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Appendix C

Having used FIDIC 99 as the basis for identifying the modifications made within the analyzed contracts, it was necessary to understand the

differences between FIDIC 87 and FIDIC 99. The below comparison provides an overview on what additions and enhancements were made to

FIDIC 87 reaching the form of FIDIC 99. This also shows the advantages of using FIDIC 99 as the form of general conditions over FIDIC 87,

noting that the below comparison solely addresses the top 30 clauses identified through the analysis. Similar statements between FIDIC 87 and 99

are not copied in the below comparisons, but merely the ones which show the differences.

Points noted between FIDIC 87 and FIDIC 99:


1- Performance Security
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 4.2: FIDIC 99 has added a provision addressing the
If the terms of the Performance Security case when an expiry date is specified within
specify its expiry date, and the Contractor has the Performance Security, while FIDIC 87 is
not become entitled to receive the Performance silent regarding this point. However, it is
Certificate by the date 28 days prior to the generally stated through both FIDIC editions
expiry date, the Contractor shall extend the that the Performance Security shall be valid
validity of the Performance Security until the until the completion of the Works and remedial
Works have been completed and any defects of defects therein.
have been remedied.
Sub-Clause 10.3: Sub-Clause 4.2: FIDIC 87 has only required the Employer to
Prior to making a claim under the performance The Employer shall not make a claim under the notify the Contractor whenever a claim under
security the Employer shall, in every case, Performance Security, except for amounts to the Performance Security shall be made while
notify the Contractor stating the nature of the which the Employer is entitled under the FIDIC 99 has detailed the cases that entitled
default in respect of which the claim is to be Contract in the event of: the Employer to make a claim under the
made. (a) failure by the Contractor to extend the Performance Security. Furthermore, FIDIC 99
validity of the Performance Security as has indemnified the Contractor harmless
described in the preceding paragraph, in against any claims in relation to the
which event the Employer may claim the Performance Security to the extent to which
full amount of the Performance Security, the Employer is not entitled to make the claim.
(b) failure by the Contractor to pay the
Employer an amount due, as either
agreed by the Contractor or determined
under Sub-Clause 2.5 [Employer’s
Claims] or Clause 20 [Claims, Disputes
and Arbitration], within 42 days after
this agreement or determination,
(c) failure by the Contractor to remedy a
default within 42 days after receiving the
Employer’s notice requiring the default
to be remedied, or
(d) circumstances which entitle the
Employer to termination under Sub-
Clause 15.2 [Termination by Employer],
irrespective of whether notice of
termination has been given.

The Employer shall indemnify and hold the


Contractor harmless against and from all
damages, losses and expenses (including legal
fees and expenses) resulting from a claim
under the Performance Security to the extent to
which the Employer was not entitled to make
the claim.
Sub-Clause 10.2: Sub-Clause 4.2: Various minor differences were identified
“The performance security shall be valid until “…the Performance Security is valid and between both editions of the FIDIC, such as
the Contractor…” enforceable until the Contractor…” this example.
2- Programme of Works / Revised Programme
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 14.1: Sub-Clause 8.3: FIDIC 99 has specified a duration of 28 days
The Contractor shall, within the time stated in The Contractor shall submit a detailed time while FIDIC 87 has referred to Part II of these
Part II of these Conditions after the date of the programme to the Engineer within 28 days Conditions.
Letter of Acceptance, submit to the Engineer after receiving the notice under Sub-Clause 8.1
for his consent a programme [Commencement of Works].
Sub-Clause 14.1: Sub-Clause 8.3: FIDIC 87 has not specified certain
… in such form and detail as the Engineer shall Each programme shall include: requirements for the programme, but has left
reasonably prescribe, for the execution of the (a) the order in which the Contractor intends such requirements up to the Engineer’s
Works. The Contractor shall, whenever to carry out the Works, including the reasonable prescription.
required by the Engineer, also provide in anticipated timing of each stage of FIDIC 99, on the other hand, has stated
writing for his information a general design (if any), Contractor’s specific requirements for the programme.
description of the arrangements and methods Documents, procurement, manufacture
which the Contractor proposes to adopt for the of Plant, delivery to Site, construction,
execution of the Works.” erection and testing,
(b) each of these stages for work by each
nominated Subcontractor (as defined in
Clause 5 [Nominated Subcontractors]),
(c) the sequence and timing of inspections
and tests specified in the Contract, and
(d) a supporting report which includes:
(i) a general description of the methods
which the Contractor intends to
adopt, and of the major stages, in the
execution of the Works, and
(ii) details showing the Contractor’s
reasonable estimate of the
number of each class of
Contractor’s Personnel and of
each type of Contractor’s
Equipment, required on the Site
for each major stage.

Sub-Clause 14.2: Sub-Clause 8.3: FIDIC 87 has made the requirement of


If at any time it should appear to the Engineer The Contractor shall also submit a revised producing a revised programme up to when it
that the actual progress of the Works does not programme whenever the previous programme appears to the Engineer that the actual progress
conform to the programme to which consent is inconsistent with actual progress or with the of the Works does not conform the programme
has been given under Sub-Clause 14.1, the Contractor’s obligations. to which consent has been given under Sub-
Contractor shall produce, at the request of the Clause 14.1. Such a programme is required to
Engineer, a revised programme showing the If, at any time, the Engineer gives notice to the show the modifications between both
modifications to such programme necessary to Contractor that a programme fails (to the programmes that would allow ensuring
ensure completion of the Works within the extent stated) to comply with the Contract or to completion of the Works within the Time for
Time for Completion. be consistent with actual progress and the Completion.
Contractor’s stated intentions, the Contractor FIDIC 99 has obliged the Contractor to submit
shall submit a revised programme to the a revised programme whenever the previous
Engineer in accordance with this Sub-Clause.” one is inconsistent with the actual progress or
with the Contractor’s obligations, with no
consideration as to what may “appear to the
Engineer” regarding the progress of the Works,
as well as whenever requested by the Engineer
through a relevant notice. The requirements
that are to be considered are the same as
mentioned in the previous point.
Sub-Clause 8.3: FIDIC 87 is silent regarding this point.
Unless the Engineer, within 21 days after
receiving a programme, gives notice to the
Contractor stating the extent to which it does
not comply with the Contract, the Contractor
shall proceed in accordance with the
programme, subject to his other obligations
under the Contract. The Employer’s Personnel
shall be entitled to rely upon the programme
when planning their activities.

Sub-Clause 8.3: FIDIC 87 is silent regarding this point.


The Contractor shall promptly give notice to
the Engineer of specific probable future events
or circumstances which may adversely affect
the work, increase the Contract Price or delay
the execution of the Works. The Engineer may
require the Contractor to submit an estimate of
the anticipated effect of the future event or
circumstances, and/or a proposal under Sub-
Clause 13.3 [Variation Procedure].
3- Contract Price / Customs / Taxes
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 1.1 (e)“(i) “Contract Price” means Sub-Clause 1.1.4.2: FIDIC 87 has briefly referred to Contract Price
the sum stated in the Letter of Acceptance as “Contract Price” means the price defined in as the sum required for the execution and
payable to the Contractor for the execution and Sub-Clause 14.1 [The Contract Price], and completion of the Works, while FIDIC 99 has
completion of the Works and the remedying of includes adjustments in accordance with the detailed a definition of “Contract Price”
any defects therein in accordance with the Contract.” through Sub-Clause 14.1. The said Sub-Clause
provisions of the Contract.” 14.1 has specified the inclusion of taxes, duties
and fees related to the Contract within the
Contract Price, as well as other detailed
information.

Sub-Clause 26.1: Sub-Clause 1.13: FIDIC 87 and 99 have mainly included similar
“The Contractor shall conform in all respects, “The Contractor shall, in performing the provisions with regards to compliance with
including by the giving of all notices and the Contract, comply with applicable Laws. laws, statutes and regulations.
paying of all fees, with the provisions of: Unless otherwise stated in the Particular
(a) any National or State Statute, Ordinance, or Conditions:
other Law, or any regulation, or bye-law of any
local or other duly constituted authority in (a) the Employer shall have obtained (or
relation to the execution and completion of the shall obtain) the planning, zoning or
Works and the remedying of any defects similar permission for the Permanent
therein, and Works, and any other permissions
(b) the rules and regulations of all public described in the Specification as having
bodies and companies whose property or rights been (or being) obtained by the
are affected or may be affected in any way by Employer; and the Employer shall
the Works, and the Contractor shall keep the indemnify and hold the Contractor
Employer indemnified against all penalties and harmless against and from the
liability of every kind for breach of any such consequences of any failure to do so; and
provisions. (b) the Contractor shall give all notices, pay
Provided always that the Employer shall be all taxes, duties and fees, and obtain all
responsible for obtaining any planning, zoning permits, licences and approvals, as
or other similar permission required for the required by the Laws in relation to the
Works to proceed and shall indemnify the execution and completion of the Works
Contractor in accordance with Sub-Clause and the remedying of any defects; and
22.3.” the Contractor shall indemnify and hold
the Employer harmless against and from
the consequences of any failure to do so.”

