CE Laws, Ethics, and Contracts

• In the late 1920s, the Philippine Society

of Civil Engineers (PSCE) was formed by
a group of civil engineers mostly from the
government sector.
• In 1937, another group of civil engineers,
mostly engaged in private practice,
formed the Philippine Association of Civil
Engineers (PACE).
• Both organizations were focused on
elevating the standards of the civil
engineering profession, encouraging
research and engineering knowledge,
fostering fellowship among members,
and promoting interaction with other
technological and scientific societies.
• In 1972, a merger between PSCE and
PACE was proposed, spearheaded by
some of the leaders of both
organizations.
• The merger was finalized in late 1973
and registered with the Philippine
Securities and Exchange Commission on
December 11, 1973.
• On August 13, 1975, the Professional
Regulation Commission gave official
Accreditation No. 007 to the merged
organization, which became known as
the Philippine Institute of Civil Engineers
(PICE).
• PICE adopted the documented date of
the establishment of the first organization
of Civil Engineers as special recognition,
and thus 1937 is considered the
documented year of the founding of
PACE instead of 1973, the year of the
PSCE-PACE merger and SEC
registration of PICE.
• All past presidents of PSCE and PACE
are now recognized as past presidents of
PICE.
FUNDAMENTAL PRINCIPLES
CIVIL ENGINEERS uphold and advance the
integrity, honor and dignity of
the civil engineering profession by:
1. Using their knowledge and skill for the
enhancement of human welfare and the
environment;
2. Being honest and impartial and serving with
fidelity the public, their employers/employees
and clients;
3. Striving to increase the competence and
prestige of the civil engineering profession; and
4. Supporting the professional and technical
societies of the discipline.
FUNDAMENTAL CANONS
1. Civil Engineers shall hold paramount the
safety, health and welfare
of the public and shall strive to comply with the
principles of sustainable development in the
performance of their duties.
2. Civil Engineers shall perform services only in
areas of their competence.
3. Civil Engineers shall issue public statements
only in an objective and truthful manner.
4. Civil Engineers shall act in professional
matters for each employer or client as faithful
agents or trustees, and shall avoid conflicts of
interest.
5. Engineers shall build their professional
reputation on the merit of their services and shall
not compete unfairly with others.
6. Engineers shall act in such a manner as to
uphold and enhance the honor, integrity, and
dignity of the engineering profession and shall
act with zero tolerance for bribery, fraud, and
corruption.
7. Engineers shall continue their professional
development throughout their careers, and shall
provide opportunities for the professional
development of those engineers under their
supervision.
Guidelines to practice under the
fundamentals canons of ethics
Canon 1:
Civil Engineers shall hold paramount the safety,
health, and welfare of the public and shall strive
to comply with the principles of sustainable
development in the performance of their
professional duties.
a. Engineers shall recognize that the lives,
safety, health and welfare of the general
public are dependent upon engineering
judgments, decisions, and practices
incorporated into structures, machines,
products, processes and devices.
b. Engineers shall approve or seal only
those design documents, reviewed or
pre- pared by them, which are
determined to be safe for public health
and welfare in conformity with accepted
engineering standards.
c. Engineers whose professional judgment
is overruled under circumstances where
the safety, health and welfare of the
public are endangered, or the principles
of sustainable development ignored,
shall inform their clients or employers of
the possible consequences.
d. Engineers who have knowledge or
reason to believe that another person or
firm may be in violation of any of the
provisions of Canon 1 shall present such
information to the proper authority in
writing and shall cooperate with the
proper authority in furnishing such further
information or assistance as may be
required.
e. Engineers should seek opportunities to
be of constructive service in civic affairs
and work for the advancement of the
safety, health and well-being of their
communities, and the protection of the
environment through the practice of
sustain- able development.
f. Engineers should be committed to
improving the environment by adherence
to the principles of sustainable
development so as to enhance the
