FIDIC Construction Contract 1st Edition 1999
MCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009FEDERATION INTERNATIONALE DES INGENIEURS-CONSEILS
INTERNATIONAL FEDERATION OF CONSULTING ENGINEERS
INTERNATIONALE VEREINIGUNG BERATENDER INGENIEURE
FEDERACION INTERNACIONAL DE INGENIEROS CONSOLTORESConditions of Contract
forCONSTRUCTIONFOR BUILDING AND ENGINEERING WORKS
DESIGNED BY THE EMPLOYERGeneral ConditionsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009iGeneral ConditionsCONTENTS1GENERAL PROVISIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.1Definitions1.2Interpretation1.3Communications1.4Law and Language1.5Priority of Documents1.6Contract Agreement1.7Assignment1.8Care and Supply of Documents1.9Delayed Drawings or Instructions1.10 Employer’s Use of Contractor’s Documents
1.11 Contractor’s Use of Employer’s Documents
1.12 Confidential Details
1.13 Compliance with Laws
1.14 Joint and Several Liability2THE EMPLOYER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82.1Right of Access to the Site2.2Permits, Licences or Approvals2.3Employer’s Personnel2.4Employer’s Financial Arrangements2.5Employer’s Claims3THE ENGINEER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103.1Engineer’s Duties and Authority3.2Delegation by the Engineer3.3Instructions of the Engineer3.4Replacement of the Engineer3.5Determinations4THE CONTRACTOR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124.1Contractor’s General Obligations4.2Performance Security4.3Contractor’s Representative4.4Subcontractors4.5Assignment of Benefit of SubcontractERRATA to the First Edition 1999 . . . . . . . . . . . . . . . . . inside back coverMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009ii4.6Co-operation4.7Setting Out4.8Safety Procedures4.9Quality Assurance4.10 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
4.15 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 Fossils5NOMINATED SUBCONTRACTORS . . . . . . . . . . . . . . . . . . . . . . . . . . . . 215.1Definition of “nominated Subcontractor”5.2Objection to Nomination5.3Payments to nominated Subcontractors5.4Evidence of Payments6STAFF AND LABOUR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 226.1Engagement of Staff and Labour6.2Rates of Wages and Conditions of Labour6.3Persons in the Service of Employer6.4Labour Laws6.5Working Hours6.6Facilities for Staff and Labour6.7Health and Safety6.8Contractor’s Superintendence6.9Contractor’s Personnel6.10 Records of Contractor’s Personnel and Equipment
6.11 Disorderly Conduct7PLANT, MATERIALS AND WORKMANSHIP . . . . . . . . . . . . . . . . . . . . . 237.1Manner of Execution7.2Samples7.3Inspection7.4Testing7.5Rejection7.6Remedial Work7.7Ownership of Plant and Materials7.8Royalties8COMMENCEMENT, DELAYS AND SUSPENSION . . . . . . . . . . . . . . . . . 268.1Commencement of Works8.2Time for CompletionMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009iii8.3Programme8.4Extension of Time for Completion8.5Delays Caused by Authorities8.6Rate of Progress8.7Delay Damages8.8Suspension of Work8.9Consequences of Suspension8.10 Payment for Plant and Materials in Event of Suspension
8.11 Prolonged Suspension
8.12 Resumption of Work9TESTS ON COMPLETION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 299.1Contractor’s Obligations9.2Delayed Tests9.3Retesting9.4Failure to Pass Tests on Completion10EMPLOYER’S TAKING OVER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3010.1 Taking Over of the Works and Sections
10.2 Taking Over of Parts of the Works
10.3 Interference with Tests on Completion
10.4 Surfaces Requiring Reinstatement11DEFECTS LIABILITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3211.1 Completion of Outstanding Work and Remedying Defects
11.2 Cost of Remedying Defects
11.3 Extension of Defects Notification Period
11.4 Failure to Remedy Defects
11.5 Removal of Defective Work
11.6 Further Tests
11.7 Right of Access
11.8 Contractor to Search
11.9 Performance Certificate
11.10 Unfulfilled Obligations
11.11 Clearance of Site12MEASUREMENT AND EVALUATION . . . . . . . . . . . . . . . . . . . . . . . . . . . 3512.1 Works to be Measured
12.2 Method of Measurement
12.3 Evaluation
12.4 Omissions13VARIATIONS AND ADJUSTMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3613.1 Right to Vary
13.2 Value Engineering
13.3 Variation Procedure
13.4 Payment in Applicable Currencies
13.5 Provisional Sums
13.6 Daywork
13.7 Adjustments for Changes in Legislation
13.8 Adjustments for Changes in CostMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009iv14CONTRACT PRICE AND PAYMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . 4014.1 The Contract Price
14.2 Advance Payment
14.3 Application for Interim Payment Certificates
14.4 Schedule of Payments
14.5 Plant and Materials intended for the Works
14.6 Issue of Interim Payment Certificates
14.7 Payment
14.8 Delayed Payment
14.9 Payment of Retention Money
14.10 Statement at Completion
14.11 Application for Final Payment Certificate
14.12 Discharge
14.13 Issue of Final Payment Certificate
14.14 Cessation of Employer’s Liability
14.15 Currencies of Payment15TERMINATION BY EMPLOYER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4715.1 Notice to Correct
15.2 Termination by Employer
15.3 Valuation at Date of Termination
15.4 Payment after Termination
15.5 Employer’s Entitlement to Termination16SUSPENSION AND TERMINATION BY CONTRACTOR . . . . . . . . . . . . 4916.1 Contractor’s Entitlement to Suspend Work
16.2 Termination by Contractor
16.3 Cessation of Work and Removal of Contractor’s Equipment
16.4 Payment on Termination17RISK AND RESPONSIBILITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5017.1 Indemnities
17.2 Contractor’s Care of the Works
17.3 Employer’s Risks
17.4 Consequences of Employer’s Risks
17.5 Intellectual and Industrial Property Rights
17.6 Limitation of Liability18INSURANCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5318.1 General Requirements for Insurances
18.2 Insurance for Works and Contractor’s Equipment
18.3 Insurance against Injury to Persons and Damage to Property
18.4 Insurance for Contractor’s Personnel19FORCE MAJEURE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5619.1 Definition of Force Majeure
19.2 Notice of Force Majeure
19.3 Duty to Minimise Delay
19.4 Consequences of Force Majeure
19.5 Force Majeure Affecting SubcontractorMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009v19.6 Optional Termination, Payment and Release
19.7 Release from Performance under the Law20CLAIMS, DISPUTES AND ARBITRATION . . . . . . . . . . . . . . . . . . . . . . . . . 5820.1 Contractor’s Claims
20.2 Appointment of the Dispute Adjudication Board
20.3 Failure to Agree Dispute Adjudication Board
20.4 Obtaining Dispute Adjudication Board’s Decision
20.5 Amicable Settlement
20.6 Arbitration
20.7 Failure to Comply with Dispute Adjudication Board’s Decision
20.8 Expiry of Dispute Adjudication Board’s AppointmentAPPENDIXGENERAL CONDITIONS OF DISPUTE ADJUDICATION AGREEMENT . . . . .63INDEX OF SUB-CLAUSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009vi1.1.4.1Accepted Contract Amount1.1.1.9Appendix to Tender1.1.3.1Base Date1.1.1.10Bill of Quantities1.1.3.2Commencement Date1.1.1.1Contract1.1.1.2Contract Agreement1.1.4.2Contract Price1.1.2.3Contractor1.1.6.1Contractor’s Documents1.1.5.1Contractor’s Equipment1.1.2.7Contractor’s Personnel1.1.2.5Contractor’s Representative1.1.4.3Cost1.1.6.2Country1.1.2.9DAB1.1.3.9day1.1.1.10Daywork Schedule1.1.3.7Defects Notification Period1.1.1.6Drawings1.1.2.2Employer1.1.6.3Employer’s Equipment1.1.2.6Employer’s Personnel1.1.2.4Engineer1.1.2.10FIDIC1.1.4.4Final Payment Certificate1.1.4.5Final Statement1.1.6.4Force Majeure1.1.4.6Foreign Currency1.1.5.2Goods1.1.4.7Interim Payment Certificate1.1.6.5Laws1.1.1.3Letter of Acceptance1.1.1.4Letter of Tender1.1.4.8Local Currency1.1.5.3Materials1.1.2.1Party1.1.4.9Payment Certificate1.1.3.8Performance Certificate1.1.6.6Performance Security1.1.5.4Permanent Works1.1.5.5Plant1.1.4.10Provisional Sum1.1.4.11Retention Money1.1.1.7Schedules1.1.5.6Section1.1.6.7Site1.1.1.5Specification1.1.4.12Statement1.1.2.8Subcontractor1.1.3.5Taking-Over Certificate1.1.5.7Temporary Works1.1.1.8Tender1.1.3.6Tests after Completion1.1.3.4Tests on Completion1.1.3.3Time for Completion1.1.6.8Unforeseeable1.1.6.9Variation1.1.5.8Works1.1.3.9yearDefinitions listed alphabeticallyMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20091General ConditionsIn the Conditions of Contract (“these Conditions”), which include Particular Conditions
and these General Conditions, the following words and expressions shall have the
meanings stated. Words indicating persons or parties include corporations and other
legal entities, except where the context requires otherwise.1.1.1.1“Contract” means the Contract Agreement, the Letter of Acceptance, the
Letter of Tender, these Conditions, the Specification, the Drawings, the
Schedules, and the further documents (if any) which are listed in the
Contract Agreement or in the Letter of Acceptance.1.1.1.2“Contract Agreement” means the contract agreement (if any) referred to in
Sub-Clause 1.6 [Contract Agreement].1.1.1.3“Letter of Acceptance” means the letter of formal acceptance, signed by
the Employer, of the Letter of Tender, including any annexed memoranda
comprising agreements between and signed by both Parties. If there is no
such letter of acceptance, the expression “Letter of Acceptance” means the
Contract Agreement and the date of issuing or receiving the Letter of
Acceptance means the date of signing the Contract Agreement.1.1.1.4“Letter of Tender” means the document entitled letter of tender, which was
completed by the Contractor and includes the signed offer to the Employer
for the Works.1.1.1.5“Specification” means the document entitled specification, as included in