Sub-Clause 54.3: Sub-Clause 2.2: FIDIC 87 and 99 are similar with regards to
“The Employer will use his best endeavours in The Employer shall (where he is in a position having the Employer assisting the Contractor
assisting the Contractor, where required, in to do so) provide reasonable assistance to the with obtaining certain clearances to his best
obtaining clearance through the Customs of Contractor at the request of the Contractor: endeavours or through the provision of
Contractor's Equipment, materials and other (a) by obtaining copies of the Laws of the reasonable assistance. FIDIC 99 included more
things required for the Works.” Country which are relevant to the Contract but requirements.
are not readily available, and
(b) for the Contractor’s applications for any
permits, licences or approvals required
by the Laws of the Country:
(i)which the Contractor is required to obtain
under Sub-Clause 1.13 [Compliance with
Laws],
(ii)for the delivery of Goods, including
clearance through customs, and
(iii)for the export of Contractor’s Equipment
when it is removed from the Site.
Sub-Clause 9.1: Sub-Clause 1.6: FIDIC 87 and 99 are mainly similar with
“The Contractor shall, if called upon so to do, “The Parties shall enter into a Contract regards to the responsibility of paying costs (if
enter into and execute the Contract Agreement, Agreement within 28 days after the Contractor
to be prepared and completed at the cost of the receives the Letter of Acceptance, unless they any) related to entering into the Contract
Employer, in the form annexed to these agree otherwise. The Contract Agreement shall Agreement, with minor wording differences.
Conditions with such modification as may be be based upon the form annexed to the
necessary.” Particular Conditions. The costs of stamp
duties and similar charges (if any) imposed by
law in connection with entry into the Contract
Agreement shall be borne by the Employer.”
4- Language and Law
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 1.4: FIDIC 99 has added a provision addressing the
The language for communications shall be that language of communication, while FIDIC 87 is
stated in the Appendix to Tender. If no silent in this regard. No other considerable
language is stated there, the language for differences were identified between FIDIC 87
communications shall be the language in and FIDIC 99.
which the Contract (or most of it) is written
5- Priority of Contract Documents
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 5.2: Sub-Clause 1.5: FIDIC 99 has addressed some more documents
(1) The Contract Agreement (if completed); (a) the Contract Agreement (if any), forming part of the Contract (i.e. Specification,
(2) The Letter of Acceptance; (b) the Letter of Acceptance, Drawings and Schedules), and prioritized
(3) The Tender; (c) the Letter of Tender, them. No other considerable differences were
(4) Part II of these Conditions; (d) the Particular Conditions, identified between FIDIC 87 and FIDIC 99.
(5) Part I of these Conditions; and (e) these General Conditions,
(6) Any other document forming part of the (f) the Specification,
Contract. (g) the Drawings, and
(h) the Schedules and any other documents
forming part of the Contract.
6- Health, Safety and Environment
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 19.1: Sub-Clause 4.8: FIDIC 99 has mainly covered the provisions
The Contractor shall, throughout the execution The Contractor shall: included within FIDIC 87 with the exception
and completion of the Works and the (a) comply with all applicable safety of minor differences. FIDIC 99 has required
remedying of any defects therein: regulations, the Contractor to provide fencing, lighting,
(a) have full regard for the safety of all persons (b) take care for the safety of all persons guarding and watching of the Works, while
entitled to be upon the Site and keep the Site entitled to be on the Site, FIDIC 87 has required him to provide similar
(so far as the same is under his control) and the (c) use reasonable efforts to keep the Site and items “when and where necessary or required
Works (so far as the same are not completed or Works clear of unnecessary obstruction so as by the Engineer or by any duly constituted
occupied by the to avoid danger to these persons, authority, for the protection of the
Employer) in an orderly state appropriate to the (d) provide fencing, lighting, guarding and Works or for the safety and convenience of the
avoidance of danger to such persons, watching of the Works until completion and public...” FIDIC 99 has added the provision of
(b) provide and maintain at his own cost all taking over under Clause 10 [Employer’s Temporary Works, as necessary, “for the use
lights, guards, fencing, warning signs and Taking Over], and and protection of the public and of owners…”
watching, when and where necessary or (e) provide any Temporary Works (including FIDIC 99 has added various more provision, as
required by the Engineer or by any duly roadways, footways, guards and fences) which shown below.
constituted authority, for the protection of the may be necessary, because of the execution of
Works or for the safety and convenience of the the Works, for the use and protection of the
public or others, and public and of owners and occupiers of adjacent
(c) take all reasonable steps to protect the land.
environment on and off the Site and to avoid
damage or nuisance to persons or to property The Contractor shall take all reasonable steps
of the public or others resulting from pollution, to protect the environment (both on and off the
noise or other causes arising as a consequence Site) and to limit damage and nuisance to
of his methods of operation. people and property resulting from pollution,
noise and other results of his operations.
Sub-Clause 4.18: FIDIC 99 has specified a limit for emission,
The Contractor shall ensure that emissions, surface discharges and effluent while FIDIC
surface discharges and effluent from the 87 is silent in this regard.
Contractor’s activities shall not exceed the
values indicated in the Specification, and shall
not exceed the values prescribed by applicable
Laws.
Unless otherwise stated in the Particular FIDIC 99 has addressed the authorization of
Conditions: persons allowed to stay onsite, while FIDIC 87
(a) the Contractor shall be responsible for is silent in this regard.
keeping unauthorised persons off the Site, and
(b) authorised persons shall be limited to the
Contractor’s Personnel and the
Employer’s Personnel; and to any other
personnel notified to the Contractor, by
the Employer or the Engineer, as
authorised personnel of the Employer’s
other contractors on the Site.
Sub-Clause 6.7: FIDIC 99 has addressed and detailed Health
The Contractor shall at all times take all and Safety Measures that are required onsite
reasonable precautions to maintain the health while FIDIC 87 is silent in this regard.
and safety of the Contractor’s Personnel. In
collaboration with local health authorities, the
Contractor shall ensure that medical staff, first
aid facilities, sick bay and ambulance service
are available at all times at the Site and at any
accommodation for Contractor’s and
Employer’s Personnel, and that suitable
arrangements are made for all necessary
welfare and hygiene requirements and for the
prevention of epidemics.
The Contractor shall appoint an accident
prevention officer at the Site, responsible for
maintaining safety and protection against
accidents. This person shall be qualified for
this responsibility, and shall have the authority
to issue instructions and take protective
measures to prevent accidents. Throughout the
execution of the Works, the Contractor shall
provide whatever is required by this person to
exercise this responsibility and authority.
The Contractor shall send, to the Engineer,
details of any accident as soon as practicable
after its occurrence. The Contractor shall
maintain records and make reports concerning
health, safety and welfare of persons, and
damage to property, as the Engineer may
reasonably require.
7- Variations
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 13.1: FIDIC 99 has specified the time by which
Variations may be initiated by the Engineer at variations may be initiated, while FIDIC 87 is
any time prior to issuing the Taking-Over silent in this regard.
Certificate for the Works, either by an
instruction or by a request for the Contractor to
submit a proposal.
Sub-Clause 13.1: FIDIC 99 has bounded the Contractor by each
The Contractor shall execute and be bound by variation and provided him a room for
each Variation, unless the Contractor promptly objecting against following variations
gives notice to the Engineer stating (with whenever he is unable to obtain related Goods.
supporting particulars) that the Contractor
cannot readily obtain the Goods required for
the Variation.
Sub-Clause 51.1: Sub-Clause 13.1: Minor differences were identified between
(a) increase or decrease the quantity of any (a) changes to the quantities of any item of FIDIC 87 and FIDIC 99 with regards to this
work included in the Contract, work included in the Contract (however, such point.
(b) omit any such work (but not if the omitted changes do not necessarily constitute a
work is to be carried out by the Employer or by Variation),
another contractor), (b) changes to the quality and other
(c) change the character or quality or kind of characteristics of any item of work,
any such work, (c) changes to the levels, positions and/or
(d) change the levels, lines, position and dimensions of any part of the Works,
dimensions of any part of the Works, (d) omission of any work unless it is to be
(e) execute additional work of any kind carried out by others,
necessary for the completion of the Works, or (e) any additional work, Plant, Materials or
(f) change any specified sequence or timing of services necessary for the Permanent Works,
construction of any part of the Works. including any associated Tests on Completion,
boreholes and other testing and exploratory
work, or
(f) changes to the sequence or timing of the
execution of the Works.
Sub-Clause 51.1: FIDIC 87 has addressed the effect of variations
No such variation shall in any way vitiate or on the Contract, and deemed the Contractor
invalidate the Contract, but the effect, if any, responsible for any costs arising due to a
of all such variations shall be valued in variation necessitated due to his default. FIDIC
accordance with Clause 52. Provided that 99 is silent in this regard.
where the issue of an instruction to vary the
Works is necessitated by some default of or
breach of contract by the Contractor or for
which he is responsible, any additional cost
attributable to such default shall be borne by
the Contractor.
Sub-Clause 51.2: Sub-Clause 13.1: Both forms have addressed the increase or
Provided that no instruction shall be required (a) changes to the quantities of any item of decrease of quantities; however, FIDIC 87 has
for increase or decrease in the quantity of any work included in the Contract (however, such stated such changes shall not be deemed as
work where such increase or decrease is not the changes do not necessarily constitute a variations unless they are instructed under the
result of an instruction given under this Clause, Variation), relevant Sub-Clause, while FIDIC 99 has
but is the result of the quantities exceeding or generally stated that such changes may not
being less than those stated in the Bill of necessarily constitute a variation.
Quantities.
Sub-Clause 13.3: FIDIC 99 has allowed for requesting
If the Engineer requests a proposal, prior to proposals, prior to instructing variations, by
instructing a Variation, the Contractor shall the Engineer, and provided the relevant
respond in writing as soon as practicable, procedures to be followed. FIDIC 87 is silent
either by giving reasons why he cannot comply in this regard.
(if this is the case) or by submitting:

(a) a description of the proposed work to be


performed and a programme for its execution,
(b) the Contractor’s proposal for any
necessary modifications to the
programme according to Sub-Clause 8.3
[Programme] and to the Time for
Completion, and
(c) the Contractor’s proposal for evaluation
of the Variation.

The Engineer shall, as soon as practicable after


receiving such proposal (under Sub-Clause
13.2 [Value Engineering] or otherwise),
respond with approval, disapproval or
comments. The Contractor shall not delay any
work whilst awaiting a response.
Each instruction to execute a Variation, with
any requirements for the recording of Costs,
shall be issued by the Engineer to the
Contractor, who shall acknowledge receipt.

Each Variation shall be evaluated in


accordance with Clause 12 [Measurement and
Evaluation], unless the Engineer instructs or
approves otherwise in accordance with this
Clause.
Sub-Clause 52.1: Sub-Clause 12.3: Both forms have specified the use of the
All variations referred to in Clause 51 and any Except as otherwise stated in the Contract, the applicable rates and prices set in the Contractor
additions to the Contract Price which are Engineer shall proceed in accordance with for the evaluation purposes. Whenever there
required to be determined in accordance with Sub-Clause 3.5 [Determinations] to agree or are no applicable rates and prices, FIDIC 87
Clause 52 (for the purposes of this Clause determine the Contract Price by evaluating has specified that rates and prices in the
referred to as “varied work”), shall be valued each item of work, applying the measurement Contract shall be used as the basis for
at the rates and prices set out in the Contract if, agreed or determined in accordance with the valuation, while FIDIC 99 has specified the
in the opinion of the Engineer, the same shall above Sub-Clauses 12.1 and 12.2 and the use of those specified for similar work. FIDIC
be applicable. If the Contract does not contain appropriate rate or price for the item. 99 has provided certain conditions for the
any rates or prices applicable to the varied For each item of work, the appropriate rate or appropriateness of a new rate or price for an
work, the rates and prices in the Contract shall price for the item shall be the rate or price item of work, while FIDIC 87 has left such a
be used as the basis for valuation so far as may specified for such item in the Contract or, if matter open to the agreement between the
be reasonable, failing which, after due there is no such item, specified for similar Engineer and the Contractor. Both forms have
consultation by the Engineer with the work. However, a new rate or price shall be allowed for determining a certain rate or price
Employer and the Contractor, suitable rates or appropriate for an item of work if: by the Engineer to be used for interim
prices shall be agreed upon between the (a) (i) the measured quantity of the item is payments until such an agreement is reached.
Engineer and the Contractor. In the event of changed by more than 10% from the
disagreement the Engineer shall fix such rates quantity of this item in the Bill of
or prices as are, in his opinion, appropriate and Quantities or other Schedule
shall notify the Contractor accordingly, with a (ii) this change in quantity multiplied
copy to the Employer. Until such time as rates by such specified rate for this item
or prices are agreed or fixed, the Engineer shall exceeds 0.01% of the Accepted
determine provisional rates or prices to enable Contract Amount,
on-account payments to be included in (iii) this change in quantity directly
certificates issued in accordance with Clause changes the Cost per unit quantity of
60. this item by more than 1%, and
(iv) this item is not specified in the
Contract as a “fixed rate item”;
Or
(b) (i) the work is instructed under Clause
13 [Variations and Adjustments],
(ii) no rate or price is specified in the
Contract for this item, and
(iii) no specified rate or price is
appropriate because the item of work is
not of similar character, or is not
executed under similar conditions, as
any item in the Contract.
Each new rate or price shall be derived from
any relevant rates or prices in the Contract,
with reasonable adjustments to take account of
the matters described in sub-paragraph (a)
and/or (b), as applicable. If no rates or prices
are relevant for the derivation of a new rate or
price, it shall be derived from the reasonable
Cost of executing the work, together with
reasonable profit, taking account of any other
relevant matters.

Until such time as an appropriate rate or price


is agreed or determined, the Engineer shall
determine a provisional rate or price for the
purposes of Interim Payment Certificates.
8- Payment
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 60.2: Sub-Clause 14.6: No considerable differences were identified
Provided that the Engineer shall not be bound However, prior to issuing the Taking-Over between FIDIC 87 and 99 with regards to
to certify any payment under this Sub-Clause Certificate for the Works, the Engineer shall Minimum amount of Interim payment
if the net amount thereof, after all retentions not be bound to issue an Interim Payment Certificates other than that FIDIC 99 has
and deductions, would be less than the Certificate in an amount which would (after required the Engineer to notify the Contractor
Minimum Amount of Interim Payment retention and other deductions) be less than the accordingly.
Certificates stated in the Appendix to Tender. minimum amount of Interim Payment
Certificates (if any) stated in the Appendix to
Tender. In this event, the Engineer shall give
notice to the Contractor accordingly.
Sub-Clause 14.6: FIDIC 99 has stated the cases which may lead
An Interim Payment Certificate shall not be to withholding the Interim Payment
withheld for any other reason, although: Certificates, while FIDIC 87 is silent in this
(a) if any thing supplied or work done by the regard.
Contractor is not in accordance with the
Contract, the cost of rectification or
replacement may be withheld until
rectification or replacement has been
completed; and/or
(b) if the Contractor was or is failing to
perform any work or obligation in
accordance with the Contract, and had
been so notified by the Engineer, the
value of this work or obligation may be
withheld until the work or obligation has
been performed.
Sub-Clause 60.4: Sub-Clause 14.6: Minor differences in wording have been
The Engineer may in any Payment Certificate identified between FIDIC 87 and 99 with
The Engineer may by any Interim Payment make any correction or modification that regards to correction of certificates. FIDIC 87
Certificate make any correction or should properly be made to any previous has elaborated on the reason that would allow
modification in any previous Interim Payment Payment Certificate. A Payment Certificate the Engineer to correct any payment
Certificate which shall have been issued by shall not be deemed to indicate the Engineer’scertificate, as opposed to FIDIC 99, which was
him and shall have authority, if any work is not acceptance, approval, consent or satisfaction.brief in this regard. FIDIC 99 has added that
being carried out to his satisfaction, to omit or payment certificates are not “deemed to
reduce the value of such work in any Interim indicate the Engineer’s acceptance, approval,
Payment Certificate. consent or satisfaction.”
Sub-Clause 14.7: FIDIC 99 has added a provision related to the
The Employer shall pay to the Contractor: payment of the Advance Payment, while
(a) the first instalment of the advance FIDIC 87 does not include provisions related
payment within 42 days after issuing the to Advance Payment.
Letter of Acceptance or within 21 days
after receiving the documents in
accordance with Sub-Clause 4.2
[Performance Security] and Sub-Clause
14.2 [Advance Payment], whichever is
later;