quality of life of the general public.
Canon 2:
Civil Engineers shall perform services only in
areas of their competence.
a. Engineers shall undertake to perform
engineering assignments only when
qualified by education or experience in
the technical field of engineering
involved.
b. Engineers may accept an assignment
requiring education or experience
outside of their own fields of competence,
provided their services are restricted to
those phases of the project in which they
are qualified. All other phases of such
project shall be performed by qualified
associates, consultants, or employees.
 c. Engineers shall not affix their signatures
or seals to any engineering plan or
Civil Engineers shall act in professional matters
document dealing with subject matter in
for each employer or client as faithful agents or
which they lack competence by virtue of
trustees, and shall avoid conflicts of interest.
education or experience or to any such
plan or document not reviewed or
prepared under their supervisory control.
Canon 3:
Civil Engineers shall issue public statements
only in an objective and truthful manner.
a. Engineers should endeavor to extend the
public knowledge of engineering and
sustainable development, and shall not
participate in the dissemination of untrue,
unfair or exaggerated statements
regarding engineering.
b. Engineers shall be objective and truthful
in professional reports, statements, or
testimony. They shall include all relevant
and pertinent information in such reports,
statements, or testimony.
c. Engineers, when serving as expert
witnesses, shall express an engineering
opinion only when it is founded upon
adequate knowledge of the facts, upon a
back- ground of technical competence,
and upon honest conviction.
d. Engineers shall issue no statements,
criticisms, or arguments on engineering
matters which are inspired or paid for by
interested parties, unless they indicate
on whose behalf the statements are
made.
e. Engineers shall be dignified and modest
in explaining their work and merit, and will
avoid any act tending to promote their
own interests at the expense of the
integrity, honor, and dignity of the
profession.
Canon: 4
a. Engineers shall avoid all known or
potential conflicts of interest with their
employers or clients and shall promptly
inform their employers or clients of any
business association, interests, or
circumstances which could influence
their judgment or the quality of their
services.
b. Engineers shall not accept compensation
from more than one party for services on
the same project, or for services
pertaining to the same project, unless the
circumstances are fully disclosed to and
agreed to, by all interested parties.
c. Engineers shall not solicit or accept
gratuities, directly or indirectly, from
contractors, their agents, or other parties
dealing with their clients or employers in
connection with work for which they are
responsible.
d. Engineers in public service as members,
advisors, or employees of a
governmental body or department shall
not participate in considerations or
actions with respect to services solicited
or provided by them or their organization
in private or public engineering practice.
e. Engineers shall advise their employers or
clients when, as a result of their studies,
they believe a project will not be
successful
f. Engineers shall not use confidential
information coming to them in the course
of their assignments as a means of
making personal profit if such action is
averse to the interests of their clients,
employers or the public.
 g. Engineers shall not accept professional
employment outside of their regular work
or interest without the knowledge of their
employers.
Canon 5:
Civil Engineers shall build their professional
reputation on the merit of their services and shall
not compete unfairly with others.
a. Engineers shall not give, solicit or receive
either directly or indirectly, any political
contribution, gratuity, or unlawful
consideration in order to secure work,
exclusive of securing salaried positions
through employment agencies.
b. Engineers should negotiate contracts for
professional services fairly and on the
basis of demonstrated competence and
qualifications for the type of professional
service required.
c. Engineers may request, propose or
accept professional commissions on a
contingent basis only under
circumstances in which their professional
judgments would not be compromised.
d. Engineers shall not falsify or permit
misrepresentation of their academic or
professional qualifications or experience.
e. Engineers shall give proper credit for
engineering work to those to whom credit
