Conditions of Contract for CONSTRUCTION - …

1 FEDERATION INTERNATIONALE DES INGENIEURS-CONSEILSINTERNATIONAL FEDERATION OF CONSULTING ENGINEERSINTERNATIONALE VEREINIGUNG BERATENDER INGENIEUREFEDERACION INTERNACIONAL DE INGENIEROS CONSULTORESC onditions of ContractforCONSTRUCTIONFOR BUILDING AND ENGINEERING WORKSDESIGNED BY THE EMPLOYERM ultilateral Development Bank Harmonised EditionJune 2010 General Conditions This publication is exclusive for use as provided under a LicenceAgreement between a Participating Bank and FIDIC, and, consequently,no part of this publication may be reproduced, translated, adapted, storedin a retrieval system or communicated, in any form or by any means,whether mechanical, electronic, magnetic, photocopying, recording orotherwise, without prior permission in writing from FIDIC. To request suchpermission, please contact: FIDIC, Case Postale 311, CH-1215 Geneva15, Switzerland; Tel. +41 22 799 49 00; Fax +41 22 799 49 01; FIDIC is not responsible for the accuracy or completenessof translations of this publication unless such translation explicitlyindicates otherwise.

2 FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only. No reproduction of this document is ConditionsCONTENTSD efinitions listed alphabeticallyGENERAL PROVISIONS .. Law and Priority of Contract Care and Supply of Delayed Drawings or Employer s Use of Contractor s Contractor s Use of Employer s Confidential Compliance with Joint and Several Inspections and Audit by the Bank2 THE EMPLOYER .. Right of Access to the Permits, Licences or Employer s Employer s Financial Employer s Claims3 THE ENGINEER .. Engineer s Duties and Delegation by the Instructions of the Replacement of the Determinations4 THE CONTRACTOR .. Contractor s General Performance Securityii FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only.

3 No reproduction of this document is Contractor s Assignment of Benefit of Setting Safety Quality Site Sufficiency of the Accepted Contract Unforeseeable Physical Rights of Way and Avoidance of Access Transport of Contractor s Protection of the Electricity, Water and Employer s Equipment and Free-Issue Progress Security of the Contractor s Operations on Fossils5 NOMINATED SUBCONTRACTORS .. Definition of nominated Subcontractor Objection to Payments to nominated Evidence of Payments6 STAFF AND LABOUR .. Engagement of Staff and Rates of Wages and Conditions of Persons in the Service of Labour Working Facilities for Staff and Labour Health and Contractor s Contractor s Records of Contractor s Personnel and Disorderly Foreign Supply of Supply of Measures against Insect and Pest Alcoholic Liquor or Arms and Festival and Religious Funeral Forced Child Employment Records of Workers Non-Discrimination and Equal Opportunity FIDIC 2010.

4 Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only. No reproduction of this document is PLANT, MATERIALS AND WORKMANSHIP .. Manner of Remedial Ownership of Plant and Royalties8 COMMENCEMENT, DELAYS AND SUSPENSION .. Commencement of Time for Extension of Time for Delays Caused by Rate of Delay Suspension of Consequences of Payment for Plant and Materials in Event of Prolonged Resumption of Work9 TESTS ON COMPLETION .. Contractor s Delayed Failure to Pass Tests on Completion10 EMPLOYER S TAKING OVER .. Taking Over of the Works and Taking Over of Parts of the Interference with Tests on Surfaces Requiring Reinstatement11 DEFECTS LIABILITY .. Completion of Outstanding Work and Remedying Cost of Remedying Extension of Defects Notifi cation Failure to Remedy Removal of Defective Further Right of Contractor to Performance Unfulfilled Clearance of Siteiv FIDIC 2010.

