Agreement And Conditions Of PAM Contract 2006 (Without Quantities)‘Table of Contents Articles Of Agreement Preliminary Recitals Articles Article Article 2 Article 3 Article 4 Article 5 Astle 6 Atle 7 Aaticle 8 Date of agreement Parties to agreement and their addresses ‘The nature of the works andthe location The drawings Contactors Obfigeions Contract Sum Architect Engineer Quantity Surveyor Specialist Consultant Definitions Meanings Attestation/Signatories Of The Partios ‘The Conditions Of Contract Clause 10 t 12 13 4 20 21 22 23 2a 30 3 Contractor's Obligations ‘Completion of Works in accordance with Contract Docaments| ‘Temporary work and construction method Contractor's design and responsibilities Diserepancy or divergence between documents Architect's Instructions (‘AP Contractor to comply with Al AL Provisions empowering instructions Failure of Contractor to comply with AT Contract Documents, Progr Contact Docurnents Custody of tender documents Copies of documents Further drawings or details Works Programme Programme not pert of Contract Architect's acceptance of programme ‘Availability of documents Limitation of use of documents ‘As-built Drawings and operation and maintenance manuals Statutory Obligations, Notices, Fees And Charges Statutory requirements Inconsistencies with statutory requirements PAM Contract 2006 (Without Quantities) Page‘Table of Contents (Cont'd) ‘The Conditions Of Contraet (Cont'd) Clause 43 44 so 3 60 61 62 63 6a 65 66 67 68 100 104 102 110 HI n2 n3 a us 16 47 Hg. ng. 120 RI 122 130 Ba 140 lat 142 43 144 150 151 152 153 134 Conforming to statutory obligations Fees, levies and charges Levels And Setting Out Of The Works Setting out ‘Materials, Goods And Workmanship To Conform To Description, Testing And Inspection Standards of works, materials, goods and workmanship Provision of vouchers Inspection and testing Contractor's obligation not relieved Work notin accordance with the Contract ‘No compensation for time and cost Failure of Contracior to comply ‘Warranties in respect of materials and goods Royalties And Intellectual Property Rights Indemnity to Employer Contractors Fablity to pay Government royalties Site Agent Site Agent Instructions to Site Agent “Exclusion of Person employed on the Works ‘Access To The Works ‘Access tothe Works Site Staft Duty of Site Staff Directions given by Si Staff Variations, Provisional And Prime Cost Sums Definition of Variation [No Variations required by Architect shal vi Issue of Variations after Practical Completion ‘Alon P.C. Sums and Prov Valuation of V Valuation rules ‘Additional expense caused by Variation ‘Access to Contractor's books and documents ‘Variations and addtional expenses added to Contract Sum ‘Quality And Quantity Of The Works Quality and quantity of the Works ‘Lamp Sum Contract Contract Sum Contract Stam not to be adjusted or altered Materials And Goods Matetials and goods not to be removed Materials and goods included in certificates Responsibility for materials and goods ‘Warranty of title of goods and materials Practical Completion And Defects Liability Practical Completion Cerificate of Practical Completion Gontraccor's failure to comply with undertaking Schedule of Defects PAM Contract 2006 (Without Quantities) Page oo‘Table of Contents (Cont'd) ‘The Conditions Of Contract (Cont’é) Clause Iss 156 160 161 162 163 170 int 172 173 180 181 182 183, Ia 21 22 23 23.0 2.1 232 Instruction 19 make good Defects Certfieate of Making Good Defects Partial Possession By Employer Possession of Occupied Part with consent Possession of Occupied Part without consent Contractor to remove equipment Assignment And Sub-Contracting ‘Assignment by Employer Assignment by Contractor ‘No sub-contracting Injury To Person Or Loss AndiOr Damage Of Property And Indemnity To Employer CContracor's indemnity agains injury or death ‘Contracor’s indemnity agains loss and/or damage Conizctor's indemnity against claims by workmen Indemmities not to be defeated Insurance Against Injury To Person And Loss AndiOr Damage Of Property Contractor to insure against injury to Person and loss and/or damage