CHANCELLOR HOTEL BORACAY
CONTRACT#20180021
Section Original Provision
Unloading of materials from the delivery truck, rental
of lifting equipment, moving-in to the designated
area, storage and safekeeping of equipment and
parts. Charges incurred due to delayed unloading of
equipment shall be for the account of the
Sec 2.1.3
ELEVATOR CONTRACTOR. Required Permits and
Fees for temporary parking of delivery trucks and
preparation of access of delivered materials shall be
secured and its expenses shall be borne by
ELEVATOR CONTRACTOR.
The OWNER reserves the right to appoint at least
one (1) elevator for fast track completion to be
commissioned and used as temporary service for
Sec 2.1.11 hauling of workers and materials.
The ELEVATOR CONTRACTOR shall provide at its
own expense an emergency generator sufficient to
meet the temporary power requirement for
uninterrupted Installation, Testing and
Sec 10.4.2
Commissioning operation in case of emergency &
brown outs or delay in provision of temporary power
from AKELCO.
The ELEVATOR CONTRACTOR shall be deemed in
default if it becomes bankrupt, or receives an Order
or judgment made against it, or shall present its
petition in bankruptcy or shall make an arrangement
with or assignment in favor or its creditors or shall
agree to carry out the liquidation of the Agreement
(other than voluntary liquidation for the purpose of
amalgamation or reconstruction) or if the
Sec 14.1 ELEVATOR CONTRACTOR shall assign the
Agreement, without first obtaining the written
consent of the OWNER or shall have an execution
levied on its goods, or if the Project Manager shall
certify in writing to the OWNER that in his opinion,
the ELEVATOR CONTRACTOR:
a) Has abandoned the Agreement; or
KPI 1st Comments
The Owner should provide storage
space at the site and be responsible
for site security.
Accelerating completion date should
be agreed mutually noting the
increased costs for KONE. If
temporary use is required, a
separate construction time use
agreement based on KONE’s
template should be signed to govern
such use in detail.
Owner should provide such
facilities.
Remarks (by the OWNER)
Safekeeping of parts should
be shouldered by the
Elevator Contractor.
This scope of work is
included in the instruction to
bidders before awarding
Temporary utilities such as
electric power and water
should be shouldered by
Elevator Contractor, starting
from the mobilization to final
testing and commissioning
Provisions already stated on
SVB Contract and was based
on the previous agreement
with the Elevator Contractor.
KPI 2nd Comments
For other projects we agree to bear
responsibility for safekeeping. However,
the owner should provide storage. Also,
the owner should be responsible for
safekeeping if the project is delayed due
to the owner. As a compromise please
amend the clause by deleting “storage”
and add at the end of the first sentence:
“, provided that the OWNER is
responsible at its cost for safekeeping of
materials, equipment and parts if and to
the extent the Works are delayed by any
act or omission of the OWNER”.
For other contracts the clause should be
deleted as proposed by KONE due to the
reasons we have commented earlier.
For other projects, KONE agrees
otherwise to provide an emergency
generator but not to take into account
any interruptions by AKELCO. Please
delete the words “ operation in case of
emergency & brown outs or delay in
provision of temporary power from
AKELCO”.
14.1.
For other contracts the clause should be
amended as proposed by KONE due to
the reasons explained in our comments
previously.
a) Has abandoned the Agreement; or
Revised Provision proposed by KPI
Unloading of materials from the delivery truck,
rental of lifting equipment, moving-in to the
designated area, storage and safekeeping of
equipment and parts, provided that the OWNER is
responsible at its cost for safekeeping of materials,
equipment and parts if and to the extent the Works
are delayed by any act or omission of the OWNER.
Charges incurred due to delayed unloading of
equipment shall be for the account of the
ELEVATOR CONTRACTOR. Required Permits
and Fees for temporary parking of delivery trucks
and preparation of access of delivered materials
shall be secured and its expenses shall be borne
by ELEVATOR CONTRACTOR.
“Please remove as proposed by KONE”
The ELEVATOR CONTRACTOR shall provide at
its own expense an emergency generator sufficient
to meet the temporary power requirement for
uninterrupted Installation and Testing &
Commissioning operation in case of emergency &
brown outs or delay in provision of temporary
power from AKELCO.