is due, and shall recognize the
proprietary interests of others. Whenever
possible, they shall name the person or
persons who may be responsible for
designs, inventions, writings or other
accomplishments.
f. Engineers may advertise professional
services in a way that does not contain
misleading language or is in any other
manner derogatory to the dignity of the
profession. Examples of permissible
advertising are as follows:
• Professional cards in recognized,
dignified publications, and listings
in rosters or directories published
by responsible organizations,
provided that the cards or listings
are consistent in size and content
and are in a section of the
publication regularly devoted to
such professional cards.
• Brochures which factually
describe experience, facilities,
personnel and capacity to render
service, providing they are not
misleading with respect to the
engineer’s participation in projects
described.
• Display advertising in recognized
dignified business and
professional publications,
providing it is factual and is not
misleading with respect to the
engineer’s extent of participation
in projects described.
• A statement of the engineers’
names or the name of the firm and
statement of the type of service
posted on projects for which they
render services.
• Preparation or authorization of
descriptive articles for the lay or
technical press, which are factual
and dignified. Such articles shall
not imply any- thing more than
direct participation in the project
described.
 • Permission by engineers for their
names to be used in commercial
advertisements, such as may be
published by contractors, material
suppliers, etc., only by means of a
modest, dignified notation
acknowledging the engineers’
participation in the project
described. Such permission shall
not include public endorsement of
proprietary products.
g. Engineers shall not maliciously or falsely,
directly or indirectly, injure the
professional reputation, prospects,
practice or employment of another
engineer or indiscriminately criticize
another’s work.
h. Engineers shall not use equipment,
supplies, and laboratory or office facilities
of their employers to carry on outside
private practice without the consent of
their employers.
Canon 6:
Civil Engineers shall act in such a manner as to
uphold and enhance the honor, integrity, and
dignity of the civil engineering profession.
a. Civil Engineers shall not knowingly act in
a manner which will be derogatory to the
honor, integrity, or dignity of the civil
engineering profession or knowingly
engage in business or professional
practice of a fraudulent, dishonest, or
unethical nature.
Canon 7:
Civil Engineers shall continue their professional
development throughout their careers, and shall
provide opportunities for the professional
development of those civil engineers under their
supervision.
a. Civil Engineers should keep current in
their specialty fields by engaging in
professional practice, participating in
continuing education courses, reading in
the technical literature, and attending
professional meetings and seminars.
b. Civil Engineers should encourage their
engineering employees to become
registered at the earliest possible date.
c. Civil Engineers should encourage
engineering employees to attend and
present papers at professional and
technical society meetings.
d. Civil Engineers shall uphold the principle
of mutually satisfying relationships
between employers and employees with
respect to terms of employment including
professional grade descriptions, salary
ranges, and fringe benefits.
THE PROCUREMENT OF CIVIL
ENGINEERING SERVICES FOR A QUALIFY
PROJECT by means of:
• Meeting both the expectations of clients
and employers
• Meeting the requirement of the project
REQUIRES:
1. Professional dedication
2. Appropriate authority
3. Adequate time for investigation
4. Fair compensation
5. Planning and innovation
6. Effort and responsibility
DEDICATED TO ADVANCING BOTH
• Quality and practice of civil engineering
CIVIL ENGINEERS ARE RESPONSIBLE FOR: • Going above and beyond the competitors
• Improving most likely will involve personalized
• Maintaining service like making deliveries by hand,
• Rebuilding exhibiting flexibility when scheduling
• Protecting meetings to the client’s preferred date or
• Studying location, providing extra copies, or
• Designing sending technical articles related to the
• Conceiving client’s business.
• Observing construction
• Assisting in the programming for • Whatever the service is, it should be
operating and maintaining engineering performed with thought and the intention
works of benefitting the client.

