Application of FIDIC Conditions of Contrprestashop

Changes made on: the book is too much emphasis on a lot of claims, resulting in the actual situation of the people are not familiar with the claim form on the erroneous understanding, it seems that the claim is omnipotent, and may even have claims in the international contract engineering the only way to generate income that impression. But I'd stand by the change order to make money,virtuemart template, but also in the process of implementation of the project, changes made by the insurance and make money easy and convenient, there is no dispute, often a word, a concept, you can earn tens of thousands of dollars. Require the contractor to perform the contract if the owner is not listed in the BQ reform tasks, usually by consulting engineers to Section 52 subsection FIDIC change orders instruct the Contractor to complete. To take the initiative to change that is needed with good skills, and must rely on wisdom. Why are people still using the 1977 version of FIDIC, instead of using the 1988 edition? I think there is a reason the 1988 version of section 52.3 shall make the change to the change in the price rises,prestashop, and becomes ± 15%, turned out to be persons IO%. It should be said for the contractor, the number is as low as possible. 1977 requirements. When the number of changes in your project more than ± 10%, to price adjustment, then the item price can rise. In the I988 edition of persons to be relaxed to 15%, that is, the number of engineering changes to be more than ± 15% of the price adjustment, which is obviously unfavorable to contractors.
The price adjustment on the price adjustment formula, FIDIC paragraph 70 are talking about the relevant provisions in this regard. Price adjustment formula for price adjustment by taking a potentially easier to make money, I think its usefulness is better than claims. Price adjustment formula for making money is not until after the signing, the contractor in the hands of the initiative is relatively large. Your formula for the price before signing and persuade the owners to accept the good count down to signing the contract will necessarily destined to make money. Determine the price adjustment formula will involve a lot of data, than in the bidding process for someone special to do to measure selection, can use computers to carry out this work, several assumptions and factors not debit entered into the computer via the computer choose the best option, and the reasons and evidence to find the formula you obtained is reasonable. A Chinese company is in contract price adjustment in the formula at the time of a factor slightly changes the results to the completion of the project made a few million dollars, consulting engineers and owners so completely dumbfounding. Of course, there are many with good specific price adjustment formula for fractional operations, such as price indices were determined using any index, to provide relevant evidence, and so on.
And then talk about the unforeseen costs, which is in paragraph 58 of the FIDIC includes work by points (daywork) standard issue change orders. Unforeseen costs in the tender and not as the domestic concept, which means that owners set aside a sum of money to pay he did not expect the possible cost of the individual placed under the BQ, usually 2.5% of the total contract award - 5 %, except the claim. General in the tender, it is not clearly listed 5%, but listed a specific number, for example, $ 1,000,000 or 200 million U.S. dollars. Contractors want to speculate on when the base price in the tender, how the analysis? There is a reference technique, is considered in turn. From the tender can be found in the specific number of unforeseen costs, but also know that within the 2.5% -5% is reasonable, in turn, count, coupled with expertise and experience in bidding, you can roughly determine the base price, at least can see a range, which insurer to make the final decision when the offer may be helpful. Use of FIDIC provisions in the point of unforeseen costs and work to make money is also very easy.
Contractor costs related to unforeseen work listed under the point of payment, they should strive to prepare the British point of Civil Engineering Contractors Association, the rates higher because the standard rate of income is the contractor favorable. For example, color commercial contractors working on the point of the work cost, material cost can then charge extra 12.5% ​​-133% of the management fee, including color, including various types of insurance, zero small tools, transport fees other items of content, just artificial Traffic 12.5% ​​can be subject to management fees, sub-contractors engaged in the point of hiring workers can also be subject to 64% of management fees, and equipment, depreciation and amortization put some only half finished, so mechanical point quite amazing hourly workers . I was involved in the implementation of an overseas highway renovation projects, unforeseen expenses in the $ 230,000 for work for the maintenance of the existing point road, but I have talked about the contract with the British point of the standard work rates, the results actually happened point of work more than 70 million. Consulting engineer or in the case of pressure and then pressure. As this highway is the main access route to the country's capital, must not be broken road construction, the owners also had to bite the bullet and work in accordance with the rates paid the British point of our road maintenance fees to ensure that this road open.
