Beruflich Dokumente
Kultur Dokumente
Chapter 29
General conditions of contract form used in past decades Pre FIDIC
1 Indicated below are general conditions pertinent to construction contracts, which
had been used to constitute main contracts in Middle East during seventies &
eighties
2 Information has been given with explanation pertinent construction respecting
various provisions for an understanding
3 Comments to provisions have been types in Italic letters
4 Clauses references have not been used, for every contract had varying references
5 Descriptions indicated to develop common contractual understanding
6 All such provisions have also, been reflected on FIDIC contract forms as well, but
with advanced compositions due to technological advancement
7 During those days, when following provisions were used, works were carried out
without used of IT
Provisions on Construction Contracts
Definitions & Interpretations
1 In Contract (as hereinafter defined) following words & expressions shall have
meanings hereby assigned to them, except where context otherwise requires
a ‘Contractor’ means a person or persons, firm or company, whose tender has been
accepted by Government and it includes contractor’s personal representatives,
successors and permitted assignees
Comment-
1 ‘Contractor’ term shall be replaced by “Execution Contractor, when contract is
only, meant for construction execution purpose, otherwise EPC engineering,
procurement & construction, should it refer to a package deal, wherein
engineering concept and design functions should be included within contractor’s
responsibility/scope of works.
a ‘Works’ means all works to be executed and ‘permanent plant and equipment’ to
be installed in accordance with contract
Comments-
1 ‘Works’ shall include design and maintenance also, if relevant to nature of
operations and in certain cases, procurement of various machines, plants and
equipment
a ‘Contract Price’ means sum named in Tender, subject to such additions thereto or
deductions therefrom, as may be made, under provisions hereinafter contained
Comments-
1 ‘Contract price’ shall not be subject to any/some qualification and in case,
certain qualifying condition is added, that shall be considered as a separate
clause
a ‘Temporary Works’ means all temporary works of every kind, required in or about
execution, completion or maintenance of works
Comments-
1 These works shall be covered, under provisions of statutory requirements,
including complete safety for every operation/activity
a “Site” means land and other places on, under, in or through, which works are to
be executed or carried out and all other lands or places provided by Government
for purposes of contract, together with, such other places as may be specifically,
designated in contract as forming part of site
Comments-
1 Access to site must be clear without any/every obstruction
a Words importing singular only, also, include plural and vice versa, where context
requires otherwise
Comments-
1 Words importing male only, shall also, include female and vice versa, where
context otherwise requires
a Marginal headings or notes within these Conditions shall not be deemed to be part
thereof, or be taken into consideration in interpretation or construction thereof or
of contract
Comments-
1 No notes have been included in this reproduction, but if so required, may be
included for easy reflection, subject to acceptance that these if so included, shall
not form any contractual status, so far as impact and applicability about this
contract document is concerned
Engineer’s representative
1 Duties of Engineer’s Representative are to watch and supervise ‘works’ and to
‘test and examine’ every material/s to be used or ‘workmanship’ employed in
connection with works.
2 ER shall have no authority to relieve contractor of any/every of its (contractor’s)
duties or obligations under contract, nor (except as expressly provided hereunder
or elsewhere, in contract to order a work involving delay or an extra payment by
Government) to make any/whatever variation of or in works
Extent of contract
1 Contract comprises construction, completion and maintenance of works and
except, in so far as Contract otherwise provides, provision of all Labour,
Materials, Constructional Plant Temporary Works and everything, whether of a
temporary or of permanent nature, required in and for such construction,
completion and maintenance, so far as necessity for providing same is specified in
or reasonably, to be inferred from Contract
Comments-
1 Design in full or part may be included in scope of contract, if so required to be
carried out by contractor, though it may confine to be select works only, but
possibility cannot be ruled out. Training for certain special disciplines and items
shall also, be included
Contract documents
1 Contract shall be construed and interpreted according to English language
Comments-
1 In case format of this contract is translated into any/some other language
followed by document registration in concerned region, construction or
interpretation of this contract document shall be construed in that language,
according to general clauses act
1 Drawings remain in sole custody of Engineer, but two copies shall be furnished to
contractor free of cost.
