4.7 Archives - Howard Kennedy

FIDIC’s New Green Form: The Missing Link

FIDIC’s New Green Form: The Missing Link

In December 2021 FIDIC issued its 2nd edition of the Green Book. It is not so much an update to the 1st edition as a new and improved, intermediate form of contract. FIDIC is promoting it as a simpler, user-friendly alternative to the FIDIC 2017 Red and Yellow Books, where significant contract administration and management resources are not needed. The Green Book 2nd edition is recommended to be used by the World Bank for projects up to US$ 10 million. The Green Book 1st edition was originally intended for projects of US $500,000 with no more than a 6-month duration. However, the Green Book 1st was sometimes used for larger projects with a duration of up to two years. The Green Book 2nd therefore takes over from where the Green Book 1st left off. This is to be welcomed. The FIDIC 2017 suite of contracts (Red/Yellow/Silver) is unsuitable for smaller projects where less administration is required. The Green Book 2nd will therefore fill a much-needed gap in the FIDIC rainbow and is likely to be attractive to both Contractors and Employers. This article looks at some of the key features of the Green Book 2nd.

By HowardKennedy ITteam|08/03/2022|Knowledge Hub|Comments Off

FIDIC 1999 Books – Commentary on Clause 8

FIDIC 1999 Books – Commentary on Clause 8

Clause 8 contains all the fundamental provisions relating to the start of the Works, the Time for Completion, delays and the entitlement of the Contractor to an extension of time and of the Employer to delay damages, and finally the circumstances in which a suspension of the Works can occur and the implications for the Parties.

By HowardKennedy ITteam|14/11/2018|Delay, English Law, featured, Knowledge Hub|Comments Off

FIDIC 1999 Books – Commentary on Clause 3

FIDIC 1999 Books – Commentary on Clause 3

Clause 3 deals with the duties and obligations of the Engineer and his assistants. Sub-Clause 3.1 deals with the role and duties of the Engineer. The Engineer is deemed to act for the Employer. The Engineer has no authority to relieve the Contractor of his duties, obligations or responsibilities under the Contract; nor can the Engineer amend the Contract. Under Sub-Clause 3.2 the Engineer can delegate authority to any assistants; however, the Engineer cannot delegate the responsibility to make Determinations. Under Sub-Clause 3.3 the Engineer may issue instructions or modified Drawings at any time, which are necessary for the execution of the Works. If the instruction constitutes a Variation, then it is dealt with under Clause 13 [Variations and Adjustments]. The Contractor is required to comply with any instruction given by the Engineer or delegated assistant. Sub-Clause 3.4 deals with the replacement of the Engineer. The Employer must not replace the Engineer with someone against whom the Contractor raises reasonable objection. Sub-Clause 3.5 deals with Determinations. When making a Determination the Engineer should consult with each of the Parties and, if agreement cannot be reached, make a fair determination in accordance with the Contract, taking due regard of all relevant circumstances. Both Parties are required to give effect to any Determination unless, or until, it is revised under Sub-Clause 20.1 [Claims, Disputes and Arbitration].

By HowardKennedy ITteam|26/09/2018|Dispute Boards, featured, Knowledge Hub|Comments Off

Clause 4 – The Contractor

Clause 4 – The Contractor

Clause 4 - The Contractor by Taner Dedezade.

By HowardKennedy ITteam|27/01/2018|Knowledge Hub|Comments Off

Clause 2 – The Employer

Clause 2 – The Employer

Clause 2 now has 6 sub-clauses: Employer’s claims has been removed to clause 20; and new provisions 2.5 [Site Data and Items of Reference] and 2.6 [Employer-Supplied Materials and Employer’s Equipment] have been added. The obligations to provide possession, access and assistance with permits etc. are essentially the same, as are the consequences of failure to do so. The main change to clause 2.4 [Employer’s Financial Arrangements] is that the Employer now sets out his arrangements in the Contract Data; and the Contractor can only request evidence of ability to pay if those arrangements change, there is non-payment or there are variations in excess of 30% or a single variation over 10%.

By HowardKennedy ITteam|27/01/2018|Knowledge Hub|Comments Off