Sub-Clause 60.10: Sub-Clause 14.7: FIDIC 87 has required the Employer to pay the
The amount due to the Contractor under any The Employer shall pay to the Contractor: Contractor within 28 days after the time by
Interim Payment Certificate issued by the (b) the amount certified in each Interim which the Interim Payment Certificate has
Engineer pursuant to this Clause, or to any Payment Certificate within 56 days after been delivered to the Employer, while FIDIC
other term of the Contract, shall, subject to the Engineer receives the Statement and 99 has required such payment to be made
Clause 47, be paid by the Employer to the supporting documents; and within 56 days after the Engineer received the
Contractor within 28 days after such Interim statement and supporting documents.
Payment Certificate has been delivered to the
Employer…
Sub-Clause 60.10: Sub-Clause 14.8: FIDIC 87 has required the Employer to pay an
In the event of the failure of the Employer to If the Contractor does not receive payment in interest at the rate stated in the Appendix to
make payment within the times stated, the accordance with Sub-Clause 14.7 [Payment], Tender in case it failed to make the
Employer shall pay to the Contractor interest the Contractor shall be entitled to receive Contractor’s payment within the specified
at the rate stated in the Appendix to Tender financing charges compounded monthly on the times. FIDIC 99 has entitled the Contractor to
upon all sums unpaid from the date by which amount unpaid during the period of delay… receive financing charges for the same, for
the same should have been paid. Unless otherwise stated in the Particular which criterion of calculation was provided.
Conditions, these financing charges shall be
calculated at the annual rate of three
percentage points above the discount rate of
the central bank in the country of the currency
of payment, and shall be paid in such currency.
The Contractor shall be entitled to this
payment without formal notice or certification,
and without prejudice to any other right or
remedy.
9- Insurance
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 21.1: Sub-Clause 18.1: FIDIC 87 has deemed the Contractor as the
The Contractor shall, without limiting his or In this Clause, “insuring Party” means, for party that shall make the insurances as required
the Employer’s obligations and responsibilities each type of insurance, the Party responsible by the Contract, while FIDIC 99 has added the
under Clause 20, insure: … for effecting and maintaining the insurance possibility that the Employer might become
specified in the relevant Sub-Clause. the insuring party, and has set different
requirements based on each possibility.
Wherever the Contractor is the insuring Party,
each insurance shall be effected with insurers
and in terms approved by the Employer. These
terms shall be…

Wherever the Employer is the insuring Party,


each insurance shall be effected with insurers
and in terms consistent with the details
annexed to the Particular Conditions.
Sub-Clause 25.1: Sub-Clause 18.1: FIDIC 87 has detailed the requirements for
The Contractor shall provide evidence to the The relevant insuring Party shall, within the submitting certain insurance evidences and
Employer prior to the start of work at the Site respective periods stated in the Appendix to polices, while FIDIC 99 has briefed these
that the insurances required under the Contract Tender (calculated from the Commencement requirements through references to the
have been effected and shall, within 84 days of Date), submit to the other Party: Appendix to Tender and other Sub-Clause of
the Commencement Date, provide the (a) evidence that the insurances described in the Contract. Minor differences were identified
insurance policies to the Employer. When this Clause have been effected, and between the two forms in relation with this
providing such evidence and such policies to (b) copies of the policies for the insurances provision.
the Employer, the Contractor shall notify the described in Sub-Clause 18.2 [Insurance
Engineer of so doing. Such insurance policies for Works and Contractor’s Equipment]
shall be consistent with the general terms and Sub-Clause 18.3 [Insurance against
agreed prior to the issue of the Letter of Injury to Persons and Damage to
Acceptance. The Contractor shall effect all Property].
insurances for which he is responsible with
insurers and in terms approved by the
Employer.
Sub-Clause 25.2: Sub-Clause 18.1: Minor differences were identified between the
The Contractor shall notify the insurers of When each premium is paid, the insuring Party two forms with regards to this provision, such
changes in the nature, extent or programme forshall submit evidence of payment to the other as requiring the insuring Party to notify the
the execution of the Works and ensure the Party. Whenever evidence or policies are Engineer whenever evidences or policies are
adequacy of the insurances at all times in submitted, the insuring Party shall also give submitted through FIDIC 99, while FIDIC 87
accordance with the terms of the Contract and notice to the Engineer. is silent in this regard. Moreover, FIDIC 99 has
shall, when required, produce to the Employer Each Party shall comply with the conditions required the insuring Party to submit evidence
the insurance policies in force and the receipts
stipulated in each of the insurance policies. of payment to the other Party, while FIDIC 87
for payment of the current premiums. The insuring Party shall keep the insurers has not introduced this as an obligation to be
informed of any relevant changes to the fulfilled in all circumstances, but only “when
execution of the Works and ensure that required” by the Employer.
insurance is maintained in accordance with this
Clause.
Sub-Clause 18.1: FIDIC 99 has required the insuring Party to
Neither Party shall make any material notify the other whenever any changes to the
alteration to the terms of any insurance without terms of any insurance may take place, without
the prior approval of the other Party. If an approval the approval of the other, while
insurer makes (or attempts to make) any FIDIC 87 is silent in this regard.
alteration, the Party first notified by the insurer
shall promptly give notice to the other Party.
Sub-Clause 21.3: Sub-Clause 18.1: FIDIC 87 has referred to Clause 20 for which
Any amounts not insured or not recovered Nothing in this Clause limits the obligations, provision shall apply in relation to any
from the insurers shall be borne by the liabilities or responsibilities of the Contractor amounts not insured or not recovered from the
Employer or the Contractor in accordance with or the Employer, under the other terms of the insurers. The said Clause has detailed the
their responsibilities under Clause 20. Contract or otherwise. Any amounts not liabilities and obligations of the Contractor and
insured or not recovered from the insurers shall the Employer in relation to the “Care of
be borne by the Contractor and/or the Works” and “Responsibility to Rectify Loss or
Employer in accordance with these Damage”. FIDIC 99 has required the insuring
obligations, liabilities or responsibilities. Party to pay for the amounts that should have
However, if the insuring Party fails to effect been recoverable under the insurance with
and keep in force an insurance which is regards to the same.
available and which it is required to effect and
maintain under the Contract, and the other
Party neither approves the omission nor effects
insurance for the coverage relevant to this
default, any moneys which should have been
recoverable under this insurance shall be paid
by the insuring Party.
Sub-Clause 25.3: Sub-Clause 18.1: Various differences were identified between
If the Contractor fails to effect and keep in If the insuring Party fails to effect and keep in the two FIDIC forms with regards to failure to
force any of the insurances required under the force any of the insurances it is required to effect and keep in force insurances. FIDIC 87
Contract, or fails to provide the policies to the effect and maintain under the Contract, or fails has unified the consequences of the said failure
Employer within the period required by Sub- to provide satisfactory evidence and copies of with the provision of the policies to Employer
Clause 25.1, then and in any such case the policies in accordance with this Sub-Clause, within specified time frame while FIDIC 99
Employer may effect and keep in force any the other Party may (at its option and without has unified the same with the failure to provide
such insurances and pay any premium as may prejudice to any other right or remedy) effect satisfactory evidence and copies of policies.
be necessary for that purpose and from time to insurance for the relevant coverage and pay the FIDIC 87 has specified that such a failure shall
time deduct the amount so paid from any premiums due. The insuring Party shall pay the allow the Employer to effect and keep in force
monies due or to become due to the Contractor, amount of these premiums to the other Party, any such insurances and pay the premium, for
or recover the same as a debt due from the and the Contract Price shall be adjusted which value would be deducted from the
Contractor. accordingly. Contractor through certain ways of deduction.
FIDIC 99 has allowed the other party to effect
insurance for the relevant coverage and pay the
premiums due, and required the insuring Party
to pay the amounts resulting from this failure
without further details.
Sub-Clause 21.1: Sub-Clause 18.2: FIDIC 87 has required the insurance related to
The Contractor shall, without limiting his or The insuring Party shall insure the the Contractor’s Equipment to be for a sum
the Employer’s obligations and responsibilities Contractor’s Equipment for not less than the sufficient to provide for their replacement at
under Clause 20, insure: full replacement value, including delivery to the Site, while FIDIC 99 has required the same
Site. For each item of Contractor’s Equipment, to be for not less than the full replacement
(c) the Contractor’s Equipment and other the insurance shall be effective while it is being value including delivery to Site. FIDIC 99 has
things brought onto the Site by the Contractor, transported to the Site and until it is no longer required that such insurance shall be effective
for a sum sufficient to provide for their required as Contractor’s Equipment. while it is being transported to the Site and
replacement at the Site. until it is no longer required as Contractor’s
equipment, while FIDIC 87 is silent in this
regard.
Sub-Clause 21.4: Sub-Clause 18.2: Various differences were noted in the
There shall be no obligation for the insurances Unless otherwise stated in the Particular exclusions related to insurances between the
in Sub-Clause 21.1 to include loss or damage Conditions, insurances under this Sub-Clause: two forms of FIDIC as herein shown through
caused by: (d) shall also cover loss or damage to a part of the contents of the compared Sub-Clauses.
(a) war, hostilities (whether war be declared or the Works which is attributable to the use or
not), invasion, act of foreign enemies, occupation by the Employer of another part of
(b) rebellion, revolution, insurrection, or the Works, and loss or damage from the risks
military or usurped power, or civil war, listed in sub-paragraphs (c), (g) and (h) of Sub-
(c) ionising radiations, or contamination by Clause 17.3 [Employer’s Risks], excluding (in
radio-activity from any nuclear fuel, or from each case) risks which are not insurable at
any nuclear waste from the combustion of commercially reasonable terms, with
nuclear fuel, radio-active toxic explosive or deductibles per occurrence of not more than
other hazardous properties of any explosive the amount stated in the Appendix to Tender
nuclear assembly or nuclear component (if an amount is not so stated, this sub-
thereof, or paragraph (d) shall not apply),…
(d) pressure waves caused by aircraft or other
aerial devices travelling at sonic or supersonic Unless otherwise stated in the Particular
speeds. Conditions, insurances under this Sub-Clause:
(e) may however exclude loss of, damage
to, and reinstatement of:
(i) a part of the Works which is in a
defective condition due to a defect in its
design, materials or workmanship (but
cover shall include any other parts which
are lost or damaged as a direct result of
this defective condition and not as
described in sub-paragraph (ii) below),
(ii) a part of the Works which is lost or
damaged in order to reinstate any other
part of the Works if this other part is in a
defective condition due to a defect in its
design, materials or workmanship,
(iii) a part of the Works which has been
taken over by the Employer, except to
the extent that the Contractor is liable for
the loss or damage, and
(iv) Goods while they are not in the
Country, subject to Sub-Clause 14.5
[Plant and Materials intended for the
Works].
Sub-Clause 18.2: FIDIC 99 has specified the consequences that
If, more than one year after the Base Date, the shall take place should a described cover
cover described in sub-paragraph (d) above related to certain risks ceases to be available at
ceases to be available at commercially commercially reasonable terms, while FIDIC
reasonable terms, the Contractor shall (as 87 is silent in this regard.
insuring Party) give notice to the Employer,
with supporting particulars. The Employer
shall then (i) be entitled subject to Sub-Clause
2.5 [Employer’s Claims] to payment of an
amount equivalent to such commercially
reasonable terms as the Contractor should have
expected to have paid for such cover, and (ii)
be deemed, unless he obtains the cover at
commercially reasonable terms, to have
approved the omission under Sub-Clause 18.1
[General Requirements for Insurances].
Sub-Clause 21.1: Sub-Clause 18.2: FIDIC 87 has required the Contractor to insure
The insuring Party shall insure the Works, the Works, plant and materials to their full
The Contractor shall, without limiting his or Plant, Materials and Contractor’s Documents replacement cost with an additional sum of 15
the Employer’s obligations and responsibilities for not less than the full reinstatement cost per cent of such cost to cover for any additional
under Clause 20, insure: including the costs of demolition, removal of costs, while FIDIC 99 has required the insuring
(a) the Works, together with materials and debris and professional fees and profit. Party to insure for the same in addition to the
Plant for incorporation therein, to the full Contractor’s Documents for not less than the
replacement cost (the term "cost" in this full reinstatement cost including other
context shall include profit), additional costs.
(b) an additional sum of 15 per cent of such
replacement cost, or as may be specified in Part
II of these Conditions, to cover any additional
costs of and incidental to the rectification of
loss or damage including professional fees and
the cost of demolishing and removing any part
of the Works and of removing debris of
whatsoever nature, and
10- Extension of Time for Completion
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 44.1: Sub-Clause 18.4: FIDIC 87 has provided similar events to FIDIC
(e)other special circumstances which may (d) Unforeseeable shortages in the 99 that entitle the Contractor to extension of
occur, other than through a default of or breach availability of personnel or Goods time, except for point (e) of FIDIC 87 and
of contract by the Contractor or for which he is caused by epidemic or governmental point (d) of FIDIC 99. The said point (e)
responsible, actions, entitles the Contractor to extension of time for
special circumstances which may occur other
than through a default or a breach of contract
by the Contractor, leaving a room for
uncertainty as to what could be deemed as
special circumstances. FIDIC 99 has avoided
such an uncertainty through point (d) by
specifying certain circumstances that would
entitle the Contractor to extension of time,
such as unforeseeable shortages in the
availability of personnel or Goods caused by
epidemic or governmental actions. Other
minor differences were noted between the two
forms.
11- Arbitration
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 67.3: Sub-Clause 20.6: Minor differences were noted between FIDIC
Any dispute in respect of which: Unless settled amicably, any dispute in respect
87 and FIDIC 99. FIDIC 87 has mentioned the
(a) the decision, if any, of the Engineer has not of which the DAB’s decision (if any) has not
Engineer’s decision while FIDIC 99 has
become final and binding pursuant to Sub- become final and binding shall be finally mentioned the DAB’s (Dispute Adjudication
Clause 67.1, and settled by international arbitration. Board) decision due to the fact that FIDIC 87
does not include provisions relevant to the
formation of a DAB.
Sub-Clause 67.3: Sub-Clause 20.6: FIDIC 87 has specified that the settlement of
shall be finally settled, unless otherwise (b) the dispute shall be settled by three disputes would be implemented by one or more
specified in the Contract, under the Rules of arbitrators appointed in accordance with arbitrators, while FIDIC 99 has specified three
Conciliation and Arbitration of the these Rules, and arbitrators.
International Chamber of Commerce by one or
more arbitrators appointed under such Rules.
12- Engineer’s Duties and Authority
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 3.1: FIDIC 99 has addressed the Engineer’s staff
The Engineer’s staff shall include suitably with regards to their qualifications, while
qualified engineers and other professionals FIDIC 87 is silent in this regard.
who are competent to carry out these duties.
Sub-Clause 3.1: FIDIC 99 has specified that the Engineer shall
The Engineer shall have no authority to amend have no authority to amend the Contract, while
the Contract. FIDIC 87 is silent in this regard.
Sub-Clause 2.1: Sub-Clause 3.1: Minor differences were identified between
(b) The Engineer may exercise the authority The Engineer may exercise the authority FIDIC 87 and 99 with regards to this point
specified in or necessarily to be implied from attributable to the Engineer as specified in or except that FIDIC 99 has added the
the Contract, provided, however, that if the necessarily to be implied from the Contract. If Employer’s undertaking “not to impose further
Engineer is required, under, the terms of his the Engineer is required to obtain the approval constraints on the Engineer’s authority, except
appointment by the Employer, to obtain the of the Employer before exercising a specified as agreed with the Contractor.”
specific approval of the Employer before authority, the requirements shall be as stated in
exercising any such authority, particulars of the Particular Conditions. The Employer
such requirements shall be set out in Part II ofundertakes not to impose further constraints on
these Conditions. Provided further that any the Engineer’s authority, except as agreed with
requisite approval shall be deemed to have the Contractor.
been given by the Employer for any such
authority exercised by the Engineer. However, whenever the Engineer exercises a
specified authority for which the Employer’s
approval is required, then (for the purposes of
the Contract) the Employer shall be deemed to
have given approval.
Sub-Clause 3.1: FIDIC 99 has specified that the Engineer shall
whenever carrying out duties or exercising be deemed to act for the Employer whenever
authority, specified in or implied by the carrying out duties in accordance to the
Contract, the Engineer shall be deemed to act
for the Employer; Contract, while FIDIC 87 is silent in this
regard.
Sub-Clause 3.1: FIDIC 99 has added a provision that deems the
(c) any approval, check, certificate, consent, approvals and other actions by the Engineer as
examination, inspection, instruction, acts that do not relieve the Contractor from his
notice, proposal, request, test, or similar act responsibilities under the Contract, while
by the Engineer (including absence of FIDIC 87 is silent in this regard.
disapproval) shall not relieve the
Contractor from any responsibility he has
under the Contract, including responsibility
for errors, omissions, discrepancies and
non-compliances.