the Contract, and any additions and modifications to the specification in
accordance with the Contract. Such document specifies the Works.1.1.1.6“Drawings” means the drawings of the Works, as included in the Contract,
and any additional and modified drawings issued by (or on behalf of) the
Employer in accordance with the Contract.1.1.1.7“Schedules” means the document(s) entitled schedules, completed by the
Contractor and submitted with the Letter of Tender, as included in the
Contract. Such document may include the Bill of Quantities, data, lists, and
schedules of rates and/or prices.1.1.1.8“Tender” means the Letter of Tender and all other documents which the
Contractor submitted with the Letter of Tender, as included in the Contract.1.1.1.9“Appendix to Tender” means the completed pages entitled appendix to
tender which are appended to and form part of the Letter of Tender.1.1.1.10 “Bill of Quantities” and “Daywork Schedule” mean the documents sonamed (if any) which are comprised in the Schedules.1.1
Definitions1.1.1
The Contract1General ProvisionsGeneral ConditionsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20092Conditions of Contract for Construction1.1.2.1“Party” means the Employer or the Contractor, as the context requires.1.1.2.2“Employer” means the person named as employer in the Appendix to
Tender and the legal successors in title to this person.1.1.2.3“Contractor” means the person(s) named as contractor in the Letter of
Tender accepted by the Employer and the legal successors in title to this
person(s).1.1.2.4“Engineer” means the person appointed by the Employer to act as the
Engineer for the purposes of the Contract and named in the Appendix to
Tender, or other person appointed from time to time by the Employer and
notified to the Contractor under Sub-Clause 3.4 [Replacement of the Engineer].1.1.2.5“Contractor’s Representative” means the person named by the
Contractor in the Contract or appointed from time to time by the Contractor
under Sub-Clause 4.3 [Contractor’s Representative], who acts on behalf of
the Contractor.1.1.2.6“Employer’s Personnel” means the Engineer, the assistants referred to in
Sub-Clause 3.2 [Delegation by the Engineer] and all other staff, labour and
other employees of the Engineer and of the Employer; and any other
personnel notified to the Contractor, by the Employer or the Engineer, as
Employer’s Personnel.1.1.2.7“Contractor’s Personnel” means the Contractor’s Representative and all
personnel whom the Contractor utilises on Site, who may include the staff,
labour and other employees of the Contractor and of each Subcontractor;
and any other personnel assisting the Contractor in the execution of the Works.1.1.2.8“Subcontractor” means any person named in the Contract as a
subcontractor, or any person appointed as a subcontractor, for a part of the
Works; and the legal successors in title to each of these persons.1.1.2.9“DAB” means the person or three persons so named in the Contract, or
other person(s) appointed under Sub-Clause 20.2 [Appointment of the
Dispute Adjudication Board] or Sub-Clause 20.3 [Failure to Agree Dispute
Adjudication Board]1.1.2.10 “FIDIC” means the Fédération Internationale des Ingénieurs-Conseils, theinternational federation of consulting engineers.1.1.3.1“Base Date” means the date 28 days prior to the latest date for submission
of the Tender.1.1.3.2“Commencement Date” means the date notified under Sub-Clause 8.1
[Commencement of Works].1.1.3.3“Time for Completion” means the time for completing the Works or a
Section (as the case may be) under Sub-Clause 8.2 [Time for Completion],
as stated in the Appendix to Tender (with any extension under Sub-
Clause 8.4 [Extension of Time for Completion]), calculated from the
Commencement Date.1.1.3.4“Tests on Completion” means the tests which are specified in the Contract
or agreed by both Parties or instructed as a Variation, and which are carried1.1.2
Parties and Persons1.1.3
Dates, Tests, Periods
and CompletionMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20093General Conditionsout under Clause 9 [Tests on Completion] before the Works or a Section (as
the case may be) are taken over by the Employer.1.1.3.5“Taking-Over Certificate” means a certificate issued under Clause 10
[Employer’s Taking Over].1.1.3.6“Tests after Completion” means the tests (if any) which are specified in the
Contract and which are carried out in accordance with the provisions of the
Particular Conditions after the Works or a Section (as the case may be) are
taken over by the Employer.1.1.3.7“Defects Notification Period” means the period for notifying defects in the
Works or a Section (as the case may be) under Sub-Clause 11.1
[Completion of Outstanding Work and Remedying Defects], as stated in the
Appendix to Tender (with any extension under Sub-Clause 11.3 [Extension
of Defects Notification Period]), calculated from the date on which the Works
or Section is completed as certified under Sub-Clause 10.1 [Taking Over of
the Works and Sections].1.1.3.8“Performance Certificate” means the certificate issued under Sub-
Clause 11.9 [Performance Certificate].1.1.3.9“day” means a calendar day and “year” means 365 days.1.1.4.1“Accepted Contract Amount” means the amount accepted in the Letter of
Acceptance for the execution and completion of the Works and the
remedying of any defects.1.1.4.2“Contract Price” means the price defined in Sub-Clause 14.1 [The
Contract Price], and includes adjustments in accordance with the Contract.1.1.4.3“Cost” means all expenditure reasonably incurred (or to be incurred) by the
Contractor, whether on or off the Site, including overhead and similar
charges, but does not include profit.1.1.4.4“Final Payment Certificate” means the payment certificate issued under
Sub-Clause 14.13 [Issue of Final Payment Certificate].1.1.4.5“Final Statement” means the statement defined in Sub-Clause 14.11
[Application for Final Payment Certificate].1.1.4.6“Foreign Currency” means a currency in which part (or all) of the Contract
Price is payable, but not the Local Currency.1.1.4.7“Interim Payment Certificate” means a payment certificate issued under
Clause 14 [Contract Price and Payment], other than the Final Payment
Certificate.1.1.4.8“Local Currency” means the currency of the Country.1.1.4.9“Payment Certificate” means a payment certificate issued under Clause 14
[ Contract Price and Payment ].1.1.4.10 “Provisional Sum” means a sum (if any) which is specified in the Contract asa provisional sum, for the execution of any part of the Works or for the supply
of Plant, Materials or services under Sub-Clause 13.5 [Provisional Sums].1.1.4
Money and PaymentsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20094Conditions of Contract for Construction1.1.4.11 “Retention Money” means the accumulated retention moneys which theEmployer retains under Sub-Clause 14.3 [Application for Interim Payment
Certificates] and pays under Sub-Clause 14.9 [Payment of Retention
Money].1.1.4.12 “Statement” means a statement submitted by the Contractor as part of anapplication, under Clause 14 [Contract Price and Payment], for a payment
certificate.1.1.5.1“Contractor’s Equipment” means all apparatus, machinery, vehicles and
other things required for the execution and completion of the Works and the
remedying of any defects. However, Contractor’s Equipment excludes
Temporary Works, Employer’s Equipment (if any), Plant, Materials and any
other things intended to form or forming part of the Permanent Works.1.1.5.2“Goods” means Contractor’s Equipment, Materials, Plant and Temporary
Works, or any of them as appropriate.1.1.5.3“Materials” means things of all kinds (other than Plant) intended to form or
forming part of the Permanent Works, including the supply-only materials (if
any) to be supplied by the Contractor under the Contract.1.1.5.4“Permanent Works” means the permanent works to be executed by the
Contractor under the Contract.1.1.5.5“Plant” means the apparatus, machinery and vehicles intended to form or
forming part of the Permanent Works.1.1.5.6“Section” means a part of the Works specified in the Appendix to Tender as
a Section (if any).1.1.5.7“Temporary Works” means all temporary works of every kind (other than
Contractor’s Equipment) required on Site for the execution and completion
of the Permanent Works and the remedying of any defects.1.1.5.8“Works” mean the Permanent Works and the Temporary Works, or either of
them as appropriate.1.1.6.1“Contractor’s Documents” means the calculations, computer programs
and other software, drawings, manuals, models and other documents of
a technical nature (if any) supplied by the Contractor under the
Contract.1.1.6.2“Country” means the country in which the Site (or most of it) is located,
where the Permanent Works are to be executed.1.1.6.3“Employer’s Equipment” means the apparatus, machinery and vehicles (if
any) made available by the Employer for the use of the Contractor in the
execution of the Works, as stated in the Specification; but does not include
Plant which has not been taken over by the Employer.1.1.6.4“Force Majeure” is defined in Clause 19 [Force Majeure].1.1.6.5“Laws” means all national (or state) legislation, statutes, ordinances and
other laws, and regulations and by-laws of any legally constituted public
authority.1.1.5
Works and Goods1.1.6
Other DefinitionsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20095General Conditions1.1.6.6“Performance Security” means the security (or securities, if any) under
Sub-Clause 4.2 [Performance Security].1.1.6.7“Site” means the places where the Permanent Works are to be executed
and to which Plant and Materials are to be delivered, and any other places