ASSISTING IN THE PROGRAMMING FOR OBLIGATIONS

OPERATING AND MAINTAINING
ENGINEERING WORKS:
1. Healthy safety well-being and comfort of
the public (PROTECTING PEOPLE AND
THE ENVIRONMENT)
THE OBLIGATIONS OF THE CIVIL ENGINEER
INCLUDE:
1. The civil engineer shall perform scope of
the services as stated in Section 2.

2. Mutual trust, effective communication
and understanding
3. Serves as faithful trustees
client/employers
4. Bound by the fundamental canons of
ethics (FOLLOW THE RULES)
Section 3. CLIENT-CIVIL ENGINEER
RELATIONSHIPS
2. The civil engineer shall exercise reasons
reasonable skill, care and diligence in the
performance of this obligations.
to the
3. The civil engineer shall act independently
and as required by the contract, perform
with necessary skills and professional
judgement, when required to certify,
decide or exercise discretion between
the client and a Third party with whom the
client has a contract.

MAINTAINING THE RELATIONSHIP 4. The civil engineers are authorized to act

as the client’s faithful agent when
• Maintaining a superior client relationship required but only as implied in Section 2
means going above and beyond the or implied in the contract adopted for the
competitors. project.

• Clients can acquire engineering services
from may sources.
• High score in “client service’ have
become of paramount importance for
obtaining and maintaining the
“outstanding” rating category.
5. When aware of any matters which will
change or has changed the scope of the
services, the Civil Engineer shall give
written notice to the client containing
particulars of the change.
 6. For Specified Staged Services, the Civil 4. The Client shall arrange for the provision
Engineer shall not initiate or proceed with of services from other professionals.
any subsequent stage of the Services
without the approval of the Client. 5. When the Civil Engineer is required to
supervise the work of the other
7. When required, the Civil Engineer shall professionals contracted by the Client is
direct and co-operate with all other required to act as Engineer-to-the
professionals and integrate their work Contract for any contract.
where applicable into the being
undertaken by the Civil Engineer and 6. When aware of any matter which will
other professionals, but shall not be change the scope of the Civil Engineer’s
professionally liable for their work. Services, the client shall notify in writing
with 7 days.
8. The Civil Engineer may recommend
specialist suppliers and/or contractors to
design and execute certain parts of the
LIABILITY OF THE CIVIL ENGINEER AND
works, in which case the Civil Engineer
THE CLIENT
shall coordinate the design of such part
or parts with overall design of the works
The Civil Engineer shall only be liable to pay
but he shall be relieved of all
damages to the client in connection with their
responsibility for the design,
Agreement if a breach of duty of care is
manufacture, installation and
established.
performance of any such part or parts of
the works. The Civil Engineer shall not be
A LIMITATION OR CIVIL ENGINEER’S
liable for acts of negligence, default or
RESPONSIBILITY
omission by such person or persons.
1. The Civil Engineering shall have no
9. The Civil Engineer shall notify the Client
responsibility for cost, loss or damage
of any interest the Civil Engineer has
arising from any errors from data,
which may significantly conflict with the
documents, plans and design or
interest of the client under their contract.
specifications not prepared by him/her.
OBLIGATION TO THE CLIENT
2. Civil Engineer shall not be held to have
made any warranty or promise as to the
The client shall pay the Civil Engineer for his
suitability and performance of any other
Service.
consultant or any third party.
1. The client shall provide the Civil Engineer
3. Civil Engineering shall not be responsible
within reasonable time.
for the techniques, programs and
procedures adopted by any other third
2. The client shall cooperate with the Civil
party responsible for executing any
Engineer.
aspects of the project.
3. The Client must be practicable and make
arrangements to enable the Civil
Engineer to enter the site.
 DAMAGES
1. Damages payable shall be limited to the
amount of countable loss and damage
suffered as a direct result of such breach.
2. The maximum amount of damages
payable in respect of liability, whether
under the law or contract is limited to the
limited to the amount specified in the
Specific Provision.
• If a dispute arises an either party, then
3. If found to be liable, in circumstances
where the acts of a third party have
contributed to the loss, the proportion of
damages payable shall be limited to that
proportion.
SUSPENSION OR TERMINATION OF
SERVICES
• If circumstances arise in a certain
• The
Agreement of Services, Civil Engineer
shall promptly notify the client.
• If the project had been suspended, the
time for their completion shall be
extended.
• The client may suspend all or part of the
services or terminate the Agreement by
written notice of not less than 30 days to
the Civil Engineer.
TYPICAL SERVICES MAY INCLUDE:
b. When service have been
suspended for a period exceeding
6 calendar months. Or if it is clear
to the Civil Engineer that it will be
impossible or impractical to
resume the suspended Services
before the period of suspension
has exceeded 6 months.
SETTLEMENT OF DISPUTES
that party shall by notice in writing served
on the parts of details of that dispute be
resolved by conciliation, of the matter in
dispute is not resolved in conciliation
between the parties within the prescribed
time then the matter in dispute shall be
referred to arbitration.
OWNERSHIP OF DATA
design analyses, drawings,
specifications and reproduction thereof
are instruments of service owned by the
Professional Engineer and shall be used
only for the specific project covered by
the Agreement between the client and
Engineer.
Section 4.
CIVIL ENGINEERING SERVICES