2 Contractor shall provide and make at his own expense any/every further copies
required by it.
3 At completion of contract, contractor shall return to Engineer, all drawings
provided under contract.
4 Contractor shall prepare all further detailed sketches and schedules, which it may
require supplementary to drawings supplied by Engineer
5 Contractor shall give adequate notice in writing to Engineer’s Representative for
any/every further drawing or specification that may be required for execution of
works or otherwise required under contract
6 One copy of drawing furnished to contractor as aforesaid shall be kept by
contractor on site and same at all reasonable times be available for inspection and
use by Engineer, Engineer’s Representative and by any/every other person
authorized by Engineer in writing
Comments-
1 Nevertheless, copy right shall continue to be owned by Engineer for all designs,
specifications and all approved documents/and other details, which is also,
contractual obligation/s on part of Engineer to issue all schematic and working
drawings needed for project as design drawings for execution purpose and should
not be exclusively, expected of contractor to notify for requirement, except for
certain specific cases, where shop drawing are to be proposed by contractor to
Engineer for Engineer’s approval
1 Engineer shall have full Power and Authority to supply to contractor from time to
time, during progress of works, such further drawings and instructions, as be
necessary for purpose of proper adequate execution and maintenance of works,
which contractor should carry out and be bound by same
Comments-
1 These drawings and instructions shall be considered regular documents under
contract
General obligations
1 Contractor shall when called upon so to do, enter into and execute a contract
agreement (to be prepared at cost of Government) in form annexed with, such
modifications as may be necessary
Comments-
1 Though formal executed contract agreement is not necessarily, required to be
registered as a document according to Contract Act statutorily, but should be
preferred to be entered into, executed by parties to contract and registered as a
1 Contractor shall be deemed to have inspected and examined site, its surroundings
and to have satisfied itself, before submitting its Tender as to nature of ground and
sub soil, hydrological and climatic conditions, form and nature of site, quantities
and nature of work materials, necessary for completion of works, means of access
to site, accommodation contractor may require and in general, shall be deemed to
have itself obtained all necessary information as to ‘risks’ ‘contingencies’ and
other circumstances, which may influence or affect its Tender.
Comments-
1 Since contract is of itemized lump sum nature, no extra payment can be made due
to any/whatever of discrepancies discoveries among all contractual documents,
which are to be interpreted mutually explanatory or site conditions, within
normal limits, with exception of natural calamities never recorded in past ‘fifty
years or more’ period
1 Contractor or its agent shall move job in line with approved programme without
any/certain aberration to progress graph & if so effected should be brought back
to schedule, if lagging behind schedule by proposing recovery programme.
2 Continuous monitoring of this programme shall be done by contractor as well as,
by engineer & current status of schedule would be declared in all progress
reviews meetings.
3 In case of progress lagging behind to a status of non feasibility of schedule
recovery, additional actions could be effected against contractor in line with
contract conditions that includes application of LD, which means Liquidated
Damages if so defined or directing works to be done on risk & cost of contractor
by contract action to additional mobilization of additional agency.
4 Contractor shall give or provide all necessary superintendence, during execution
of works and as long as, thereafter, as Engineer may consider necessary, for
proper fulfilling contractor’s obligations under contract.
5 Contractor or a competent and authorized agent or representative approved in
writing by Engineer (which approval may any/every time be withdrawn) is to be
in attendance constantly, on works and shall give its whole time to
superintendence of same.
6 If such approval is withdrawn by Engineer, contractor shall as soon as, practicable
(having regard to requirement of replacing agent/representative as hereinafter
mentioned), after receiving written notice of such withdrawal, remove agent from
site and shall not thereafter, employ him again on site, in any/whatever capacity
and replace him by another agent approved by Engineer.