of property Employee's social security scheme for local workmen Insurance for local workmen not subject to SOCSO. ‘Workmen's compensation insurance for foreign workers Placing of insurance with licensed insurance companies Insurance Of New Buildings/Works ~ By The Contractor Contractor's risks - new buildings works ‘Additonal risks to be covered under the insurance Placing of insurance with licensed insurance companies Application of insurance claim proceeds Insurance Of New Buildings Works ~ By The Employer Insurance by Employer ‘Additional risks required by the Contractor Maintenance of policy Failure of Employer to insure Application of insurance elsim proceeds Insurance Of Existing Bullding Or Extension — By The Employer Employer’ risks - existing building or extension ‘Additonal risks required by the Contractor Maintenance of insurance by Employer Failure of Employer to insure ‘Application of insurance claim proceeds Date Of Commencement, Postponement And Date For Completion Commencement and Completion Sectional Commencement Dates Sectional Completion Dates Postponement or suspension of the Works Damages For Non-Compl Liquidated Damages and Certificate of Non-Completion Agteed Liguidated Damages amount Cerificate of Non-Completion revoked by subsequent Certificate of Extension of Time Extension Of Time Submission of notice nd particulars for extension of time Delay by Nominated Sub-Contractor PAM Conte 2006 (Without Qusntiis) Page «i‘Table of Contents (Cont'd) ‘The Conditions Of Contract (Cont’é) Clause 23 234 235 236 239 238 239 23.10 240 24.1 242 243 a 250 25.1 252 253 254 255 256 25.7 258 260 261 262 263 264 265 266 267 210 211 212 73 214 215 216 217 278 219 21.10 241 212 2713 204 280 281 282 283 284 285, 286 287 288 Insufficient information Certificate of Extersion of Time Other consideration for giving extension of time Contractor to prevent delay “Notification 1o Nominated Sub-Contractors Relevant Events . Extension of ime after te issuance of Cerificate of Non-Completion Architect's review of extension of time efter Practical Completion Loss And/Or Expense Caused By Matters Affecting The Regular Progress Of The Works [Loss and/or expense caused by matters affecting the regular progress ofthe Works ‘Access to Contractor's books and documents Matters materially affecting the regular progress ofthe Works Loss and/or expense to be included in certificate Determination Of Contractor's Employment By Employer Dofaalts by Contractor Procedure for determination Contractor’ insolvency Rights and duties of Employer and Contractor Records of Works inal Accouat upon determination Remedy limited to damages only Employer's rights and remedies not prejudiced ‘Determination Of Own Employment By Contractor Defaults by Employer Procedure for determination Employer's insolvency Rights and duties of Contractor and Employer Records of Works Setlement of accounts ‘Contractor's rights and remedies not prejudiced Nominated Sub-Contractors .C. Sumis and Provisional Surms ~ Noroinated Sub-Contractors Nomination of sub-contractor ‘Objection to nomination of sub-contractor ‘Action following objection of Nominated Sub-Contractor ‘Payment by Contractor to Nominated Sub-Contractors Failure of Contractor to pay Nominated Sub-Contractors Final payment to Nominated Sub-Contractors Determination ofthe Nominated Sub-Contractor's employment Contracios’s responsibility for Nominated Sub-Contractors Employer na privity of Contract with Nominated Sub-Contractors Ro-nomination of sub-contracter due to determination by the Contractor ‘Re-nomination of sub-contractor due to determination by the Nominated Sub-Contractor ‘Contractor o recover additional expenses from Nominated Sub-Contractor ‘Contractor permitted to tender for P.C. Sums Nominated Suppliers P.C. Suns and Provisional Sums ~ Nomineted Suppliers ‘Nominated Suppliers and their obligations ‘Objection to nomination of suppliers ‘Action following objection of suppliers Value of materials and goods supplied by Nominated Suppliers Payment to Nominated Suppliers CCoateactor's liability for Nominated Suppliers Employer no