as may be specified in the Contract as forming part of the Site.1.1.6.8“Unforeseeable” means not reasonably foreseeable by an experienced
contractor by the date for submission of the Tender.1.1.6.9“Variation” means any change to the Works, which is instructed or
approved as a variation under Clause 13 [Variations and Adjustments].In the Contract, except where the context requires otherwise:(a)words indicating one gender include all genders;(b)words indicating the singular also include the plural and words indicating the
plural also include the singular;(c)provisions including the word “agree”, “agreed” or “agreement” require the
agreement to be recorded in writing, and(d)“written” or “in writing” means hand-written, type-written, printed or
electronically made, and resulting in a permanent record.The marginal words and other headings shall not be taken into consideration in the
interpretation of these Conditions.Wherever these Conditions provide for the giving or issuing of approvals, certificates,
consents, determinations, notices and requests, these communications shall be:(a)in writing and delivered by hand (against receipt), sent by mail or courier, or
transmitted using any of the agreed systems of electronic transmission as
stated in the Appendix to Tender; and(b)delivered, sent or transmitted to the address for the recipient’s communications
as stated in the Appendix to Tender. However:(i)if the recipient gives notice of another address, communications shall
thereafter be delivered accordingly; and(ii)if the recipient has not stated otherwise when requesting an approval or
consent, it may be sent to the address from which the request was
issued.Approvals, certificates, consents and determinations shall not be unreasonably
withheld or delayed. When a certificate is issued to a Party, the certifier shall send a
copy to the other Party. When a notice is issued to a Party, by the other Party or the
Engineer, a copy shall be sent to the Engineer or the other Party, as the case may
be.The Contract shall be governed by the law of the country (or other jurisdiction) stated
in the Appendix to Tender.If there are versions of any part of the Contract which are written in more than one
language, the version which is in the ruling language stated in the Appendix to Tender
shall prevail.1.2Interpretation1.3Communications1.4Law and LanguageMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20096Conditions of Contract for ConstructionThe language for communications shall be that stated in the Appendix to Tender. If no
language is stated there, the language for communications shall be the language in
which the Contract (or most of it) is written.The documents forming the Contract are to be taken as mutually explanatory of one
another. For the purposes of interpretation, the priority of the documents shall be in
accordance with the following sequence:(a)the Contract Agreement (if any),(b)the Letter of Acceptance,(c)the Letter of Tender,(d)the Particular Conditions,(e)these General Conditions,(f)the Specification,(g)the Drawings, and(h)the Schedules and any other documents forming part of the Contract.If an ambiguity or discrepancy is found in the documents, the Engineer shall issue any
necessary clarification or instruction.The Parties shall enter into a Contract Agreement within 28 days after the Contractor
receives the Letter of Acceptance, unless they agree otherwise. The Contract
Agreement shall be based upon the form annexed to the 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.Neither Party shall assign the whole or any part of the Contract or any benefit or
interest in or under the Contract. However, either Party:(a)may assign the whole or any part with the prior agreement of the other Party,
at the sole discretion of such other Party, and(b)may, as security in favour of a bank or financial institution, assign its right to any
moneys due, or to become due, under the Contract.The Specification and Drawings shall be in the custody and care of the Employer.
Unless otherwise stated in the Contract, two copies of the Contract and of each
subsequent Drawing shall be supplied to the Contractor, who may make or request
further copies at the cost of the Contractor.Each of the Contractor’s Documents shall be in the custody and care of the
Contractor, unless and until taken over by the Employer. Unless otherwise stated in
the Contract, the Contractor shall supply to the Engineer six copies of each of the
Contractor’s Documents.The Contractor shall keep, on the Site, a copy of the Contract, publications named in
the Specification, the Contractor’s Documents (if any), the Drawings and Variations
and other communications given under the Contract. The Employer’s Personnel shall
have the right of access to all these documents at all reasonable times.If a Party becomes aware of an error or defect of a technical nature in a document
which was prepared for use in executing the Works, the Party shall promptly give
notice to the other Party of such error or defect.1.5Priority of Documents1.6Contract Agreement1.7Assignment1.8Care and Supply of
DocumentsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20097General ConditionsThe Contractor shall give notice to the Engineer whenever the Works are likely to be
delayed or disrupted if any necessary drawing or instruction is not issued to the
Contractor within a particular time, which shall be reasonable. The notice shall include
details of the necessary drawing or instruction, details of why and by when it should
be issued, and details of the nature and amount of the delay or disruption likely to be
suffered if it is late.If the Contractor suffers delay and/or incurs Cost as a result of a failure of the Engineer
to 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:(a)an extension of time for any such delay, if completion is or will be delayed,
under Sub-Clause 8.4 [Extension of Time for Completion], and(b)payment of any such Cost plus reasonable profit, which shall be included in the
Contract Price.After receiving this further notice, the Engineer shall proceed in accordance with Sub-
Clause 3.5 [Determinations] to agree or determine these matters.However, if and to the extent that the Engineer’s failure was caused by any error or
delay by the Contractor, including an error in, or delay in the submission of, any of the
Contractor’s Documents, the Contractor shall not be entitled to such extension of
time, Cost or profit.As between the Parties, the Contractor shall retain the copyright and other intellectual
property rights in the Contractor’s Documents and other design documents made by
(or on behalf of) the Contractor.The Contractor shall be deemed (by signing the Contract) to give to the Employer a
non-terminable transferable non-exclusive royalty-free licence to copy, use and
communicate the Contractor’s Documents, including making and using modifications
of them. This licence shall:(a)apply throughout the actual or intended working life (whichever is longer) of the
relevant parts of the Works,(b)entitle any person in proper possession of the relevant part of the Works to
copy, use and communicate the Contractor’s Documents for the purposes of
completing, operating, maintaining, altering, adjusting, repairing and
demolishing the Works, and(c)in the case of Contractor’s Documents which are in the form of computer
programs and other software, permit their use on any computer on the Site and
other places as envisaged by the Contract, including replacements of any
computers supplied by the Contractor.The Contractor’s Documents and other design documents made by (or on behalf of)
the Contractor shall not, without the Contractor’s consent, be used, copied or
communicated to a third party by (or on behalf of) the Employer for purposes other
than those permitted under this Sub-Clause.As between the Parties, the Employer shall retain the copyright and other intellectual
property rights in the Specification, the Drawings and other documents made by (or
on behalf of) the Employer. The Contractor may, at his cost, copy, use, and obtain
communication of these documents for the purposes of the Contract. They shall not,1.9
Delayed Drawings or
Instructions1.10Employer’s Use of
Contractor’s Documents1.11Contractor’s Use of
Employer’s DocumentsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20098Conditions of Contract for Constructionwithout the Employer’s consent, be copied, used or communicated to a third party by
the Contractor, except as necessary for the purposes of the Contract.The Contractor shall disclose all such confidential and other information as the
Engineer may reasonably require in order to verify the Contractor’s compliance with
the Contract.The Contractor shall, in performing the Contract, comply with applicable Laws. Unless
otherwise stated in the Particular Conditions:(a)the Employer shall have obtained (or shall obtain) the planning, zoning or similar
permission for the Permanent Works, and any other permissions described in
the Specification as having been (or being) obtained by the Employer; and the
Employer shall indemnify and hold the Contractor harmless against and from
the consequences of any failure to do so; and(b)the Contractor shall give all notices, pay all taxes, duties and fees, and obtain
all permits, licences and approvals, as required by the Laws in relation to the
execution and completion of the Works and the remedying of any defects; and
the Contractor shall indemnify and hold the Employer harmless against and
from the consequences of any failure to do so.If the Contractor constitutes (under applicable Laws) a joint venture, consortium or
other unincorporated grouping of two or more persons:(a)these persons shall be deemed to be jointly and severally liable to the Employer
