Professional Documents
Culture Documents
AVANTHI, 64/3834-A
KOCHI- 682031
(SOLE ARBITRATOR)
and
Managing Partner
MG Road, Thrissur
M.Kumaran
AR NO 35 OF 2020
Dated 06-09-2021
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CONTENTS
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SECTION I.TERMS OF REFERENCE,TENDER SCHEDULE
Sri. M. Kumaran, Prof. and HOD (Rtd.), Govt. Engineering College Thrissur has been appointed as
technical expert to adjudicate the dispute between the Claimant and Respondent. He has to report the
fact before the Arbitration Tribunal at Ernakulam as instructed in Terms of Reference given in order
dated 06/09/2021
TERMS OF REFERENCE:
1. Whether the applicant has completed the work awarded to him, in accordance with the standards
and specifications provided in the bidding documents. If not completed what are the remaining
works to be done and what is the amount required for completing it.
2. Above building suffers from any inherent defect/damage as a result of nonconformity with
specification in the contract. If so, what are those defects noted in the light of the specifications
in the contract and the amount required for such rectification
3. To report whether the applicant has executed excess work over and above the specifications in
the contract, so as to claim any amount over and above the quoted amount
4. Any matter, which the Arbitrator deems necessary for the proper adjudication of the dispute,
during the course of proceedings.
The estimate for the above work has been prepared by the consultant/Architect and submitted to the
Bank on 18-12-2014. Subsequently Agreement was executed by both claimant and Respondent on 22-
07-2015 in which all the conditions are given. All the works are to the executed as per the instructions
of the Architect and would be completed in accordance with the said specifications, designs, drawings,
bill of quantities dated 19/06/2015 and instructions on or before due date mentioned in the said work
order. Bank extruded the Architects to look after all qualities and workmanship. All subsidiary works
connected there with the same site as may be ordered to be done from time to time by the approval of
Bank even though such works not be shown in the drawings of described in the said specifications or
the priced schedule of quantities.
As per agreement condition no.9, (dated 22/07/2015) the Bank through the Architects, reserve to
himself the rights of altering the drawings and nature of work and of adding to or omitting any item of
work or of having portions of the same carried out departmentally or otherwise and such alteration or
variations shall be carried out without prejudice to this contract.
Schedule for the above work and drawings are given in "Conditions, technical specification and bill of
quantities" dated 19/06/2015. As per general conditions of contract, item no:10, the quantities shown in
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the schedule of quantities are intended to cover the entire new structure indicated in the drawings but
the employer reserves the right to execute only a part or the whole or any excess thereof without
assigning any reason therefore.
Because the work is being done for renovation of the old building contributed during the year 1983, It
was noticed that during the renovation time numerous extra, altered and substituted items of works
became necessary to be executed for which the claimant had to notify the respondent/consultant about
the item requiring such replacement / reconstruction and obtain sanction for executing such extra items
of work.
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SECTION II. SITE INSPECTION REPORT
Three site inspections were carried out on 3 days (15th, 24th, 25th of September 2021) and the
inspection reports are as follows.
Aim of inspection: To investigate the general issues in building, like cracking, leakage, settlement and
other defects.
Procedure
1. Inspected the site fully along with claimant, respondent and members of staff.
2. During the inspection discussions were made between bank authorities and contractor
3. Written complaints were received from both claimant and respondent
While analysing the complaints received from the respondent the following issues were noticed
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Aim of inspection: To inspect whether extra work done or not and quantify the work.
Procedure
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Findings from inspection
1. 0.7 mx0.5 m dimensioning glass door near lift of 3rd floor was not found (this work
coming under Ext.21 in RA bill 5)
2. CTS casing work was not completed in record room and library (this work coming
under Ext.33 in RA bill 5)
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Major complaint raised by the respondent was about the settlement occurred in the wall of canteen
building and the formation of cracks between old and new building. To investigate this a third inspection
was conducted on 25-09-2021.
Aim of inspection: To know that the building suffers from any settlement issues as claimed by the
Respondent
Procedure
Levelling staff readings were taken and recorded using a dumpy level in the presence of claimant,
respondent and Bank Engineer at two horizontal plains namely,
Benchmark was fixed at corner no 4 which is the highest level when compared to other points. The
corresponding reduced levels were found and are shown in Fig. 1 and Fig.2.
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Fig. 1 Comparison of levels between different corners of the building at slab level
Fig. 2 Comparison of levels between different corners of the building at the sunshade level
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Findings from inspection
In both cases cited above, a maximum slope of 70mm occurred towards the corner 2.
This level difference need not be a clear case of settlement of foundation, but it might have
occurred due to the slope already given in the structure during construction period. It can also be seen
that the pattern of slope / settlement is similar in both the cases.
