the site that have not been foreseen, he shall immediately give notice to the Engineer. This notice shall describe the conditions met with, how the condition may be deemed as being unforeseeable and how it may affect the progress of works. The Engineer shall then instruct the Contractor how to move forward with the works to suit the physical conditions. All works not affect by the physical conditions shall proceed as before. Any variation from the Contracted works shall be treated under Clause 13 (Variations). All works proceeding shall be carried out in a safe manner considering the effects of the physical condition. If dealing with the unforeseeable physical condition, as per the Engineer’s instruction, incurs additional cost and delay to the Contractor, he/she shall then give notice to the Engineer and claim as per Sub-Clause 20.1 (Contractor's Claim). This is wuless the Contractor is at fault for the delay and/or cost. Entitlement: The Contractor shall be entitled to an extension of time for all delays incurred as pet Sub-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost. The cost shall be stated in the Contract Price 16 ~ The Engineer shall be responsible for determining whether the condition can be deemed as unforeseeable or not. The Engineer shall also determine to what extent the works have been affected by the condition, Provided multiple aspects of the works have to be altered due to the physical condition, and cheaper alternative methods can be employed to perform the works, this savings can be used to offset the increased cost in other aspects. The new cost, however, shall not reduce the total project cost to a sum less than the original project cost. Analysis: Based on commentary done by Herbert Smith Freehills LLP's Mark Lloyd-Williams, Ann Lovin and David Nitek, 2014, on the case “Obrascon Huarte Lain SA v Attorney-General for Gibraltar” where a Contractor encountered a chemical pollutant on site, the Contractor was found not entitled to claim for time, cost or profit. This was so as the Contractor is responsible, before tendering, to determine all reasonable foreseeable physical conditions. Furthermore, a site investigation report done by the Employer stated that the site may have contained some contaminated material, This statement passed the responsibility onto the Contractor to make an intelligent assessment of the site and cater for it when developing the tender price. The physical condition in this event will now be termed foreseeable. Asa result, Contractors must make a concerted effort to inspect sites and insure to determine all present physical conditions. 4.24 Fossils Description: Any artifacts found on site that may pose any geological and/or archaeological ive interest shall be placed under the care of the Employer. The Contractor shall immediately g notice to the Engineer of the find and shall further ensure, within reason, that all its personnel 7 ~ and other persons do not damage or remove the findings. The Engineer shall then instruct the Contractor on how to proceed. Once the Contractor experiences any delays or cost incurrence due to the instruction given by the Engineer, he/she shall give notice to the Engineer and claim as pet Sub-Clause 20.1 (Contractor's Claim). If the delays ot costs are of the Contraetor’s fault, then the Contractor is not entitled to make the claim. Entitlement: The Contractor shall be entitled to an extension of time for all delays incurred as per Sub-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost. The cost shall be stated in the Contract Price Analysis: The Contractor is only entitled to claim if he/she experiences delay or incurs cost from following the instructions given by the Engineer on how to proceed after finding the artifact. This shall include if the Contractor has to provide additional security for the artifact or special thee artifact. This shall also include whether the equipment for extracting and securi Contractor has to adopt any special methods to continue with construction in a manner not to endanger the artifacts. The Contractor is, however, entitled to claim for time and cost incurred: no profit can be claimed for. This is because no breach in Contract was done by either party. Since the site is the Employer's own, however, they are responsible for the artifact and as such must then reimburse the Contractor for all additional provided in dealing with the artifact. : This clause states that the Contractor is responsible for providing all required equipment for performing the tests, including personnel. The Contractor and the Engineer shall agree on the location where testing shall occur. The Engineer shall give the Contractor 24 hours’ 18, ~ notice before attending all tests. Once notice is given, even if the Engineer is not present, the Contractor may proceed with tests unless the Engineer gives other instructions, If these new instructions from the engineer causes the execution of the tests to be delayed, and this delay incurs cost and delays on the Contractor, he/she shall give notice to the Engineer and claim as per Sub-Clause 20.1 (Contractor's Claim) Entitlement: The Contractor shall be entitled to an extension of time for all delays incurred as pet Sub-Clause 8.4 (Extension of Time for Completion). The Contractor shall also be entitled to payment of any cost and profit incurred. The cost shall be stated in the Contract Price. Analysis: The Contractor shall only be able to claim, in this case where after a date and location is agreed upon by both parties, if the Employer does anything that offsets the execution of the testing and delay and/or cost are incurred on the Contractor. Employer’s fault can include but is not limited to any instruction given by the Engineer to change location, time, etc. If the instruction does not incur cost or delay, the Contractor is no longer entitled to claim. If the delay and cost incurred in response to the Engineer’s instruction is the fault of the Contractor, they will no longer be entitled to claim. 