13- Advance Payment – Covered under point no. 9 above “Payment”


14- Confidential Details
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 1.12: FIDIC 99 has addressed confidential details,
The Contractor shall disclose all such while FIDIC 87 is silent in this regard.
confidential and other information as the
Engineer may reasonably require in order to
verify the Contractor’s compliance with the
Contract.
15- Drawings
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 6.1: Sub-Clause 1.8: FIDIC 87 has made the custody of the
The Drawings shall remain in the sole custody The Specification and Drawings shall be in the drawings to remain with the Engineer while
of the Engineer… custody and care of the Employer. made it with the Employer within FIDIC 99.
FIDIC 99 has specified the custody of the
specifications along with the drawings, while
FIDIC 87 is silent in this regard.
Sub-Clause 6.1: FIDIC 87 has limited the use of the documents
Unless it is strictly necessary for the purposes provided by the Employer to the Contractor,
of the Contract, the Drawings, Specification requiring him to obtain a consent from the
and other documents provided by the Engineer in case it decided to share the use
Employer or the Engineer shall not, without with third parties.
the consent of the Engineer, be used or
communicated to a third party by the
Contractor.
Sub-Clause 6.1: Sub-Clause 1.8: FIDIC 87 has required returning the
Upon issue of the Defects Liability Certificate, Each of the Contractor’s Documents shall be indocuments provided to the Contractor upon
the Contractor shall return to the Engineer all the custody and care of the Contractor, unlessissue of the Defects Liability Certificate, while
Drawings, Specification and other documents and until taken over by the Employer. FIDIC 99 has kept the custody and care of the
provided under the Contract. same with the Contractor until taken over by
the Employer.
Sub-Clause 6.1: Sub-Clause 1.8: FIDIC 87 has required the Contractor to supply
The Contractor shall supply to the Engineer Unless otherwise stated in the Contract, the the Engineer with four copies of all documents
four copies of all Drawings, Specification and Contractor shall supply to the Engineer six submitted by him along with reproducible
other documents submitted by the Contractor copies of each of the Contractor’s Documents. copies pertaining to certain conditions. FIDIC
and approved by the Engineer in accordance 99 has merely required the Contractor to
with Clause 7, together with a reproducible provide six copies of the same documents.
copy of any material which cannot be
reproduced to an equal standard by
photocopying.
Sub-Clause 6.1: FIDIC 87 has required the Contractor to supply
In addition the Contractor shall supply such further copies upon request by the Engineer on
further copies of such Drawings, Specification the cost of the Employer, while FIDIC 99 is
and other documents as the Engineer may silent in this regard.
request in writing for the use of the Employer,
who shall pay the cost thereof.
Sub-Clause 1.8: FIDIC 99 has required all parties to report to
If a Party becomes aware of an error or defect the others any identified technical error or
of a technical nature in a document which was defect, while FIDIC 87 has covered the same
prepared for use in executing the Works, the under a different Sub-Clause, being Sub-
Party shall promptly give notice to the other Clause 8.1.
Party of such error or defect.
Sub-Clause 6.4: Sub-Clause 1.9: FIDIC 87 has linked the Engineer’s failure to
If, by reason of any failure or inability of the The Contractor shall give notice to the provide necessary drawings or instructions
Engineer to issue, within a time reasonable in Engineer whenever the Works are likely to be with Sub-Clause 63, while FIDIC 99 has not
all the circumstances, any drawing or delayed or disrupted if any necessary drawing made a similar link, leaving less restrictions on
instruction for which notice has been given by or instruction is not issued to the Contractor the Contractor with regards to requesting a
the Contractor in accordance with Sub-Clause within a particular time, which shall be compensation resulting from such failure.
63, the Contractor suffers delay and/or incurs reasonable. The notice shall include details of FIDIC 99 has required the Contractor to
costs then the Engineer shall, after due the necessary drawing or instruction, details of provide a detailed notice with certain
consultation with the Employer and the why and by when it should be issued, and requirements prior to experiencing impacts of
Contractor, determine: details of the nature and amount of the delay or any delayed drawing or instruction, while
disruption likely to be suffered if it is late. FIDIC 87 has not made similar requirements,
leading to requiring one notice in accordance
If the Contractor suffers delay and/or incurs to FIDIC 87 and two in accordance to FIDIC
Cost as a result of a failure of the Engineer to 99 in this regard.
issue the notified drawing or instruction within
a time which is reasonable and is specified in
the notice with supporting details, the
Contractor shall give a further notice to the
Engineer and shall be entitled subject to Sub-
Clause 20.1 [Contractor’s Claims] to:
Sub-Clause 6.5: Sub-Clause 1.9: FIDIC 87 has specified that the Engineer shall
If the failure or inability of the Engineer to However, if and to the extent that the take into account any failure by the Contractor,
issue any drawings or instructions is caused in Engineer’s failure was caused by any error or which has led to the Engineer’s failure to issue
whole or in part by the failure of the Contractor delay by the Contractor, including an error in, any drawings or instructions, while making his
to submit Drawings, Specification or other or delay in the submission of, any of the determination for the Contractor’s entitlement,
documents which he is required to submit Contractor’s Documents, the Contractor shall if any. FIDIC 99 has not allowed any
under the Contract, the Engineer shall take not be entitled to such extension of time, Cost entitlement to the Contractor for the same.
such failure by the Contractor into account or profit.
when making his determination pursuant to
Sub- Clause 6.4.
16- Monthly Statements
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 60.1: Sub-Clause 14.3: Minor differences were identified between
The Contractor shall submit to the Engineer The Contractor shall submit a Statement in six FIDIC 87 and FIDIC 99, expect that FIDIC 99
after the end of each month six copies, each copies to the Engineer after the end of each has specified that progress reports are required
signed by the Contractor’s representative month, in a form approved by the Engineer, as part of the supporting documents required.
approved by the Engineer in accordance with showing in detail the amounts to which the
Sub-Clause 15.1, of a statement, in such form Contractor considers himself to be entitled,
as the Engineer may from time to time together with supporting documents which
prescribe, showing the amounts to which the shall include the report on the progress during
Contractor considers himself to be entitled up this month in accordance with Sub-Clause
to the end of the month… 4.21 [Progress Reports].
Sub-Clause 60.1: Sub-Clause 14.3: FIDIC 99 has added the requirement of
(a) the value of the Permanent Works (a)the estimated contract value of the Works Contractor’s Documents to be submitted along
executed, executed and the Contractor’s Documents with the estimated contract value of the Works
produced up to the end of the month (including executed up to the end of the month, as
Variations but excluding items described in opposed to FIDIC 87 which has briefly
sub-paragraphs (b) to (g) below); mentioned the requirement of the value of the
Permanent Works executed.
Sub-Clause 14.3: FIDIC 99 has required the submission of any
(c) any amount to be deducted for retention, amount to be deducted for retention, while
calculated by applying the percentage of FIDIC 87 is silent in this regard in relation with
retention stated in the Appendix to Tender to Sub-Clause 60.1. Payment of Retention has
the total of the above amounts, until the been addressed by FIDIC 87 separately
amount so retained by the Employer reaches through Sub-Clause 60.3.
the limit of Retention Money (if any) stated in
the Appendix to Tender;
Sub-Clause 14.3: FIDIC 99 has required the submission of any
(d) any amounts to be added and deducted for amount to be added and deducted for the
the advance payment and repayments in advance payment, while FIDIC 87 is silent in
accordance with Sub-Clause 14.2 [Advance this regard as it does not have a provision for
Payment]; advance payment.
Sub-Clause 60.2: FIDIC 87 has specifically mentioned the items
(b) any other items in the Bill of Quantities in the Bill of Quantities, including Contractor’s
including those for Contractor’s Equipment, Equipment, Temporary Works, dayworks and
Temporary Works, dayworks and the like, the like, while FIDIC 99 has not approached
this matter in such details.
Sub-Clause 60.2: Sub-Clause 14.3: Minor differences were identified between the
(e) any other sum to which the Contractor may (f) any other additions or deductions which two form except that FIDIC 99 has mentioned
be entitled under the Contract or otherwise. may have become due under the Contract or the inclusion of Clause 20 as a requirement
otherwise, including those under Clause 20 under this provision.
[Claims, Disputes and Arbitration]; and
Sub-Clause 14.3: FIDIC 99 has required the deduction of
(g) the deduction of amounts certified in all amounts certified in all previous Payment
previous Payment Certificates. Certificates as a requirement, while FIDIC 87
is silent regarding any deductions’
requirements.
17- Increase or Decrease in Cost
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 13.8: FIDIC 99 has included a provision for a “table
In this Sub-Clause, “table of adjustment data” of adjustment data”, and deemed this Sub-
means the completed table of adjustment data Clause inapplicable in case this table was not
included in the Appendix to Tender. If there is included within the Appendix to Tender.
no such table of adjustment data, this Sub- FIDIC 87 has not accounted for a similar
Clause shall not apply. provision.
Sub-Clause 70.1: Sub-Clause 13.8: FIDIC 87 has allowed the rise or fall in cost to
There shall be added to or deducted from the If this Sub-Clause applies, the amounts determined in accordance with Part II of
Contract Price such sums in respect of rise or payable to the Contractor shall be adjusted for “these” conditions; however, FIDIC 99 has
fall in the cost of labour and/or materials or any rises or falls in the cost of labour, Goods and specified that such determination would be
other matters affecting the cost of the other inputs to the Works, by the addition or made using a formulae prescribed within the
execution of the Works as may be determined deduction of the amounts determined by the relevant Sub-Clause.
in accordance with Part II of these Conditions. formulae prescribed in this Sub-Clause.
Sub-Clause 13.8: FIDIC 99 has deemed any rise or fall not
To the extent that full compensation for any covered by the provisions of the Clauses of
rise or fall in Costs is not covered by the these Conditions as included within the
provisions of this or other Clauses, the Accepted Contract Amount, while FIDIC 87 is
Accepted Contract Amount shall be deemed to silent in this regard.
have included amounts to cover the
contingency of other rises and falls in costs.
Sub-Clause 13.8: FIDIC 99 has provided various information
The adjustment to be applied to the amount related to the use of the formulae.
otherwise payable to the Contractor, as valued
in accordance with the appropriate Schedule
and certified in Payment Certificates, shall be
determined from formulae for each of the
currencies in which the Contract Price is
payable. No adjustment is to be applied to
work valued on the basis of Cost or current
prices. The formulae shall be of the following
general type:
Pn = a + b Ln + c En + d Mn +
......
Lo Eo Mo
where:
“Pn” is the adjustment multiplier to be applied
to the estimated contract value in the relevant
currency of the work carried out in period “n”,
this period being a month unless otherwise
stated in the Appendix to Tender;