7 Such authorized agent or representative shall receive on behalf of contractor,
directions and instructions from Engineer or (subject to limitations of relevant
clause hereof) Engineer’s Representative
Comments-
1 Contractor shall provide and employ on site, in connection with execution and
maintenance of works
2 Only, such assistants as are skilled and experienced in their respective callings
and such sub agents, foreman and leading hands, as are competent to give proper
supervision to work, such personnel are required to supervise and
3 Such skilled and semi skilled and unskilled labour, as is necessary, for proper and
timely execution and maintenance of works
4 Engineer shall be at liberty to object to and require contractor to remove
forthwith, from works any/every person employed by contractor in or about
execution or maintenance of works, who in opinion of Engineer, misconducts or
is incompetent or negligent in proper performance of respective duties or whose
employment, is otherwise considered by Engineer to be undesirable and such
person, so removed from works shall be replaced as soon as, possible by a
competent substitute approved by Engineer
5 Agent and a reasonable proportion of delegated technical assistants shall be able
to speak local language and English and a reasonable proportion of foreman shall
have knowledge of local language and English language.
6 In addition, contractor shall ensure that a reasonable proportion of related foreman
have a working knowledge of Local language to enable proper supervision of
Local labour.
Comments-
1 All contractor’s and subcontractor’s responsible personnel shall be allowed to
work on site subject to CV approvals by Engineer, which may be withdrawn at
any/whatever post approval time, in case Engineer or Resident Engineer deems
that relevant incumbent is not to defined mark in performance and is incompetent.
2 All personnel shall have local language and English language knowledge and
also, regional language knowledge.
1 Contractor shall be responsible for true and proper setting out of works in relation
to original points, lines and levels of reference given by Engineer in writing and
for correctness (subject as above mentioned) of position, levels, dimensions and
alignment of all parts of works and for provision of all necessary instruments,
appliances and labour in connection therewith.
2 If at any/whatever time during progress of works, any/some error appears or
arises in position, levels, dimensions or alignment of any/whatever part of works,
contractor on being required so to do by Engineer or Engineer’s Representative
shall at its expense, rectify such error to satisfaction of Engineer or Engineer’s
Representative, unless such error is based on incorrect data supplied in writing by
1 Contractor shall be deemed to carry out site exploration and investigation to have
satisfied itself regarding site soil characteristics, strata, ground water table and all
other matters or things, liable to meet or encounter during excavation.
2 In case site investigation item has not been included within documents, contractor
shall investigate soil by drilling or excavating at least two trial holes or pits for
Engineer’s inspection, for chemical as well as, other analysis.
3 Report included with contract document is only for guidance purpose to
contractor.
4 It may be included with contract conditions that contractor has to prove that
excavation formation level gives designed parameters otherwise, further decision
by engineer has to be obtained from.
1 “Excepted risks” are war hostilities (whether or not, war be declared) invasion act
of foreign enemies, rebellion revolution, insurrection or military or usurped power
civil war or (otherwise than among contractor’s own employees), riot commotion
or disorder or use or occupation by Government of any/some portion of works, in
respects of which a certificate of completion has been issued or a cause, solely
due to Engineer’s design of works (all of which are herein collectively referred to
as “excepted risks”)
Comments-
1 These are excepted risks and contractor or Engineer or owner or
anyone/someone else, cannot control.
2 These are unforeseen incidents/mishaps.
1 All fossils, coins, articles of value or antiquity, structures and other remains or
things of geological or archaeological interest, discovered on site of works shall
as between Government and contractor be deemed to be absolute property of
Government, for which contractor has to take reasonable precautions to prevent
his workmen or any/every other persons from removing or damaging any/every
such article or thing and immediately, upon discovery thereof and before removal,
acquaint Engineer’s Representative of such discovery and carry out at expense of
Government Engineer’s Order as to disposal of same
Comments-
1 This provision is also, general in construction contracts, but in case, if discovery
is of such nature that cannot be removed from site due to integral character,
Government shall have to decide according to natural law, whether or not to
relocate site compensating contractor accordingly, if so required.