8.4 Extension of Time for Completion Description: The Contractor shall be entitled to claim for an extension of time as per Sub-Clause 20.1 (Contractor's Claim) for multiple cases as follows’ a) Variation (unless an adjustment to time for completion is agreed upon for the Variation) b) A cause of delay which entitles the Contractor to and extension of time as stated in various sub-clauses in the FIDIC book. ©) Exceptionally bad climate 19 ~ d) Unforeseeable shortages in personnel or equipment and material required to complete works due to epidemic or governmental actions ¢) Any delay caused by action or inaction of the Employer or personnel under the Employer's care, Entitlement: The Contractor shall give notice to the Engineer and be entitled to an extension of time for completion. Anal sis: The Contractor shall only be entitled to an extension of time if the above mention occurs and causes a delay in the work that could not have been foreseen, prevented or overcome. This includes all of the sub-clauses indicated in this report which entitles the Contractor to claim. In the case of “Obrascon Huarte Lain SA v Attorney General Gibraltar", the Contractor claimed that an extension of time for completion should be granted on the premise that the adverse weather (rain) had delayed the works. The claim was however denied as no notice was given within 28days of being affected by the rain. The Contractor argued that a letter stating that the rain was upholding the works was sent to the Employer. The decision however ruled that the letter cannot be considered as giving notice as it showed no intention of claiming. As such the Contractor shall always be aware of limiting time bars as they may be the reason for losing out on one’s entitlement. 8.9 Consequences of Suspension Description: The Engineer has the right to suspend work has seen fit as per Sub-Clause 8.8 (Suspension of Work). If the Contractor incurs cost and/or delays due to the suspension of works, the Contractor shall give notice to the Engineer and claim as per Sub-Clause 20.1 (Contractor's Claim) 20 ~ Entitlement: The Contractor shall be entitled to extension of time as per Sub-Clause 8.4 (Extension of Time for Completion) and payment of all cost incurred. Analysis: The Contractor shall only be entitled to claim provided the suspension of work instruction was not given due to fault done by the Contractor. If the Contractor is at, fault, he shall no longer be entitled to claim. 10.2 Taking Over of Part of the Works Description: When works or a section of works are completed, the Employer has to ‘take over” the works via a certificate issued by the Engineer, If for whatever reason the Employer takes over and uses that aspect of the works prior to the issuing of the certificate and the Contractor incurs cost as a result of this, he/she can claim. This is so unless it is stated in the contract that the Employer is allowed to use that aspect of works without the issuing of the certificate, The Contractor at this point shall give notice to the Engineer and claim as per Sub-Clause 20.1 (Contractor's Claim). Entitlement: The Contractor shall be entitled to payment of all costs incurred plus reasonable profit. All of which shall be stated in the Contract Price. Anal jis: The Employer should know beforehand of any intention to use an aspect of the works prior to the issuing of the contract. This is so that the Employer can include in the contract provisions for use of the part of works immediately afier construction. The Contractor shall be entitled claim if no such condition was included in the contract and the Employer uses the works before the take over certificate is issued and incurs additional cost on the Contractor. In the case of Doosan Babcock Limited v Comercializadora de Equipos y Materiales Mabe Limitida (2013) The Employer, Mabe, contracted Doosan to supply two (2) boilers. Doosan had Page |21 to give two (2) performance guarantees in the form of bonds which could have expired by a letter from Mabe stating that Doosan had not met its obligations. The bonds could also have expired on the issue of the Take Over Certificate, which ever had occurred first. Mabe had then sought to claim on the bonds for some miss—hap when Doosan appealed for an injunction to withhold the claim. This was on the premise that Doosan had already delivered the boilers and it had already been put to use and as such a take over certificate should have been issued causing the bond to expire. The expired bond would mean Mabe can no longer lay claim to payments from it. Mabe however responded stating that there was a clause in the contract which allowed for their temporary use of the boilers before issuing the certificate, Doosan ultimately led the court to believe that Mabe’s use of the boilers were not temporary: and as a result the ruling finally led to the court awarding Doosan the interim injunction on Mabe to claim for payment. In this issue, while the Employer had a clause in the contract to support its use of the works before issuing the take over certificate; it was found that it had gone beyond what was allowed for. Ultimately the claimant (Contractor) was given favor over the Employer. 