Construction Management Guide

The Process

The Certification process in the construction industry has been in place for many a long year and is an integral part of both building and civil engineering. It involves client, consultant, main contractor and subcontractor alike. The very existence of large numbers of companies who make their living in the construction industry depend upon the certification process. On many standard forms of main contract the contractor is entitled to be paid the sum which is certified by the Architect, Engineer or Contract Administrator. Main contractors in an effort to ensure that they do not finish up paying out more than they receive link the payment under the subcontract to the amount certified under the main contract. [Read more…]

Concurrent delays
By Jad Chouman
When delays occur on a construction project, it is not uncommon for each party to attempt to use concurrent delays in defense against the opposing party’s delay damages: Employers often cite concurrent delays by the contractor as a reason for awarding an extension of time without compensation, whereas contractor’s claims usually ignore the concurrent delay from the claimed delays in order to claim full prolongation costs stemming from the employer delays and to prevent exposure to liquidated damages. [Read more…]

By Philip Adams
In a previous article I referred to the term ‘coordination’ and given recent experiences, I thought it would be useful to expand on the subject a bit more. I have come to the conclusion that this word is considered by some to be an ancient mystical symbol infused with magical qualities. When faced with problems on site one only has to utter this word and ‘poof’ they miraculously disappear! [Read more…]

By KATIE LISZKA
IN Gulf Construction’s June 2011 issue, I looked at two cases where the courts (one in Dubai and the other in England) had prevented calls on what on their face appeared to be “on-demand” bonds, on the basis of the provisions in the underlying construction and engineering contracts. [Read more…]

By Nick Kramer
Red Book
For all its innovation and spectacular achievements, the construction industry in the United Arab Emirates has been slow to move on from its close relationship with the International Federation of Consulting Engineers Red Book (fourth edition). The Red Book was superseded years ago, and it is little used outside the Gulf region any more. [Read more…]

It is not often that I will get the opportunity to report a case from the Falkland Islands Supreme Court, but the case of Attorney General for the Falkland Islands -v- Gordon Forbes Construction deals with a point of general interest in the management of claims.

Forbes had entered into a contract with the Falkland Islands government for the construction of the infrastructure of the East Stanley Housing Development in the Falkland Islands. The contract was based upon the FIDIC Conditions of Contract for Works of Civil Engineering Construction, 4th Edition.

[Read more…]

The definition of goals, strategies and objectives can be difficult to define. However, through practice and the use of some common definitions, you can start to identify and tell the difference.  [Read more…]

FIDIC’s 3^rd annual Middle Eastern Contract Users’ conference is next month – you still have time to attend but you’ll need to be quick!

CMGuide readers can get a 10% discount by quoting VIP code: FKW82257CMGP2 [Read more…]

By Dr Chandana Jayalath

In Qatar’s public works, the employer and the engineer mostly operate as the same entity, although they are two different entities in the strict contractual sense.

As such, the dispute clause, which is available in any typical infrastructure project in Qatar, generally considers both the employer and the engineer as one party to the dispute. This may be why the dispute clause talks about disputes between employer or engineer and the contractor. [Read more…]

Whenever there is delay in a construction project, parties immediately look to the liquidated damages clause. This is understandable, as the Contractor carries the risk of delay resulting from events for which it is responsible, and that risk is usually quantified by the provision of liquidated damages.
However, where such events are caused by an act or omission by the Employer, the Employer bears the risk. In such event, unless there is a clear mechanism for extending the time for completion, the Employer’s right to levy liquidated damages will fall away.
It is for this reason that most standard form contracts usually provide for an extension of time mechanism which allows for the time for completion to be extended upon an event of prevention or impediment by the Employer. The purpose is primarily to enable the Employer to protect its right to potential liquidated damages in the event of its own default. [Read more…]