“a” is a fixed coefficient, stated in the relevant


table of adjustment data, representing the non-
adjustable portion in contractual payments;

“b”, “c”, “d”, … are coefficients representing


the estimated proportion of each cost element
related to the execution of the Works, as stated
in the relevant table of adjustment data; such
tabulated cost elements may be indicative of
resources such as labour, equipment and
materials;

“Ln”, “En”, “Mn”, … are the current cost


indices or reference prices for period “n”,
expressed in the relevant currency of payment,
each of which is applicable to the relevant
tabulated cost element on the date 49 days
prior to the last day of the period (to which the
particular Payment Certificate relates); and
“Lo”, “Eo”, “Mo”, … are the base cost indices
or reference prices, expressed in the relevant
currency of payment, each of which is
applicable to the relevant tabulated cost
element on the Base Date.

The cost indices or reference prices stated in


the table of adjustment data shall be used. If
their source is in doubt, it shall be determined
by the Engineer. For this purpose, reference
shall be made to the values of the indices at
stated dates (quoted in the fourth and fifth
columns respectively of the table) for the
purposes of clarification of the source;
although these dates (and thus these values)
may not correspond to the base cost indices.

In cases where the “currency of index” (stated


in the table) is not the relevant currency of
payment, each index shall be converted into
the relevant currency of payment at the selling
rate, established by the central bank of the
Country, of this relevant currency on the above
date for which the index is required to be
applicable.

Until such time as each current cost index is


available, the Engineer shall determine a
provisional index for the issue of Interim
Payment Certificates. When a current cost
index is available, the adjustment shall be
recalculated accordingly.
If the Contractor fails to complete the Works
within the Time for Completion, adjustment of
prices thereafter shall be made using either (i)
each index or price applicable on the date 49
days prior to the expiry of the Time for
Completion of the Works, or (ii) the current
index or price: whichever is more favourable
to the Employer.
The weightings (coefficients) for each of the
factors of cost stated in the table(s) of
adjustment data shall only be adjusted if they
have been rendered unreasonable, unbalanced
or inapplicable, as a result of Variations.
18- Currencies of Payment
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 71.1: FIDIC 87 has provided a provision addressing
If, after the date 28 days prior to the latest date governmental restrictions over currencies, for
for submission of tenders for the Contract, the the occurrence of such a circumstances will
Government or authorised agency of the oblige the Employer to pay for any relevant
Government of the country in which the Works damages or losses. FIDIC 99 is silent in this
are being or are to be executed imposes regard.
currency restrictions and/or transfer of
currency restrictions in relation to the currency
or currencies in which the Contract Price is to
be paid, the Employer shall reimburse any loss
or damage to the Contractor arising therefrom,
without prejudice to the right of the Contractor
to exercise any other rights or remedies to
which he is entitled in such event.
Sub-Clause 72.1: Sub-Clause 14.15: FIDIC 87 has specified that foreign currencies
Where the Contract provides for payment in (e) if no rates of exchange are stated in the shall not be subject to variations in the rate(s)
whole or in part to be made to the Contractor Appendix to Tender, they shall be those of exchange between currencies, while FIDIC
in foreign currency or currencies, such prevailing on the Base Date and determined by 99 has specified that those rates shall be
payment shall not be subject to variations in the central bank of the Country. determined in accordance to the the rates
the rate or rates of exchange between such specified within the Appendix to Tender or in
specified foreign currency or currencies and accordance to the central bank of the Country
the currency of the country in which the Works in consideration with the Base Date.
are to be executed.
Sub-Clause 72.2: Sub-Clause 14.15: Both forms have made a reference to the
Where the Employer has required the Tender (a) if the Accepted Contract Amount was Appendix to Tender with regards to the
to be expressed in a single currency but with expressed in Local Currency only: proportions or amounts that are to be paid in
payment to be made in more than one currency different currencies. In case the Appendix to
and the Contractor has stated the proportions (i) the proportions or amounts of the Local and Tender has not included such information,
or amounts of other currency or currencies in Foreign Currencies, and the fixed rates of FIDIC 87 has specified that the rates shall be
which he requires payment to be made, the rate exchange to be used for calculating the determined in accordance to the Central Bank
or rates of exchange applicable for calculating payments, shall be as stated in the Appendix to of the Country, based on a certain date, while
the payment of such proportions or amounts Tender, except as otherwise agreed by both FIDIC 99 has left this matter to be determined
shall, unless otherwise stated in Part II of these Parties; as agreed by both Parties.
Conditions, be those prevailing, as determined
by the Central Bank of the country in which the
Works are to be executed, on the date 28 days
prior to the latest date for the submission of
tenders for the Contract, as has been notified to
the Contractor by the Employer prior to the
submission of tenders or as provided for in the
Tender.
Sub-Clause 72.3: Sub-Clause 14.15: Minor differences were identified between the
Where the Contract provides for payment in (ii) payments and deductions under Sub- two forms, who have made references to other
more than one currency, the proportions or Clause 13.5 [Provisional Sums] and Sub- clauses by which the currencies and
amounts to be paid in foreign currencies in Clause 13.7 [Adjustments for Changes in proportions of payments related to provisional
respect of Provisional Sums shall be Legislation] shall be made in the applicable sums are to be made.
determined in accordance with the principles currencies and proportions;
set forth in Sub-Clauses 72.1 and 72.2 as and
when these sums are utilised in whole or in part
in accordance with the provisions of Clauses
58 and 59.
Sub-Clause 14.15: FIDIC 99 has made references to other
(iii) other payments and deductions under sub- provisions by which the currencies and
paragraphs (a) to (d) of Sub-Clause 14.3 proportions of payments related to Sub-Clause
[Application for Interim Payment Certificates] 14.3 [Application for Interim Payment
shall be made in the currencies and proportions Certificates] are to be made.
specified in sub-paragraph (a)(i) above;
Sub-Clause 14.15: FIDIC 99 has made a reference to the
(b) payment of the damages specified in the Appendix to Tender through which the
Appendix to Tender shall be made in the currencies and proportions of payments related
currencies and proportions specified in the to payment of the damages specified in the
Appendix to Tender; Appendix to tender are defined.

Sub-Clause 14.15: FIDIC 99 has addressed the currency of “other


(c) other payments to the Employer by the payments”, while FIDIC 87 is silent in this
Contractor shall be made in the currency in regard.
which the sum was expended by the Employer,
or in such currency as may be agreed by both
Parties;
Sub-Clause 14.15: FIDIC 99 has addressed the circumstance
(d) if any amount payable by the Contractor to whereby the Contractor’s payable money to
the Employer in a particular currency exceeds the Employer exceeds the sum payable by the
the sum payable by the Employer to the Employer to the Contractor in a certain
Contractor in that currency, the Employer may currency. FIDIC 87 has not accounted for a
recover the balance of this amount from the similar provision.
sums otherwise payable to the Contractor in
other currencies; and

Sub-Clause 13.4: FIDIC 99 has addressed the currencies for


If the Contract provides for payment of the payments related to variations, while FIDIC 87
Contract Price in more than one currency, then is silent in this regard.
whenever an adjustment is agreed, approved or
determined as stated above, the amount
payable in each of the applicable currencies
shall be specified. For this purpose, reference
shall be made to the actual or expected
currency proportions of the Cost of the varied
work, and to the proportions of various
currencies specified for payment of the
Contract Price.
19- Risks/Force Majeure
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 20.4: Sub-Clause 17.3: Minor differences were identified between
(b) rebellion, revolution, insurrection, or (b) rebellion, terrorism, revolution, FIDIC 87 and FIDIC 99 with regards to this
military or usurped power, or civil war, insurrection, military or usurped power, or point. FIDIC 99 has added terrorism and
civil war, within the Country, specified that these events would be “within
the Country”.
Sub-Clause 20.4: Sub-Clause 17.3: FIDIC 87 and FIDIC 99 have shared various
(c) ionising radiations, or contamination by (d) munitions of war, explosive materials, points; however, FIDIC 87 had more focus on
radio-activity from any nuclear fuel, or from ionising radiation or contamination by radio- nuclear related matters, while FIDIC 99 has
any nuclear waste from the combustion of activity, within the Country, except as may be generalized munitions of war, explosive
nuclear fuel, radio-active toxic explosive or attributable to the Contractor’s use of such materials, etc. FIDIC 99 has specified that
other hazardous properties of any explosive munitions, explosives, radiation or radio- these events would be “within the Country”
nuclear assembly or nuclear component activity, and “except as may be attributable to the
thereof, Contractor’s use…”
Sub-Clause 20.4: Sub-Clause 17.3: Minor differences were identified between
(e) riot, commotion or disorder, unless solely (c) riot, commotion or disorder within the FIDIC 87 and FIDIC 99 with regards to this
restricted to employees of the Contractor or of Country by persons other than the Contractor’s point. FIDIC 99 has specified that these events
his Subcontractors and arising from the Personnel and other employees of the would be “within the Country”.
conduct of the Works, Contractor and Subcontractors,
Sub-Clause 20.4: Sub-Clause 17.3: Minor differences were identified between
(g) loss or damage to the extent that it is due to (g) design of any part of the Works by the FIDIC 87 and FIDIC 99 with regards to this
the design of the Works, other than any part of Employer’s Personnel or by others for whom point.
the design provided by the Contractor or for the Employer is responsible,
which the Contractor is responsible
Sub-Clause 20.3: Sub-Clause 17.4: FIDIC 99 has required the Contractor to notify
In the event of any such loss or damage If and to the extent that any of the risks listed the Engineer in the event that any Employer’s
happening from any of the risks defined in in Sub-Clause 17.3 above results in loss or risk takes place, while FIDIC 87 has not made
Sub-Clause 20.4, or in combination with other damage to the Works, Goods or Contractor’s a similar provision.
risks, the Contractor shall, if and to the extent Documents, the Contractor shall promptly give
required by the Engineer, rectify the loss or notice to the Engineer and shall rectify this loss FIDIC 87 has obliged the Contractor to rectify
damage and the Engineer shall determine an or damage to the extent required by the any damages as required by the Engineer, who
addition to the Contract Price in accordance Engineer. shall directly make his determination of an
with Clause 52 and shall notify the Contractor addition to the Contract Price and notify the
accordingly, with a copy to the Employer. In If the Contractor suffers delay and/or incurs Contractor accordingly. FIDIC 99 has required
the case of a combination of risks causing loss Cost from rectifying this loss or damage, the the Contractor to give a further notice to the
or damage any such determination shall take Contractor shall give a further notice to the Engineer in case it suffered delays and/or
into account the proportional responsibility of Engineer and shall be entitled subject to Sub- incurred costs due to rectifying damages, and
the Contractor and the Employer. Clause 20.1 [Contractor’s Claims] to: the Engineer shall proceed with making a
determination of extension of time and
(a) an extension of time for any such delay, payment, if any.
if completion is or will be delayed, under
Sub-Clause 8.4 [Extension of Time for
Completion], and
(b) payment of any such Cost, which shall be
included in the Contract Price. In the case
of sub-paragraphs (f) and (g) of Sub-
Clause 17.3 [Employer’s Risks],
reasonable profit on the Cost shall also
be included.

