Training fidic moustafa ismail 2017 _ lec 4

24 July 2017SCE FIDIC Training 1011 BTA - Dr. Moustafa Ismail July 2017 LEC- IV 1
LECTURE FOUR
‫وبركاته‬ ‫هللا‬ ‫ورحمة‬ ‫عليكن‬ ‫السالم‬
2017
.
Training Course:
Saudi Council of Engineers
FIDIC Forms of Contracts

SCE FIDIC Training 1011 BTA - Dr. Moustafa Ismail July 2017 LEC- IV 2
Over View
2 THE EMPLOYER
2.1 Right of Access to the Site
2.2 Permits, Licences or Approvals
2.3 Employer's Personnel LEC. 3
2.4 Employer's Financial Arrangements
2.5 Employer's Claims
3 THE ENGINEER
3.1 Engineer's Duties and Authority
3.2 Delegation by the Engineer
3.3 Instructions of the Engineer
3.4 Replacement of the Engineer
3.5 Determinations LEC 3
4 THE CONTRACTOR
4.1 Contractor's General Obligations
4.2 Performance Security
4.3 Contractor's Representative
4.4 Subcontractors
4.5 Assignment of Benefit of Subcontract
24 July 2017

Over View
4.6 Co-operation
4.7 Setting Out
4.8 Safety Procedures
4.9 Quality Assurance
4.10 Site Data
4.11 Sufficiency of the Accepted Contract Amount
4.12 Unforeseeable Physical Conditions
4.13 Rights of Way and Facilities
4.14 Avoidance of Interference
4. 1 5 Access Route
4.16 Transport of Goods
4.17 Contractor's Equipment
4.18 Protection of the Environment
4.19 Electricity, Water and Gas
4.20 Employer's Equipment and Free-Issue Material
4.21 Progress Reports
4.22 Security of the Site
4.23 Contractor's Operations on Site
4.24 Fossils
24 July 2017

Over View
5 NOMINATED SUBCONTRACTORS
5.1 Definition of "nominated Subcontractor"
5.2 Objection to Nomination
5.3 Payments to nominated Subcontractors
5.4 Evidence of Payments
6 STAFF AND LABOUR
6.1 Engagement of Staff and Labour
6.2 Rates of Wages and Conditions of Labour
6.3 Persons in the Service of Employer
6.4 Labour Laws
6.5 Working Hours
6.6 Facilities for Staff and Labour
6. 7 Health and Safety
6.8 Contractor's Superintendence
6.9 Contractor’s Personnel
6.10 Records of Contractor's Personnel and Equipment
6.11 Disorderly Conduct
24 July 2017

Over View
7 PLANT, MATERIALS AND WORKMANSHIP
7.1 Manner of Execution
7.2 Samples
7.3 Inspection 7.4 Testing
7.5 Rejection 7.6 Remedial Work
7. 7 Ownership of Plant and Materials
7.8 Royalties
8 COMMENCEMENT, DELAYS,AND SUSPENSION
8.1 Commencement of Works
8.2 Time for Completion
8.3 Programme
8.4 Extension of Time for Completion
8.5 Delays Caused by Authorities
8.6 Rate of Progress 8.7 Delay Damages
8.8 Suspension of Work
8.9 Consequences of Suspension
8.10 Payment for Plant and Materials in Event of Suspension
8.11 Prolonged Suspension
8.12 Resumption of Work
24 July 2017

Definitions
Design/ limited.
 Execute/ complete/ remedy the Works as per Contract
 The Contractor shall provide the Plant and Contractor's
Documents specified in the Contract. and all Contractor's
Personnel. Goods. consumables and other things and services.
 Provide all whether of a temporary/permanent nature required .
24 July 2017

Definitions
 Responsible for adequacy, stability, safety of Site operations
and
 of all methods of construction.
Except specified in the Contract, the Contractor
(i) responsible for all Contractor's Documents.
Temporary Works. and such design in accordance with the
Contract. and
24 July 2017

Definitions
(ii) shall not otherwise be responsible for the design or
specification of the Permanent Works.
 The Contractor shall. whenever required by the Engineer.
submit details of MOS for work execution.
 If the Contract specifies that the Contractor shall design any
part, then :
 the Contractor shall submit to the Engineer the Contractor's
Document of this part in accordance with S.Cl.1.4 Law &Lang.
24 July 2017

Definitions
 The Contractor is required to provide to the Employer PS
within 28 days after receiving the Letter of Acceptance LOA
in the form annexed to the Particular Conditions
 Amount as per Appendix to Tender.
24 July 2017

Definitions
 The PS to remain valid until the Contractor has executed and
completed the Works which would give an expiry date
corresponding to the anticipated Completion Date (and not the
date of Taking Over described in Sub - Clauses 10.1 and 10.2).
 The Employer shall return the PS to the Contractor within 21
days after receiving a copy of the Performance Certificate. (
S.Cl. 11.9)
24 July 2017