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SECTION III. INHERENT DEFECTS AS SUGESTED BY
RESPONDENT
The above building suffers from no inherent defect/ damage because of non-conformity with the
specifications in the contract. However, following defects and their remedial measures are suggested
by the respondent:
1. Defects were observed in planning and design of building. Also, defects due lack of
periodic maintenance.
2. A major technical defect suspected in building is a slight uniform settlement of new
canteen building. This uniform settlement may lead to crack in column junction
(junction between old building and new canteen building). There are many reasons
for the uniform settlement of newly constructed building which are explained in
SECTION V of this report.
3. The technical defects may be due to lack of proper technical supervision from the
consultant. For instance, the safe bearing capacity of soil is low, but the plinth beam
is not provided for the foundation of canteen building.
4. Other defects noted are in sanitary fittings, false ceilings, truss work and in air-
conditioning, which can be rectified by conducting periodic maintenance.
5. Architectural defects include the lack of proper planning for new construction. For
example, the wall constructed across the window as mentioned by the respondent in
his complaint.
6. Some of the work given in the contract are not executed by the contractor, and some
excess amount of work done by the contractor beyond tender quantity, but as per
agreement there is a provision to do excess quantity of work if there is demand by
bank's side at the time of work
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SECTION IV. WORKS QUANTIFIED AND AMOUNT CLAIMED
Since this is a renovation work executed on old building all the items given in tender is not
expected to execute. There are excess works and extra works. These provisions are permitted
in agreement explained above. However, for the purpose of comparison these works are
quantified and their cost are arrived and are reported in Table given in the Appendix.
The applicant has completed almost all works awarded to him in accordance with the standard
and specification, provided in the agreements except the following items listed below along
with their costs in Table 1 given the Appendix.
As explained above some excess works are carried out and their costs arrived are tabulated in Appendix
table 2
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SUMMARY OF WORKS
ERRORS found out in comparing R.A. bill 5 as approved by Architect & Conditions,
Technical Specifications& Bill of quantities
Change in Qty/Item
Item no. Floor/Name
As Per Tender As Per RA 5
8 (a) (b)(c)
Low side work items are repeated
Repeated
RCC cutting
3 Ground Floor 2 m3
1.5 m3
Hard Wood
10 Second Floor 1 m3
0.5 m3
Mild steel
27 Third Floor instead of 1.5 2T
T
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SECTION V. FINDINGS, REMEDIAL MEASURES AND REPAIRS
SUGESTED
Numerous vertical, diagonal, and horizontal cracks were visible on the walls of the building.
Some of them are extended from the bottom corner of windows, bottom of window sill, junctions of all
walls, junctions of floor and wall, corner of walls, extending from the corner of opening. Severe cracks
noted were at the joining portion of old existing building and new canteen building, floors, junction of
roof and wall especially from the corner of exhaust fan opening.
Some ventilator openings were not plastered properly. Proper drainage was not provided to drain off
rainwater from old building at the joining portion of new building. Water was found to be stagnated on
the terrace.
The water was leaking through the side of old building which is made of Laterite in lime mortar and
also through minor cracks at the junction of building. This is leading to dampness and leakage on old
building and affects the new building.
Cracks can occur in buildings due to various reasons. In majority of cases, small hairline cracks in wall
ceilings and plaster can be a sign of simple expansion and contraction movements within the building
due to humidity, temperature, and the way that different materials in the building react to the variation
of temperature at various time and rate. Expansion and contraction of timber frames is an example. On
the other hand, in extreme cases there could be major problems in foundation of building which may
require some sort of underpinning. Due to large fluctuations in humidity and temperature the window
frame exposed to it will expand and contract significantly on daily basis causing the plaster to touch the
timber leading to cracking.
If the building is close to a busy road, the rumble of the passing traffic and vibration of the ground can
also cause of cracking of the building.
In newly constructed buildings there can be a certain period of "settlement" in which the building
undergoes a downward movement due to the dead load. This can in turn cause small cracks to appear
.In terms of the size of these cracks, a settlement or shrinkage crack is less than 0.5mm in width.
Vertical cracks are the result movement in material such as plaster or brick work causing the plaster to
crack. Minor cracks will tend to occur in walls. In the case of major vertical cracks running on exterior
walls of building (minimum 3mm in width) this can indicate serious settlement issues or foundation
problems. These are normally caused by a drop in a section of foundation that then causes building to
effectively pull away from the rest of the structure creating a crack.
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Whenever a crack occurs in a structure, regardless of its size, it should be investigated immediately to
ensure that there is nothing structurally wrong.
If proper gradient and gutter is not provided for the soil surrounding the building, water percolate down
into soil. This results in settlement of building.