for the performance of the Contract;(b)these persons shall notify the Employer of their leader who shall have authority
to bind the Contractor and each of these persons; and(c)the Contractor shall not alter its composition or legal status without the prior
consent of the Employer.The Employer shall give the Contractor right of access to, and possession of, all parts
of the Site within the time (or times) stated in the Appendix to Tender. The right and
possession may not be exclusive to the Contractor. If, under the Contract, the
Employer is required to give (to the Contractor) possession of any foundation,
structure, plant or means of access, the Employer shall do so in the time and manner
stated in the Specification. However, the Employer may withhold any such right or
possession until the Performance Security has been received.If no such time is stated in the Appendix to Tender, the Employer shall give the
Contractor right of access to, and possession of, the Site within such times as may
be required to enable the Contractor to proceed in accordance with the programme
submitted under Sub-Clause 8.3 [Programme].If the Contractor suffers delay and/or incurs Cost as a result of a failure by the
Employer to give any such right or possession within such time, the Contractor shall
give notice to the Engineer and shall be entitled subject to Sub-Clause 20.1
[Contractor’s Claims] to:1.12Confidential Details1.13Compliance with Laws1.14Joint and Several
Liability2.1
Right of Access to
the Site2The EmployerMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-20099General Conditions(a)an extension of time for any such delay, if completion is or will be delayed,
under Sub-Clause 8.4 [Extension of Time for Completion], and(b)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 these matters.However, if and to the extent that the Employer’s failure was caused by any error or
delay by the Contractor, including an error in, or delay in the submission of, any of the
Contractor’s Documents, the Contractor shall not be entitled to such extension of
time, Cost or profit.The Employer shall (where he is in a position to do so) provide reasonable assistance
to the Contractor at the request of the Contractor:(a)by obtaining copies of the Laws of the Country which are relevant to the
Contract but 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.The Employer shall be responsible for ensuring that the Employer’s Personnel and the
Employer’s other contractors on the Site:(a)co-operate with the Contractor’s efforts under Sub-Clause 4.6 [Co-operation],
and(b)take actions similar to those which the Contractor is required to take under sub-
paragraphs (a), (b) and (c) of Sub-Clause 4.8 [Safety Procedures] and under
Sub-Clause 4.18 [Protection of the Environment].The Employer shall submit, within 28 days after receiving any request from the
Contractor, reasonable evidence that financial arrangements have been made and are
being maintained which will enable the Employer to pay the Contract Price (as
estimated at that time) in accordance with Clause 14 [Contract Price and Payment]. If
the Employer intends to make any material change to his financial arrangements, the
Employer shall give notice to the Contractor with detailed particulars.If the Employer considers himself to be entitled to any payment under any Clause of
these Conditions or otherwise in connection with the Contract, and/or to any extension
of the Defects Notification Period, the Employer or the Engineer shall give notice and
particulars to the Contractor. However, notice is not required for payments due under
Sub-Clause 4.19 [Electricity, Water and Gas], under Sub-Clause 4.20 [Employer’s
Equipment and Free-Issue Material], or for other services requested by the Contractor.The notice shall be given as soon as practicable after the Employer became aware of
the event or circumstances giving rise to the claim. A notice relating to any extension
of the Defects Notification Period shall be given before the expiry of such period.2.2Permits, Licences or
Approvals2.3Employer’s Personnel2.4Employer’s Financial
Arrangements2.5Employer’s ClaimsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200910Conditions of Contract for ConstructionThe particulars shall specify the Clause or other basis of the claim, and shall include
substantiation of the amount and/or extension to which the Employer considers
himself to be entitled in connection with the Contract. The Engineer shall then proceed
in accordance with Sub-Clause 3.5 [Determinations] to agree or determine (i) the
amount (if any) which the Employer is entitled to be paid by the Contractor, and/or
(ii) the extension (if any) of the Defects Notification Period in accordance with Sub-
Clause 11.3 [Extension of Defects Notification Period].This amount may be included as a deduction in the Contract Price and Payment
Certificates. The Employer shall only be entitled to set off against or make any
deduction from an amount certified in a Payment Certificate, or to otherwise claim
against the Contractor, in accordance with this Sub-Clause.The Employer shall appoint the Engineer who shall carry out the duties assigned to
him in the Contract. The Engineer’s staff shall include suitably qualified engineers and
other professionals who are competent to carry out these duties.The Engineer shall have no authority to amend the Contract.The Engineer may exercise the authority attributable to the Engineer as specified in or
necessarily to be implied from the Contract. If the Engineer is required to obtain the
approval of the Employer before exercising a specified authority, the requirements shall
be as stated in the Particular Conditions. The Employer undertakes not to impose
further constraints on the Engineer’s authority, except as agreed with the Contractor.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.Except as otherwise stated in these Conditions:(a)whenever carrying out duties or exercising authority, specified in or implied by
the Contract, the Engineer shall be deemed to act for the Employer;(b)the Engineer has no authority to relieve either Party of any duties, obligations or
responsibilities under the Contract; and(c)any approval, check, certificate, consent, examination, inspection, instruction,
notice, proposal, request, test, or similar act by the Engineer (including absence
of disapproval) shall not relieve the Contractor from any responsibility he has
under the Contract, including responsibility for errors, omissions, discrepancies
and non-compliances.The Engineer may from time to time assign duties and delegate authority to assistants,
and may also revoke such assignment or delegation. These assistants may include a
resident engineer, and/or independent inspectors appointed to inspect and/or test
items of Plant and/or Materials. The assignment, delegation or revocation shall be in
writing and shall not take effect until copies have been received by both Parties.
However, unless otherwise agreed by both Parties, the Engineer shall not delegate the
authority to determine any matter in accordance with Sub-Clause 3.5 [Determinations].Assistants shall be suitably qualified persons, who are competent to carry out these3.1
Engineer’s Duties and
Authority3.2Delegation by the
Engineer3The EngineerMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200911General Conditionsduties and exercise this authority, and who are fluent in the language for
communications defined in Sub-Clause 1.4 [Law and Language].Each assistant, to whom duties have been assigned or authority has been delegated,
shall only be authorised to issue instructions to the Contractor to the extent defined
by the delegation. Any approval, check, certificate, consent, examination, inspection,
instruction, notice, proposal, request, test, or similar act by an assistant, in
accordance with the delegation, shall have the same effect as though the act had
been an act of the Engineer. However:(a)any failure to disapprove any work, Plant or Materials shall not constitute
approval, and shall therefore not prejudice the right of the Engineer to reject the
work, Plant or Materials;(b)if the Contractor questions any determination or instruction of an assistant, the
Contractor may refer the matter to the Engineer, who shall promptly confirm,
reverse or vary the determination or instruction.The Engineer may issue to the Contractor (at any time) instructions and additional
or modified Drawings which may be necessary for the execution of the Works and
the remedying of any defects, all in accordance with the Contract. The Contractor
shall only take instructions from the Engineer, or from an assistant to whom the
appropriate authority has been delegated under this Clause. If an instruction
constitutes a Variation, Clause 13 [Variations and Adjustments] shall apply.The Contractor shall comply with the instructions given by the Engineer or delegated
assistant, on any matter related to the Contract. Whenever practicable, their
instructions shall be given in writing. If the Engineer or a delegated assistant:(a)gives an oral instruction,(b)receives a written confirmation of the instruction, from (or on behalf of) the
Contractor, within two working days after giving the instruction, and(c)does not reply by issuing a written rejection and/or instruction within two
working days after receiving the confirmation,then the confirmation shall constitute the written instruction of the Engineer or
delegated assistant (as the case may be).If the Employer intends to replace the Engineer, the Employer shall, not less than 42
days before the intended date of replacement, give notice to the Contractor of the
name, address and relevant experience of the intended replacement Engineer.
