KOLEJ UNIVERSITI TUNKU ABDUL RAHMAN

FACULTY OF BUILT ENVIRONMENT

ACADEMIC YEAR 2020/2021

APRIL/MAY FINAL E-ASSESSMENT

BTQS3024 PROFESSIONAL PRACTICE (CONTRACT MANAGEMENT)

TUESDAY, 4 MAY 2021 TIME: 9.00 AM – 12.00 NOON (3 HOURS)

BACHELOR OF QUANTITY SURVEYING (HONOURS)

Instructions to Candidates:

Section A: Answer all questions.

Section B: Answer only one question.

All questions carry equal marks.

You are required to submit handwritten answers.

This is an open book final online assessment. No internet search is allowed. Students may refer to
e-books provided by the Examiner which must be downloaded before the final online assessment. You
MUST answer the assessment questions on your own without any assistance from other persons.

You must submit your answers within the following time frame allowed for this online assessment:
o The deadline for the submission of your answers is half an hour from the end time of this online
assessment.

Penalty as below WILL BE IMPOSED on students who submit their answers late as follows:
o The final marks of this online assessment will be reduced by 10 marks for answer scripts that are
submitted within 30 minutes after the deadline for the submission of answers for this online
assessment.
o The final marks of this online assessment will be downgraded to zero (0) mark for any answer scripts
that are submitted after one hour from the end time of this online assessment.

Extenuation Mitigating Circumstance (EMC) encountered, if any, must be submitted to the

Faculty/Branch/Centre within 48 hours after the date of this online assessment. All EMC applications
must be supported with valid reasons and evidence. The UC EMC Guidelines apply.

Student’s Declaration of Originality:

By submitting this online assessment, I declare that this submitted work is free from all forms of
plagiarism and for all intents and purposes is my own properly derived work. I understand that I have
to bear the consequences if I fail to do so.

This question paper consists of 6 questions on 4 printed pages.

 2

BTQS3024 PROFESSIONAL PRACTICE (CONTRACT MANAGEMENT)

SECTION A: Answer all questions

Question 1

a) Standard forms of contract are normally in a printed form and published by an authoritative
body of the industry which is recognized by both parties of a contract.

(i) Discuss THREE (3) advantages of using standard forms of contract. (6 marks)

(ii) Discuss THREE (3) types of standard forms of contract normally used in Malaysia.
(3 marks)

b) Based on PAM Contract 2018, identify and briefly explain the following situation in a contract:

(i) The party to whom the Certificate of Completion and Compliance is issued and its
purpose. (2 marks)

(ii) The person appointed by the Owner to issue the Variation Instruction and its purpose.
(2 marks)

(iii) Before a Nominated Sub-Contractor can assign his works to another party, consents from
certain parties in the contract are required. (2 marks)

c) Clause 3.0 of PAM Contract 2018 requires a Contractor to prepare a Work Programme for the
project. Analyse and discuss the conditions of the Work Programme based on the Clause 3.0.
(5 marks)
[Total: 20 marks]

Question 2

a) As the Project Manager for a development company, you are required to solve a dispute
between the Developer and Contractor. Based on PAM Contract 2018 provisions, explain
FOUR (4) methods on how the dispute can be resolved. (8 marks)

b) Evaluate the following disputes in a building contract:

(i) The Nominated Sub-Contractor refused to accept liability to a certain breach of contract
due to an alleged lack of explanation of the tender documents leading to his
misinterpretation of contract provisions. (4 marks)

(ii) The Contractor has refused to honor the instruction to make good some works which are
defective resulting in the Architect’s withholding of the issuance of the Certificate of
Interim Payment (IPC) for 2 months after receiving the claims from the Contractor in a
contract. (4 marks)

This question paper consists of 6 questions on 4 printed pages.