10.3 Interference with Tests on Completion Description: If the contractor is prevented from performing the Tests on Completion for more than 14days by the action or inaction of the Employer, The Employer is said to have “taken over” the works, As such the Engineer must then issue a “take over” certificate and the Contractor shall then perform the tests on completion as soon as possible after a 14 day notice given by the Engineer instructing so. If the Contractor experiences any delays or costs as a result of the delayed testing, he/she shall give notice to the Engineer and claim as per Sub-Clause 20.1 (Contractor's Claim). 2 ~ Entitlement: The Contractor shall be entitled to an extension of time and costs with reasonable profit 13.1 Adjustment for Change in Legislation Description: Provided any laws of the country in which the contract is based are altered, the contract price shall be adjusted to suit. If the Contractor endures any delays or incurs cost as a result of these changes in law or interpretation of the changes, he/she shall give notice to the Engineer and shall be entitled to claim as per Sub-Clause 20.1 (Contractor's Claim). Entitlement: The Contractor shall be entitled to extension of time and payment of cost, no profit, This shall be reflected in the contract price, 16.1 Contractor’s Entitlement to Suspend W, If the Contractor fails to get payment in a manner as agreed upon by fault of the Employer as per (Sub-clause 2.4 Employer's Financial Arrangemems or Sub-clause 14.7 Payment) ot the Engineer as per (Sub-Clause 14.6 Issue of Interim Payments), the Contractor has right, after giving 21 days notice, to slow down or suspend works. This can be done until termination of contract or until payment and/or reasonable evidence of payment has been given to the Contractor, at which point work shall immediately recommence. If the Contractor experiences delays and/or incurs cost as a result of the suspended or slow works, he/she shall give notice to the Engineer and shall be entitled to claim as per Sitb-Clause 20.1 (Contractor's Claim). Entitlement: The Contractor shall be entitled to extension of time and payment of cost and reasonable profit. This shall be reflected in the contract price, Analysis: According to case “NH International (Caribbean) v NIPDEC’ NH Intemational (NHIC) was contracted by NIPDEC to build the Hospital in Scarborough, Tobago. NHIC Page |23 suspended the works due to that fact that reasonable evidence of payment was not presented when requested as per Sitb-Clause 2.4. This claim, together with others which would not be referenced, had reached to the arbitration stage after and impasse between the two. The ruling was in favor of NHIC where the arbitrator ruled that NHIC rightfully terminated the contract as reasonable evidence to payment was not provided by NIPDEC. NIPDEC carried this claim to a higher level which was the High Cout where they appealed to remit the arbitrator's ruling stating that they believed that they had given NHIC reasonable evidence that payments could be made. NIPDEC’s appeal to remit was on the grounds that a letter sent to NHIC dated in 2005 stating simply that the government of Trinidad and Tobago was “in full support of the project” and fully capable of making payments, however cabinet’s approval had not yet been given. NIPDEC also appealed that the arbitrator erred in his interpretation of Sub-Clause 2.4 and requires too much of what supposed to be “reasonable evidence”. The High Court ultimately ruled that they had agreed on the arbitrator's ruling that said the letter dated 2005 did not fulfill the requirements of “reasonable evidence” as it showed no active movement to payments were being made and as such, the contract was rightfully terminated. “The mere fact that am Employer is wealthy is inadequate for the purposes of Sub-Clause 2.4. Similarly, the mere fact that an Employer has good reasons for wanting a project completed does not itself mean he has made and maintained the necessary financial arrangements. Accordingly, the evidence given at the hearing to the effect that the GORTT has very substantial funds is, prima facie, insufficient by itself for satisfving 2.4.” [76] (a) NHIC vs Nipdec, 2008 ~ NB. (GORTT-Government of the Republic of Trinidad and Tobago) As can be seen, the Contractor has a right to slow down or suspend works provided that payment or explicit and reasonable evidence that payment is being arranged is provided by the Employer. 17.4 Consequences of Employer's Risk Description: If the Contractor loses any documents, works, goods or incurs any damage as a result of the risks mentioned in Sub-Clause 17.3 (Employer's Risk), the Contractor shall immediately give notice to the Engineer and shall rectify this issue to the extent instructed by the Engineer. If the Contractor experiences any delays of incurs any costs as a result of rectifying the issues, he/she shall give notice to the Engineer and shall claim as per Sub-Clause 20.1 (Contractor's Claim). Entitlement: The Contractor shall be entitled to an extension of time and payment of cost. In the event of sub-sections () and (g) of 17.3, reasonable profit shall also be paid. Analysis: The insurance company shall be responsible for paying the costs incurred for sub= sections (a) ~ (e) waless of course the insuring party is the Employer and they fail to attain coverage for the acts. In this case, the Contractor shall claim