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13286166 Commentary on Fidic IV Clauses[1]

13286166 Commentary on Fidic IV Clauses[1]

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INTRODUCTION ..........................................................................................................................................3GENERAL INDEX IN ALPHABETICAL ORDER .................................................................................24CLAUSE 1 : DEFINITION AND INTERPRETATION........................................................................................................................................................................33CLAUSE 2 : OBLIGATIONS OF THE ENGINEER ...............................................................................44CLAUSE 3 : ASSIGNMENT .......................................................................................................................52CLAUSE 4 : SUB-CONTRACTING ..........................................................................................................53CLAUSE 5 : LANGUAGE OF THE CONTRACT ...................................................................................56CLAUSE 6 : DRAWINGS TO THE CONTRACTOR .............................................................................60CLAUSE 7 : DRAWINGS AND INSTRUCTIONS ..................................................................................63CLAUSE 8 : GENERAL OBLIGATIONS OF THE CONTRACTOR ..................................................66CLAUSE 9 : FORMAL CONTRACT AGREEMENT .............................................................................70CLAUSE 10 : PERFORMANCE SECURITY ..........................................................................................72CLAUSE 11 : INFORMATION REGARDING CONTRACT ................................................................75CLAUSE 12 : TENDER AND RATES .......................................................................................................78CLAUSE 13 : INSTRUCTIONS FROM THE ENGINEER ....................................................................82CLAUSE 14 : WORK PROGRAMME ......................................................................................................86CLAUSE 15 : CONTRACTOR’S SUPERINTENDENCE ......................................................................89CLAUSE 16 : CONTRACTOR’S EMPLOYEES .....................................................................................91CLAUSE 17 : SETTING OUT ....................................................................................................................92CLAUSE 18 : BOREHOLES AND EXPLORATORY EXCAVATION ................................................94CLAUSE 19 : EMPLOYER’S RESPONSIBILITIES ..............................................................................95CLAUSE 20 : CONTRACTOR’S RESPONSIBILITIES .........................................................................96CLAUSE 21 : INSURANCE OF WORKS ...............................................................................................100CLAUSE 22 : INDEMNITY ......................................................................................................................106CLAUSE 23. : INSURANCE LIABILITIES ...........................................................................................107CLAUSE 24 : ACCIDENT OR INJURY .................................................................................................108CLAUSE 25 : TERMS OF INSURANCE ................................................................................................110CLAUSE 26 : LEGISLATIONS AND REGULATIONS .......................................................................111CLAUSE 27 : FOSSILS .............................................................................................................................113CLAUSE 28 : PATENT RIGHTS .............................................................................................................114CLAUSE 29 : INTERFERENCE AT WORK SITE ...............................................................................115CLAUSE 30 : DAMAGE AT WORK SITE .............................................................................................115CLAUSE 31 : OPPORTUNITIES FOR OTHER CONTRACTORS ...................................................117CLAUSE 32 : KEEP SITE CLEAR OF OBSTRUCTIONS ..................................................................119CLAUSE 33 : CLEARANCE OF SITE ON COMPLETION ................................................................120CLAUSE 34 : ENGAGEMENT OF STAFF AND LABOUR ................................................................120CLAUSE 35 : RETURNS OF LABOUR AND EQUIPMENT ..............................................................121
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CLAUSE 36 : FACILITIES FOR TESTING ..........................................................................................121CLAUSE 37 : INSPECTION AND TESTING ........................................................................................124CLAUSE 38 : INSPECTION OF PART OF WORKS ...........................................................................127CLAUSE 39 : REMOVAL / REPLACEMENT OF MATERIAL / PLANT ........................................129CLAUSE 40 : SUSPENSION OF WORKS ..............................................................................................130CLAUSE 41 : COMMENCEMENT OF WORKS ..................................................................................134CLAUSE 42 : HANDING OVER POSSESSION ....................................................................................135CLAUSE 43 : COMPLETION OF WORK ON TIME ..........................................................................139CLAUSE 44 : EXTENSION OF TIME ....................................................................................................140CLAUSE 45 : WORKING HOURS ..........................................................................................................149CLAUSE 46 : RATE OF PROGRESS .....................................................................................................150CLAUSE 47 : LIQUIDATED