Definitions
4.3 Contractor's Representative
• appoint the Contractor ‟ s Representative/ PM- site M.
• give him all authority to act on the Contractor ‟ s behalf.
• The Contractor ‟ s Representative and his key staff shall be
fluent in the language ( S.Cl. 1.4)
4.4 Subcontractors
• The Contractor shall not subcontract the whole of the Works.
• shall be responsible for acts or defaults of any Subcontractor.
as if they were the acts or defaults of the Contractor. Unless
otherwise stated in the P. Conditions
24 July 2017

Definitions
4.5 Assignment of Benefit of Subcontract
In case the obligations of the Subcontractor may extend beyond
the expiry date of the relevant Defects Notification Period.
(Elevators, HVAC-) to be extended.
4.6 Co-operation
The Contractor shall. as specified in the Contract or as instructed
by the Engineer. Allows:
(a) the Employer's Personnel
(b) any other contractors employed by the Employer.
(c) the personnel of any legally constituted public authorities.
who may be employed in the execution on/or near Site of any
work not included in Contract.
24 July 2017

SCE FIDIC Training 1011 BTA - Dr. Moustafa Ismail July 2017 LEC- IV
13
Definitions
4.8 Safety Procedures
(a) comply with all applicable safety regulations.
(b) take care for the safety of persons entitled to be on the Site.
(c) reasonable efforts to keep the Site Works clear of obstruction.
4.7 Setting Out
• Commonly provided by the Eng. on behalf of the Employer.
• Contractor responsible for setting out the and shall notify the
Engineer of any errors observed.
• If the Contractor incurs additional cost or is delayed for
incorrect data, he is entitled to an EOT for any delay together
with payment of his additional costs plus reasonable profit.
24 July 2017

Definitions
4.8 Safety Procedures- Continued
(d) Fencing, lighting. Guarding, watching of the Works.
(e) Any Temporary Works (including roadways. Footways), for
the use and protection of the public and of owners and occupiers
of adjacent land.
4.9 Quality Assurance
„The Contractor is required to institute a QA system to
demonstrate compliance with requirements of the Contract.‟
 may choose to confirm his intentions to comply with ISO
9001 as part of his tender submittal.
24 July 2017

Definitions
4.10 Site Data
 By the Employer, prior to the Base Date and after also, all
relevant data in the Employer's possession on sub-surface and
hydrological conditions at the Site, environmental aspects.
4.11 Sufficiency of the Accepted Contract Amount‘
(a) have satisfied himself as to the correctness, sufficiency of the
accepted Contract Amount, and
(b) has based on the data. Interpret., necessary info., inspections.
Examine and satisfaction as to all relevant matters referred to in
S.Cl. 4.10 [Site Data].
24 July 2017

Definitions - Unforeseeable Physical Conditions
‘Unforeseeable ‟ is (S.Cl 1.1.6.8) as meaning „ not reasonably
foreseeable by an experienced contractor by the date for
submission of the Tender ‟
If the Contractor encounters adverse physical conditions which
he considers to have been „ Unforeseeable ‟ , he shall:
• Notice ( details) to the Engineer/ copy the Employer,
• Entitled to an EOT and payment of any cost arising as a
consequence of the unforeseeable physical conditions.
24 July 2017

SCE FIDIC Training 1011 BTA - Dr. Moustafa Ismail July 2017 LEC-
IV
17
Definitions - Unforeseeable Physical Conditions
Continue executing the Works, using reasonable appropriate and
Engineer‟s instruction- may constitute a Variation, Clause 13
[Variations and Adjustments] shall apply.
• The Eng. May make deduction for favorable conditions.
After notice and inspecting and/or investigating- Engineer S.CL
3.5 [Determinations] to determine:
(i) whether and extent physical conditions were Unforeseeable.
and (ii) the matters of EOT and additional payment.
24 July 2017

Event analysis- Q
 In your project, describe the Role of the Contract parties if an
Unforeseen physical conditions were experienced on the site-
the project contract is based on the FIDIC Red Book, 1999-
Provide any necessary assumption:
• Case 1 you represent Contractor’s Project manager/ Contract manager.
……………………………………………………………………
……………………………………………………………………
…………………………………………………………………….
• Analyzed by Eng:
SCE FIDIC Training 1011 BTA - Dr. Moustafa Ismail July 2017 LEC- IV 1824 July 2017

Event analysis- Q
 In your project, describe the Role of the Contract parties if an
Unforeseen physical conditions were experienced on the site-
the project contract is based on the FIDIC Red Book, 1999-
Provide any necessary assumption:
• Case 2 you represent the Engineer:
……………………………………………………………………
……………………………………………………………………
…………………………………………………………………….
• Analyzed by Eng:

Definitions
4.13 Rights of Way and Facilities
• If the Contractor requires other/ additional rights of access, in
addition, the Contractor may wish to occupy areas out of Site
 The Contractor has the duty to obtain such rights
of way and use of the areas at his own risk and cost.
4.14 Avoidance of interference
Contractor shall not interfere improperly with: (a) the
convenience of the public. Or (b) the access to and use and all
roads and footpaths.
Indemnify, the Employer harmless against, from all damages
24 July 2017