 3

BTQS3024 PROFESSIONAL PRACTICE (CONTRACT MANAGEMENT)

SECTION A: Answer all questions (Cont’d)

Question 2 (Cont’d)

(iii) The Contractor failed to complete certain significant outstanding works despite S.O’s
Instruction had been issued two weeks after the issuance of the Certificate of Practical
Completion (CPC). (4 marks)
[Total: 20 marks]

Question 3

a) The provision on Variations in P.W.D. Contract 203A states that the Contractor shall not be
entitled to Extension of Time (EOT) or extra costs even if the process of Variations causes the
Contractor works delay and extra cost. Suggest mitigation ways for the Contractor to take in
such situation. (6 marks)

b) Describe the differences of the principal roles of the Contract Administrator (CA) in the PAM
Contract 2018 and the P.W.D Contract 203A. (4 marks)

c) Based on PAM Contract 2018, evaluate and justify the options for the Contractor as follow:

(i) A Contractor made a very strong argument that the assessment of liquidated damages had
to cease upon Substantial Completion of the project. Liquidated damages compensate for
loss of occupancy and use of the project. Once Substantial Completion has been achieved,
the project is fitted for its intended purpose. The Employer was not entitled to continue
assessing liquidated damages while the Contractor completed the punch list work.
(5 marks)

(ii) A Contractor made a strong protest to the Employer due to the later rejection of his
Extension of Time (EOT) claims. Most contracts contain a provision on requirements for
the EOT claim. The Contractor failed to serve notice of a delay beyond the specified
contract completion time. (5marks)
[Total: 20 marks]

Question 4

a) You are appointed as the Nominated Sub-Contractor for a major highway project. However, in
implementing the works according to the contract, there are some discrepancies between the
Main Contract and the Sub-Contract on the type of materials to be used in the project. Explain
the necessary actions you should take to solve the issue. (6 marks)

b) A Contractor’s works was delayed due to the Employer’s request for different type of materials
to be used in the project. There was lack of a written notice by the Contractor on the delay
which is expressed in the contract to be a condition precedent. The Employer will then become
entitled to deduct liquidated damages. Advise the position of the Contractor in this situation.
(6 marks)
This question paper consists of 6 questions on 4 printed pages.
 4

BTQS3024 PROFESSIONAL PRACTICE (CONTRACT MANAGEMENT)

SECTION A: Answer all questions (Cont’d)

Question 4 (Cont’d)

c) Briefly explain the position of the Superintendent Officer’s (S.O’s) Representative in the P.W.D
Contract 2010 which is largely considered as controversial. (8 marks)
[Total: 20 marks]

SECTION B: Answer only one question

Question 5

a) Some works, although not specifically described, are nevertheless considered as implied or
formed a necessary part of the Contract. Describe the meaning of “implied” or “formed” a
necessary part of the Contract. (3 marks)

b) The cost effect of any proposed variation works which are under consideration should be
included in the Financial Statement. Describe the importance of including the cost effect of any
proposed variation works in the Final Statement. (3 marks)

c) A Contractor was held liable to make a contribution to the cost of remedial works resulting from
the demolition of load-bearing walls. The walls were shown on the Architect’s drawing as non-
load-bearing. Explain the position of the Contractor in this situation. (8 marks)

d) Some standard forms of contract have defined Practical Completion as taking place when the
development is completed for all practical purposes. Explain the meaning of “the development
is completed for all practical purposes”. (6 marks)
[Total: 20 marks]

Question 6

a) Under Agreement and Conditions of PAM Contract 2018, amongst the functions and
responsibilities of an Architect is to supervise and to administer the building contract. Briefly
explain FIVE (5) important roles of an Architect in a building contract. (10 marks)

b) As an appointed Architect for a development company, you are required to solve a dispute
between the Developer and the Contractor with regards to materials and workmanship which
are not in accordance with the contract. Based on PAM Contract 2018 provisions, explain the
FIVE (5) types of instruction which could be issued to the Contractor. (10 marks)
[Total: 20 marks]

This question paper consists of 6 questions on 4 printed pages.