The Employer shall not replace the Engineer with a person against whom the
Contractor raises reasonable objection by notice to the Employer, with supporting
particulars.Whenever these Conditions provide that the Engineer shall proceed in accordance
with this Sub-Clause 3.5 to agree or determine any matter, the Engineer shall consult
with each Party in an endeavour to reach agreement. If agreement is not achieved, the
Engineer shall make a fair determination in accordance with the Contract, taking due
regard of all relevant circumstances.The Engineer shall give notice to both Parties of each agreement or determination, with
supporting particulars. Each Party shall give effect to each agreement or determination
unless and until revised under Clause 20 [Claims, Disputes and Arbitration].3.3Instructions of the
Engineer3.4Replacement of the
Engineer3.5DeterminationsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009Conditions of Contract for Construction12The Contractor shall design (to the extent specified in the Contract), execute and
complete the Works in accordance with the Contract and with the Engineer’s
instructions, and shall remedy any defects in the Works.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, whether of a temporary or permanent nature, required in and for this design,
execution, completion and remedying of defects.The Contractor shall be responsible for the adequacy, stability and safety of all Site
operations and of all methods of construction. Except to the extent specified in the
Contract, the Contractor (i) shall be responsible for all Contractor’s Documents,
Temporary Works, and such design of each item of Plant and Materials as is required
for the item to be in accordance with the Contract, and (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 the
arrangements and methods which the Contractor proposes to 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.If the Contract specifies that the Contractor shall design any part of the Permanent
Works, then unless otherwise stated in the Particular Conditions:(a)the Contractor shall submit to the Engineer the Contractor’s Documents for this
part in accordance with the procedures specified in the Contract;(b)these Contractor’s Documents shall be in accordance with the Specification
and Drawings, shall be written in the language for communications defined in
Sub-Clause 1.4 [Law and Language], and shall include additional information
required by the Engineer to add to the Drawings for co-ordination of each
Party’s designs;(c)the Contractor shall be responsible for this part and it shall, when the Works are
completed, be fit for such purposes for which the part is intended as are
specified in the Contract; and(d)prior to the commencement of the Tests on Completion, the Contractor shall
submit to the Engineer the “as-built” documents and operation and
maintenance manuals in accordance with the Specification and in sufficient
detail for the Employer to operate, maintain, dismantle, reassemble, adjust and
repair this part of the Works. Such part shall not be considered to be completed
for the purposes of taking-over under Sub-Clause 10.1 [Taking Over of the
Works and Sections] until these documents and manuals have been submitted
to the Engineer.The Contractor shall obtain (at his cost) a Performance Security for proper
performance, in the amount and currencies stated in the Appendix to Tender. If an
amount is not stated in the Appendix to Tender, this Sub-Clause shall not apply.The Contractor shall deliver the Performance Security to the Employer within 28 days
after receiving the Letter of Acceptance, and shall send a copy to the Engineer. The
Performance Security shall be issued by an entity and from within a country (or other4.1
Contractor’s General
Obligations4.2Performance Security4The ContractorMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200913General Conditionsjurisdiction) approved by the Employer, and shall be in the form annexed to the
Particular Conditions or in another form approved by the Employer.The Contractor shall ensure that the Performance Security is valid and enforceable until
the Contractor has executed and completed the Works and remedied any defects. If
the terms of the Performance Security specify its expiry date, and the Contractor has
not become entitled to receive the Performance Certificate by the date 28 days prior to
the expiry date, the Contractor shall extend the validity of the Performance Security until
the Works have been completed and any defects have been remedied.The Employer shall not make a claim under the Performance Security, except for
amounts to which the Employer is entitled under the Contract in the event of:(a)failure by the Contractor to extend the validity of the Performance Security as
described in the preceding paragraph, in which event the Employer may claim
the full amount of the Performance Security,(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.The Employer shall return the Performance Security to the Contractor within 21 days
after receiving a copy of the Performance Certificate.The Contractor shall appoint the Contractor’s Representative and shall give him all
authority necessary to act on the Contractor’s behalf under the Contract.Unless the Contractor’s Representative is named in the Contract, the Contractor shall,
prior to the Commencement Date, submit to the Engineer for consent the name and
particulars of the person the Contractor proposes to appoint as Contractor’s Repres-
entative. If consent is withheld or subsequently revoked, or if the appointed person fails
to act as Contractor’s Representative, the Contractor shall similarly submit the name and
particulars of another suitable person for such appointment.The Contractor shall not, without the prior consent of the Engineer, revoke the
appointment of the Contractor’s Representative or appoint a replacement.The whole time of the Contractor’s Representative shall be given to directing the
Contractor’s performance of the Contract. If the Contractor’s Representative is to be
temporarily absent from the Site during the 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.The Contractor’s Representative shall, on behalf of the Contractor, receive instructions
under Sub-Clause 3.3 [Instructions of the Engineer].4.3Contractor’s
RepresentativeGENERALCONDITIONSMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009Conditions of Contract for Construction14The Contractor’s Representative may delegate any powers, functions and authority
to any competent person, and may at any time revoke the delegation. Any
delegation or revocation shall not take effect until the Engineer has received prior
notice signed by the Contractor’s Representative, naming the person and
specifying the powers, functions and authority being delegated or revoked.The Contractor’s Representative and all these persons shall be fluent in the
language for communications defined in Sub-Clause 1.4 [Law and Language].The Contractor shall not subcontract the whole of the Works.The Contractor shall be responsible for the acts or defaults of any Subcontractor, his
agents or employees, as if they were the acts or defaults of the Contractor. Unless
otherwise stated in the Particular Conditions:(a)the Contractor shall not be required to obtain consent to suppliers of Materials,
or to a subcontract for which the Subcontractor is named in the Contract;(b)the prior consent of the Engineer shall be obtained to other proposed
Subcontractors;(c)the Contractor shall give the Engineer not less than 28 days’ notice of the
intended date of the commencement of each Subcontractor’s work, and of the
commencement of such work on the Site; and(d)each subcontract shall include provisions which would entitle the Employer to
require the subcontract to be assigned to the Employer 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].If a Subcontractor’s obligations extend beyond the expiry date of the relevant Defects
Notification Period and the Engineer, prior to this date, instructs the Contractor to
assign the benefit of such obligations to the Employer, then the Contractor shall do
so. Unless otherwise stated in the assignment, the Contractor shall have no liability to
the Employer for the work carried out by the Subcontractor after the assignment
takes effect.The Contractor shall, as specified in the Contract or as instructed by the Engineer,
allow appropriate opportunities for carrying out work to:(a)the Employer’s Personnel,(b)any other contractors employed by the Employer, and(c)the personnel of any legally constituted public authorities,who may be employed in the execution on or near the Site of any work not included
in the Contract.Any such instruction shall constitute a Variation if and to the extent that it causes the
Contractor to incur Unforeseeable Cost. Services for these personnel and other
contractors may include the use of Contractor’s Equipment, Temporary Works or
access arrangements which are the responsibility of the Contractor.If, under the Contract, the Employer is required to give to the Contractor possession
of any foundation, structure, plant or means of access in accordance with
Contractor’s Documents, the Contractor shall submit such documents to the
Engineer in the time and manner stated in the Specification.4.4Subcontractors4.5Assignment of Benefit
of Subcontract4.6Co-operationMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200915General ConditionsThe Contractor shall set out the Works in relation to original points, lines and levels of
reference specified in the Contract or notified by the Engineer. The Contractor shall be
responsible for the correct positioning of all parts of the Works, and shall rectify any
error in the positions, levels, dimensions or alignment of the Works.The Employer shall be responsible for any errors in these specified or notified items of
reference, but the Contractor shall use reasonable efforts to verify their accuracy
before they are used.If the Contractor suffers delay and/or incurs Cost from executing work which was
necessitated by an error in these items of reference, and an experienced contractor
could not reasonably have discovered such error and avoided this delay and/or Cost,
the Contractor shall give notice to the Engineer and shall be entitled subject to Sub-
Clause 20.1 [Contractor’s Claims] to:(a)an extension of time for any such delay, if completion is or will be delayed,
under Sub-Clause 8.4 [Extension of Time for Completion], and(b)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 (i) whether and (if so) to what
extent the error could not reasonably have been discovered, and (ii) the matters
described in sub-paragraphs (a) and (b) above related to this extent.The Contractor shall:(a)comply with all applicable safety regulations,(b)take care for the safety of all persons entitled to be on the Site,(c)use reasonable efforts to keep the Site and Works clear of unnecessary
obstruction so as to avoid danger to these persons,(d)provide fencing, lighting, guarding and watching of the Works until completion
and taking over under Clause 10 [Employer’s Taking Over], and(e)provide any Temporary Works (including roadways, footways, guards and
fences) which may be necessary, because of the execution of the Works, for
the use and protection of the public and of owners and occupiers of adjacent
land.The Contractor shall institute a quality assurance system to demonstrate compliance with
the requirements of the Contract. The system shall be in accordance with the details
stated in the Contract. The Engineer shall be entitled to audit any aspect of the system.Details of all procedures and compliance documents shall be submitted to the
Engineer for information before each design and execution stage is commenced.