against the Employer 18.1 General Requirements for Insurances Description: Both parties entering into a contract are required to be insured; one party shall be in the insuring party who will take responsibility for liaising with the insurer and taking out a policy which will cover both parties. If the Contractor is the insuring party, the Employer shall first approve of the insurer and policy before it is taken. The terms of agreement for the insurance shall be agreed upon before entering into the contract. The insuring party is responsible for letting the other party know of any changes and/or events affecting the policy made by the ~ a insurer. Both parties shall agree on a change they may want to make on the insurance before it is made. The insuring party is also responsible for ensuring the policy is upheld and not lapsed Additional parties joining the insurance, such as Sub-contractors or the Engineer, shall do so under either of the two (2) initial parties. As such the two (2) initial parties are responsible for correlating all dealings between the insurer and the sub-parties. The insurance shall pay all cost for losses and damages ensued that are covered under the policy to either Party suffering the loss. Any amount due that is not paid by the insurer shall be carried by the party itself. This is unless the insuring party fails to effect and insurance which is available and is required to effect and the other party does not approve the omission nor is further covered for this default; the recoverable money shall be paid by the insuring party. The other party shall claim for the payment as per the relevant claim clauses: Sub-clause 2.5 (Employers Claim) or Sub-clause 20.1 (Contractor's Claim). Entitlement: The other party, be it the Employer or the Contractor shall be entitled to payment of all costs recoverable under a policy unless the insurer, for a reason of its own, does not pay the amount recoverable. This loss is carried by the claiming party. Anal js: The only grounds on which the other party (either Employer or Contractor) can claim against the insuring party is where the insuring party fails to effect the policy when they are required by the contract to do so. If the other party is unsatisfied with the insuring party not effecting the policy and is not covered for this default, the money that is recoverable can be claimed for against the insuring party. ~ & 19.4 Consequences of Force Majeure Description: If the Contractor is prevented from fulfilling any obligations to the contract under Force Majeure and suffers delays and incurs cost a s result, the Contractor shall give notice to the engineer and shall be allowed to claim as per Sith-Clause 20.1 (Contractor's Claim). Entitlement: The Contractor shall be entitled to an extension of time for completion and payment of cost, no profit. No payment of cost shall be made if the Force Majeure is a natural disaster such as earthquakes, hurricanes, typhoons or volcanic activity, Analysis: Force Majeure shall be and event which: a) Is beyond a party’s control b) Such party could not reasonably have foreseen and catered for before entering into the contract. ©) After having occurred, the party could not have adopted reasonable methods to avoid or overcome its effects 4d) Is not substantially attributable to the other party The Contractor shall only be entitled to claim if the event meets all of the above requirements. The insurance company shall be responsible for paying the costs incusred unless of course the insuring party is the Employer and they fail to attain coverage for Force Majeure acts, In this case, the Contractor shall claim against the Employer. Page |27 ii, Identify the clauses under which the Employer may be entitled to claim against the Contractor. Analyze and discuss in respect of each clause the grounds under which the Employer is entitled to claim The following is a tabulated list of all the sub-clauses under which the Employer is entitled to claim against the Contractor: CLAUSES THAT ENTITLE EMPLOYERS TO CLAIM AGAINST CONTRACTORS Table 2dlsplaying the relevant sub-clauses in the FIDIC 1099 Red Book, which states an Employer is entitied to claim against ‘Contractor Sub-Clause Clause Title Page No. 419 | Electricity, Water. Gas 18 420 | Employer’s Equipment and Free-Issue Material 18-19 75 Rejection 25 76 ‘Remedial Works 25.26 86 Rate of Progress 27 87 Delay Damages 28 94 Failure to Pass Tests on Completion 30 113 | Extension of Defects Notification Period 3 114 | Failiwe to Remedy Defects 3 15.4 | Payment after Termination 8 18.1 | General Requirements for Insurances 53-54 18.2 _ | Insurance for Works and Contractor's Equipment S455 4.19 Electricity, Water and Gas Description: The Contractor shall be responsible for providing their own power, water and other services unless the site already has such provisions in which case the Contractor then becomes entitled to use it but only for the purposes of performing the works. The Contractor is however Page |28 responsible for providing their own material for accessing the supplies. The prices for using these services shall be stated in the Contract, The use of the services shall be quantified and measured and charged to the Contractor. The Engineer shall agree upon or determine the amount to be charged as per Sub-Clause 3.5 (Engineer's Determination) and the Employer is due the amount charged to the Contractor as per Svb-Clause 2.5 (Employer's Clainy. Entitlement: The Empl fer is entitled to payment of cost for the use of all the services by the Contractor. The price of the services shall be stated in the Contract, Analysis: The Employer is entitled to claim from the Contractor for payment of cost for the use of all services provided to the Contractor on site. No notice is however required for this claim as stated in Sub-Clause 2.5 (Employer's Claims). 