2. LEAKING
When the pipes for plumbing and wastewater running under the floor of the building cracks, leaking
will occur leading to the settlement of building.
2. TREES
Huge and aged trees near the building can cause serious issues. Aged tree’s root system can be twice as
large as anything visible above ground and due to this root mass can absorb a considerable amount of
water causing soil shrinkage
3. PROLONGED DROUGHT
Prolonged drought can shrink and drop causing foundations to shift due to the lack of solid support
During the construction of a building, to ensure that the base of any footing is flat and level, the builder
will bring in material to replace the excavated soil and line the base of trenches. If the material is not
properly compacted, then the weight of building above it will cause the foundation failure.
Due to the above reasons, there is a chance for equal settlement. When there is equal settlement, the old
building will be slightly pulled and cracks will develop at the junction of two buildings resulting in
wider cracks. This crack width can be beyond that at the south west corner of canteen building and
junction plane of old and new building. The canteen building is not properly designed, it is a mistake
from the Architects’ side.
From the results, observations, and studies it can be clearly stated that the building suffers no incurable
defects. All the cracks can be repaired by proper annual maintenance. If the settlement is prolonging
some under pinning works are to be carried out as per the instructions of geotechnical engineer. This is
not the fault on the part of the contractor.
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As per the written complaints received from the respondent (Bank) the following repairs and
maintenance works are to be done and their approximate cost is worked out as given below:
1. Repair works at the junction of the load bearing old structure, old framed structure and recently
constructed canteen block
• leak protection at roof RS 20000/-
• Filling the crack in the wall RS 2000/-
• Provide a grating in front of existing drain pipe RS 1000/-
2.Joint between the old and new structure at the southern side
Weather proofing materials to prevent rain water seepage through cracks RS 3500/-
TOTAL Rs 50000/-
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SECTION VI APPENDIX
Page 15 of 27
THIRD FLOOR TABLE D
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 3 N 2 500 1000
2 4 N 15 1500 22500
3 6 N 50 200 10000
4 15 N 8 1100 8800
5 25 N 35 250 8750
6 32 N 140 550 77000
7 33 N 200 250 50000
TOTAL Rs 178050
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ELECTRIFICATION
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 6 N 1 12000 12000
TOTAL Rs 12000
V. CABLE TERMINATION
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 5.4 N 2 1350 2700
2 5.8 N 12 350 4200
TOTAL Rs 6900
VII
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 7.9 N 10 2600 26000
2 7.11 N 100 150 15000
TOTAL Rs 41000
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VIII. TELEPHONE POINTS
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY
1 8.8 N 300 65 19500
TOTAL Rs 19500
XII. GENERATOR
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 12.1 N 1 1900000 1900000
2 12.2 N 30 6000 180000
TOTAL Rs 2080000
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LOW SIDE WORK
TOTAL
AMOUNT AS
ITEM WORK PER TENDER
NO. NO. DONE AS PER TENDER QUANTITY RATE QUANTITY Rs
1 7 N 20 750 15000
2 8a N 15 200 3000
3 8b N 10 200 2000
4 8c N 30 200 6000
5 19F N 1 1250 1250
6 31 N 4089 45 184005
TOTAL Rs 211255
Page 19 of 27
Table. 2-EXCESS WORK
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 1 39.18 750 29385
2 2 15 300 4500
3 3 0.81 4000 3240
4 4 4.56 4000 18240
5 5 38.41 150 5761.5
11 11 8.65 18000 155700
12 12 20.47 18000 368460
13 13 5.57 18000 100260
14 14 3438.39 85 292263.15
15 15 3.7 11000 40700
