Legal Skills: Contract Law: Effective Use and Understanding of the FIDIC Contract Conditions

Course Overview

Claims seem to be an unavoidable feature of the construction industry, absorbing precious time, money and staff resources in what is often a fruitless exercise.

This seminar deals with claims arising from the FIDIC Contract conditions by giving an authoritative explanation of the provisions of those conditions and a practical guide to managing, preparing and negotiating the claims that arise from them. It will enable you to recognize and understand potential claims, and to present, assess and quantify them properly.

Audience

Anyone involved in claims under FIDIC Conditions of Contract, including:

• Owners
• Contractors
• Engineers
• Suppliers
• Quantity Surveyors
• Project Managers
• Lawyers

Skills Gained

This event will give you an in-depth knowledge of:

• Your rights and responsibilities under the FIDIC
• The contractual or legal basis of claims
• Defined procedures for dealing with Extension of Time
• Quantifying and measuring delay, disruption and acceleration
• Contract programmes and float
• Substantiation of costs
• Substantiation of value
• Presentation of claims
• Negotiation and settlement
• Dispute resolution procedures

Course Outline

DAY ONE

FIDIC overview

• Introduction to organisation
• Suite of contracts
• Inter-relationships between contracts

Overview of FIDIC 1999 Rainbow

• Construction (Red Book)
• MDB Harmonised version
• Plant Design Build (Yellow Book)
• EPC (Silver Book)
• Includes analysis of differences
• Primary differences from 4th edition Red Book

Overview of the new DBO Contract (Gold Book)

• Thorough Red Book analysis
• Includes MDB Harmonised version

Payment and variations

• Basis of evaluation
• Lump sum payment
• Value engineering
• Covers Red,Yellow, Silver Books
• Includes MDB version on Red Book

Risk allocation, responsibility and insurance

• Principles of risk allocation
• The insurance requirements
• Covers Red,Yellow, Silver Books
• Development of a practical scenario
• Includes discussion of choice of contract
• Risk from project and allocation of that risk
• Role of the Engineer

DAY TWO

Claims

• By contractor
• By employer
• Adverse Ground Conditions
• Role of engineer (Red/Yellow Books) and employer (Silver Book)

Design responsibility

• In the Construction Contract (Red Book)
• In the other Books (Yellow and Silver)
• Fitness for Purpose and its meaning in law
• A development of the scenario at Workshop 2
• Events during a project
• Dealing with them: employer, engineer
• Claims
• Run as meeting between employer and contractor

Engineer's hour

The Dispute Resolution Scheme

The Dispute Board

• The DAB or DRB - what are the differences?
• Appointment of members
• Standing or ad hoc boards
• Red, MDB,Yellow and Silver Book boards

Arbitration in the FIDIC Books

• The arbitration provisions
• The ICC Rules and administered arbitration
• The UNCITRAL Rules and ad hoc arbitration

Legal Skills: Contract Law: Effective Use and Understanding of the FIDIC Contract Conditions / CM027151