privity of Contract with Nominated Suppliers PAM Contract 2006 (Without Quanites) Page 32.33 33 33 3 33 4 34 34 4 34.35 35 35 35 35 36 36 ww‘Table of Contents (Cont'd) ‘The Conditions OF Contract (Cont'd) Clause 200 29.1 300 30.1 302 303 304 305 306 30.7 308 309) 30.10 30.11 30.12 30.13 Bo. 30.5 30.16 3017 30 31 312, 313 314 20 321 322 330 31 a0 Bat 342 M43 3a 345 346 347 348 349 34.10 3411 350 35.1 352, 36.0 36.1 362 363 364 PAM Contrast 2006 (Withow Works By Craftsmen, Tradesmen Or Other Contractors Employed Or Engaged By Employer ‘Works by Employer's crafismen Certificates And Payment Payment application and issue of Architect's certificate ‘Amount due in Architect's ceificate Errors in payment certificate ‘Setoff by Employer Retention Fund Rules regarding Retention Fund Suspension of Works for non-payment ‘Compulsory suspension of Works Cessation insurance resulting from suspension ofthe Works Final Account Items in Final Account Conclusiveness of the Final Account Issuance of Penultimate Cerificate Issue of Final Certificate Final Certificate Final Certificate not conclusive Interest Outbreak OF Hostilities Hostilities - determination by Employer or Contractor Notices of determination Al regarding protective work Payment resulting from determination War Damage Procedures following war damage Definition of war damage Antiquities Antiquities property of Employer Adjudication And Arbitration Sctoff cisputes referred to ad} Notice to refer to adjudication ‘Adjudication Rules Decision ofthe adjudicator Disputes referred to arbitration Procedures for appointment of arbitrator Arbitration Act and Rules Powers of arbitrator Consolidation of azbitration proceedings Commencement of arbitration proceeding Asbitrator’s award to be final and binding on parties Mediation ‘Mediation under PAM rales Mediation does not prejudice the parties” rights to arbitration Notice Notice Notice deem served Proof of Notice ‘Written communication Page ©‘Table of Contents (Coat’d) ‘The Conditions OF Contract (Cont'd) Clause 310 37. 372 373 314 375 316 38.0 381 Performance Bond ‘Submission of Performance Bond Form of te Performance Bond Validity ofthe Performance Bond Failure to extend the validity Payments from the Performance Bond Return of Performance Bond Governing Law Governing Law PAM Contrac 2006 (Without Quanites) Page 43 B B a B B 8 woPAM CONTRACT 2006 (WITHOUT QUANTITIES) Articles Of Agreement This Agreements made oni nu bewween of (or whose registered office or business addres is situated at) . poeenenienensee (hereinafter called ‘the Employer") snd eeecteetectn ‘of (or whose registered office or business adress is situated at) se (hereinafter called “the Contractor’). Whereas ‘The Employers desirous of). (hereinafter called ‘the Works") at and bas caused drawings and Contract Bills showing and describing the work to be dane to be prepared by his Architect and Consultant, ‘And Whereas the Contractor has supolied the Employer witha fully priced copy of the said Contract Bills ‘And Whereas the said drawings numbered. 3") and the Contract Bills have been signed by or on bebalf ofthe parties inclusive (hereinafter refered to as ‘the Contract Drawis hereto. (1) Bri description ofthe Works, PAM Contract 2006 (Without Quantities) 1Now i is hereby agreed as follows: Article 1 For the consideration hereinafter mentioned the Contactor will upon and subject to the Contract cary cut and complete the Works shown upon and described by or refered 9 in the Contract, Article? ‘The Employer will pay the Contactor the sum of Ringgit Malaysia: eM > (hereinafter referred to as ‘the Contract Sum) or such ‘ther sum as shall become payable hereunder atthe times and in the manner specified inthe Contac Article3 ‘The term “the Architect” inthe Contract shall meaa . corn the event of such Person ceasing tobe the Aschitot for tbe purpose ofthe Contact, such other Person asthe Exaployer shall appoint within twenty eight (28) Days therefrom. No Architect so appointed shall be ented to disregard or overule any cenficate or «pinion of decision oF approval or instucton given by the preceding