4.20 Employ Equipment and Free-Issue Matet Description: The Employer shall make available to the Contractor all equipment of the Employer's for performing works as stated in the contract at the prices quoted in the contract. The Engineer shall agree upon or determine as per Sub-Clause 3.5 (Engineer's Determination) the amounts due to Employer as per Sub-Clause 2.5 (Employer's Claims) at which point the Contract pays the cost at an agreed rate Entitlement: The Employer is entitled to payment of cost from the Contractor for the use of all the Employer's equipment as stated in the contract. The price to charge the Contractor shall be stated in the Contract. Analysis: The Employer is entitled to claim from the Contractor for payment of costs on the gtounds that the Contractor uses the Employer's equipment that was stated in the Contract. The Employer does not need to give notice for payment as per Sub-Clause 2.5(Employer’s Claim). ~ 8 5 Rejection Description: If any aspect of the Contractor's work is found to be defective or not in accordance with all contract and standard requirements the Engineer may reject that aspect of work. This includes but is not limited to plant, material, equipment, workmanship. The Contractor shall immediately remedy the defects until it complies with requirements. At this point the Engineer can subject said aspect of work for reexamination to evaluate the new state. If the Employer incurs any costs as a result of the rejection or retesting, the Employer shall give notice to the Contractor and claim as per Sub-Clause 2.5 (Employer's Claim) Entitlement: The Employer shall now be entitled to payment of all cost incurred as a result of the rejection and retesting Analysis: The Employer shall only be able to claim if the rejection and retesting incurs a cost on hinvher. The Employer shall be required to give notice substantiating what costs were incurred as result of the rejection. The notice shall be given as soon as the Employer is aware of the issue. The Engineer shall determine whether the Employer can claim and if the amount claimed for is fair, 7.6 Remedial Works Description: The Engineer may instruct the Contractor to remove and replace any plant or materials from the site and/or remove and redo works all of which is not in accordance with the contract. The Engineer may all instruct the Contractor to execute any works to rectify issues that threaten the safety of the works due to an accident, unforeseeable event or otherwise. Provided the Contractor fails to follow the instruction and a cost is incurred on the Employer, the 30 ~ Employer shall give notice and shall be entitled to claim for payment of cost as per Sub-Clause (Employer's Claim) Entitlement: The Employer shall be entitled to payment of cost Analysis: The Employer shall only be entitled to payment of cost provided the Contractor was not entitled to be paid for the execution of the instruction; and furthermore, the Contractor's failure to follow the Engineers instruction ineuired a cost on the Employer. The Contractor may be entitled to be paid for the execution of the instructed works provided the i struction given had not arisen from an error made by the Contractor. 8.6 Rate of Progress Description: If the progress of works is too slow to complete by the estimated Completion time or the programme of works is not up to date the Engineer can instruct the Contractor to revise the programme and resubmit a new one. The new programme shall schedule the works to finish in the old completion time unless a new one has been agreed upon. The Engineer shall determine whether the Contractor shall adopt the new programme together with all costs accompanied with it, If the revised programme incurs a cost on the Employer, he/she shall give notice to the Contractor and shall be entitled to claim as per Sub-Clause 2.5 (Employer's Claim) Entitlement: The Employer shall be entitled to payment of cost and any additional delay damages as per Sub-clause 8.7 (Delay Damages) jis: The Employer shall only be entitled to payment provided the reasons for the slow rate of works are the Contractor's. Furthermore, the revised programme needs to inflict a cost onto the Employer for himvher to be entitled to claim. The additional cost may arise out of a need for additional services (water, electricity and gas), Employer’s equipment, plant, materials and time. ~ e : Ifthe Contractor fails to finish work and pass the tests on completion at the agreed time of completion, the Employer becomes entitled to claim for delay damages from the Contractor. The Employer shall give notice and claim as per Sub-Clause 2.5 (Employer's Claim). Entitlement: The Employer is entitled to payment of cost for all delay damages. The delay damages value shall be agreed upon in the Contract. However the Contractor is not subject to pay the entire sum of the delay damages immediately; the delay damages shall be paid in part (figure agreed upon in the contract) every day after the time for completion till the Take Over certificate has been issued. The total cost of the delay damages shall not exceed that stated in the Contract. Analysis: The Employer shall only be entitled to claim for the delay damages provided that the Contractor is responsible for the delays caused, other than the event that the works were delayed under Sub-clause 15.2 (Termination by Employer). 