The contractor, the cost is the first, there is no economic benefit, companies will lose their place. However, there are many ways to make money, the so-called creating wealth, which offer phase control technique is very important from the outset for the future lay in the implementation of the project paved the way to make money, invest with as little as possible for as much as possible in return. Now talk about the unbalanced offer.
FIDIC is the unit price contract, which emphasizes the separation of volume and price, quantity and price that works to separate the process of using a quantitative value unchanged. Contractor tender price is not reported, but the unit price, unit price multiplied by the number of owners until approved summary of the project total. And this total is the concept of things, in fact, the total price is in the process of performance pricing obtained through experimental work. Number of terms, see the on-site supervision and consulting engineers with you, and for example talk about digging holes, if the supervisors turn a blind eye, relax tape may be thousands of dollars to come in, know that fruit stare eyes wide open you, your money is gone a lot, which require the contractor to learn how to use live models 56, including a good job in the practical work of foreign representations. So I think there are two quotations skills, business leaders must have in mind a few: a man named more money, called early money.
What is more money it? If you purchase the course of the project to determine the number of tender is unreasonable, this is the opportunity to make a fortune. For example, your price has been set at $ 100 / m,, if you have absolute certainty that the tenders set out in 10, OO0M quantities is wrong, should be 15,000 M, then, you can report the price too high some, to report $ 200 / m. $ 200 when you purchase / m × 1O, OOOm, count the amount in the contract, while the actual number is $ 200 / m × 15,000 m, so you can experience when working Pricing Beyond the dollars originally 1OO / m real deal to offer out to be more money. Offer the level of personnel is very important to be analyzed; If you think that the number of bids than the actual project quantities to be much less than the actual construction of this number is absolutely dry, you can report the price was lower, so you seems to be lost, the overall result is: the formation of a small number of performance when doing small price reduction, you lose a little; quantity of dry much price increase, you make a lot of money. Earn and lose big or small, add up to make a lot of money. There are risks of course, depends on whether the Right of your judgments and decisions. Even if you are right that the owners can find ways to reduce the number of construction projects, and even change the design. This requires experience and sticks clever, and a course in project implementation capacity of foreign representations.
What is the early money it? As an experienced contractor, engineering a start, in addition to advances, the dry live must fight for every piece of money advanced, skill is rewarded when the number of engineering and BQ single in the first price increase in the living dry, then dry lower unit price of living. Although the sum of the back of the unit may be, but as the first cash flow to recover the money issue is resolved, there is animal husbandry into the amount of interest, as long as the end of the project can guarantee to make money on it. The balance of payments curve contractor should always be installed in the minds of overseas called But it should be noted that not thrown unreasonable. For example, 1,0 OO million project, started shortly after the camp had just finished construction on the first $ 5,000,000 income people is not enough. To be adjusted within reasonable limits, in general, more than 30% received 20% more reasonable one, the other generally acceptable, you can explain: I want into the device, to order. Many Chinese companies may be by this lack of burial, we also learned through practice. This is not just a financial problem, there is the meaning of the claim: If the contractor is always in such a , there breach of contract or other uncontrollable factors, the initiative in your hands, you can always send letters to the consulting engineers, to mention