Architect Articled “The term “the Engineer in the Contract shall mean (@) Structural & Civil Engineer. (&) Mechanical & Electrical Engineer: PAM Coavact 2006 (Without Quanites) Contractor's Obiigations Contract Sum Architect Engineeror in the event of such Person ceasing to be the Engineer for the purpose of the Contract, such other Person as the Employer shall appoint within twenty eight (28) Days thereftom, ‘The Engineer shall perform the duties expected of his profession, and the Architect may fom time to time delegate soch duties and authority ofthe Architect to the Engineer as the Architect deems fit Articles “The tem ‘the Quantity Surveyor’ in the Contract shall mean or in the event of such Person ceasing to be the Quantity Surveyor for the purpose of the Coney, sch other Peso a5 the Employer sal appoint within snety cok 28) Days Uherfiom, The Quantity Strveyor stall perfor the dation expected o is profession, and the Architect may fom time to ine delegate such des and story of the Archie! 0 the Onan Sueyor asthe Architect deem ft Article 6 ‘The tem “the Specialist Consultant” in the Contract shall mean: ©. or in the event of such Person ceasing tobe the Specialist Consultant for the purpose of the Contract, such other Person as the Enaployer shall appoint within twenty eight (28) Days therefiom. The Specialist Consultant shall perform the duties expected of his profession, ‘and the Architect may from time to time delegate such duties and authority ofthe Architect to the Specialist Consultant as the Architect deems fi PAM Contact 2006 (Withost Quanites) Quantity rveyor Specialist ConsultantArticle7 Inthe Contract Documents as hereafter defined, the following words and expressions shal have the meanings hereby assigned to ther, except where the context otherwise requires: (@ Appendix means the Appendix to the Conditions ofthe Contract; (6) Appropriate Authority means any statutory autherity havin jurisdiction over the Works: (©) Architect means the Person named in Article 3 and shall be a Professional Architect or any other form of practice registered under the Architects Act 1967 and approved by the Board of Azebitects, Malaysia; (@ Architect's Instruction or AI —as described in Cleuse 2.2; (© Astuilt Drawings means as-built drawings for works designed (including altemative design) by the Contractor andlor Nominated Sub-Contrecter and any ‘other as-built drawings required te be provided as specified in the Contract Documents; © Certificate of Extension of Time means the certificate ised under Clause 23.4; (@) Certificate of Making Good Defects means the certificate issued under Clause 156, (%) Certificate of Non-Completion means the certificate issued under Clause 22.1; © Ceftifcate of Partial Completion means the certificate issued under Clause 16.1; @ Certificate of Practical Completion means the cenificate issued under Ctause 1525 © Certificate of Sectional Completion means the certifieate issued under Ciause 213; (Clause means the clauses in the Conditions ofthe Contract, (=) Completion Date means the éste(s) or completion of the Works stated in the Appendix under Clauses 21.1 and 21.3 or the last extended date granted under Clause 23-4, (=) Conditions means the Conditions of the Contract; (©) Confirmation of Architect's Instruction or CAL as described in Clause 2.2; (©) Consultant means the Engineer, Quantity Surveyor and/or Specialist Consultant a8 appropriate, (@) Contract or Contract Documents comprise the following documents the Leter of Award the Articles of Agreement; the Conuitions of Contracts the Contract Drawings; the Contact Bills; and ‘other documents incorporated in the Contract Documents, unless expressly staied to be excluded therefrom; (Contract Btls comprise the following decuments (as may be applicable): ?) Instructions to Tenderers; ))Concitions of Tendering, (ii) Form of Tender; (iv) Preliminaries; (9). Preambles and Specificatin; (vi) Summary ofthe Tender (or Contract Sura): (vi) Schedule of Rates, and (ii) any other documents specifically mentioned in any ofthe above documents; PAM Contact 2006 (Without Quantities) Definitions© 