• The Civil Engineer by written notice if not

less than 30 days may terminate the
Agreement or at his or her discretion
without prejudice to the right to terminate,
suspend the performance of the whole
part or the services under the following
conditions:
a. When 30 days after due date or
payment of any account the Civil
Engineer has not received
payment of that part of it which has
not by that time been contested in
writing,
• Design, consultation and services
• Feasibility studies
• Field investigation and engineering data
• Environment assessments, impact
statement of Engineering reports
• Opinions of probable construction cost
• Preliminary and final designs, drawing,
specification and construction bidding
documents.
• Assistance in securing construction bids
and in awarding contracts
 • Construction administration and
observation
• Arrangements for or performance or
testing materials and equipment.
• Assistance in start-up, assessment of
capacity and operation of facilities
• Preparation of operation and
maintenance manuals
• Appraisals and rate studies
• Value engineering
• Expert testimony
• Assessment of risks
• Structural remediation or rehabilitation
• Project management and controls
• Provision of supplements temporary staff
• Teaching
Section5.
SPECIALIZATION IN CIVIL ENGINEERING
Within the practice of Civil Engineering, the
PICE recognizes the initial six areas of
specialization.
• Structural Engineering
• Geotechnical Engineering
• Water Engineering
• Transportation Engineering
• Construction Management and
Engineering
• Environmental Engineering
- A Civil Engineer who was
specialized in any area of Civil
Engineering maybe considered as
specialist in the appropriate field
as enumerated.
Section 6.
SELECTION OF A CIVIL ENGINEER
As a Civil Engineer the most important decisions
to be made during the development of an
Engineering project is the ENGAGEMENT.
Several Factors need to be considered as a Civil
Engineer, that may affect life cycle cost.
• Objective and commitment of financial
resources
• Soundness of design
• Suitability of the project
• Organization
• Skill
• Integrity
- The full range of engineering
services were cost the amount not
less than1-2% of the life cycle in
the most construction project.
- Therefore, the client’s best in the
best interest is to engage the most
qualified and reputable Civil
Engineers and Engineering firm.
Section 7.
PRIME PROFESSIONAL PRACTICE
This refers to the engagement if Engineering
services where the consulting Civil Engineering
serve as the client directly as price professional
and where the client is usually also the owner of
the project.
Section 8.
EMPLOYMENT
“Every employee is a wellspring of potential
energy. The degree to which that energy is
tapped in any given employee is a function of
the interaction between the employee, his or her
manager, and working environment. An
organization that expects, inspires, and
encourages employees to their highest levels
will more than likely achieve those results.
Energized employees take charge and do what
needs to be done without being told.”
- Bob Nelson of Retention Connection
 Section 9. application of the law I however not
DESIGN COMPETITION and automatic. Foreign Civil Engineers must
Section 10. still secure a certificate of
CONTINGENCY BASIS OF EMPLOYMENT registration/license or special permit from
the Professional Regulation
• Design Competition is a process through Commission, Agencies, organizations or
which a Civil Engineer is selected above individuals, whether public or private,
other competitors based on proposal or who secure the service of a foreign Civil
an innovative approach to solving a Engineers, are made responsible by law
client’s needs. (RA 8991) for securing a special permit
• Canon 5c or the PICE Code of Ethics from the PRC and the Department of
provides that “Engineers may request, labor and Employment pursuant to their
Propose or Accept professional respective rules.
commissions on a contingency basis
only under circumstances in which their CLASSIFICATION OF CIVIL ENGINEERING
professional judgements would not be SERVICES
compromised.”
With the various specializations offered by civil
engineers, the services can be grouped into
Section11.
seven general categories.
PROFESSIONAL PRACTICE OF FOREIGN
CIVIL ENGINEERS 1. Consultant, Research, Investigations,
and Reports
Foreign Civil Engineers are allowed by law (see 2. Design Services for Construction
RA 8991) to practice Civil Engineering in the Reports
Philippines under the following instances: 3. Construction Services
4. Specialization Services for Construction
1. The laws on the foreigner’s state or Projects
country allow the citizens of the 5. Engineering Support Services
Philippines to practice Civil Engineering 6. Academics Services
on the same basis and grant the same 7. Services as Employee
privileges as those enjoyed by the
PURSUANT TO RA 544
subject or citizens of such foreign state or
THE DIFFERENT TYPES OF
country
INFRASTRUCTURE UNDER THE CIVIL
2. Allowed under international agreement.
ENGINEERING DOMAIN INCLUDE:
3. Consultants to be engaged in foreign-
1. Streets, bridges, highways, and
funded, joint venture or foreign-assisted
railroads.
projects of the government.
2. Airports and hangars.
4. Employees of the Philippines or Foreign
3. Port works, canals, rivers, and shore
private institution pursuant of law.
improvements, light houses, and dry
5. Civil Engineers who were former citizens
docks.
of the Philippines, who had been
4. Buildings.
registered and is used a certificate of
5. Fixed structures for irrigation, flood
registration and professional
protection, drainage, water supply, and
identification card prior to their
sewerage work.
naturalization as foreign citizens, and
6. Tunnels
who while in the country on a visit.
Sojourn or permanent residence, desire
to practice their profession. The