1 Contractor shall save harmless and indemnify, Government from and against all
claims and proceedings for or on account of infringement of any/every patent,
rights, design, trademark or name or other protected rights in respect of any/every
constructional plant, machine and against all claims, demands, proceedings,
damages, costs, charges and expenses, whatsoever in respect thereof or in relation
thereto.
2 Contractor shall pay all tonnage, other royalties, rent and other payments or
compensation (if any/some) for getting stone, sand, gravel, clay or other materials
equipment required for works or temporary works or any/every of them
Comments-
1 This provision is also, general in construction contracts and a reflection of
relevant statutory provisions and requirements.
2 Whatever expenses would be required, contractor must have included within bid
at tendering stage.
1 All operations necessary for execution of works and for construction of any/every
temporary works shall so far as, compliance with requirements of contract
permits, be carried on, so as not to interface unnecessarily or improperly, with
public convenience or access to use and occupation of public or private roads and
footpaths or to or of properties, whether in possession of Government in respect
of all claims, demands, proceedings, damages, costs charges and expenses,
whatsoever arising out of or in relations to any/every such matters, in so far as
contractor is responsible thereof.
Comments-
1 Inconvenience and nuisance to public movement is not preferred. Contractor
should plan activities in such a way, as far as practicable / feasible in off /
average traffic hours or based on traffic police provision of deployment, should
make arrangements for traffic diversion to satisfaction of authorities and
Engineer.
2 Care should be taken to keep noise levels of pumping of concrete & other
operating machines or equipment etc. during night hours, in residential areas
within permissible limits.
3 Whatever statutory provisions deemed applicable, care has to be taken
accordingly, and should be taken
1 Except where, otherwise specified, contractor shall at his own expense, supply
and provide all constructional plant, temporary works, labour (including
supervision thereof) transport to or from site and in and about works and other
things of every kind required for construction, completion and maintenance of
works.
Comments-
1 With exception of items of machine and plants in contractor’s liability and
expenses, while drawing itemized lump sum contract, though part of contract may
be carried out by subcontractor appointed by contractor.
2 All expenses’ responsibilities shall be responded/born by contractor.
1 Contractor shall at all times keep site free from obstructions and at any/every time
if directed by Engineer or Engineer’s Representative, store or dispose of
any/every constructional plant and surplus materials, clear away and remove from
site any/every wreckage or rubbish or temporary works no longer required
2 On completion of works, contractor shall clear away and remove from site all
constructional plant, surplus materials, rubbish and temporary works of every
kind and leave, whole of site and works clean and in a workmanlike condition to
satisfaction of Engineer
Comments-
1 Since, site must be open to Engineer, Resident Engineer and owner or government
authorities, it should be kept obstruction free to enter for them. Should
requirement for some machine / plants or material or temporary works, has been
fulfilled to contract scope, Engineer / Resident Engineer is authorized to order
removal of plant or machine or material from site to keep site tidy and on other
hand, may hold same, if job needs that further and contractor also, wishes to use
on job to meet further needs.
2 While contractor wishes to use that on some other job currently, but should be
held back by engineer, but not at cost of contractor’s additional expenses and at
physical or practical completion time, contractor must clear, whole site of all
materials and machines /plants, excluding those required for maintenance.
Labour
1 Contractor shall pay rates of wages and observe hours and conditions of labour
not less than favorable than those established by agreement, between employer or
other recognized Authorities and trade unions for similar trades or industries in
district, where this contract work is to be carried out.
1 Contractor shall keep proper wage/s books, showing wages paid to labourers in
and about execution of contract, together with such other records, as are required
by any/every Statute, Ordinance, Law, Regulation or Bye Law in force in work
country, governing employment of labour and shall be bound, whenever required
so to produce such wages book and other records for inspection of any/every
person authorized by Engineer or by state official.
Comments:
1 Though documents are inspected by concerned officials & Engineer has no much
interest in scrutinizing or assuring legal implementations, but keeping in view
labour welfare or avoiding malpractice, these records could be visited
anytime/everytime or should there be any/certain complaints of irregularities in
making wages.