0 © o w © o ) (a) (ab) (a) (ad) (ee) (a) (es) (et) co) wp Contract Sum means tho sum sisted in Article 2; ‘Contractor means the party named in the Articles of Agreement and includes the Contractors legel successors or personal representatives or any Person to whom the rights! and obligations of the Contractor have been transferred with the agreement of the Employer, ‘Contractor's All Risks Insurance (‘CAR Insurance’) means an insurance policy ‘which provides cover against any physical loss or damage to work executed and materials and goods under a standard CAR Insurance policy. The minimum insurance risks are specified under Clauses 19.0, 20.8 or 20.8 or 20.C, and the insurance shall have the appropriate endorsements. Any additions insurance risks in addition to thase sated in these Coaultions that are required to be covered under the CAR Insurance shall be stated inthe Contract Bills, Date of Commencement means the date(s) fixed and stated in the Appendix vader Clauses 21.1 and 21.2; ‘Day means calendar day including the weekly day of rest but excluding gazetted holidays in the location where the Werks is erred out, Defects means defects, shrinkages o athe faults due to materials or workmanship not in eecordance with the Contract and Nominated Sub-Contract and/or de 0 any feulty design (if any) undertaken by the Contractor and Nominated Sub- Contactor, Defects Liability Period means the period slated in the Appendix under Clause 154; [Employer means the party named in the Articles of Agreement and includes the Employer's legal successors or personal representatives or any Person-to whom the rights and obligations of the Employer have been transferred with the agreement of the Contrtor; Engineer means the Person named in Article 4 and shall be Professional Engineer or any other form of practice regisered under the Registration of Engineers Act 1967 and approved by the Board of Engineers, Malaysia, Final Account means the documents showing the adjustment ofthe Contract Sum issued under Clause 30.10; Final Certificate means the final certificate issued by the Architect under Clauses 30.14 and 30.15; Foree Majeure means any circumstances beyond the control of the Contactor ‘caused by terrorist acts, governmental or regulatory action, epidemics and natural disasters; Interim Certificates means the progress payment certificate issued by the ‘Architect under Clause 30.1; Letter of Award means the lttr of acceptance of the Contractor's tender issued by or en bebalf ofthe Employer; Limit of Retention Fund means the amount as stated in the Appendix under Clause 30.5; Lump Sum Contract means a fixed price Contract and i not subject to re- ‘measurement oc recalculation except for Provisional Quantities and Variations ‘which shall be valued under Clause 11.0; ‘Month means calendar moath; Nominated Sub-Contract means the contract entered into between the Main Contractor and the Nominated Sab-Contractor pursuant to & nomination by the Architect under Clause 27.2; PAM Const 2006 (Without uunites)(8) @ (am) @ co) () a) @ @s) @ (@) @) (@w) ) &) (w) (te) oy tbo) Nominated Sub-Contractor means a sub-conttactor nominated by the Architect under Clause 27.1; Nominated Supplier means supplier nominated by the Architect under Clause 281; PAM Sub-Contract 2006 means the form of contract as published by Pertububan Akitek Malaysia where the sub-contractor is nominated under the PAM Contract 2006; ‘Penultimate Certfieate means the payment certificate issued by the Architect for the release of monies to Nominated Sub-Coniractors and/or Nominated Suppliers under Clause 30.13; Performance Bond means the bond required tobe provided by the Contractor as security for the due performance of the contact under Clause 37.1; Period of Honouring Certificates means the period for honouring certificates stated in the Appendix under Clavse 30.1; Person means an individusl, sole proprietorship, firm (partnership) or body comporates Practical Completion or Practically Completed means the state of completion described in Clause 15.1; Prime Cost Sums (‘P.C. Sums’) means the sums