9.4 Failure to Pass Tests on Completion Description: If works or sections of works fails test on completion, the Engineer is entitled to repeat said tests, reject the work or issue a taking over certificate (under the employer’s request) In the case where the Engineer issues the take over certificate, the Contract Price shall be reduced to reflect the value of the substandard finished works. The reduced price, unless a method or fi wre was agreed upon in the contract, shall be agreed upon by both parties or determined by the Engineer and claimed for by the Employer as per Sub-Clause 2.5 (Employer's Claim) Page |32 Entitlement: The Employer shall be entitled to payment of the money saved due to the reduced price of the contract. The reduced price shall be paid before taking over certificate is issued in the event both parties agree on a figure. If not, the Engineer shall determine a figure which will be paid as per 2.5. Analysis: If the works are rejected the Employer shall be entitled to claim as done in Sub Clause LIA (Failure to Remedy Defects). In the event a straight take over is done, and both parties accept that the product is a failure, a reduced price shall be determined in which the Employer becomes entitled to the savings. If the Contractor does not agree that the product is a failure, a dispute arises 11.3 Extension of Defects Notification Period Description: If a works, or aspect of works cannot be used as intended on completion of works ive notice to the due to damages or defects caused by the Contractor, the Employer shall g Contractor and claim as per sub-clause 2.5 (Employer's Claim) for an extension of the defects notification period Entitlement: The Employer shall be entitled to an extension of the defects notification period, however this time shall not exceed two (2) years. Analysis: The Employer shall only be entitled to claim if the defects and/or damages make the final works or aspects of the works unusable as intended. If the Contractor suspends work or is suspended from continuing work, and any defects or damages occur after two (2) years after the original defects notification period has passed; the Employer shall not be entitled to claim for an extension of the period. ~ 2 & : The Contractor shall be given a date by the Employer in which he/she shall remedy all defects by in a notice given in a reasonable time before the set date. If the Contractor fails to remedy the works by the given date, the Employer may complete the works himself at the Contractor's cost at which point the Employer becomes entitled to claim for all cost incurred on him. The Employer shall give notice to the Contractor and claim as per Sub-Clause 2.5 (Employer's Claim). The Employer also has the option of letting the Engineer determine a reduced contract price to subject the Contractor to. If the defects deprives the Employer from using the works on a whole, the contract can be terminated, at which point the Employer can recover all sums paid to the Contractor. Entitlement: Depending on the option chosen by the Employer, he/she shall be entitled to either payment of costs incurred by completing the works him/herself; the savings in reducing the contract price for and incomplete job; or all sums paid previously for a works that cannot provide the intended use, as per the contract, to the Employer. Analysis: The Contractor shall make every effort to remedy all defects by a reasonable date given to him/her. If the Contractor does not meet the deadline date, to fault of the action or inaction of the Contractor, the Employer is entitled to make their decision for payments, ‘he Employer, after terminating the Contractor, shall give notice to the Contractor and be entitled to claim as per Sub-Clause 2.5 (Employer's Claim) for all costs, losses and damages incurred as a result of the termination. Page |34 Entitlement: The Employer shall be entitled to all costs incurred through termination. The costs incurred through termination shall include but shall not be limited to all costs for executing, completing and remedying all works, defects and damages left behind by the Contractor. 18.1 General Requirements for Insurances Refer to Contractor Claims section for analysis as the grounds for claiming are the same for both ~ Pa a b) Outline the procedure under your choice of FIDIC 1999 Conditions of Contract that must be followed in order for FIDIC 1999 RED BOO! 'ONDTIONS OF CONTRAC FOR CONSTRUCTION (i) The Contractor to make a successful claim For a Contractor to successfully make a claim he/she shall adhere to the following procedure: 1. Aneveat occurs which causes the Contractor to feel entitled to compensation as per any sub- clause which allows it in the FIDIC Conditions of Contract. ‘The Contractor shall give notice to the Engineer of the claim within 28 days after becoming aware of the situation. No notice given, the Employer is cleared of all liability and claim is void. The Contractor shall submit a fully detailed claim to the Engineer which thoroughly sware of the situation, describes the situation, no later than 42 days after becomi: 4. If the effect of the claim is continuous, the detailed claim shall be considered interim. Every month, or as per a schedule agreed upon, the Contractor shall submit claims to continuously make the Engineer aware of the effects incurred. The Contractor shall send a final claim within 28 days of the end of the effects of the event. 