The cessation or suspension of contract performance. Anyway, installed in their own pocket money, has earned more than the expenditure. Also, do a better camp site, paying the money back and more, our people and rest a good life, is also advantageous for the future construction of a virtuous circle. This is the international common practice, the owners can be put, and that you are not put unreasonable demands. Hong Kong government projects virtuemart template do not advance, so a first pad up funds for construction contractors, this is a special situation. Talk about the guarantee. Bond together to talk about a lot of content, due to the time here just to explain a very important concept, that is, or turn on (authenticate) and transmitting (counterguarantee / endorse). Turn on prestashop transmit the difference is: turn on the tens of thousands of U.S. dollars fee is transmitting may be only a few dollars, or even free of charge. As project manager, on the switch to open, to understand the concept of transmitting. General overseas will involve a tender guarantee conditions, such as: tender bonds, performance bonds, advance payment bonds, tax-free village of feeding equipment mortgage bonds, retention bonds, tax bonds, and so clear. Note the different open law does not guarantee the same, the costs are different. For transmitting the guarantee, the fee paid ten U.S. dollars prestashop coming to an end, if the banking relationship and the good, the other can be free. If you do not understand, and organized a turn on the bond, the amount of big projects, then it may take tens of thousands of dollars fee. Engage in overseas project contracting, owners are generally only accepted at a local bank approved by him out of the guarantee (the tender are such requirements), which appeared in turn on and transmit the problem. Transmitting, the local banks only play a liaison role, bear indirect responsibility. If the owner claims the situation occurs, the local bank is only responsible for transmitting information to the original open letter of guarantee to pass the line, and their views prevail. If the Bank agreed to pay the original open letter of guarantee, you have to give their remittances to the Bank to be transferred only after receipt of the money to pay the owners. Therefore, the transmitting help reduce the risk of the contractor. And switch to open, the local banks, as this situation as a If the owner claims the situation occurs, the local switch to open a bank foreclosure to immediately hand for payment, prestashopn later with the original opening lines guarantee financial settlement. So turn on the bond at greater risk for the contractor, but also take time out and direct the same bank guarantee fee equal to double payment when the contractor (the original opening line of ten or turn on the bond guarantee line). As a contractor should be done fine work, such as pre-bid meeting to clarify the issue to the owners the way for the other of the Bank of China issued the bonds directly, or transmitted by the local banks. Out a small risk of transmitting the letter of guarantee, the Bank of China to some extent to protect the contractor; and turn on the guarantee you are not protected, the potential risks. In addition, the Bank of China to open a letter of guarantee fee is relatively low, generally about four thousandths of each year; and foreign bank letter of guarantee fee is usually 1.5% -6% higher risk if the project is highest may reach 10 % vary widely, but rarely seen on the annual fee, virtuemart template extracted by the guarantee amount of time.
Talk about insurance. FIDIC Section 20,21,22,23 paragraph are related to insurance, including third party (also known as third party) liability insurance, contractors all risks insurance, vehicle insurance. Insurance in the project implementation is essential, the insurance can indeed prevent many risks. As on the insurance, but sometimes something happens to make money. Insurance is important, but not that of the insurance you have to go to vote. Encountered in international engineering contracting of insurance are mainly the following (some are mandatory, you have to vote): contractors all risks, third party liability insurance, transport insurance, vehicle insurance, life insurance and so on. Common is usually the contractor all risks, third party liability insurance, these insurance claims to do it is often very complex and difficult to back economic compensation, so the actual process should be to minimize the amount of insurance coverage, which can reduce insurance expenses. Some insurance companies that you do not understand the phenomenon of double-charging a lot, such as contractors all risks should be included in the third party liability insurance. If he received two premiums is unreasonable to prevent the insurance company extra money. Transportation insurance, marine insurance in particular, I tend to vote in this, can not spend some money, but really the insurance! CIF to ensure the best site because of the bulk cargo transport is difficult to tell anything, there will be an accident claim. Loss of fishing can come back. Vehicle insurance is also necessary to protect the car too much chance of an accident, to run every day, the wheels turn to with a risk. Then there are life insurance. FIDIC in life insurance money,
Nuclear attention to an analysis should be what the insurance people. Who should protect. The application of FIDIC contract terms (V) (2007-08-02 20:58)
Tags: fidic owners of Letter of contract claim dispute the International Classification of the General Contract: Contract Management