1 Contractor shall also, from time to time furnish to Engineer, such further detailed
information and evidence, as Engineer may deem necessary, in order to satisfy
him that conditions of this clause have been complied with.
Comments:
1 Where such requirements are covered by other applicable laws for filing record
returns, this clause may be included for information.
1 Contractor shall use all diligence in arranging for a sufficient and suitable supply
at all times throughout contract, of labour and personnel and make his own
arrangements for their recruitment.
1 Contractor and his subcontractors, including agents and other personnel shall in
all their dealings with their labour, from time to time being employed on or in
connection with works, have due regard to all recognized festivals and religious
or other customs. Comments:
1 No disparity towards cults should be shown.
2 Humanity should be valued rightly according to international & national norms.
1 Due precautions must be taken care of by contractor and at his own cost, unless
otherwise specified in collaboration with and to requirements of local health
Authorities, to ensure that medical staff, first aid equipment and stores, sick bay
and suitable ambulance service are available at camps or housing and on site at all
times throughout period of contract and that suitable arrangements are made for
anti Malarial precautions, for prevention of epidemics and for all necessary
welfare and hygiene requirements.
Comments:
1 Provision for adoptable health facilities would depend on area, where site is
located.
2 Provisions of all health, safety & environment related issues should also, be
covered within such sections to enable inclusion of probable expenditure by
bidder.
1 Foregoing provisions of this clause shall apply to all labour and personnel,
employed by contractor and his subcontractors and all costs charges and expenses,
whatsoever that may be incurred by contractor and all risks involved in giving
effect to provisions of this clause, including all insurances are deemed to be
included and covered in rates or lump sums, inserted by contractor in bills of
quantities.
Comments:
1 Insurance is issued commonly, applicable to all employees with of course, certain
qualifications acceptable under legal provisions.
2 Certain other risks to life are also, included in addition to medical care of
employees.
1 Engineer and any/every other person authorized by him shall at all times have
access to works, to site and to all workshops and places, where work is being
prepared or whose materials, manufactured articles or machinery are being
obtained for works and contractor shall afford every facility for and every
assistance in or in obtaining right to such access
Comments-
1 It is very basic condition to keep site be accessible full time during currency of
contract for Engineer and his staff as well as, owner and government, all relevant
authorities and this access shall be directly, secured under contractor’s charge,
should work fall under general conditions of civil authorities, while in case of
army, navy or air force, through defense authorities.
2 This explanation shall also, apply to site offices, works, workshops, stores,
manufacturing plants etc.
1 Engineer shall during progress of works, have power to order in writing from time
to time, removal and proper re execution (notwithstanding any/every previous test
thereof or interim payment thereof) of any/every work, which in respect of
materials or workmanship, is not in opinion of Engineer in accordance with
contract
2 Substitution of proper and suitable materials and removal from site within such
time or times, as may be specified in order of any/every materials, which in
opinion of Engineer are not in accordance with contract
3 In case of default on part of contractor in carrying out such order, Government
shall be entitled to employ and pay other persons, to carry out same and all
expenses consequent, thereon or incidental thereto, are borne by contractor and
shall be recoverable from him by Government or may be deducted by
1 As soon as, in opinion of Engineer, works have been substantially, completed and
satisfactorily, passed any/every final test, which may be prescribed by contract,
Engineer shall on receiving a written undertaking by contractor to finish
any/every outstanding work during period of maintenance, issue a certificate of
completion in respect of works.
2 Period of maintenance of works shall commence from date of such certificate.
3 Provided that Engineer may give such a certificate with respect to any/every part
of works, before completion of whole of works and shall upon, written application
of contractor, give such certificate with respect to any/every substantial part of
works, which has been both completed to satisfaction of Engineer and occupied or
used by Government and when any/every such certificate is given in respect of
any/every part of works, such part shall be considered as completed and period of
maintenance of such part shall commence from date of such certificate.
