FIDIC stands for International Federation of Consulting Engineers and it is among the most widely used standard forms of contract in the construction and engineering industries. Established in 1913, this video takes a look at the History of this Globally used Construction Contract. #QuantitySurveying #Engineering #Construction
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In construction projects, the hierarchy of documents is crucial for ensuring clarity and avoiding disputes. According to FIDIC contract conditions, the typical order of precedence is as follows: 1. Agreement 2. Letter of Acceptance 3. Contractor’s Offer 4. Particular Conditions 5. General Conditions 6. Specifications 7. Drawings 8. Schedules Understanding this order helps all parties align their expectations and navigate any potential conflicts efficiently. Always check the specific contract for any variations to this standard order
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FIDIC 2017 brings important updates to construction claims. It introduces stricter timelines, combines employer’s and contractor’s claims, and clarifies the resolution process. Compliance is crucial, with more severe consequences for non-compliance. Contractors and engineers must stay up-to-date. Read more below: https://buff.ly/34T3Keg
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FIDIC Green Book – (Short Form of Contract) This is the contract form recommended by FIDIC for use in engineering and construction works with relatively small capital value or where the construction time is short. FIDIC has indicated that it is likely to apply to contracts valued at less than $500,000 or construction periods of less than six months. However, the Green Book may also be suitable for simple or repetitive works. Although it is customary in these types of arrangements for the contractor to construct the works according to the employer's design, it does not matter whether the design is provided by the employer or the contractor. There is no engineer involved, and payments are made on a monthly basis.
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FIDIC Green Book – (Short Form of Contract) This is the contract form recommended by FIDIC for use in engineering and construction works with relatively small capital value or where the construction time is short. FIDIC has indicated that it is likely to apply to contracts valued at less than $500,000 or construction periods of less than six months. However, the Green Book may also be suitable for simple or repetitive works. Although it is customary in these types of arrangements for the contractor to construct the works according to the employer's design, it does not matter whether the design is provided by the employer or the contractor. There is no engineer involved, and payments are made on a monthly basis.
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FIDIC Green Book – (Short Form of Contract) This is the contract form recommended by FIDIC for use in engineering and construction works with relatively small capital value or where the construction time is short. FIDIC has indicated that it is likely to apply to contracts valued at less than $500,000 or construction periods of less than six months. However, the Green Book may also be suitable for simple or repetitive works. Although it is customary in these types of arrangements for the contractor to construct the works according to the employer's design, it does not matter whether the design is provided by the employer or the contractor. There is no engineer involved, and payments are made on a monthly basis.
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FIDIC (International Federation of Consulting Engineers) is renowned for its suite of standard contract forms that are used extensively in the construction and engineering industries worldwide. These contracts are designed to provide a balanced allocation of risks and responsibilities between the parties involved in construction projects, including employers, contractors, and engineers. Key features of FIDIC contracts include: 1. **Comprehensive Framework**: FIDIC contracts offer a structured framework that covers all aspects of the construction process, from project inception to completion and beyond. 2. **Flexibility**: While FIDIC contracts provide a standardized approach, they also allow for flexibility to accommodate specific project requirements and local legal provisions. 3. **Risk Allocation**: They are structured to fairly allocate risks among the parties involved, aiming to minimize disputes and ensure project success. 4. **Internationally Recognized**: FIDIC contracts are widely recognized and utilized across different jurisdictions, making them valuable tools for international construction projects. 5. **Updates and Revisions**: FIDIC periodically updates and revises its contract forms to reflect industry best practices, legal developments, and feedback from users. Professionals in the construction and engineering sectors often refer to FIDIC contracts for their clarity, fairness, and effectiveness in managing complex contractual relationships and project challenges.
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Construction projects often suffer from delays due to a wide variety of reasons, which can have severe financial impact on the project. As a result, delay claims becomes necessary for submission. The analysis of the delay impact with the causes and effects of the delaying activities is one of the most complicated types of claims analysis. It requires a skilled official with extensive knowledge of construction projects, means and methods, scheduling and the ability to develop a sound methodology to conduct the analysis. Most of these delay claims to reach the expert after completion of the project. This results in a detailed intensive research of the documents to verify schedules, events, sequence of work, changes during construction and the delay impact. As a result, delay may leads to pleading for time extension without PRS, revision of rate, lodgment of claim, arbitration as it needs based on situation.
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White Book – (Client/Consultant Model Services Agreement) This contract form does not fall under the scope of providing construction and engineering works, despite also being referred to by its cover color. This form of contract is used to appoint consultants to provide services to the employer, such as feasibility studies, design, contract management, and project management. The White Book typically forms the basis of an agreement between the consultant and the employer where the construction and engineering works are carried out under a FIDIC contract.
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Why value engineering in design stage (concept, preliminary) is worth more than value engineering during construction: The answer is from FIDIC (FIDIC red book 1999): 📌 then the Engineer shall agree or determine a fee (an incentive for the contractor), which shall be included in the Contract Price. The fee shall be: 50% x {reduction in contract value - reduction in the value to the Employer]. So don't miss the 50%
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*The Importance of Notice Provisions in Construction Contracts* *Introduction* * Construction contracts typically include specific notice provisions * Notice refers to the obligation to inform the contract administrator of claims or change events *Purpose of Notice Provisions* * Trigger contract mechanisms for additional entitlements (time and cost) * Preserve rights to recover for unforeseen impacts *Key Issues and Factors* * Contract compliant notice requirements * Timely issuance of notice * Consequences of failing to provide notice (jeopardizing entitlements) *Best Practices* * Understand notice provisions in construction contracts * Ensure timely and contract compliant notice * Facilitate improved management and early resolution of claims and change requests
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