The ELEVATOR CONTRACTOR shall be
deemed in default if it becomes bankrupt, or
receives an Order or judgment made against it, or
shall present its petition in bankruptcy or shall
make an arrangement with or assignment in favor
or its creditors or shall agree to carry out the
liquidation of the Agreement (other than voluntary
liquidation for the purpose of amalgamation or
reconstruction) or if the ELEVATOR
CONTRACTOR shall assign the Agreement,
without first obtaining the written consent of the
OWNER or shall have an execution levied on its
goods, or if the Project Manager shall certify in
writing to the OWNER that in his opinion, the
ELEVATOR CONTRACTOR:
 b) Without reasonable excuse has failed to
commence the works; or
c) Has suspended the progress of the works for
Seven (7) calendar days; or
d) In case of materials or workmanship rejected by
the OWNER, the ELEVATOR CONTACTOR fails to
undertake the corresponding corrective measures
within Fifteen (15) calendar days (or such other
period as may be specified by the OWNER) from the
OWNER's written order that the said materials or
works had been condemned and rejected by the
OWNER under these conditions; or
e) Despite previous demand by the OWNER in
writing, the ELEVATOR CONTRACTOR fails or
refuses to execute the Works in accordance with this
Agreement, or persistently or flagrantly neglects or
refuses to carry out its obligations under the
Agreement such as, but not limited to, the provision
of the required bonds and insurances and the
correction of defects; or
f) Failed to complete the Works including approved
alterations within the Completion Period or duly
adjusted period.
g) Without reasonable excuse has caused the delay
of Works by more than Ten Percent (10%) of the
Completion Period; or
h) Absent the OWNER's consent or in defiance of
the Owner's instruction to the contrary, the
ELEVATOR CONTRACTOR subcontracted the
whole or part of the Works.
Without prejudice to the rights of the OWNER under
this Agreement, the OWNER shall have the right to
extra-judicially rescind this Agreement in case of
substantial delay in the completion of the Works or
for non-compliance by the ELEVATOR
CONTRACTOR with any of its terms.
Sec 21.1
Such rescission shall take effect upon the lapse of
Seven (7) calendar days from receipt by the
ELEVATOR CONTRACTOR of the OWNER's
written notice. The OWNER's rescission shall be
without prejudice to any of the OWNER's existing
b) Without reasonable excuse has failed to
commence the works; or
c) Has suspended the progress of the works for
c) Suspension caused by others
Seven (7) calendar days unless such suspension
should not be grounds for
termination. is caused by the OWNER or others; or
d) In case of materials or workmanship rejected by
the OWNER, the ELEVATOR CONTACTOR fails
to undertake the corresponding corrective
measures within Fifteen (15) calendar days (or
such other period as may be specified by the
OWNER) from the OWNER's written order that
the said materials or works had been condemned
and rejected by the OWNER under these
conditions; or
e) Despite previous demand by the OWNER in
writing, the ELEVATOR CONTRACTOR fails or
refuses to execute the Works in accordance with
this Agreement, or persistently or flagrantly
neglects or refuses to carry out its obligations
under the Agreement such as, but not limited to,
the provision of the required bonds and
insurances and the correction of defects; or
f) Termination due to any delay
f) not applicable (please remove as proposed by
KONE)
would be unreasonable.
g) Without reasonable excuse has caused the delay
g) The delay should be significant to of Works by more than Fifty Percent (50%) of the
allow termination. Completion Period; or
Absent the OWNER's consent or in defiance of the
Owner's instruction to the contrary, the ELEVATOR
CONTRACTOR subcontracted the whole or part of
the Works
Rescinding the agreement due to For other contracts please delete the
Provisions already stated on
any delay would be unreasonable. clause as proposed by KONE.
SVB Contract and was based
The other termination clauses Rescinding the agreement due to any “Please remove as proposed by KONE”
on the previous agreement
provide sufficient protection for the delay would be unreasonable. The other
with the Elevator Contractor.
owner. termination clauses provide sufficient
protection for the owner.
rights provided in this Agreement or by operation of
law.

In case the OWNER exercises its right to rescind

this Agreement, the OWNER shall pay for the work
rendered or accomplished by the ELEVATOR
CONTRACTOR at the time of the rescission subject
to deductions allowed to OWNER under this
Agreement.