4 Provided also, that a certificate of completion given in accordance with foregoing
provisions of any/every part of works occupied and used as aforesaid shall not be
deemed to certify completion of any ground or surfaces, requiring reinstatement,
unless such certificate expressly so states
Comments-
1 Having tested and commissioned whole of works as required by contract
specifications, Engineer shall issue a certificate for Practical Completion or
Mechanical Completion i.e. Certificate of completion and maintenance period of
contract shall commence from day of issue of certificate date.
2 Some minor snags may also, be covered to be rectified within period of
maintenance and a description to that may be given for these items.
Claims
1 Contractor shall send to Engineer, once in every month an account, giving
particulars (as full and as detailed as possible) pertinent all claims for any/every
1 Whenever there exists, a provision of prime cost sum for supply of goods or
materials, actual cost shall be substituted in place of prime cost including profit of
contractor, excluding labour cost profit.
2 All sums are used only, on Engineer’s direction and contractor has to produce all
financial records on this account to Engineer and also, 2.5% of amount paid, to
nominated subcontractor is added to credit of contractor and benefits of cash
discount are passed to owner/government.
3 Contractor shall assign cost of additional guarantee over maintenance period as
provided by nominated subcontractor to government/owner on government
request for un-expired period.
4 Whatever contract terms and conditions bind contractor or deemed to be
nominated subcontractor in all respects and construction of subcontract shall be
interpreted accordingly
5 All specialists merchants, tradesmen and others executing any/whatever work or
supplying any/whatever goods, for which provisional or prime cost sums are
included within Bill of Quantities, who may have been or be nominated or
selected or approved by Government or Engineer and all persons to whom by
virtue of provisions of Bill of Quantities or specification, contractor is required to
sublet any/every work, shall in execution of such work or supply of such goods,
be deemed to be subcontractors, employed by contractor and are hereinafter,
referred to as “nominated subcontractors”.
6 Provided always that contractor shall not be required by Government or
Engineer or be deemed to be under any/every obligation to employ any nominated
subcontractor, who declines to enter into a subcontract with contractor containing
provisions
7 That in respect of work or goods subject of subcontract, nominated subcontractor
shall undertake towards contractor, like obligations and liabilities as are imposed
upon contractor towards Government by terms of contract and save harmless and
indemnify contractor from and against same and from all claims, demands,
proceedings, damages, costs charges and expenses, whatsoever arising out of or in
connection therewith or arising out of or in connection with any/every failure to
perform such obligations or to fulfill such liabilities and
8 That nominated subcontractor shall save harmless and indemnify contractor from
and against any/every negligence by nominated subcontractor, his agents,
workmen and servants and from and against any/every misuse by him or them of
any/every constructional plant or temporary works, provided by contractor for
purpose of contract and from all claims as aforesaid
9 Before issuing under clause hereof, any/every certificate, which includes
any/every payment in respect of work done or goods supplied by any/every
nominated subcontractor, Engineer shall be entitled to demand from contractor,
1 Contractor has to produce all final accounts statement at time of final completion,
when maintenance certificate is to be issued by Engineer and whatever amount is
certified has to be paid to contractor in 28 days.
2 That certificate is delivered to owner/government under copy to contractor
3 No certificate other than maintenance certificate referred to in clause hereof shall
be deemed to constitute approval of any work or other matter, in respect of which,
it is issued or shall be taken as an admission of due performance of contract or
any/every part thereof or of accuracy of any/every claim or demand, made by
contractor or of additional or varied work having been ordered by Engineer nor
shall any other certificate conclude or prejudice any of powers of Engineer
Comments-
1 Maintenance certificate is an authentic document, which contractually/legally
confirms that contract has been performed under Contracts Act.