When any document of a technical nature is issued to the Engineer, evidence of the
prior approval by the Contractor himself shall be apparent on the document itself.Compliance with the quality assurance system shall not relieve the Contractor of any
of his duties, obligations or responsibilities under the Contract.The Employer shall have made available to the Contractor for his information, prior to
the Base Date, all relevant data in the Employer’s possession on sub-surface and
hydrological conditions at the Site, including environmental aspects. The Employer4.7
Setting Out4.8Safety Procedures4.9Quality Assurance4.10Site DataMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009Conditions of Contract for Construction16shall similarly make available to the Contractor all such data which come into the
Employer’s possession after the Base Date. The Contractor shall be responsible for
interpreting all such data.To the extent which was practicable (taking account of cost and time), the Contractor
shall be deemed to have obtained all necessary information as to risks, contingencies and
other circumstances which may influence or affect the Tender or Works. To the same
extent, the Contractor shall be deemed to have inspected and examined the Site, its
surroundings, the above data and other available information, and to have been satisfied
before submitting the Tender as to all relevant matters, including (without limitation):(a)the form and nature of the Site, including sub-surface conditions,(b)the hydrological and climatic conditions,(c)the extent and nature of the work and Goods necessary for the execution and
completion of the Works and the remedying of any defects,(d)the Laws, procedures and labour practices of the Country, and(e)the Contractor’s requirements for access, accommodation, facilities, personnel,
power, transport, water and other services.The Contractor shall be deemed to:(a)have satisfied himself as to the correctness and sufficiency of the Accepted
Contract Amount, and(b)have based the Accepted Contract Amount on the data, interpretations,
necessary information, inspections, examinations and satisfaction as to all
relevant matters referred to in Sub-Clause 4.10 [Site Data].Unless otherwise stated in the Contract, the Accepted Contract Amount covers all the
Contractor’s obligations under the Contract (including those under Provisional Sums,
if any) and all things necessary for the proper execution and completion of the Works
and the remedying of any defects.In this Sub-Clause, “physical conditions” means natural physical conditions and man-
made and other physical obstructions and pollutants, which the Contractor
encounters at the Site when executing the Works, including sub-surface and hydro-
logical conditions but excluding climatic conditions.If the Contractor encounters adverse physical conditions which he considers to have been
Unforeseeable, the Contractor shall give notice to the Engineer as soon as practicable.This notice shall describe the physical conditions, so that they can be inspected by
the Engineer, and shall set out the reasons why the Contractor considers them to be
Unforeseeable. The Contractor shall continue executing the Works, using such proper
and reasonable measures as are appropriate for the physical conditions, and shall
comply with any instructions which the Engineer may give. If an instruction constitutes
a Variation, Clause 13 [Variations and Adjustments] shall apply.If and to the extent that the Contractor encounters physical conditions which are Unfore-
seeable, gives such a notice, and suffers delay and/or incurs Cost due to these conditions,
the Contractor shall be entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to:(a)an extension of time for any such delay, 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.4.11Sufficiency of the
Accepted Contract
Amount4.12Unforeseeable Physical
ConditionsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200917General ConditionsAfter receiving such notice and inspecting and/or investigating these physical
conditions, the Engineer shall proceed in accordance with Sub-Clause 3.5
[Determinations] to agree or determine (i) whether and (if so) to what extent these
physical conditions were Unforeseeable, and (ii) the matters described in sub-
paragraphs (a) and (b) above related to this extent.However, before additional Cost is finally agreed or determined under sub-
paragraph (ii), the Engineer may also review whether other physical conditions in
similar parts of the Works (if any) were more favourable than could reasonably have
been foreseen when the Contractor submitted the Tender. If and to the extent that
these more favourable conditions were encountered, the Engineer may proceed in
accordance with Sub-Clause 3.5 [Determinations] to agree or determine the
reductions in Cost which were due to these conditions, which may be included (as
deductions) in the Contract Price and Payment Certificates. However, the net effect of
all adjustments under sub-paragraph (b) and all these reductions, for all the physical
conditions encountered in similar parts of the Works, shall not result in a net reduction
in the Contract Price.The Engineer may take account of any evidence of the physical conditions foreseen
by the Contractor when submitting the Tender, which may be made available by the
Contractor, but shall not be bound by any such evidence.The Contractor shall bear all costs and charges for special and/or temporary rights-
of-way which he may require, including those for access to the Site. The Contractor
shall also obtain, at his risk and cost, any additional facilities outside the Site which he
may require for the purposes of the Works.The Contractor shall not interfere unnecessarily or improperly with:(a)the convenience of the public, or(b)the access to and use and occupation of all roads and footpaths, irres-
pective of whether they are public or in the possession of the Employer or of
others.The Contractor shall indemnify and hold the Employer harmless against and from all
damages, losses and expenses (including legal fees and expenses) resulting from any
such unnecessary or improper interference.The Contractor shall be deemed to have been satisfied as to the suitability and
availability of access routes to the Site. The Contractor shall use reasonable efforts to
prevent any road or bridge from being damaged by the Contractor’s traffic or by the
Contractor’s Personnel. These efforts shall include the proper use of appropriate
vehicles and routes.Except as otherwise stated in these Conditions:(a)the Contractor shall (as between the Parties) be responsible for any
maintenance which may be required for his use of access routes;(b)the Contractor shall provide all necessary signs or directions along access
routes, and shall obtain any permission which may be required from the
relevant authorities for his use of routes, signs and directions;(c)the Employer shall not be responsible for any claims which may arise from the
use or otherwise of any access route,4.13Rights of Way and
Facilities4.14Avoidance of
Interference4.15Access RouteMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009Conditions of Contract for Construction18(d)the Employer does not guarantee the suitability or availability of particular
access routes, and(e)Costs due to non-suitability or non-availability, for the use required by the
Contractor, of access routes shall be borne by the Contractor.Unless otherwise stated in the Particular Conditions:(a)the Contractor shall give the Engineer not less than 21 days’ notice of the date
on which any Plant or a major item of other Goods will be delivered to the Site;(b)the Contractor shall be responsible for packing, loading, transporting, receiving,
unloading, storing and protecting all Goods and other things required for the
Works; and(c)the Contractor shall indemnify and hold the Employer harmless against and
from all damages, losses and expenses (including legal fees and expenses)
resulting from the transport of Goods, and shall negotiate and pay all claims
arising from their transport.The Contractor shall be responsible for all Contractor’s Equipment. When brought on
to the Site, Contractor’s Equipment shall be deemed to be exclusively intended for the
execution of the Works. The Contractor shall not remove from the Site any major items
of Contractor’s Equipment without the consent of the Engineer. However, consent
shall not be required for vehicles transporting Goods or Contractor’s Personnel off
Site.The Contractor shall take all reasonable steps to protect the environment (both on and
off the Site) and to limit damage and nuisance to people and property resulting from
pollution, noise and other results of his operations.The Contractor shall ensure that emissions, surface discharges and effluent from the
Contractor’s activities shall not exceed the values indicated in the Specification, and
shall not exceed the values prescribed by applicable Laws.The Contractor shall, except as stated below, be responsible for the provision of all
power, water and other services he may require.The Contractor shall be entitled to use for the purposes of the Works such supplies
of electricity, water, gas and other services as may be available on the Site and of
which details and prices are given in the Specification. The Contractor shall, at his risk
and cost, provide any apparatus necessary for his use of these services and for
measuring the quantities consumed.The quantities consumed and the amounts due (at these prices) for such services
shall be agreed or determined by the Engineer in accordance with Sub-Clause 2.5
[Employer’s Claims] and Sub-Clause 3.5 [Determinations]. The Contractor shall pay
these amounts to the Employer.The Employer shall make the Employer’s Equipment (if any) available for the use of the
Contractor in the execution of the Works in accordance with the details, arrangements
and prices stated in the Specification. Unless otherwise stated in the Specification:(a)the Employer shall be responsible for the Employer’s Equipment, except that4.16Transport of Goods4.17Contractor’s
Equipment4.18Protection of the
Environment4.19Electricity, Water and
Gas4.20Employer’s Equipment
and Free-Issue MaterialMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200919General Conditions(b)the Contractor shall be responsible for each item of Employer’s Equipment
whilst any of the Contractor’s Personnel is operating it, driving it, directing it or
in possession or control of it.The appropriate quantities and the amounts due (at such stated prices) for the use of
Employer’s Equipment shall be agreed or determined by the Engineer in accordance
with Sub-Clause 2.5 [Employer’s Claims] and Sub-Clause 3.5 [Determinations]. The
Contractor shall pay these amounts to the Employer.The Employer shall supply, free of charge, the “free-issue materials” (if any) in
accordance with the details stated in the Specification. The Employer shall, at his risk
and cost, provide these materials at the time and place specified in the Contract. The
Contractor shall then visually inspect them, and shall promptly give notice to the