provided in the contract for ‘works of services 10 be executed by Nominated Sub-Contractor or for materials and goods tobe supplied by Nominated Supplier, Provisional cr Provisional Quantity means the estimated quantities of work provided ia the Contract Bills for work to be executed or forthe supply of any ‘materials and goods which cannot be determined or detailed atthe times Provisional Sums means the suns provided inthe contact anor the Nominated Sub-Contec for work to be exces or forthe suply of any materials and Goods hich cannot be foreseen, determined or deta the time, Quantity Surveyor means the Person named in Article $ and shall be a Registered Quantity Surveyor or any other form of practice registered under the ‘Quantity Surveyors Act 1967 and approved by the Board of Quantity Surveyors, Malaysia; Relevant Event means any one of the events for extension of time set out in Clause 23.8; Retention Fund means the sum retained in accordance with Clause 30:5; Schedule of Rates means any documents however entitled or described und which {is intended tobe used for the purpose of valuing Variations; Service Provider means any company or body euthorised to provide water, clectrcity, telephone, sewerage and other related services; Site means the land and other places on, in, under, over oF through which the ‘Works are to be executed and is provided by the Employer forthe purposes of the Contract including other land and places obtained by the Contactor and accepted by the Employer as forming part ofthe Site; Site Agent means the person appointed under Clause 8,15 Site Statf means the person appointed under Clause 10.1; ‘Specialist Consultant means the Person named in Article 6 and such Person shall, be a Specialist Consultant appointed by the Employer fora designated scope of professional work; PAM Contact 2006 (Without Quant)@e) ‘Variation means changes made to the Works as defined under Clause 11.1; (Week means a period of seven (7) consecutive days; (be) Works means the works described inthe Antcles of Agreement and referred (0 in ‘he Contract Documents and includes any changes made to these works in accordance with the Contract; and (Oh) Works Programme means the works programme described in the Contract Documents and ia Clause 3.5, Article 8 In the interpretation of the Contract, unless the context requires otherwise, the following shal apply: (@ Gender - words of one gender include th ether gender, and words denoting natural © © © © persons include corporations and fins and all such words are to be construed interchangeably in that manner; Headings and Marginal Notes -the headings and marginal notes in the Conditions ‘are not to be taken into consideration in the interpretation or construction of the ‘Conditions or ofthe Contract; Reference to legislation - a reference to any Acts is deemed to include references to any subsequent amendments, consolidation or replacement ofthe Acts; ‘Singular and Plural - words importing the singular also include the plural and vice versa where the context requires; and ‘Where any word or phrase is given a defined meaning, any other grammatical form ‘of that word or phase has corresponding meaning, PAM Contact 2006 (Without Quantities) MeaningsIN WITNESS WHEREOF * The hand of the Employer as been hereunto set the day and year) Signature of Employer... first above written inte presence of ) ) Name ) YINRICNO. cmon Signeture of Witness Name... NRICNo. * The Common Seal of... was hereunto affixed inthe presence of Signature of Ditet0Fensnnsnsnennnnnnnn Signature of DirectoSecretay*. Neme Name sone NRICNo, NRICNe. . ena IN WITNESS WHEREOF * The hend ofthe Contactor has been hereunto set the day and year) Signanure of Contractor first above writen inthe presence of: ) )Name ) )NRICNo.... Signature of Witness... ‘was hereunto affixed in the presence of: Signature of Director. Signature of DirectorSecretay*.... Name. Name NRICNO... NRICNO,vsosssesessse * Dele axaporopicte ‘The ffsing of tre Common Sea tb winston accordance with te Memorandum & Articles of Assocation ofthe Company. PAM Contac 2006 (Without Quatites)