Talk about the subcontract, FIDIC section 4, paragraph 59, there are provisions on subcontracting. To note the following: (1) If you wish to subcontractors selected by the project is not funded the trial, and in looking for him after winning your sub, I do not recommend this to consider the issue because he did not pass capital trial. He owned the course of the trial has failed to pass the defect must be people who do not know: either unqualified financial position, or engineering experience is not enough capacity or the staff of his defects, and so on. You can find inprestashopmation through the trial, but the people do not tender sub, better than he was strong, which would also help prevent the occurrence of potential risk. (2) When you sub out, if possible, we must try to use ICE, and the payment terms must be clear in your owner's money and then get paid again, this will reduce your risk. General contractors and subcontractors in the contracts signed, will do everything possible to delete or reduce the protection of the provisions of sub-contractors, there is no buyer's market in terms of absolute equality, it is very realistic. (3) be sure to take into account the sub-subcontractor claims. He can claim to you, but I have to wait to get there, the general contractor claims for money from the owners, this is the prerequisite. I can not get the owners claim there money, how to you ah? Since you when I was a subcontractor, we must help each other with me, benefits can be shared, but the risk should we worry. I have been a subcontractor, general contractor for the conditions are very harsh, even more than the contracted directly with the industry, even harsh. I personally tend to accumulate funds unless the order of the early vote, the best is not easy to become subcontractors, rather than when the sub-component joint venture and in which as a collaborator, so you can compare with each other to sit down and discuss issues of equality. As subcontractors. Always a four-class citizens. If you make money a lot, then the sub can virtuemart template trouble; if not the grasp, to take risks to become subcontractors to inappropriate, as a business leader to be especially careful. On the payment terms, that paragraph 60 is to protect the legitimate rights and interests of the key provisions of the contractor. The first thing to get the tender should see a special provision in paragraph 60, that is, the project payment terms to know: What time do the owners pay, what percentage of foreign exchange, you should take what obligations, if he does not pay how do you do, if you do not how to do his performance, the project's funding sources, etc., are set forth in paragraph 60, paragraph 60 set out the specific terms of 20 to 30 sub-items are not too many. For example, the provisions of Consulting Engineers FIDIC experience working denominated endorsed the owners must pay within 30 days, while the consulting engineers working experience in the valuation you have 28 days after the award of work experience in your pricing, that is 58 days, you should be able to get the money, if owners do not pay in this period is the breach of contract, the contractor can in accordance with paragraph 69 of the owners default on the provisions of Office, the suspension of prestashop contract, project suspension and personnel withdrawn. Owners can tell you I played the arbitration, but because of the withdrawal of personnel and material subjects the scene for any loss caused or profit, they have to pay an economic compensation for owners. This is to protect themselves by contract. Of course, FIDIC provisions of the standard time of payment is 30 days, but in fact to 30 days without payment, the owners tend to put special provisions in the number of days were extended, and some extended to 60 days, which is quite good; there 9O-day extension, and even extension of 120 days. 120 days is four months, then we should consider holding your money week prestashop your strength, there is no money to advance. If the contractor had no money pad, so in works to slow down or stop, it will cause a delay period, delay period according to article 47 paragraph owners will charge you. May form a vicious cycle. I think the 60 models in a matter of principle is not so, and if the owner is not to change the payment terms of 60 days, 90 days, or even 120 days, but changed to What is as soon as possible and reasonable? Not explain the lack of clearly defined. 60 days 30 days compared to count faster, 60 days compared to 180 days can not say slow. Owners do not give money, you can not, you and he can not terminate the contract, is playing to the lack of contractual basis for arbitration, he would say he never talked about do not give you money, or are trying to push that payment arrangements , the contract is written, So as a contractor for payment have quantified the concept of time, can not be vague, ambiguous rain can be.