After receiving this further notice, the


Engineer shall proceed in accordance with
Sub-Clause 3.5 [Determinations] to agree or
determine these matters.
Sub-Clause 65.2: Sub-Clause 19.1: FIDIC 87 is specific with regards to the
The special risks are: In this Clause, “Force Majeure” means an definition of special risks as it has specified the
(a) the risks defined under paragraphs (a), (c), exceptional event or circumstance: events that are deemed as so. FIDIC 99 has
(d) and (e) of Sub-Clause 20.4, and (a) which is beyond a Party’s control, introduced the expression “Force Majeure”
(b) the risks defined under paragraph (b) of (b) which such Party could not reasonably have and has generalized its definition to
Sub-Clause 20.4 insofar as these relate to the provided against before entering into the exceptional events or circumstances, stating
country in which the Works are to be executed. Contract, some of such events or circumstances.
(c) which, having arisen, such Party could not Moreover, FIDIC 99 has not limited Force
reasonably have avoided or overcome, and Majeure events to some of those defined as
(d) which is not substantially attributable to the Employer’s Risks.
other Party.

Force Majeure may include, but is not limited


to, exceptional events or circumstances of the
kind listed below, so long as conditions (a) to
(d) above are satisfied:

(i) war, hostilities (whether war be declared or


not), invasion, act of foreign enemies,
(ii) rebellion, terrorism, revolution,
insurrection, military or usurped power, or
civil war,
(iii) riot, commotion, disorder, strike or
lockout by persons other than the Contractor’s
Personnel and other employees of the
Contractor and Sub- contractors,
(iv) munitions of war, explosive materials,
ionising radiation or contamination by radio-
activity, except as may be attributable to the
Contractor’s use of such munitions,
explosives, radiation or radio-activity, and
(v) natural catastrophes such as earthquake,
hurricane, typhoon or volcanic activity.
Sub-Clause 19.2: FIDIC 99 has specified certain required
If a Party is or will be prevented from notifications and procedures to be fulfilled
performing any of its obligations under the whenever a Force Majeure takes place, while
Contract by Force Majeure, then it shall give FIDIC 87 is silent in this regard.
notice to the other Party of the event or
circumstances constituting the Force Majeure
and shall specify the obligations, the
performance of which is or will be prevented.
The notice shall be given within 14 days after
the Party became aware, or should have
become aware, of the relevant event or
circumstance constituting Force Majeure.
The Party shall, having given notice, be
excused performance of such obligations for so
long as such Force Majeure prevents it from
performing them.
Notwithstanding any other provision of this
Clause, Force Majeure shall not apply to
obligations of either Party to make payments to
the other Party under the Contract.
Sub-Clause 65.1: Sub-Clause 19.4: FIDIC 87 has provided various more details
The Contractor shall be under no liability If the Contractor is prevented from performing with regards to the Contractor’s liability to
whatsoever in consequence of any of the any of his obligations under the Contract by special risks, its consequences and other
special risks referred to in Sub-Clause 65.2, Force Majeure of which notice has been given related information as compared with FIDIC
whether by way of indemnity or otherwise, for under Sub-Clause 19.2 [Notice of Force 99. FIDIC 87 has stated that the Contractor
or in respect of: Majeure], and suffers delay and/or incurs Cost shall have no liability in consequence of
(a)destruction of or damage to the Works, save by reason of such Force Majeure, the special risks, having stated a number of such
to work condemned under the provisions of Contractor shall be entitled subject to Sub- consequences, including but not limited to
Clause 39 prior to the occurrence of any of theClause 20.1 [Contractor’s Claims] to: projectiles and war. Both forms have
said special risks, acknowledges the Contractor’s right for
(b)destruction of or damage to property, (a) an extension of time for any such delay, compensation to rectify damages in
whether of the Employer or third parties, or if completion is or will be delayed, under accordance to the different determination
(c) injury or loss of life. Sub-Clause 8.4 [Extension of Time for procedures of each form. FIDIC 99 has
Completion], and specifically mentioned the Contractor’s right
Sub-Clause 65.3: (b) if the event or circumstance is of the kind to extension of time.
If the Works or any materials or Plant on or described in sub-paragraphs (i) to (iv) of
near or in transit to the Site, or any of the Sub-Clause 19.1 [Definition of Force
Contractor's Equipment, sustain destruction or Majeure] and, in the case of sub-
damage by reason of any of the said special paragraphs (ii) to (iv), occurs in the
risks, the Contractor shall be entitled to Country, payment of any such Cost.
payment in accordance with the Contract for
any Permanent Works duly executed and for After receiving this notice, the Engineer shall
any materials or Plant so destroyed or damaged proceed in accordance with Sub-Clause 3.5
and, so far as may be required by the Engineer [Determinations] to agree or determine these
or as may be necessary for the completion of matters.
the Works, to payment for:
(a)rectifying any such destruction or damage to
the Works, and
(b)replacing or rectifying such materials or
Contractor’s Equipment, and the Engineer
shall determine an addition to the Contract
Price in accordance with Clause 52 (which
shall in the case of the cost of replacement of
Contractor's Equipment include the fair market
value thereof as determined by the Engineer)
and shall notify the Contractor accordingly,
with a copy to the Employer.

Sub-Clause 65.4 of FIDIC 87 has stated:


Destruction, damage, injury or loss of life
caused by the explosion or impact, whenever
and wherever occurring, of any mine, bomb,
shell, grenade, or other projectile, missile,
munition, or explosive of war, shall be deemed
to be a consequence of the said special risks.

Sub-Clause 65.5 of FIDIC 87 has stated:


Save to the extent that the Contractor is entitled
to payment under any other provision of the
Contract, the Employer shall repay to the
Contractor any costs of the execution of the
Works (other than such as may be attributable
to the cost of reconstructing work condemned
under the provisions of Clause 39 prior to the
occurrence of any special risk) which are
howsoever attributable to or consequent on or
the result of or in any way whatsoever
connected with the said special risks, subject
however to the provisions in this Clause
hereinafter contained in regard to outbreak of
war, but the Contractor shall, as soon as any
such cost comes to his knowledge, forthwith
notify the Engineer thereof. The Engineer
shall, after due consultation with the Employer
and the Contractor, determine the amount of
the Contractor’s costs in respect thereof which
shall be added to the Contract Price and shall
notify the Contractor accordingly, with a copy
to the Employer.

Sub-Clause 19.3: FIDIC 99 has required each party to minimize


Each Party shall at all times use all reasonable delays, and to provide notice to the other
endeavours to minimise any delay in the whenever the effects of a Force Majeure
performance of the Contract as a result of ceases. FIDIC 87 has not made a similar
Force Majeure. provision.

A Party shall give notice to the other Party


when it ceases to be affected by the Force
Majeure.
Sub-Clause 19.5: FIDIC 99 has addressed the distinction
If any Subcontractor is entitled under any between a Subcontractor’s entitlement to a
contract or agreement relating to the Works to relief due to Force Majeure and the same in
relief from force majeure on terms additional relation to the Contractor. FIDIC 87 has not
to or broader than those specified in this accounted for a similar provision.
Clause, such additional or broader force
majeure events or circumstances shall not
excuse the Contractor’s non-performance or
entitle him to relief under this Clause.
20- Subcontractors
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 4.4: FIDIC 99 has specified a certain period of time
(c) the Contractor shall give the Engineer not within which the Contractor is required to
less than 28 days’ notice of the intended date notify the Engineer of the intended date of the
of the commencement of each Subcontractor’s commencement of each of the Subcontractor’s
work, and of the commencement of such work work and other relevant information. FIDIC 87
on the Site; has not accounted for a similar provision.
Sub-Clause 4.4: FIDIC 99 has included a provision that entitle
(d) each subcontract shall include provisions the Employer to require subcontracts to be
which would entitle the Employer to require assigned to him, while FIDIC 87 has not
the subcontract to be assigned to the Employer accounted for a similar provision.
under Sub-Clause 4.5 [Assignment of Benefit
of Subcontract] (if or when applicable) or in
the event of termination under Sub-Clause
15.2 [Termination by Employer].
Sub-Clause 4.1: FIDIC 87 has addressed certain matters that do
Provided that the Contractor shall not be not require obtaining a consent, such as
required to obtain such consent for: provision of labour and purchase of Contract
(a) the provision of labour, materials. FIDIC 99 has not accounted for a
(b) the purchase of materials which are in similar provision.
accordance with the standards specified in the
Contract,
Sub-Clause 4.2: Sub-Clause 4.5: FIDIC 87 has specified that any assignment
In the event of a Subcontractor having If a Subcontractor’s obligations extend required by the Engineer shall be implemented
undertaken towards the Contractor in respect beyond the expiry date of the relevant Defects on the cost of the Employer, while FIDIC 99
of the work executed, or the goods, materials, Notification Period and the Engineer, prior to has not made a similar provision. FIDIC 99 has
Plant or services supplied by such this date, instructs the Contractor to assign the specified that the Contractor shall not be liable
Subcontractor, any continuing obligation benefit of such obligations to the Employer, to the Employer for the work carried out by the
extending for a period exceeding that of the then the Contractor shall do so. Unless Subcontractor after the assignment takes
Defects Liability Period under the Contract, otherwise stated in the assignment, the effect, while FIDIC 87 has not made a similar
the Contractor shall at any time, after the Contractor shall have no liability to the provision.
expiration of such Period, assign to the Employer for the work carried out by the
Employer, at the Employer’s request and cost, Subcontractor after the assignment takes
the benefit of such obligation for the unexpired effect.
duration thereof.
21- Taking Over
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 10.1: FIDIC 99 has directly made a statement
the Works shall be taken over by the Employer specifying the conditions that are to be fulfilled
when (i) the Works have been completed in to deem the Works as taken over by the
accordance with the Contract, including the Employer, while FIDIC 87 has not made a
matters described in Sub-Clause 8.2 [Time for similar provision.
Completion] and except as allowed in sub-
paragraph (a) below, and (ii) a Taking-Over
Certificate for the Works has been issued, or is
deemed to have been issued in accordance with
this Sub-Clause.
Sub-Clause 48.1: Sub-Clause 10.1: FIDIC 99 has specified a duration within
the Contractor may give a notice to that effect The Contractor may apply by notice to the
which the Contractor may apply for a Taking
to the Engineer, with a copy to the Employer, Engineer for a Taking-Over Certificate not
Over Certificate prior to the Completion of the
accompanied by a written undertaking to finish earlier than 14 days before the Works will, in
Works, while FIDIC 87 has not made a similar
with due expedition any outstanding work the Contractor’s opinion, be complete and
provision. FIDIC 87 has allowed the
during the Defects Liability Period. ready for taking over. If the Works are divided
Contractor to apply for the said Certificate
into Sections, the Contractor may similarly
notwithstanding the possibility of existing
apply for a Taking-Over Certificate for each
outstanding work that would be completed
Section. during the Defects Liability Period, while
FIDIC 99 has not made a similar provision.
FIDIC 99 has applied the same conditions to
the Taking Over of the Works and the Sections,
while FIDIC 87 has made a distinction
between the conditions the same.
Sub-Clause 48.1: Sub-Clause 10.1: FIDIC 87 has required the Engineer to respond
The Engineer shall, within 21 days of the date The Engineer shall, within 28 days after within 21 days from the date of the
of delivery of such notice receiving the Contractor’s application Contractor’s application, while FIDIC 99 has
made the said duration to be 28 days.
Sub-Clause 48.1: FIDIC 87 has made a provision for a
The Engineer shall also notify the Contractor notification to be provided by the Engineer to
of any defects in the Works affecting the Contractor should more defects appear
substantial completion that may appear after between the Engineer’s instruction specifying
such instructions and before completion of the the Works that are to be completed and the
Works specified therein. The Contractor shall Completion of the Works. FIDIC 99 has not
be entitled to receive such Taking-Over made a similar provision.
Certificate within 21 days of completion, to the
satisfaction of the Engineer, of the Works so
specified and remedying any defects so
notified.
Sub-Clause 10.1: FIDIC 99 has identified the consequences of
If the Engineer fails either to issue the Taking- the Engineer’s failure to respond to an
Over Certificate or to reject the Contractor’s application of a Taking Over Certificate within
application within the period of 28 days, and if the specified period, while FIDIC 87 is silent
the Works or Section (as the case may be) are in this regard.
substantially in accordance with the Contract,
the Taking-Over Certificate shall be deemed to
have been issued on the last day of that period.