Engineer of any shortage, defect or default in these materials. Unless otherwise
agreed by both Parties, the Employer shall immediately rectify the notified shortage,
defect or default.After this visual inspection, the free-issue materials shall come under the care, custody
and control of the Contractor. The Contractor’s obligations of inspection, care,
custody and control shall not relieve the Employer of liability for any shortage, defect
or default not apparent from a visual inspection.Unless otherwise stated in the Particular Conditions, monthly progress reports shall be
prepared by the Contractor and submitted to the Engineer in six copies. The first
report shall cover the period up to the end of the first calendar month following the
Commencement Date. Reports shall be submitted monthly thereafter, each within 7
days after the last day of the period to which it relates.Reporting shall continue 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.Each report shall include:(a)charts and detailed descriptions of progress, including each stage of design (if
any), Contractor’s Documents, procurement, manufacture, delivery to Site,
construction, erection and testing; and including these stages for work by each
nominated Subcontractor (as defined in Clause 5 [Nominated Subcontractors]),(b)photographs showing the status of manufacture and of progress on the Site;(c)for the manufacture of each main item of Plant and Materials, the name of the
manufacturer, manufacture location, percentage progress, and the actual or
expected dates of:(i)commencement of manufacture,(ii)Contractor’s inspections,(iii)tests, and(iv)shipment and arrival at the Site;(d)the details described in Sub-Clause 6.10 [Records of Contractor’s Personnel
and Equipment];(e)copies of quality assurance documents, test results and certificates of
Materials;(f)list of notices given under Sub-Clause 2.5 [Employer’s Claims] and notices
given under Sub-Clause 20.1 [Contractor’s Claims];(g)safety statistics, including details of any hazardous incidents and activities
relating to environmental aspects and public relations; and4.21Progress ReportsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-2009Conditions of Contract for Construction20(h)comparisons of actual and planned progress, with details of any events or
circumstances which may jeopardise the completion in accordance with the
Contract, and the measures being (or to be) adopted to overcome delays.Unless otherwise stated in the Particular Conditions:(a)the Contractor shall be responsible for 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.The Contractor shall confine his operations to the Site, and to any additional areas
which may be obtained by the Contractor and agreed by the Engineer as working
areas. The Contractor shall take all necessary precautions to keep Contractor’s
Equipment and Contractor’s Personnel within the Site and these additional areas, and
to keep them off adjacent land.During the execution of the Works, the Contractor shall keep the Site free from all
unnecessary obstruction, and shall store or dispose of any Contractor’s Equipment or
surplus materials. The Contractor shall clear away and remove from the Site any
wreckage, rubbish and Temporary Works which are no longer required.Upon the issue of a Taking-Over Certificate, the Contractor shall clear away and
remove, from that part of the Site and Works to which the Taking-Over Certificate
refers, all Contractor’s Equipment, surplus material, wreckage, rubbish and Temporary
Works. The Contractor shall leave that part of the Site and the Works in a clean and
safe condition. However, the Contractor may retain on Site, during the Defects Notifi-
cation Period, such Goods as are required for the Contractor to fulfil obligations under
the Contract.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. The Contractor shall take reasonable
precautions to prevent Contractor’s Personnel or other persons from removing or
damaging any of these findings.The Contractor shall, upon discovery of any such finding, promptly give notice to the
Engineer, who shall issue instructions for dealing with it. If the Contractor suffers delay
and/or incurs Cost from complying with the instructions, the Contractor shall give a
further notice to the Engineer and shall be entitled subject to Sub-Clause 20.1
[Contractor’s Claims] to:(a)an extension of time for any such delay, 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.After receiving this further notice, the Engineer shall proceed in accordance with Sub-
Clause 3.5 [Determinations] to agree or determine these matters.4.22Security of the Site4.23Contractor’s Operations
on Site4.24FossilsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200921General ConditionsIn the Contract, “nominated Subcontractor” means a Subcontractor:(a)who is stated in the Contract as being a nominated Subcontractor, or(b)whom the Engineer, under Clause 13 [Variations and Adjustments], instructs
the Contractor to employ as a Subcontractor.The Contractor shall not be under any obligation to employ a nominated Subcontractor
against whom the Contractor raises reasonable objection by notice to the Engineer as
soon as practicable, with supporting particulars. An objection shall be deemed reasonable
if it arises from (among other things) any of the following matters, unless the Employer
agrees to indemnify the Contractor against and from the consequences of the matter:(a)there are reasons to believe that the Subcontractor does not have sufficient
competence, resources or financial strength;(b)the subcontract does not specify that the nominated Subcontractor shall
indemnify the Contractor against and from any negligence or misuse of Goods
by the nominated Subcontractor, his agents and employees; or(c)the subcontract does not specify that, for the subcontracted work (including
design, if any), the nominated Subcontractor shall:(i)undertake to the Contractor such obligations and liabilities as will enable
the Contractor to discharge his obligations and liabilities under the
Contract, and(ii)indemnify the Contractor against and from all obligations and liabilities
arising under or in connection with the Contract and from the
consequences of any failure by the Subcontractor to perform these
obligations or to fulfil these liabilities.The Contractor shall pay to the nominated Subcontractor the amounts which the
Engineer certifies to be due in accordance with the subcontract. These amounts plus
other charges shall be included in the Contract Price in accordance with sub-
paragraph (b) of Sub-Clause 13.5 [Provisional Sums], except as stated in Sub-
Clause 5.4 [Evidence of Payments].Before issuing a Payment Certificate which includes an amount payable to a
nominated Subcontractor, the Engineer may request the Contractor to supply
reasonable evidence that the nominated Subcontractor has received all amounts due
in accordance with previous Payment Certificates, less applicable deductions for
retention or otherwise. Unless the Contractor:(a)submits this reasonable evidence to the Engineer, or(b)(i)satisfies the Engineer in writing that the Contractor is reasonably
entitled to withhold or refuse to pay these amounts, and(ii)submits to the Engineer reasonable evidence that the nominated
Subcontractor has been notified of the Contractor’s entitlement,then the Employer may (at his sole discretion) pay, direct to the nominated
Subcontractor, part or all of such amounts previously certified (less applicable5.1
Definition of “nominated
Subcontractor”5.2Objection to Nomination5.3Payments to nominated
Subcontractors5.4Evidence of Payments5Nominated SubcontractorsMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200922Conditions of Contract for Construction6.1
Engagement of
Staff and Labour6.2Rates of Wages and
Conditions of Labour6.3Persons in the Service
of Employer6.4Labour Laws6.5Working Hours6.6Facilities for Staff
and Labour6.7Health and Safetydeductions) as are due to the nominated Subcontractor and for which the Contractor
has failed to submit the evidence described in sub-paragraphs (a) or (b) above. The
Contractor shall then repay, to the Employer, the amount which the nominated Sub-
contractor was directly paid by the Employer.Except as otherwise stated in the Specification, the Contractor shall make
arrangements for the engagement of all staff and labour, local or otherwise, and for
their payment, housing, feeding and transport.The Contractor shall pay rates of wages, and observe conditions of labour, which are not
lower than those established for the trade or industry where the work is carried out. If no
established rates or conditions are applicable, the Contractor shall pay rates of wages and
observe conditions which are not lower than the general level of wages and conditions
observed locally by employers whose trade or industry is similar to that of the Contractor.The Contractor shall not recruit, or attempt to recruit, staff and labour from amongst
the Employer’s Personnel.The Contractor shall comply with all the relevant labour Laws applicable to the
Contractor’s Personnel, including Laws relating to their employment, health, safety,
welfare, immigration and emigration, and shall allow them all their legal rights.The Contractor shall require his employees to obey all applicable Laws, including
those concerning safety at work.No work shall be carried out on the Site on locally recognised days of rest, or outside
the normal working hours stated in the Appendix to Tender, unless:(a)otherwise stated in the Contract,(b)the Engineer gives consent, or(c)the work is unavoidable, or necessary for the protection of life or property or for
the safety of the Works, in which case the Contractor shall immediately advise
the Engineer.Except as otherwise stated in the Specification, the Contractor shall provide and
maintain all necessary accommodation and welfare facilities for the Contractor’s
Personnel. The Contractor shall also provide facilities for the Employer’s Personnel as
stated in the Specification.The Contractor shall not permit any of the Contractor’s Personnel to maintain any
temporary or permanent living quarters within the structures forming part of the
Permanent Works.The Contractor shall at all times take all reasonable precautions to maintain the health
and safety of the Contractor’s Personnel. In collaboration with local health authorities,6Staff and LabourMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200923General Conditionsthe 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.Throughout the execution of the Works, and as long thereafter as is necessary to fulfil
the Contractor’s obligations, the Contractor shall provide all necessary super-
intendence to plan, arrange, direct, manage, inspect and test the 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.The Contractor’s Personnel shall be appropriately qualified, skilled and experienced in
their respective trades or occupations. The Engineer may require the Contractor to
remove (or cause to be removed) any person employed on the Site or Works,