DAMAGES ..............................................................................................153CLAUSE 48 : TAKING OVER / SUBSTANTIAL COMPLETION .....................................................157CLAUSE 49 : DEFECTS LIABILITY PERIOD ....................................................................................161CLAUSE 50 : SEARCH FOR CAUSE OF DEFECT .............................................................................165CLAUSE 51 : VARIATION / ADDITIONS / OMISSIONS ...................................................................166CLAUSE 52 : VALUE OF VARIATIONS .............................................................................................173CLAUSE 53 : NOTICE FOR CLAIM ......................................................................................................178CLAUSE 54 : CONTRACTOR’S EQUIPMENT ...................................................................................182CLAUSE 55 : BILL OF QUANTITIES ...................................................................................................185CLAUSE 56 : MEASUREMENT OF WORKS .......................................................................................187CLAUSE 57 : NET MEASUREMENT OF WORKS .............................................................................188CLAUSE 58 : PROVISIONAL SUM .......................................................................................................189CLAUSE 59 : NOMINATED SUB-CONTRACTOR .............................................................................191CLAUSE 60 : CERTIFICATES & PAYMENTS OF THE CONTRACTOR ......................................197CLAUSE 61: DEFECTS LIABILITY CERTIFICATE .........................................................................216CLAUSE 62 DEFECTS LIABILITY CERTIFICATE ...........................................................................218CLAUSE 63 : TERMINATION ................................................................................................................220CLAUSE 64 : REMEDIES ........................................................................................................................232CLAUSE 65 : SPECIAL RISKS ...............................................................................................................233CLAUSE 66 : RELEASE FROM PERFORMANCE .............................................................................238CLAUSE 67 : SETTLEMENT OF DISPUTES .......................................................................................240CLAUSE 68 : NOTICES ............................................................................................................................250CLAUSE 69 : DEFAULTS OF EMPLOYER ..........................................................................................252CLAUSE 70: CHANGES OF COSTS AND LEGISLATION ...............................................................260CLAUSE 71: COMPENSATION TO CONTRACTOR .........................................................................262CLAUSE 72: CURRENCY AND EXCHANGE RATES ........................................................................263MISCELLANEOUS AMENDMENTS .....................................................................................................264
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Introduction
PREFACEThis book is intended for anybody having dealings with FIDIC's "Red Book", the4th Edition of the "Conditions of Contract for Works of Civil EngineeringConstruction" published in 1987. Employers, engineers, contractors and their respective advisors should all find something in this work to help them tounderstand and make best use of these conditions of contract.For those not familiar with the contract, the commentary to each clause startswith a "plain English" paraphrase to enable the reader to understand the gist of the clause as quickly as possible. Except where the meaning of the clause isentirely obvious, each sub-clause is given a separate paragraph.The volume also includes a set of some 94 "suggested forms" which may befound useful by engineers, employers and contractors. These do not attempt toanticipate particular situations but rather to use the wording of the clause toproduce a form of notice which would, it is hoped, leave no room for doubt or debate as to whether a notice had been given, under which clause it had beengiven or whether the notice was in a form which complies with the terms of thecontract. At the very least, the forms section will provide to the parties areference against which to check that the notice that they are giving has beengiven and copied to the correct parties. There can be few types of disputes whichare as fruitless and frustrating as disputes over whether the correct form of noticehas been given in particular circumstances. Whilst there are often good reasonsfor requiring notice to be given, it is rare that justice is done when an arbitrator isforced by the contract to rule out a claim on the grounds that no or no adequatenotice has been given. In short, it is in everybody's interest that notices are givenproperly. If parties wished to do so, they could agree at the outset that noticeswhich conform to those set out in this volume would not be open to challenges asto form although they could of course be open to challenge in respect of their timing, their appropriateness or indeed the manner in which the blanks havebeen filled.Although the masculine pronouns "he" and "him" have been used from time totime as a shorthand for the Employer, the Contractor or the Engineer, this is for convenience and is not based on any assumption that the parties involved withcivil engineering contracts are necessarily male. The author is well aware that thecontrary is increasingly true. The usage is also consistent with the language of the conditions.Readers may find it strange that references will be found in this work to both theICE's 5th and 6th Edition. The ICE 5th Edition is referred to because thedraftsman of FIDIC's 4th Edition was plainly heavily influenced by ICE's 5thEdition and the points of departure are interesting in themselves as well as being
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