5. The Engineer shall let both parties know, in writing, of his/her approval or disapproval of the claim within 42 days of receiving a claim. 6. The Engineer shall carry out a determination on the claim and the amount of compensation due, if any. This shall include meeting with both parties to come to an agreement; or if no agreement is met the Engineer shall make a fair and unbiased decision. 7. The compensation is given to the Contractor for all claims substantiated. For continuous claims, interim payments can be made for all parts of the claim substantiated tlbus far. ~ e & PROCEDURE OF HOW A CONTRACTOR CAN MAKE A SUCCESSFUL CLAIM Did an event, which is not as a result of your negligence or fault, make you feel entitled to compensation as allowed by any sub-clause in the contract? The Contractor shall give notice to the Engineer describing the event as soon as possible and no later than 28 days after becoming aware of the event The Contractor shall give the Engineer a fully detailed claim and supporting particulars as to the basis of the claim and the amount of payment and extension of time claiming for as soon as possible and no Jater than 42 days ofter becoming aware of the event, or no more than 14 days after the deadline for submitting the initial notice. Documents have not been submitted by the designated deadline; the Emph er is Does the event have a continuous effect? ‘Yes J cleared of all liability, claim is void. The detailed claim shall be considered interim; the Contractor shall continue to submit monthly claims: the Contractor shall submit a final claim within 28 days after the effects of the event have ended, The Engineer shall let both parties know of his/her approval/disapproval of a claim together with detailed comments no later than 42 days after receiving the claim. The Ei ineer shall agree or determine, as per sub-clause 3.5 (Determinations), whether the Contractor is entitled to compensation or not; and if so the extension of Time for Completion and/or any additional payments due to the Contractor. { Either party disagrees; dispute resolution is sought. | Parties agree and all compensation due to the Contractor is given. ~ on s (ii) The Employer to make a successfill claim For the Employer to successfully make a claim he shall adhere to the following procedure: 1. An event occurs which causes the Employer to feel entitled to compensation as allowed in any sub-clause listed in the FIDIC Conditions of Contract. ‘The Employer or the Engineer (under the request of the Employer) shall give notice to the Contractor unless payment is sought for sub-clause 4.19(Electricity, Water and Gas) or 4.20(Employer’s Equipment and Free-Issue Material). The claim shall be given as soon as possible after becoming aware of the event. If the Employer is claiming for an extension of the defects notification period, the claim shall be done before the expiration date of the exiting period. 3. The Engineer shall carry out a determination on the claim and the amount of compensation due, if any. This shall include meeting with both parties to come to an agreement; or if no agreement is met the Engineer shall make a fair and unbiased decision. 4, The compensation is given to the Employer for all claims substantiated. ~ ¥ g PROCEDURE OF HOW AN EMPLOYER CAN MAKE A SUCCESSFUL CLAIM Did an event, action or inaction by the CONTRACTOR make you feel entitled to compensation as allowed by any sub-clause in the contract? Is the event a result of sub-clause 4.19(Electricity, Water and Gas) or 4.20 (Employer's Equipment and Free-Issue Material) or any other request for the provision of services, No. Is the claim for an extension of the defects ‘No notice is required. notification period as per sub-clause 11.3 (Extension of defects notification period) No Yes Employer or Engineer (under Employer or Engineer (under || Employer's request) shall give notice Employer's request) shall give notice |! and supporting particulars to the and supporting particulars to the || Contractor as soon as possible after Contractor as soon as possible after || becoming aware of the issue but before becoming aware of the issue. expiration of the existing defects notification period Engineer shall make determinations, as per sub-clause 3.5 (Determinations), about the validity of the claim and the amount of compensation due to the Employer if any. Either party disagrees; Parties agree and all compensation dispute resolution is sought. due to the Contractor is given. Page |39 (c) Outline the procedure under your choice of FIDIC 1999 Conditions of Contract that must be followed in order for either the Contractoror the Employer to commence Arbitration Proceedings. FIDIC 1999 RED BOOK: CONDTIONS OF CONTRAC FOR CONSTRUCTIO’ To reach to arbitration proceeding, the following shall occur: The Engineer makes a decision for an ongoing claim and either party is dissatisfied with the decision: a dispute now arises. ‘A request is then made in writing to the DAB for their intervention. The DAB is now tasked with making a decision on the dispute. All information and site access required shall be given to the DAB The DAB shall give their response within 84 days of receiving the request. If either party is dissatisfied with the decision, a notice of dissatisfaction shall be given to the other party within 28 days of the decision. If no decision is given, the dissatisfied party shall give the other a notice of dissatisfaction no later than 28 days after the deadline date for the decision. The parties have SGdays