Extension of time to talk about the issue. FIDIC's extension of time speaking in paragraph 44, referred to as the EOT, this paragraph is very important. China
Done in overseas project contracting, as subject to a variety of objective factors, the completion time by a small proportion of the contract duration, time delay in the day to day expenses associated with, it must face this reality and to understand and master the extension of the terms . Also in paragraph 44 and 14 together with section 14 about the progress of the plan. FIDIC provisions, the contractor pre-qualification materials submitted, we should report a construction proposal, although not necessarily reported to the construction plan; and you bid, it must have a construction schedule at least one bar graph plan. Now a lot of international projects, the progress of a pure light reported plans to die, but also requires a Critical Path Method CPM called the construction organization, called the domestic network diagram. Paragraph 14, the successful bidder, the contractor must re-submit a schedule, along with your cash flow to owners pursuant to the preparation and funding. This is a feature of section 14, sections 14 and 44, what money there is an organic extension of time to contact it? We can take advantage of Section 14 to claim. Paragraph 14, there is a very important, to the effect that: paragraph 14, the contractor must complete the schedule, but there are constraints on the role of contractors is the goal, not the middle of the progress of the progress. Adjustment in the middle of the construction is normal, not breach of contract, unless the main serious delayed key projects. If the contractor can make a good construction plan, should help carry out the claim, to make you more active. Score that the World Bank, Asian Development Bank projects, usually in the contract should be responsible for the owners and refund procedures, such as tax-free indices, duty-free oil, free materials, and other matters, but the owners did not occur in a timely manner and the contractor completed the original plan or have different situations, then I can claim, this time by paragraph 14, the progress of the compilation of the plan became the basis for the claim and the time frame of reference. In addition, when the contractor's request for extension of time requests for approval, the owners virtuemart template attached to such words: Therefore, the contractor should first obtain the extension of the time, especially if you caused the delay, but to face the soft penalty, the first is to win not punished. But if you really makes sense, time delay causes the owners, for example, make too many changes made, then another chance to claim. Changes to make this thing very well, but that made too much change, I live stem is much more natural to spend time is the logical extension of time, I made a change so that the money can go to claim the second extension of time management fee. This can be called the claim can also be called extra money. Broadly speaking, I say claims, change orders and price adjustment formula for these three concepts are the additional money should belong to the scope and operability of the latter two stronger, because they avoided the a stimulus word, it deserves special attention. Owners claim to your project, you can count your direct costs, indirect costs and profit, he should give you compensation for profits. You can legitimately be added in a profit. But claim for extension of time, usually without giving the owners the compensation on the profit, you can use other terms, such as management fees. The length of time, an additional management fee is possible. Deferred management fees are generally about 12%, the owner can still accept. If the required 40% to 50%, I'm afraid to die, people think you are struck with him.
And then talk about the exchange rate risk. Working overseas, the big risk factors, the larger the project, the greater the amount, the greater its impact. Especially in the soft currency countries, such as currency selected is not good, you earn is likely to make the exchange rate to the eaten. So take the project in decision-making, must look at what this project is money to pay, this money is hard money or soft money, and how currency exchange rates? The exchange rate to be especially careful. FIDIC's exchange rate with the provisions of paragraph 72, usually bidding in the tender which to write very clear instructions. There are so tender notes saying: Please note that this is Therefore, contractors in the bidding process should try to increase their number of foreign parts, to reduce the proportion of the local soft currency. Course, depends on what the local currency. In Hong Kong, the local currency and U.S. dollar is linked exchange rate, so the same. In the UK, if the prevailing market trend on the pounds than the dollar is also hard, so that the owners might be better payment in pound sterling. This requires the project manager is not just an ordinary engineering and technical personnel, but also some knowledge of finance, foreign exchange of knowledge, at least to grasp the hard and soft, and the trend of the currency. Tender, foreign exchange risk must be considered good.
In addition, the preparation of single-BQ, do not just collect money and more money as early as the problem, there is a problem of hard and soft local currency, but also fully taken into account. If the local currency is soft money, you have to take it back to as early as possible, and paid out as soon as possible, for example, required the construction of purchase of the kind. Dollars could be received later, to ensure that the final profit back the U.S. dollar, while the local soft currency to complete all the flowers. Therefore, as soon as possible to recover and spend soft money is the local currency to avoid the risk of effective measures.