Sub-Clause 10.2: FIDIC 99 has prohibited the Employer’s use to


The Employer shall not use any part of the any part of the Works except for certain
Works (other than as a temporary measure conditions, while FIDIC 87 has not made a
which is either specified in the Contract or similar provision.
agreed by both Parties) unless and until the
Engineer has issued a Taking-Over Certificate
for this part.
Sub-Clause 48.2: Sub-Clause 10.2: FIDIC 87 has specified that the Contractor may
the Contractor may request and the Engineer However, if the Employer does use any part of request and the Engineer shall issue a Taking
shall issue a Taking-Over Certificate in respect the Works before the Taking-Over Certificate Over Certificate in certain conditions;
of: is issued: however, FIDIC 99 has specified a condition
where Taking Over could be deemed to have
(b) any substantial part of the Permanent (a) the part which is used shall be deemed to occurred by default for certain part(s), for
Works which has been both completed to the have been taken over as from the date on which the Contractor may request the Engineer
satisfaction of the Engineer and, otherwise which it is used, to issue the said Certificate in relation to that
than as provided for in the Contract, occupied (b) the Contractor shall cease to be liable for part or parts. FIDIC 99 has added a provision
or used by the Employer, or the care of such part as from this date, when waiving the Contractor’s liability to any part
(c) any part of the Permanent Works which the responsibility shall pass to the Employer, and that has been used by the Employer, while
Employer has elected to occupy or use prior to (c) if requested by the Contractor, the Engineer FIDIC 87 has not made a similar provision.
completion (where such prior occupation or shall issue a Taking-Over Certificate for this FIDIC 87 has allowed the Engineer to issue a
use is not provided for in the Contract or has part. Taking Over Certificate to any part of the
not been agreed by the Contractor as a Works that has been substantially completed
temporary measure). and passed any Tests on Completion
prescribed by the Contract.
Sub-Clause 48.3: Sub-Clause 10.2: FIDIC 99 has addressed fulfilling the
If any part of the Permanent Works has been After the Engineer has issued a Taking-Over obligations related to Tests on Completion
substantially completed and has satisfactorily Certificate for a part of the Works, the after the issuance of the Taking Over
passed any Tests on Completion prescribed by Contractor shall be given the earliest Certificate and before the expiry of the relevant
the Contract, the Engineer may issue a Taking- opportunity to take such steps as may be Defects Notification Period. FIDIC 87 has
Over Certificate in respect of that part of the necessary to carry out any outstanding Tests on addressed the same by requiring the Tests on
Permanent Works before completion of the Completion. The Contractor shall carry out Completion to be completed prior to the
whole of the Works and, upon the issue of such these Tests on Completion as soon as issuance of the Taking Over Certificate.
Certificate, the Contractor shall be deemed to practicable before the expiry date of the
have undertaken to complete with due relevant Defects Notification Period.
expedition any outstanding work in that part of
the Permanent Works during the Defects
Liability Period.
Sub-Clause 10.2: FIDIC 99 has specified that the Contractor
If the Contractor incurs Cost as a result of the shall be entitled to a compensation in case it
Employer taking over and/or using a part of the incurs costs as a result of the Employer taking
Works, other than such use as is specified in over and/or using a part of the Works,
the Contract or agreed by the Contractor, the whenever this is not specified within the
Contractor shall (i) give notice to the Engineer Contract. FIDIC 87 is silent in this regard.
and (ii) be entitled subject to Sub-Clause 20.1
[Contractor’s Claims] to payment of any such
Cost plus reasonable profit, which shall be
included in the Contract Price. After receiving
this notice, the Engineer shall proceed in
accordance with Sub-Clause 3.5
[Determinations] to agree or determine this
Cost and profit.
Sub-Clause 10.2: FIDIC 99 has specified the criteria related to
If a Taking-Over Certificate has been issued the reduction of delay damages in relation with
for a part of the Works (other than a Section), any parts that becomes taken over. FIDIC 87
the delay damages thereafter for completion of has addressed the same through Sub-Clause
the remainder of the Works shall be reduced. 47.2 entitled “Reduction of Liquidated
Similarly, the delay damages for the remainder Damages”.
of the Section (if any) in which this part is
included shall also be reduced. For any period
of delay after the date stated in this Taking-
Over Certificate, the proportional reduction in
these delay damages shall be calculated as the
proportion which the value of the part so
certified bears to the value of the Works or
Section (as the case may be) as a whole. The
Engineer shall proceed in accordance with
Sub-Clause 3.5 [Determinations] to agree or
determine these proportions. The provisions of
this paragraph shall only apply to the daily rate
of delay damages under Sub-Clause 8.7 [Delay
Damages], and shall not affect the maximum
amount of these damages.
22- Delay Damages
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 47.1: Sub-Clause 8.7: Minor differences were identified between
If the Contractor fails to comply with the Time If the Contractor fails to comply with Sub- FIDIC 87 and FIDIC 99.
for Completion in accordance with Clause 48, Clause 8.2 [Time for Completion], the
for the whole of the Works or, if applicable, Contractor shall subject to Sub-Clause 2.5
any Section within the relevant time prescribed [Employer’s Claims] pay delay damages to the
by Clause 43, then the Contractor shall pay to Employer for this default. These delay
the Employer the relevant sum stated in the damages shall be the sum stated in the
Appendix to Tender as liquidated damages for Appendix to Tender, which shall be paid for
such default and not as a penalty (which sum every day which shall elapse between the
shall be the only monies due from the relevant Time for Completion and the date
Contractor for such default) for every day or stated in the Taking-Over Certificate.
part of a day which shall elapse between the However, the total amount due under this Sub-
relevant Time for Completion and the date Clause shall not exceed the maximum amount
stated in a Taking-Over Certificate of the of delay damages (if any) stated in the
whole of the Works or the relevant Section, Appendix to Tender.
subject to the applicable limit stated in the
Appendix to Tender. The Employer may, These delay damages shall be the only
without prejudice to any other method of damages due from the Contractor for such
recovery, deduct the amount of such damages default, other than in the event of termination
from any monies due or to become due to the under Sub-Clause 15.2 [Termination by
Contractor. Employer] prior to completion of the Works.
The payment or deduction of such damages These damages shall not relieve the Contractor
shall not relieve the Contractor from his from his obligation to complete the Works, or
obligation to complete the Works, or from any from any other duties, obligations or
other of his obligations and liabilities under the responsibilities which he may have under the
Contract. Contract.
Sub-Clause 47.2 entitled “Reduction of The same has been covered by FIDIC 99
Liquidated Damages” through Sub-Clause 10.2 under the “Taking
Over of Parts of the Works” with minor
differences.

23- Contractor’s General Obligations


Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 4.1 Sub-Clauses 8.1 and 8.2 No significant differences were identified
between FIDIC 87 and 99. FIDIC 99 has
covered a number of points within one Sub-
Clause, having been divided into three Sub-
Clauses within FIDIC 87. This includes
“Contractor’s General Obligations”, “Site
Operations and Methods of Construction” and
“Permanent Works Designed by the
Contractor”. FIDIC 87 has pointed out the
Contractor’s responsibility of notifying the
Engineer whenever it discovers errors, faults,
etc. FIDIC 99 has covered the same through a
different Sub-Clause 1.8 entitled “Care and
Supply of Documents”
Sub-Clause 4.1: FIDIC 99 has obliged the Contractor,
The Contractor shall, whenever required by the whenever required by the Engineer, to submit
Engineer, submit details of the arrangements certain details, which are not allowed to be
and methods which the Contractor proposes to altered without notifying the Engineer.
adopt for the execution of the Works. No
significant alteration to these arrangements
and methods shall be made without this having
previously been notified to the Engineer.
24- Commencement Date
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 41.1: Sub-Clause 8.1: No significant differences were identified
The Contractor shall commence the Works as The Engineer shall give the Contractor not less between FIDIC 87 and FIDIC 99. FIDIC 99
soon as is reasonably possible after the receipt than 7 days notice of the Commencement Date. has added a requirement of a notice that is to
by him of a notice to this effect from the Unless otherwise stated in the Particular be submitted by the Engineer to the Contractor
Engineer, which notice shall be issued within Conditions, the Commencement Date shall be not less than 7 days of the Commencement
the time stated in the Appendix to Tender after within 42 days after the Contractor receives the Date. The Commencement Date was defined to
the date of the Letter of Acceptance. Letter of Acceptance. be within 42 days after the Contractor receives
Thereafter, the Contractor shall proceed with The Contractor shall commence the execution the Letter of Acceptance in FIDIC 99, while
the Works with due expedition and without of the Works as soon as is reasonably FIDIC 87 has made a reference to the
delay. practicable after the Commencement Date, and Appendix to Tender in this regard.
shall then proceed with the Works with due
expedition and without delay.
25- Contractor’s Representative, Superintendence and Personnel
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 15.1: Sub-Clause 4.3: FIDIC 99 has allocated a Sub-Clause solely for
The Contractor, or a competent and authorised The Contractor shall appoint the Contractor’s the Contractor’s Representative while FIDIC
representative approved of by the Engineer, Representative and shall give him all authority 87 has considered the same through the Sub-
which approval may at any time be withdrawn, necessary to act on the Contractor’s behalf Clause related to Contractor’s
shall give his whole time to the under the Contract. Superintendence. A limited number of
superintendence of the Works. Such authorised differences were identified between these two
representative shall receive, on behalf of the Unless the Contractor’s Representative is statements. FIDIC 87 has specified that a
Contractor, instructions from the Engineer. named in the Contract, the Contractor shall, Contractor’s Representative, who is
If approval of the representative is withdrawn prior to the Commencement Date, submit to withdrawn, shall not be thereafter employed
by the Engineer, the Contractor shall, as soon the Engineer for consent the name and again on the Works, while FIDIC 99 is silent
as is practicable, having regard to the particulars of the person the Contractor in this regard. FIDIC 99 has pointed out that a
requirement of replacing him as hereinafter proposes to appoint as Contractor’s Contractor’s Representative may be named
mentioned, after receiving notice of such Representative. If consent is withheld or within the Contract, while FIDIC 87 has
withdrawal, remove the representative from subsequently revoked, or if the appointed merely mentioned that the Contractor or a
the Works and shall not thereafter employ him person fails to act as Contractor’s Contractor’s represented would be approved
again on the Works in any capacity and shall Representative, the Contractor shall similarly by the Engineer. FIDIC 99 has required the
replace him by another representative submit the name and particulars of another Contractor to appoint a Contractor’s
approved by the Engineer. suitable person for such appointment. Representative while FIDIC 87 has stated “The
Contractor, or a competent and authorised
The Contractor’s Representative shall, on representative” shall give his whole to the
behalf of the Contractor, receive instructions superintendence of the Works”, signifying that
under Sub-Clause 3.3 [Instructions of the FIDIC 87 has allowed either the Contractor
Engineer]. himself or his Representative to manage the
Works.
Sub-Clause 4.3: FIDIC 99 has prohibited the Contractor from
The Contractor shall not, without the prior revoking the appointment of the Contractor’s
consent of the Engineer, revoke the Representative or appoint another without the
appointment of the Contractor’s
Representative or appoint a replacement. consent of the Engineer, while FIDIC 87 is
silent in this regard.
Sub-Clause 4.3: FIDIC 99 has specified the actions to be taken
If the Contractor’s Representative is to be whenever the Contractor’s is absent, while
temporarily absent from the Site during the FIDIC 87 is silent in this regard.
execution of the Works, a suitable replacement
person shall be appointed, subject to the
Engineer’s prior consent, and the Engineer
shall be notified accordingly.
Sub-Clause 4.3: FIDIC 99 has allowed the Contractor’s
The Contractor’s Representative may delegate Representative to delegate any powers,
any powers, functions and authority to any functions and authority to any competent
competent person, and may at any time revoke person, and may at any time revoke the
the delegation. Any delegation or revocation delegation, addressing the conditions related to
shall not take effect until the Engineer has such actions. FIDIC 87 is silent in this regard.
received prior notice signed by the
Contractor’s Representative, naming the
person and specifying the powers, functions
and authority being delegated or revoked.
Sub-Clause 4.3: FIDIC 99 has required the Contractor’s
The Contractor’s Representative and all these Representative and persons to be fluent in the
persons shall be fluent in the language for Language of communications of the Contract,
communications defined in Sub-Clause 1.4 while FIDIC 87 is silent in this regard.
[Law and Language].
Sub-Clause 15.1: Sub-Clause 6.8: FIDIC 99 has elaborated on the properties of
The Contractor shall provide all necessary Throughout the execution of the Works, and as the superintendence while FIDIC 87 has
superintendence during the execution of the long thereafter as is necessary to fulfil the merely required them to be able to fulfil the
Works and as long thereafter as the Engineer Contractor’s obligations, the Contractor shall relevant obligations of the Contract.
may consider necessary for the proper provide all necessary superintendence to plan,
fulfilling of the Contractor's obligations under arrange, direct, manage, inspect and test the
the Contract. work.
Superintendence shall be given by a sufficient
number of persons having adequate knowledge
of the language for communications (defined
in Sub-Clause 1.4 [Law and Language]) and of
the operations to be carried out (including the
methods and techniques required, the hazards
likely to be encountered and methods of
preventing accidents), for the satisfactory and
safe execution of the Works.
Sub-Clause 6.10: FIDIC 99 has required the Contractor to submit
The Contractor shall submit, to the Engineer, certain details and information related to the
details showing the number of each class of Contractor’s Personnel and Equipment on
Contractor’s Personnel and of each type of interim basis, while FIDIC 87 has not a similar
Contractor’s Equipment on the Site. Details requirement.
shall be submitted each calendar month, in a
form approved by the Engineer, until the
Contractor has completed all work which is
known to be outstanding at the completion date
stated in the Taking-Over Certificate for the
Works.
26- Working Hours
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 45.1: Sub-Clause 6.5: FIDIC 99 has made a reference to the
Subject to any provision to the contrary No work shall be carried out on the Site on Appendix to Tender in which the Working
contained in the Contract, none of the Works locally recognised days of rest, or outside the Hours would be defined, while FIDIC 87 has
shall, save as hereinafter provided, be carried normal working hours stated in the Appendix not accounted for similar details to be provided
on during the night or on locally recognised to Tender, through the Appendix to Tender.
days of rest…
Sub-Clause 45.1: FIDIC 87 has deemed this Clause as
Provided that the provisions of this Clause inapplicable to any work which is customary to
shall not be applicable in the case of any work carry out by multiple shifts, while FIDIC 99
which it is customary to carry out by multiple has not accounted for a similar provision.
shifts.
27- Termination by Employer
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 15.2: FIDIC 99 has added a condition related to the
(a) fails to comply with Sub Clause 4.2 Contractor’s compliance with the obligations
[Performance Security] or with a notice under of the Performance Security, for which failure
Sub-Clause 15.1 [Notice to Correct], entitles the Employer to terminate the
Contract.
Sub-Clause 63.1: Sub-Clause 15.2: While the contents of both forms are mainly
If the Contractor is deemed by law unable to (e) becomes bankrupt or insolvent, goes into similar with regards to these statements, FIDIC
pay his debts as they fall due, or enters into liquidation, has a receiving or administration 87 has provided further elaboration and details.
voluntary or involuntary bankruptcy, order made against him, compounds with his
liquidation or dissolution (other than a creditors, or carries on business under a
voluntary liquidation for the purposes of receiver, trustee or manager for the benefit of
amalgamation or reconstruction), or becomes his creditors, or if any act is done or event
insolvent, or makes an arrangement with. Or occurs which (under applicable Laws) has a
assignment in favour of, his creditors, or agrees similar effect to any of these acts or events,
to carry out the Contract under a committee of
inspection of his creditors, or if a receiver,
administrator, trustee or liquidator is appointed
over any substantial part of his assets, or if,
under any law or regulation relating to
reorganization, arrangement or readjustment
of debts, proceedings are commenced against
the Contractor or resolutions passed in
connection with dissolution or liquidation or if
any steps are taken to enforce any security
interest over a substantial part of the assets of
the Contractor, or if any act is done or event
occurs with respect to the Contractor or his
assets which, under any applicable law has a
substantially similar effect to any of the
foregoing acts or events…
(f) gives or offers to give (directly or FIDIC 99 has added a condition related to
indirectly) to any person any bribe, gift, bribes, gifts and the like that entitles the
gratuity, commission or other thing of value, as Employer to terminate the Contract.
an inducement or reward:

(i) for doing or forbearing to do any action in


relation to the Contract, or
(ii) for showing or forbearing to show favour
or disfavour to any person in relation to the
Contract,

or if any of the Contractor’s Personnel, agents


or Subcontractors gives or offers to give
(directly or indirectly) to any person any such
inducement or reward as is described in this
sub-paragraph (f). However, lawful
inducements and rewards to Contractor’s
Personnel shall not entitle termination.
Sub-Clause 63.1: Sub-Clause 15.2: FIDIC 99 has broadened this point to include
(b)without reasonable excuse has failed (c) without reasonable excuse fails: provisions related to the Programme,
(i) to commence the Works in accordance with suspension and others as relevant to Clause 8.
Sub-Clause 41.1, or (i) to proceed with the Works in accordance
(ii) to proceed with the Works, or any Section with Clause 8
thereof, within 28 days after receiving notice [Commencement, Delays and Suspension],
pursuant to Sub-Clause 46. 1,
Sub-Clause 63.1: Sub-Clause 15.2: FIDIC 99 has allowed the Employer to
then the Employer may, after giving 14 days’ In any of these events or circumstances, the terminate the Contract immediately without
notice to the Contractor, enter upon the Site Employer may, upon giving 14 days notice to requiring a 14 days notice in certain
and the Works and terminate the employment the Contractor, terminate the Contract and conditions, while FIDIC 87 has required a 14
of the Contractor expel the Contractor from the Site. However,
in the case of sub-paragraph (e) or (f), the days notice for all stated conditions that entitle
Employer may by notice terminate the the Employer to termination.
Contract immediately.
Sub-Clause 63.1: Sub-Clause 15.2: FIDIC 87 has allowed the use of the
The Employer or such other contractor may After termination, the Employer may complete Contractor’s Equipment, Temporary Works
use for such completion so much of the the Works and/or arrange for any other entities and materials to be used by the Employer or
Contractor’s Equipment, Temporary Works to do so. The Employer and these entities may other related contractors upon termination,
and materials as he or they may think proper. then use any Goods, Contractor’s Documents while FIDIC 99 has allowed the use of any
and other design documents made by or on Goods, Contractor’s Documents and other
behalf of the Contractor. design documents.
Sub-Clause 15.2: FIDIC 99 has required the Contractor to
The Contractor shall then leave the Site and deliver any required Goods, all Documents and
deliver any required Goods, all Contractor’s other documents to the Engineer. Moreover, it
Documents, and other design documents made has required him to comply immediately with
by or for him, to the Engineer. However, the any reasonable instructions related to
Contractor shall use his best efforts to comply assignment of any subcontract or in relation
immediately with any reasonable instructions with the protection or safety of the Works.
included in the notice (i) for the assignment of FIDIC 87 has not accounted for similar
any subcontract, and (ii) for the protection of provisions.
life or property or for the safety of the Works.
Sub-Clause 15.2: FIDIC 99 has set the procedures related to the
The Employer shall then give notice that the delivery of the Contractor’s Equipment and
Contractor’s Equipment and Temporary Temporary Works, as well as the possibility of
Works will be released to the Contractor at or selling them in order to recover payments due
near the Site. The Contractor shall promptly to the Employer. FIDIC 87 has not made
arrange their removal, at the risk and cost of similar provisions.
the Contractor. However, if by this time the
Contractor has failed to make a payment due to
the Employer, these items may be sold by the
Employer in order to recover this payment.
Any balance of the proceeds shall then be paid
to the Contractor.
Sub-Clause 15.5: FIDIC 99 has entitled the Employer to
The Employer shall be entitled to terminate the terminate the Contract for convenience, having
Contract, at any time for the Employer’s set the related procedures. FIDIC 87 has not
convenience, by giving notice of such accounted for a similar provision.
termination to the Contractor. The termination
shall take effect 28 days after the later of the
dates on which the Contractor receives this
notice or the Employer returns the
Performance Security. The Employer shall not
terminate the Contract under this Sub-Clause
in order to execute the Works himself or to
arrange for the Works to be executed by
another contractor.

After this termination, the Contractor shall


proceed in accordance with Sub- Clause 16.3
[Cessation of Work and Removal of
Contractor’s Equipment] and shall be paid in
accordance with Sub-Clause 19.6 [Optional
Termination, Payment and Release].
28- Cash Flow
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 14.3: Sub-Clause 14.4: Since FIDIC 99 has introduced the concept of
The Contractor shall, within the time stated in If the Contract does not include a schedule of schedule of payments, it has specified the
Part II of these Conditions after the date of the payments, the Contractor shall submit non- requirement of cash flow submission
Letter of Acceptance, provide to the Engineer binding estimates of the payments which he whenever a schedule of payments has not been
for his information a detailed cash flow expects to become due during each quarterly included within the Contract. Minor
estimate, in quarterly periods, of all payments period. The first estimate shall be submitted differences were identified between both
to which the Contractor will be entitled under within 42 days after the Commencement Date. forms.
the Contract and the Contractor shall Revised estimates shall be submitted at
subsequently supply revised cash flow quarterly intervals, until the Taking-Over
estimates at quarterly intervals, if required to Certificate has been issued for the Works.
do so by the Engineer.
29- Plant, Materials, Equipment and Temporary Works
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 54.1: Sub-Clause 4.17: FIDIC 87 has made the application of this
All Contractor’s Equipment, Temporary The Contractor shall be responsible for all Clause to include all Contractor’s Equipment,
Works and materials provided by the Contractor’s Equipment. When brought on to Temporary Works and materials provided by
Contractor shall, when brought on to the Site, the Site, Contractor’s Equipment shall be the Contractor, while FIDIC 99 has merely
be deemed to be exclusively intended for the deemed to be exclusively intended for the included the Contractor’s Equipment.
execution of the Works… execution of the Works.
Sub-Clause 54.4: Sub-Clause 2.2: Minor differences were identified between
In respect of any Contractor’s Equipment The Employer shall (where he is in a position FIDIC 87 and 99 with regards to these
which the Contractor has imported for the to do so) provide reasonable assistance to the statements.
purposes of the Works, the Employer will use Contractor at the request of the Contractor:
his best endeavours to assist the Contractor, (b) for the Contractor’s applications for any
where required, in procuring any necessary permits, licences or approvals required
Government consent to the re-export of such by the Laws of the Country:
Contractor’s Equipment by the Contractor
upon the removal thereof pursuant to the terms (iii) for the export of Contractor’s
of the Contract. Equipment when it is removed from the
Site.
Sub-Clause 39.1: Sub-Clause 7.6: FIDIC 99 has added a condition related to
The Engineer shall have authority to issue Notwithstanding any previous test or urgently required works for the safety of the
instructions from time to time, for: certification, the Engineer may instruct the Works, while FIDIC 87 has not made a similar
(a) the removal from the Site, within such time Contractor to: provision. Furthermore, FIDIC 99 has made a
or times as may be specified in the instruction, provision identifying the consequences of the
of any materials or Plant which, in the opinion (a) remove from the Site and replace any Plant Contractor’s failure to comply by the
of the Engineer, are not in accordance with the or Materials which is not in accordance with instructions of the Engineer in this regard,
Contract, the Contract, while FIDIC 87 has not made a similar
(b) the substitution of proper and suitable (b) remove and re-execute any other work provision.
materials or Plant, and which is not in accordance with the Contract,
and
(c) the removal and proper re-execution, (c) execute any work which is urgently
notwithstanding any previous test thereof or required for the safety of the Works, whether
interim payment therefore, of any work which, because of an accident, unforeseeable event or
in respect of otherwise.
(i) materials, Plant or workmanship, or
(ii) design by the Contractor or for which he is The Contractor shall comply with the
responsible, is not, in the opinion of the instruction within a reasonable time, which
Engineer, in accordance with the Contract. shall be the time (if any) specified in the
instruction, or immediately if urgency is
specified under sub-paragraph (c).
If the Contractor fails to comply with the
instruction, the Employer shall be entitled to
employ and pay other persons to carry out the
work. Except to the extent that the Contractor
would have been entitled to payment for the
work, the Contractor shall subject to Sub-
Clause 2.5 [Employer’s Claims] pay to the
Employer all costs arising from this failure.
Sub-Clause 7.7: FIDIC 99 has made a provision related to the
Each item of Plant and Materials shall, to the ownership of Plant and Materials, deeming
extent consistent with the Laws of the Country, them to be owned by the Employer upon the
become the property of the Employer at occurrence of certain circumstances. FIDIC 87
whichever is the earlier of the following times, has not made a similar condition.
free from liens and other encumbrances:
(a) when it is delivered to the Site;
(b) when the Contractor is entitled to payment
of the value of the Plant and Materials under
Sub-Clause 8.10 [Payment for Plant and
Materials in Event of Suspension].
30- Adjustments for Changes in Legislation
Points noted between FIDIC 87 and FIDIC 99:
FIDIC 87 Statement(s) FIDIC 99 Statement(s) Comparison / Comments
Sub-Clause 70.2 Sub-Clause 13.7 FIDIC 87 has elaborated more on the types of
Law of the Country, while FIDIC 99 has
maintained its statements in a brief form.
FIDIC 99 has addressed the Contractor’s time
entitlement resulting from this Sub-Clause as
well as the cost, while FIDIC 87 has merely
addressed the cost entitlement.

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