2 Notwithstanding issue of maintenance certificate, all defects left without remedial
action, contractor has to rectify those defects under assumption that contract still
exists
Special risks
1 Notwithstanding anything in contract contained:
2 Contractor shall be under no liability, whatsoever by way of indemnity or
otherwise, for or in respect of destruction of or damage to works (save to work
condemned under provisions of clause hereof, prior to occurrence of any/every
special risk hereafter mentioned) or temporary works or to property, whether
Government or third parties or for or in respect of injury or loss of life, which is
consequence, whether direct or indirect, of war hostilities (whether war be
declared or not) invasion act of foreign enemies, rebellion revolution,
insurrection or military or usurped power civil war or (otherwise than among
contractor’s own employees), riot commotion or disorder (hereinafter
comprehensively, referred to as ‘ said special risks’) and Government shall
indemnify and save harmless contractor against and from same, against and from
all claims, demands, proceedings, damages, costs charges and expenses,
whatsoever arising thereout or in connection therewith and shall compensate
contractor for any/every loss of or damage to property of contractor used or
intended to be used for purpose of works (including property in transit to site) and
occasioned either directly or indirectly by said special risks.
3 For purpose of this clause expression "property of contractor” shall include
any/every plant brought on to site by contractor, property in which under terms of
clause hereof is deemed to become property of Government
4 If works or temporary works or any/every materials (whether for former or later)
on or near or in transit to site, sustains destruction or damage by reason of
any/each of said special risks, contractor shall nevertheless be entitled to payment
for any/every permanent work and for any/every materials so destroyed or
damaged and contractor be entitled to be paid by Government, cost of making
good any/every such destruction or damage, whether to works or to temporary
works and of replacing or making good such materials in so far as, may be
required by Engineer or as may be necessary for completion of works on a prime
costs basis plus such profit as Engineer may certify to be reasonable.
5 Destruction, damage, injury or loss of life caused by expulsion or impact,
wherever occurring of any/every mine bomb, shell, grenade or other projectile,
missile or explosive of war shall be deemed to be consequence of said special
risks
6 Government shall repay to contractor any/every increased cost of or incidental to
execution of works (other than such as may be attributable to cost of
reconstructing work, condemned under provisions of clause hereof, prior to
occurrence of any/every special risk), which is however, attributable to or
consequent on or result of or in any/every way, whatsoever connected with said
special risks (subject however to provisions in this clause, hereinafter contained in
regard to outbreak of war), but contractor shall as soon as any/every such increase
of cost comes to his knowledge forthwith, notify Engineer thereof in writing
Frustration
1 In event of contact being frustrated, whether by war or otherwise howsoever, sum
payable by Government to contractor in respect of work executed shall be same as
that, which would have been payable under clause hereof, if contract had been
terminated under provisions of clause hereof
Comments-
1 As in above clause
Settlement of disputes
1 If any/every dispute or difference of any/every kind, whatsoever arises between
Government or Engineer and contractor in connection with or arising out of
contract or carrying out of works (whether during progress of works or after their
completion and whether before or after termination, abandonment or breach of
contract), it shall in first place be refereed to and settled by Engineer, who within
a period of 90 days, after being requested by either party to do so, shall give
written notice of his decision to Government and contractor.
2 Save as hereinafter provided, such decision in respect of every matter so referred
shall be final and binding upon Government and contractor, until completion of
work and shall forthwith be given effect to by contractor, who has to proceed with
works with all due diligence, whether he or Government required arbitration as
hereinafter provided or not.
3 If Engineer has given written notice of his decision to Government and contractor
and no claim to arbitration, has been communicated to him by either Government
or contractor, within a period of 90 days from receipt of such notice, said decision
shall remain final and binding upon Government and contractor.
4 If Engineer fails to give notice of his decision as aforesaid within a period of 90
days, after being requested as aforesaid or if Government or contractor be
dissatisfied with any/every such decision then and in any/every such case, either
Government or contractor may within 90 days, after receiving notice of such
decision or within 90 days, after expiration of first named period of 90 days (as
case may be), require that matter or matters in dispute be refereed to arbitration as
hereinafter provided.
5 All disputes or differences in respect of, which decision (if any/every) of Engineer
has not become final and binding as aforesaid, shall be finally settled under rules
of conciliation and arbitration of International Chamber of Commerce by one or
more arbitrators appointed in accordance with said rules.
