Doc. No.

: RICS-SBE (N)/F003/001
Revised On: 21st Nov 2017

RICS School of Built Environment

Programme Name MBA ( CPM&CEQS)

Course name and Code CM 760, CONSTRUCTION CONTRACTS

Name of Course faculty(s) Professor Avinash Tandon/ Prof. Vinod Nakra

Type of course work Home assignment – in group

Assessment weightage 5%
th th
Submission date 30 July through 8 September 2018

Modules 1, 2

Aim of the course work To test knowledge and application of basic knowledge on tender
structure, type of contracts, tendering process

Learning outcome tested 1. Demonstrate a professional understanding of essential

elements of a valid contract and terms and conditions
for an agreement to become a contract.
2. Develop an understanding of the process of tendering
including pre-Qualification criteria and non-priced
features.
3. Have the ability to give advice on the selection of
modern procurement routes (domestic and
international) for modern complex projects.
4. Recognise and illustrate the key contractual clauses of
standard forms of Contracts including conflict avoidance
and dispute resolution methods.

Learning outcome tested 1, 2,3 &4

1. Knowledge and understanding of the topic

This is the factual foundation of the assignment. The essential facts should be accurate and broad
enough in their scope to allow further application.

2. Application and analysis of the topic (subject specific Skill)

This is the way in which you analyze/ examine the factual information and how you interpret this
information to add value to your answer (this could be in the form of conclusions, solutions,
recommendations, etc.). It is also important to remember that the assessor must logically be able to
follow the information in assignment submissions.

3. The structure in terms of logic and coherence

Submissions should have a clear start and a clear end. Information within submissions should also be
logical and well grouped.

4. The use of relevant work examples and/or examples gained from further reading

1
Suggestions for further reading are contained within the course work and indicated at the end of the
course work. These reading lists are not exhaustive and candidates are encouraged to read further
and reference at the end of the course work using Harvard style of referencing.

Assignment no. 1: This is sub group assignment. The group shall have minimum of 3 and maximum
of 5 students. However the group with each member should be ready to present the assignment and
face questions in the lecture/tutorial class. The observations raised/discussed are to be incorporated
in the final hard copy and soft copy submission.

Define and explain with illustrations the following Terms quoting reference to Indian Contract Act
1872 (if applicable) and/or any other source from Internet: General Business/Financial Contracts-
Terms and Conditions:

Sub-group 1: (Week 3)

a) Acceptance
b) Breach of Contract
c) Conditions
d) Limited Liability
e) Misrepresentation
f) Quasi Contract
g) Voidable Contract
h) Void Contract
i) Consideration
j) Indemnity
k) Force Majeure
l) Quid pro quo
m) Pro rata
n) Bona fides
o) De novo and ab initio
p) Ex gratia

Sub group 2 (Week 4)

Explain in detail covering Purpose, amount, form of document, validity, interest if any, forfeiture of
amount, recovery if applicable, any specific feature etc. of the following:

a) Earnest Money or Bid Bond

b) Performance Bank guarantee or performance bond
c) Mobilization advance
d) Plant & Equipment Advance
Explain in detail covering Purpose, amount, form of document, validity, interest if any, forfeiture of
amount, recovery if applicable, any specific feature etc. of the following:

a) Retention Money
b) Retention bond
c) Interim payment
d) Secured advance
e) Liquidated damages
2
Sub group 3 (Week 5)

Explain with illustrations:

a) What are the differences between Enlistment of the contractor and Prequalification of
bidders for a work?
b) The process of both the above.

Explain in a flow chart of the tendering process from preparation of a tender to award of work along
with time frame. Assume any data.

Sub-group 4 (Week 6)

Explain in detail the following with illustrations:

a) Essential elements of a Contract as per Indian Contracts Act 1872.

b) Conditions to make an agreement into a contract.

Explain the salient features of the following procurement routes with illustrations along with
advantages and disadvantages:

a) Traditional
b) Design & Bid
c) Package contracting
d) Management Contracting
e) Construction management

Sub group 5 (Week 7)

Explain with the help of an illustration and a sample detailing the same:

a) Notice Inviting Tender

b) Pre bid conference
c) RFQ & RFI
d) Two bid Tendering process
e) Bid evaluation criteria
f) Letter of Intent
g) Letter of Acceptance/Award

Sub group 6 (Week 7)

a) What are the standard forms of the contract?
b) Explain their major components and their use.
c) Prepare an NIT for a boundary wall construction of Amity campus at Noida. Assume any
data.

Absentees (if any) (Week 8) Grading limited to B Plus

Explain the procurement route and type of contract to be planned in the following situations with
detailed reasons:
a) Residential multi-story building work where Architect has already been engaged for
engineering services.
b) Building work where statutory clearances are balance and project is to be completed on
priority.

3
 c) Building work where drawing are already available for the extension of school building.
d) Situations of building works under following conditions:
1) Less risk to the contractor
2) Co-ordination by contractor
3) Economical
4) Intend to complete the building work on-time with maximum risks.

Plagiarism

“Plagiarism is defined as presenting another person’s work as one’s own work. Presentation includes
copying or reproducing it without the acknowledgement of the source.”
Please note all assignments shall subject to plagiarism software checks, through “TURNITIN” or
any other equivalent software as per subject guide in LMS.
Instructions

1. Plagiarism is a serious offence. In case of any plagiarism detected, penalty will be imposed
leading to zero mark.
2. Course work and reports should be solved by the individual/group.
3. Course work and reports should be submitted on time and submission after deadline will be
marked zero.
4. Name, student identification and title of the course work to be written clearly and legibly

References:
Examples of referencing styles (Harvard Style) for books, articles, journals etc.
Report format and submission:
Deadline: Presentation PPT ARIAL Font 18 to be uploaded in LMS on Monday (0900 AM) of the
week and hard copy before class lecture of the week mentioned above.
Final MS Word/Pdf report to be submitted latest by Monday (10th Sept 2018)
morning (0900 AM) incorporating suggestions/comments (in hard
copy and LMS.
Each of the group will submit one overall report covering all points
Report shall be formatted:
Title: Capital letter font size 12 Bold in Arial, followed by the name of the
team members
Sub headings: Arial font 11 Bold
Body: Arial font 10
Spacing between lines 1.5
Marking scheme: Marks for this assignment will be out of 5. However for ease of marking the
following scheme will be adopted:

Weightage Total Marks

(Out of 5)

Demonstrate elementary and professional understanding of the 10% 10

assignment (By presentation & Report)
Demonstrate clear application of the same through illustrations (By 10% 10
presentation & report)

4
 Demonstrate ability to explain different situations and advice client 20% 20
accordingly (By presentation & report)

Critically think and address the context and include in discussion, as 40% 40
applicable (By Presentation & Report)

Final submission 20 % 20

Grading of Course work: Refer to Course Guide in LMS

Name and Signature of Course Coordinator/ Course faculty

Professor Avinash Tandon/ Prof. Vinod Nakra