FIDIC in the works about retention, this is a great thing, to pay special attention. The profits of a project may be 5%, but if the contract provides for the retention payment is 5%. So you do not get back in the retention money was clutched in the owners hands before, so the contractor on the retention problem can not be taken lightly. FIDIC special provisions set forth in paragraph 60 of each payment of contractor experience in valuation work, the owners of a certain proportion of ready money to be deducted as retention money to ensure that projects do not meet the specifications cover can be used for rework. Retention can finally get it back, and can get back depends on how much the quality of your project, the owners are friendly and the attitude to people who ask for retention capacity, and many other factors, also depends on the host country, region. No problem in Hong Kong, because the legal system is basically sound; if the project is in an honest place, more corrupt officials, it is very troublesome. Some engineering companies in Korea some projects in the Middle East, put quotation retention by 5% or 1O% included in the cost, the operator after the completion of the additional earn could get back, even if the project has not come back to get made money. I would also like to mention here, retention bond issues, if handled properly this guarantee, you can put your back half of the retention of cash to cover. Overseas contracted projects are usually so provides: project finished, the two completion certificate has to be made, the first is a temporary certificate of inspection cross (Taking-over Certificate), to pay the contractor to get the temporary certificate of inspection warranty commences when period, the warranty period is generally 12 months, that time if the owners of good quality through the acceptance that the project, he relapsed under the joint to give you a certificate that the final acceptance certificate (Final Certificate), the contractor's contractual obligations to this whole end, the owners, while the issue of this certificate must be sent back to you all retention. That is, he was going to guarantee you complete that part of the retention money. FIDIC has the advantage that if retention is 5%, once the project got to pay the temporary certificate of inspection (ie a certificate), even if some time behind the warranty responsibility, then you can submit a retention guarantee, security Letter of the contract amount is the amount of 2.5%, or half of retention money, after bond owners get 2.5% back put your cash, which can reduce capital sluggish and precipitation. Bond is a written commitment in the form of bank deposit, is to be insured at the request of the owners can cash out of the document, a charge retention of paper to his guarantee, you can exchange for 2.5% of the cash. Some contractors do not look at these terms, hand over more than half of all retention is still there also are betting on the owners, while the back half of the contract to the cash retention has never been nobody cares, which makes should be used The cash flow can not fully play its role, not to do with money recycled money. Repeat stressed again: Some of these projects is 5% retention money, but according to FIDIC provisions, you can take the bank guarantee provided by the retention of 2.5% to the owners in exchange for cash retention.
Talk about customs clearance tax. Engage in overseas project contracting, clear tax clearance is a very troublesome thing. Customs clearance is dealing with; clear duty is to deal with the Inland Revenue Department. There are two concepts of duty, duty called in Chinese, but English is to use two words, one called the tax, this is your pay to the Inland Revenue Department, including the personal income tax, corporate income tax; another call duty, is to keep up Customs dealing with customs duties. Free things you can come in, the project must be finished after the transit exit, can not come to an end after the item sold locally, and that the contractor optical materials and equipment duty-free sales to virtuemart template money to eat the difference, the owner is very serious about this, but Contractor must submit materials prestashop equipment duty-free mortgage bonds. In China, one that I do not know is the income tax or customs duties, while English is very clear, a tax to know that the Inland Revenue Department's tax, one that must be customs duty tax. Customs duties, usually by prestashop owner to do, not what the contractor, at least prestashop procedures not your responsibility.
The application of FIDIC contract terms (f) (2007-08-01 22:49)
Tags: fidic owners of Letter of contract claim dispute the International Classification of the General Contract: Contract Management
Customs procedures in the overseas office is a headache, there are many control points have to clear, so there is usually written in the FIDIC: customs duties by the project owners to do. If the World Bank, Asian Development Bank project, all provisions are tax-free, where the tax is the customs duty (duty), and not the Inland Revenue Department said that (tax). Contractor finished the project made money, according to the local laws of the tax clearance, here refers to the Inland Revenue Department for tax (tax). Paragraph 54 related to the problem is that contractors should be careful, that is, equipment, materials, exit, if the order out of the site must be approved in writing by the consulting engineers, the concept of this and not the same as domestic. It limits the wearer to you, come to, go out by the consulting engineer must be recognized, if not approved by him free and then transfer to a breach of contract. This has a number of rival contractors reasonable allocation of the project equipment and materials are influential. In addition, your device can include tax exemptions, duty-free came after the smooth clearance (customs clearance), check out the relevant issues when, etc., are discussed in paragraph 54. Pay tax to the IRD problem is rather complicated to do this, he must figure out the local tax provisions, should always have someone to consider this issue. Only by understanding the local laws and regulations will not suffer. For example, some countries have a contract tax (Contract Tax), the contract once you sign a contract about to pay taxes, then you can think of a way, with the owners to discuss an alternative approach, the two sides signed the contract in Cambodia do not call the West (Contract), The call management agreement (Management Agreement), that 5% of the contract can be exempt from tax, so that the contracting parties to benefit. As operators, especially overseas operators, on the reasonable tax avoidance should be considered, due to the internal energy legitimate province of Van province, costs can drop to minus point charges.