18 18 1.57 11000 17270
19 19 1 12000 12000
20 20 15 150 2250
21 21 14.07 150 2110.5
22 22 39.53 10000 395300
34 34 731.94 250 182985
35 35 67.85 250 16962.5
36 36 2.15 4200 9030
TOTAL Rs 1656417.65
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 2 112 300 33600
2 4 14.7 4000 58800
3 7 29 1500 43500
4 10 5 200 1000
5 11 4 1500 6000
6 12 3 600 1800
7 18 5.35 11200 59920
8 22 5 12000 60000
9 24 206.1 8500 1751850
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10 32 54.21 450 24394.5
11 33 319.77 60 19186.2
12 35 237.28 250 59320
13 38 27.77 4200 116634
14 39 18.22 400 7288
TOTAL Rs 2243292.7
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 1 4.82 825 3976.5
2 1 1 200 200
3 8 16.6 18500 307100
4 9 130.84 90 11775.6
5 10 3.72 210000 781200
6 12 3 150 450
7 15 5.26 6000 31560
8 21 149.26 60 8955.6
9 23 69.91 250 17477.5
10 25 6.66 400 2664
TOTAL Rs 1165359.2
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13 26 18.24 400 7296
14 27 10.62 125000 1327500
15 29 140.69 1400 196966
16 34 451.29 1500 676935
17 36 3.66 4000 14640
18 37 86.87 900 78183
TOTAL Rs 3532279.2
ELECTRIFICATION
EXCESS
QTY EXCESS AMOUNT
ITEM W.R.T ABOVE TENDER
NO. NO. TENDER RATE Rs
1 5 1 10000 10000
2 8.1 122.68 710 87102.8
4 8.3 246.6 85 20961
5 2.2 1 20000 20000
6 2.4 5 5400 27000
TOTAL Rs 165063.8
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IV. CABLE LAYING
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T. TENDER Rs
1 4.3 5 1100 5500
2 4.6 19 600 11400
3 4.7 188.25 280 52710
4 4.8 11 250 2750
5 4.11 227.8 250 56950
TOTAL Rs 129310
V. CABLE TERMINATION
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 5.3 4 1400 5600
2 5.6 2 1000 2000
3 5.7 40 450 18000
4 5.11 18 300 5400
TOTAL Rs 31000
VI
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 6.1 504.93 170 85838.1
2 6.2 11.15 5600 62440
TOTAL Rs 148278.1
VII
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 7.1 36 1350 48600
2 7.5 75 750 56250
3 7.8 7 1850 12950
4 7.1 1852.08 120 222249.6
5 7.13 11 1200 13200
TOTAL Rs 353249.6
Page 23 of 27
IX. INSTALLATION OF LIGHT FITTINGS, CEILING FAN, EXHAUST FAN
EXCESS
QTY
ITEM W.R.T EXCESS AMOUNT
NO. NO. TENDER RATE W.R.T TENDER Rs
1 9.2 20 3200 64000
2 9.6 52 1100 57200
TOTAL Rs 121200
Page 24 of 27
7 9 1 1150 1150
8 10 2.41 9000 21690
9 11 2.41 9000 21690
10 12 73.58 900 66222
11 18C 1 18800 18800
12 19A 3 3100 9300
13 19C 2 1250 2500
14 19D 2 1250 2500
15 20A 76.27 1250 95337.5
16 20B 82.2 750 61650
17 21 52.56 950 49932
18 22 3 1150 3450
19 25 6.13 875 5363.75
20 26 36.52 750 27390
21 27 1 3750 3750
22 29 631.85 160 101096
23 30 138.7 175 24272.5
24 32 71.2 750 53400
TOTAL Rs 754396.95
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TABLE.3- EXTRA WORKS
TOTAL
AS PER AMOUNT AS
WORK BILL PER BILL
ITEM NO. DONE QUANTITY RATE Rs
Ext-1 Y 215.26 460 99019.6
Ext-2 Y 77.63 6072 471369.36
Ext-3 Y 419 305 127795
Ext-4 Y 272 2549 693328
Ext-5 Y 1148.74 192 220558.08
Ext-6 Y 63.88 236 15075.68
Ext-7 Y 538.61 48 25853.28
Ext-8 Y 67.1 96 6441.6
Ext-9 Y 254.82 85 21659.7
Ext-10 Y 9.52 4504 42878.08
Ext-11 Y 1 10141 10141
Ext-12 Y 13.83 488 6749.04
Ext-13 Y 19 1372 26068
Ext-14A Y 490.96 55 27002.8
Ext-15 Y 52.31 1425 74541.75
Ext-16 Y 1.51 62354 94154.54
Ext-17 Y 2922.22 19 55522.18
Ext-18 Y 40 928 37120
Ext-19 Y 70 928 64960
Ext-20 Y 209 796 166364
Ext-21 Y 27.55 3978 109593.9
Ext-22 Y 29.37 1856 54510.72
Ext-23 Y 8.93 855 7635.15
Ext-24 Y 11.63 896 10420.48
Ext-25 Y 4 1956 7824
Ext-26 Y 8 968 7744
Ext-27 Y 1.62 10375 16807.5
Ext-28 Y 59 528 31152
Ext-29 Y 14 647 9058
Ext-30 Y 18 699 12582
Ext-31 Y 2 810 1620
Ext-32 Y 903.6 84 75902.4
Ext-33 Y 27 1411 38097
Ext-34 Y 10 1558 15580
Ext-35 Y 2 1445 2890
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Ext-36 Y 3 656 1968
Ext-37 Y 6 1160 6960
Ext-38 Y 1 1492 1492
Ext-39 Y 7 961 6727
Ext-40 Y 1 10000 10000
Ext-41 Y 5 1127 5635
TOTAL Rs 2720800.84
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