6 Said arbitrator/s shall have full power to open up, review and revise any/every
decision, opinion, direction, certificate or valuation of Engineer and neither party
Notices
1 Any notice to be given to contractor under terms of contract shall be served by
sending same by post to or leaving same at aforementioned registered address in
………
2 Any notice to be given to Government house P O Box ………………………….
3 Any notice given to Engineer under terms of contract shall be served by sending
same by post to or leaving same at Engineer’s Representative’s office at site or at
Engineer’s office in ……………….
Comments-
1 It proved services’ style of notices
Default of employer
1 In event of Government:
2 Failing to pay to contractor, whatever amount due under any/every certificate of
Engineer within 30 days, after same shall have become due under terms of
contract or
3 Interfering with or obstructing issue of any/every such certificate,
4 Contractor shall be entitled without prejudice to any/every other right or remedies
to terminate employment of contractor, under contract by giving notice in writing
to Government
Other conditions
1 Contractor shall comply with Statute, Ordinances, Laws, Regulations and Bye
Laws of nation.
2 He shall be responsible for ascertaining extent and incidence of all taxes, customs,
rates, dues and all other charges, payable in accordance with such Statutes,
Ordinances, Laws, Regulations and Bye Laws and shall give all notice in
compliance therewith
3 Contractor shall be held to have included in tender for payment of all charges of
whatsoever nature required to be paid in order to comply with in all respects with
provisions of contract and aforementioned Statutes, Ordinances, Laws,
Regulations and
4 Bye Laws
Comments-
1 Provides for all expenses towards complying with statutes relevant to contract
should be met by contractor
1 Contractor shall treat details of this contract as private and confidential (save in so
far as, may be necessary for purposes hereof) and not publish or disclose same or
any/certain particulars thereof in any/whatever trade or technical paper or
elsewhere, without previous consent in writing of Government.
2 If any/certain dispute arises, as to necessity of any/some publication or disclosure
for purpose of this contract, same shall be referred to decision of Government,
whose award shall be final
Comments-
1 No details of contract to be given to irrelevant persons, since details are
confidential and covered under Copy Rights Acts.
2 Though, it is written in contract that permission of government should be taken
prior to publish any/every details in papers, but world government is a misnomer.
1 Contractor shall be bound strictly, to comply with Rules, Regulations and Laws in
force in state, where contract is executed relating to any/every particular
restriction pertaining to any/every national policy
Comments-
1 It is a special clause for Arab world to boycott of Israel for example
1 Contract shall be construed and operated and interpreted in accordance with Laws
of state, where contract is executed normally
Comments-
1 Law of nation, where job is carried out applies
2 Other than above clause, general clauses, some of other conditions and terms
may be added by engineer or promoter or contractor, keeping in view requirement
of project and specific function for what, contract is meant for, provided all
parties come to an agreement on proposal, keep up or maintenance, resolution of
probable difficulties and necessary remedial measures to be adopted, foreseeing
any/every dispute cause by inclusion of these additional provisions
3 As far as, above conditions do not contravene provisions in national constitution
and statutes in force for duration for, which contract remains in force, no clause
shall be considered void.
4 Above prescribed references shall be construed by any/every court or relevant
authority or any/every authorized official of government or an expert of any/every
field for purpose to determination of meaning of included provisions, basic
principle to have found these clauses is to document on a’ letter for explanations’
for conditions of contract that shall be based on specific requirement of project
and natural justice as far as, is practicable for all parties to contract concerned
5 According to Contract Act, no restriction or limitation is provided or forced on
parties concerned, subject to conditions included in clauses hereof are
maintained for structuring of contract conditions/letter of explanations and
construction of any/every clause, has to be reached by applying mind, based on
General Clauses Act, specified in constitution or if no such General Clauses Act
prevails, application of general meaning of words and phrases usually employed,
by common practice in profession based on expert advice and vision by authority