Definitions
4.15 Access Route
Contractor have been satisfied/ suitability and availability of
access routes to Site.
4.16 Transport of Goods
Unless stated in P. Conditions
Notice before 21 days of delivery date.
Contractor/ packing, loading, transporting. receiving. unloading,
storing and protection : and
Contractor indemnifies, hold the Employer harmless against ,
from all damages, losses and expenses. and pay all claims arising
24 July 2017

Definitions
4.17 Contractor’s Equipment
• Equipment/ exclusively intended for the execution of Works
• Major equipment - permission from Engineer before removal.
4.18 Protection of Environment
 The Contractor shall take all reasonable steps to protect the
environment (both on and off the Site)
these requirements cost impact to be evaluated in the tender.
4.19 Electricity, Water and Gas
The Contractor is responsible of all power. water and other
services he may require.
24 July 2017

Definitions
4.20 Employer’s Equipment and Free-Issue Material
• Employer's Equipment/ available for the use of the Contractor
as per the Contract.
4.21 Progress Reports
• monthly P reports prepared by the Contractor 6 copies
• The first report shall cover the period up to the end of 1st M.
• Reports shall be submitted monthly before 7th
• Reporting continue till the Contractor has completed all work.
• Contents include: …………..
4.22 Security of the Site
Contractor/ for keeping in the Site. authorized persons/ limited Contractor‟s….
24 July 2017

Definitions
4.23 Contractor’s Operations on Site
• Contractor shall confine operations to Site, additional areas
agreed by the Engineer as working areas.
• Precautions to keep Contractor‟s Equipment and Personnel
within the Site, additional areas, off adjacent land.
4.24 Fossils
All fossils. coins. articles of value or antiquity. and structures and
other remains or items of geological or archaeological interest
found on the Site shall be placed under the care and authority of
the Employer. reasonable precautions for protection.
24 July 2017

Employer’s Responsibilities
• Cl.2
o Provides Access to the Site
• (not access & other areas – Cl.14.15 & 14.23)
o Assists Contractor with Permits
o Clause 16.1 Financial Arrangements ( Suspension-
Variations)
o Employer‟s claim notice

Employer’s Responsibilities “continued”
• Assigning the Engineer Cl.3.1
• Cl.14.7 Payments
• Cl.20.2 appointment of DAB members

Engineer’s Responsibilities
• Contract Management
• Maintain Employer's coordination and approvals
• Acts for Employer as Cl.3.5–“Fair determination”
• Cl.3.0 administration
o Ensure fair management to avoid violations

Engineer’s Responsibilities
o Coordinate with the Employer for changes and
contract amendment
o Acts as an Employer representative
o Power of the Engineer is limited to relieve the
parties of duties or obligations etc.
To be continued in the next LEC.

Q&A
Conditions of Contract for ……………….Projects . which are
recommended where one entity takes total responsibility for the
design and execution of an engineering project. Under the usual
arrangements for this type of contract , the entity carries out all the
Engineering, Procurement and Construction: providing a fully
equipped facility , ready for operation (at the "turn of the key").
 This type of contract is usually negotiated between the parties,
choose the correct contract:
Answer:
A. The New Silver Book EPC Turnkey.
B. Red Book
C. Yellow Book
D. White Book Eng: ……..

……………. conditions of Contract for ………..
Which are recommended for building or engineering works
designed by the Employer or by his representative, the Engineer.
Under the usual arrangements for this type of contract, the
Contractor constructs the works in accordance with a design
provided by the Employer. However, the works may include
some elements of Contractor-designed civil, mechanical,
electrical and/or construction works.
Answer:
B. Red Book construction
C. Yellow Book Plant des.- build
D. White Book construction Eng:…………..
Q&A
24 July 2017

Q. The ………………….... Conditions of Contract for Plant and
………-Build. which are recommended for the provision of
electrical and/or mechanical plant , and for the design, and
execution of building or engineering works. Under the usual
arrangements for this type of contract, the Contractor designs
and provides, in accordance with the Employer‟s requirements,
plant and/or other works; which may include any combination of
civil, mechanical , electrical and/or construction works.
Answer:
D. Green Book construction Eng: …………
Q&A
24 July 2017

The New green Book. These Conditions of Contract are recommended for engineering
and building work of relatively small capital value( 500,000$ -1,000,000$). However,
depending on the type of work and the circumstances, the Conditions may be suitable
for contracts of considerably greater value. They are considered most likely to be
suitable for fairly simple or repetitive work or work of short duration without the need
for specialist sub-contracts. This form may also be suitable for contracts which include ,
or wholly comprise contractor-designed civil engineering , building, mechanical and/or
electrical works.
Answer:
D. Green Book construction
Q&A
24 July 2017

Comparison between Red/Y/Silver

End of
LECTURE Four
Thanks
‫وبركاته‬ ‫هللا‬ ‫ورحوة‬ ‫عليكن‬ ‫السالم‬
‫هللا‬ ‫أهاى‬ ‫فى‬
24 July 2017

Training fidic moustafa ismail 2017 _ lec 4

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