A special emphasis on the FIDIC is subject to all the contacts to the text, it is very important. FIDIC Section 15 and Article 25, and all the stresses everything must be written exchanges, including owners, consulting engineers to your letter, you give them such a letter, written prevail, empty without proof. FIDIC considerable attention in the evidence: how much money you have to claim, you can, but please produce the evidence! This is 53.2, the requirements of paragraph 53.3; you spend a lot of money, you can, please take the invoice to! This is the first requirement in paragraph 58.3. Chinese people often say, This is the Chinese companies need to change the concept of needle, it should be good business sense. You make me do, you can, please come sealed letter told me that black and white, and I'll dry. To create a sign system for sending and receiving text, and the other side indicate the date of receipt. Law when calculating the effective number of days, received a letter the day is not considered, starting from the day count. But only if they are consulting engineers adhere to verbal instructions, rather than based on any text you have the time, how do? This is going to talk about the following questions.
FIDIC Clause 1.2 (3) together with 51.2 shall be useful, it can be made into a consulting engineer's verbal instructions written instructions. Consulting engineers sometimes do not give you written instructions to, because what may be written against him, but want you to do things need to express them, he at least give you a verbal instructions, then you can use these two terms of the contract to protect themselves. When the consulting engineers issued a verbal instructions, the contractor within 7 days to give him a signed a letter of confirmation, within 7 days as long as the consulting engineers do not refute the letter, then the verbal instructions from the original written instructions to be considered and may constitute claim. If within 7 days of consulting engineers had issued his reply denied that the oral directions or refute the confirmation of the contractor, then the contractor can accordingly verbal instructions to stop the implementation of its work. This is prestashop FIDIC the contractor a very effective protection, as the contractor should learn to virtuemart template good use of these terms.
Turn to the international arbitration, of paragraph 67, all are related to the arbitration. It is characterized by international arbitration to resolve disputes both the seriousness of law, have relatively greater flexibility. Thus, the court of the judicial process than the more suitable for arbitration to resolve disputes in international contracts. Occurs when the cost of international arbitration, in principle, by the losing party pay, and sometimes may also be assessed by the arbitrator and reasonable parties. If the arbitral tribunal did not specify, the general costs of arbitration by the parties themselves to. If contractors are not satisfied with the decision of the consulting engineers, can add up to arbitration, but arbitration is hurt everyone's gas, and the results are often unfavorable to the contractor. I have been involved in the process of international arbitration, but in the end the friendly settlement of the dispute is. Contractors using various representations, including FIDIC arbitration ultimate goal is economic efficiency, by no means want to go to one who is in dispute. Arbitration to risk playing really great, both the possibility of winning only 50% each.
Some people like to engage in extreme, that since arbitration is the ultimate solution to the dispute, there is no need for any further discussion, it should step in to fight to the arbitration, the dispute want to jump record, quasi-amicable settlement of the arbitration decision and directly to international arbitration, sampling is virtually impossible to do. Because even have access to arbitration according to paragraph 67 of FIDIC procedures in turn, can not take over operations, even with the 1977 version of FIDIC is also consulting engineer in obtaining at least quasi-arbitration decision in writing before they can be submitted to international arbitration.
I heard a saying that the two sides are not satisfied with the arbitration of disputes is high-level decisions; also was fatalistic about the arbitration can only look at luck. I think these have some truth. So sometimes the owners and contractors take into account the results of a formal arbitration may also play but fifty of the big board, in order to prevent a lose-lose, the two quasi-consulting engineers may refer to the arbitration decision, mutual compromise, mutual make concessions to reach a consensus through consultation, Finally, we resolve the dispute through friendly. This is actually much better than the submission of the final arbitration, both the cost and time savings, but also to maintain the cooperation between the owner and contractor relations.