including the Contractor’s Representative if applicable, who:(a)persists in any misconduct or lack of care,(b)carries out duties incompetently or negligently,(c)fails to conform with any provisions of the Contract, or(d)persists in any conduct which is prejudicial to safety, health, or the protection
of the environment.If appropriate, the Contractor shall then appoint (or cause to be appointed) a suitable
replacement person.The Contractor shall submit, to the Engineer, details showing the number of each
class of Contractor’s Personnel and of each type of Contractor’s Equipment on the
Site. Details 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.The Contractor shall at all times take all reasonable precautions to prevent any
unlawful, riotous or disorderly conduct by or amongst the Contractor’s Personnel,
and to preserve peace and protection of persons and property on and near the
Site.6.8Contractor’s
Superintendence6.9Contractor’s
Personnel6.10Records of Contractor’s
Personnel and
Equipment6.11Disorderly ConductMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200924Conditions of Contract for ConstructionThe Contractor shall carry out the manufacture of Plant, the production andmanufacture of Materials, and all other execution of the Works:(a)in the manner (if any) specified in the Contract,(b)in a proper workmanlike and careful manner, in accordance with recognised
good practice, and(c)with properly equipped facilities and non-hazardous Materials, except as
otherwise specified in the Contract.The Contractor shall submit the following samples of Materials, and relevant
information, to the Engineer for consent prior to using the Materials in or for the Works:(a)manufacturer’s standard samples of Materials and samples specified in the
Contract, all at the Contractor’s cost, and(b)additional samples instructed by the Engineer as a Variation.Each sample shall be labelled as to origin and intended use in the Works.The Employer’s Personnel shall at all reasonable times:(a)have full access to all parts of the Site and to all places from which natural
Materials are being obtained, and(b)during production, manufacture and construction (at the Site and elsewhere),
be entitled to examine, inspect, measure and test the materials and
workmanship, and to check the progress of manufacture of Plant and
production and manufacture of Materials.The Contractor shall give the Employer’s Personnel full opportunity to carry out
these activities, including providing access, facilities, permissions and safety
equipment. No such activity shall relieve the Contractor from any obligation or
responsibility.The Contractor shall give notice to the Engineer whenever any work is ready and
before it is covered up, put out of sight, or packaged for storage or transport. The
Engineer shall then either carry out the examination, inspection, measurement or
testing without unreasonable delay, or promptly give notice to the Contractor that the
Engineer does not require to do so. If the Contractor fails to give the notice, he shall,
if and when required by the Engineer, uncover the work and thereafter reinstate and
make good, all at the Contractor’s cost.This Sub-Clause shall apply to all tests specified in the Contract, other than the Tests
after Completion (if any).The Contractor shall provide all apparatus, assistance, documents and other
information, electricity, equipment, fuel, consumables, instruments, labour,
materials, and suitably qualified and experienced staff, as are necessary to carry out
the specified tests efficiently. The Contractor shall agree, with the Engineer, the time
and place for the specified testing of any Plant, Materials and other parts of the
Works.7.1
Manner of Execution7.2Samples7.3Inspection7.4Testing7Plant, Materials and WorkmanshipMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200925General ConditionsThe Engineer may, under Clause 13 [Variations and Adjustments], vary the location or
details of specified tests, or instruct the Contractor to carry out additional tests. If these
varied or additional tests show that the tested Plant, Materials or workmanship is not
in accordance with the Contract, the cost of carrying out this Variation shall be borne
by the Contractor, notwithstanding other provisions of the Contract.The Engineer shall give the Contractor not less than 24 hours’ notice of the Engineer’s
intention to attend the tests. If the Engineer does not attend at the time and place
agreed, the Contractor may proceed with the tests, unless otherwise instructed by the
Engineer, and the tests shall then be deemed to have been made in the Engineer’s
presence.If the Contractor suffers delay and/or incurs Cost from complying with these
instructions or as a result of a delay for which the Employer is responsible, the
Contractor shall give notice to the Engineer and shall be entitled subject to Sub-
Clause 20.1 [Contractor’s Claims] to:(a)an extension of time for any such delay, if completion is or will be delayed,
under Sub-Clause 8.4 [Extension of Time for Completion], and(b)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 these matters.The Contractor shall promptly forward to the Engineer duly certified reports of the tests.
When the specified tests have been passed, the Engineer shall endorse the Contractor’s
test certificate, or issue a certificate to him, to that effect. If the Engineer has not
attended the tests, he shall be deemed to have accepted the readings as accurate.If, as a result of an examination, inspection, measurement or testing, any Plant,
Materials or workmanship is found to be defective or otherwise not in accordance with
the Contract, the Engineer may reject the Plant, Materials or workmanship by giving
notice to the Contractor, with reasons. The Contractor shall then promptly make good
the defect and ensure that the rejected item complies with the Contract.If the Engineer requires this Plant, Materials or workmanship to be retested, the tests
shall be repeated under the same terms and conditions. If the rejection and retesting
cause the Employer to incur additional costs, the Contractor shall subject to Sub-
Clause 2.5 [Employer’s Claims] pay these costs to the Employer.Notwithstanding any previous test or certification, the Engineer may instruct the
Contractor to:(a)remove from the Site and replace any Plant or Materials which is not in
accordance with the Contract,(b)remove and re-execute any other work which is not in accordance with the
Contract, and(c)execute any work which is urgently required for the safety of the Works,
whether because of an accident, unforeseeable event or otherwise.The Contractor shall comply with the instruction within a reasonable time, which shall
be the time (if any) specified in the instruction, or immediately if urgency is specified
under sub-paragraph (c).7.5Rejection7.6Remedial WorkMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200926Conditions of Contract for ConstructionIf 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.Each item of Plant and Materials shall, to the extent consistent with the Laws of the
Country, become the property of the Employer at whichever is the earlier of the
following times, 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].Unless otherwise stated in the Specification, the Contractor shall pay all royalties,
rents and other payments for:(a)natural Materials obtained from outside the Site, and(b)the disposal of material from demolitions and excavations and of other surplus
material (whether natural or man-made), except to the extent that disposal
areas within the Site are specified in the Contract.The Engineer shall give the Contractor not less than 7 days’ notice of the
Commencement Date. Unless otherwise stated in the Particular Conditions, the
Commencement Date shall be within 42 days after the Contractor receives the Letter
of Acceptance.The Contractor shall commence the execution of the Works as soon as is reasonably
practicable after the Commencement Date, and shall then proceed with the Works
with due expedition and without delay.The Contractor shall complete the whole of the Works, and each Section (if any),
within the Time for Completion for the Works or Section (as the case may be),
including:(a)achieving the passing of the Tests on Completion, and(b)completing all work which is stated in the Contract as being required for the
Works or Section to be considered to be completed for the purposes of taking-
over under Sub-Clause 10.1 [Taking Over of the Works and Sections].The Contractor shall submit a detailed time programme to the Engineer within 28 days
after receiving the notice under Sub-Clause 8.1 [Commencement of Works]. The
Contractor shall also submit a revised programme whenever the previous programme
is inconsistent with actual progress or with the Contractor’s obligations. Each
programme shall include:7.7Ownership of Plant and
Materials7.8Royalties8.1
Commencement of Works8.2Time for Completion8.3Programme8Commencement, Delays and SuspensionMCC AND MCC ENTITIES - LICENSED USE - FIDIC 2007 - UNTIL END-200927General Conditions(a)the order in which the Contractor intends to carry out the Works, including the
anticipated timing of each stage of design (if any), Contractor’s Documents,
procurement, manufacture of Plant, delivery to Site, construction, 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.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.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].If, at any time, the Engineer gives notice to the Contractor that a programme fails (to
the extent stated) to comply with the Contract or to be consistent with actual progress
and the Contractor’s stated intentions, the Contractor shall submit a revised
programme to the Engineer in accordance with this Sub-Clause.The Contractor shall be entitled subject to Sub-Clause 20.1 [Contractor’s Claims] to
an extension of the Time for Completion if and to the extent that completion for the
purposes of Sub-Clause 10.1 [Taking Over of the Works and Sections] is or will be
delayed by any of the following causes:(a)a Variation (unless an adjustment to the Time for Completion has been agreed
under Sub-Clause 13.3 [Variation Procedure]) or other substantial change in the
quantity of an item of work included in the Contract,(b)a cause of delay giving an entitlement to extension of time under a Sub-Clause
of these Conditions,(c)exceptionally adverse climatic conditions,(d)Unforeseeable shortages in the availability of personnel or Goods caused by
epidemic or governmental actions, or(e)any delay, impediment or prevention caused by or attributable to the
Employer, the Employer’s Personnel, or the Employer’s other contractors on
the Site.If the Contractor considers himself to be entitled to an extension of the Time for
Completion, the Contractor shall give notice to the Engineer in accordance with Sub-
Clause 20.1 [Contractor’s Claims]. When determining each extension of time under
Sub-Clause 20.1, the Engineer shall review previous determinations and may
increase, but shall not decrease, the total extension of time.8.4
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