to come to an amicable settlement after which, if no settlement has been made, arbitration is commenced. However if both parties agree with the DAB’s decision; or no response to the decision is given within 28days of the decision, the decision becomes final and binding. Ifa party breaches the final decision, arbitration can also be commenced, ~ & PROCEDURE OF HOW ARBITRATION CAN BE COMMENCED claim put forway The Engineer makes a determination as per sub-clause 3.5 (Determinations) on a :d by either the Emplover or the Contractor. Parties agree all compensation due to the claimant is given. Either dispute arises. party disagrees; shall be given, All information, site access, facilities, ete. as required by the DAB to make a decision Make a request in writing for the DAB to make a decision on the dispute. shall make decision wit receiving the request. their in 84 davs of Either Party is dissatisfied with the decision No decision is made within 84 days Notice of dissatisfaction is given to other party within 28davs of decision or, provided none was 28days of the made, within Parties agree | | No with decision. response to decision is given within the deadline date for the submission of the decision J 28 days of decision. 56 days have passed from Decision becomes final and binding the dissatisfaction notice of and no settlement has been made Parties settle the dispute within 56 days from when amicably the notice of One party breaches the final decision ARBITRATION PROCESS IS COMMENCED, dissatisfaction was given ~ CONCLUSIONS Tn conclusion the following observations were noted: It was found that once a Contractor experiences an event which allows for compensation, he should give notice within 28days. The Employer however has no such time bar. The Employer does not have to submit notice for claim of payment for all services provided to Contractor. The event that incurs cost or delays on the Contractor cannot be the fault of the Contractor, likewise for the Employer, the event cannot be as a result of the Employer Claims for profit can only be done when a party is affected directly by the actions or inactions of the other party. Otherwise, cost is the only payment that can be sought. In some cases, stich as with natural disasters, only time can be claimed, no payment. The Contractor and the Engineer shall keep hold of contemporary records for the sake of substantiating claims. The claimant party can only be awarded compensation after sufficiently substantiating all claims with records. Payment to the Contractor shall be made out in the Contract Price and payment certificates. Payment for the Employer shall also be reflected in the reduction of the Contract Price. The process for an Employer to make a claim seems more lenient with no time bars. The Engineer is the first line of action for making any decision in conflict on the contract, followed by the Dispute Adjudication Board, amicable settlement and then arbitration. The arbitration process shall only commence provided the Dispute Adjudication Board cannot come to a decision, if any, that either party agrees with or in the event either party does not follow the final binding decision, ~ RECOMMENDATIONS The Contract of Conditions should be updated to include more modem means of technology as approved media for conducting works. This includes but is not limited to using emails as an official form of records Introduction of more in depth courses on the FIDIC suite of Contracts at the University level of study. More workshops and seminars to keep all practicing Engineers, Contractors, Employers, Lawyers, ete. up to date with state of the art FIDIC Contract Conditions. ~ 6 BIBLIOGRAPHY AG Falkland Islands v Gordon Forbes Construction . BLR 280 (Falkland Islands Supreme Court Sanders, March 2003), Doosan Babcock Ltd. ¢ Comercializadora De Equipos Y Materiales MABE Limitada. EWHC 2010 (UK Technology and Construction Court, 2013). FIDIC. FIDIC 1999 Red Book: Conditions of Contract for Construction. 1999. Fitzgibbon, Will. "Companies Accused of ‘Taking Advantage of Regulatory Weakness." The International Consortium of Investigative Journalists. July 2015 http://www-ieij.org/project/fatal-extraction/companies-accused-taking-advantage- regulatory-weakness. Glover, Jeremy. "FIDIC an Overview: the latest developments. comparisons, claims and a look into the future." September 2008. Kratochvilova, Emma, "Records! Records! Records!" _Lexology. March 2009. http://www lexology.conv/library/detail.aspx?g-780Sda8e-8722-4f83-8689- 4775938b1356. Levin, Ana, Mark Lloyd-Williams, and David Nitek, "A significant new case on the FIDIC form." Lexology. May 2014. http:/svww.lexology.convlibrary detail.asp d71040- £2a7-41db-b466-ed1e757d422e. National Insurance Property Development Company Limited (Nipdec) v NH International (Caribbean) Limited (NHIC). CV2008-04881 (High Court of Justice, Trinidad and Tobago, 2008) Page |44 Obrascon Hiuarte Lain SA v Her Majesty's Attorney General for Gibraltar. EHWC 1028 (Queen's Bench Division (Technology and Construction Court), April 2014). The National Academies for Science. "Methods for Reducing Claim." In Reducing COnstruction Costs: Uses of Best Dispute Resolution Practices by Project Owners, by The National Academies for Science, 37-42. Washington D.C.: The National Academies Press, 2007. Thompson, Stuart, "Standing your ground: FIDIC and time bars." Lerology. May 2014. http://www lexology.com/library/detail.aspx?g-31018b77-3aba-40ce-bb 1 L- 026069¢f974a.

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