5 Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only. No reproduction of this document is MEASUREMENT AND EVALUATION .. Works to be Method of Omissions13 VARIATIONS AND ADJUSTMENTS .. Right to Value Variation Payment in Applicable Provisional Adjustments for Changes in Adjustments for Changes in Cost14 Contract PRICE AND PAYMENT .. The Contract Advance Application for Interim Payment Schedule of Plant and Materials intended for the Issue of Interim Payment Delayed Payment of Retention Statement at Application for Final Payment Issue of Final Payment Cessation of Employer s Currencies of Payment15 TERMINATION BY EMPLOYER .. Notice to Termination by Valuation at Date of Payment after Employer s Entitlement to Termination for Corrupt or Fraudulent Practices16 SUSPENSION AND TERMINATION BY CONTRACTOR .. Contractor s Entitlement to Suspend Termination by Cessation of Work and Removal of Contractor s Payment on Termination17 RISK AND RESPONSIBILITY.

6 Contractor s Care of the Works FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only. No reproduction of this document is Employer s Consequences of Employer s Intellectual and Industrial Property Limitation of Use of Employer s Accommodation/Facilities18 INSURANCE .. General Requirements for Insurance for Works and Contractor s Insurance against Injury to Persons and Damage to Insurance for Contractor s Personnel19 FORCE MAJEURE .. Definition of Force Notice of Force Duty to Minimise Consequences of Force Force Majeure Affecting Optional Termination, Payment and Release from Performance20 CLAIMS, DISPUTES AND ARBITRATION .. Contractor s Appointment of the Dispute Failure to Agree on the Composition of the Dispute Obtaining Dispute Board s Amicable Failure to Comply with Dispute Board s Expiry of Dispute Board s AppointmentAPPENDIX: DISPUTE BOARD.

7 70 General Conditions of Dispute Board AgreementAnnex: Procedural RulesINDEX OF SUB-CLAUSES .. 77vi FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only. No reproduction of this document is Accepted Contract Base Bill of Commencement Contract Contract Contract Contractor s Contractor s Contractor s Contractor s Daywork Defects Notifi cation Employer s Employer s Final Payment Final Force Foreign GoodsDefinitions listed Interim Payment Letter of Letter of Local Notice of Payment Performance Performance Permanent Provisional Retention Schedule, Payment Taking-Over Temporary Tests after Tests on Time for year FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed. June 2010 - General participating development bank financed Contract use only.

8 No reproduction of this document is the Conditions of Contract ( these Conditions ), which include Particular Conditions ,Parts A and B, and these General Conditions , the following words and expressionsshall have the meanings stated. Words indicating persons or parties includecorporations and other legal entities, except where the context requires Contract means the Contract Agreement, the Letter of Acceptance, theLetter of Tender, these Conditions , the Specification, the Drawings, theSchedules, and the further documents (if any) which are listed in theContract Agreement or in the Letter of Contract Agreement means the Contract agreement referred to in Sub-Clause [ Contract Agreement]. Letter of Acceptance means the letter of formal acceptance, signed bythe Employer, of the Letter of Tender, including any annexed memorandacomprising agreements between and signed by both Parties. If there is nosuch letter of acceptance, the expression Letter of Acceptance means theContract Agreement and the date of issuing or receiving the Letter ofAcceptance means the date of signing the Contract Letter of Tender means the document entitled letter of tender or letter ofbid, which was completed by the Contractor and includes the signed offerto the Employer for the Specification means the document entitled specification, as included inthe Contract , and any additions and modifications to the specification inaccordance with the Contract .

9 Such document specifies the Drawings means the drawings of the Works, as included in the Contract ,and any additional and modified drawings issued by (or on behalf of) theEmployer in accordance with the Schedules means the document(s) entitled schedules, completed by theContractor and submitted with the Letter of Tender, as included in theContract. Such document may include the Bill of Quantities, data, lists, andschedules of rates and/or Tender means the Letter of Tender and all other documents which theContractor submitted with the Letter of Tender, as included in the Bill of Quantities , Daywork Schedule and Schedule of PaymentCurrencies mean the documents so named (if any) which are comprisedin the Contract Data means the pages completed by the Employer entitledcontract data which constitute Part A of the Particular Contract1 General ProvisionsGeneral Conditions2 FIDIC 2010. Conditions of Contract for CONSTRUCTION MDB Harmonised Ed.

10 June 2010 - General participating development bank financed Contract use only. No reproduction of this document is Party means the Employer or the Contractor, as the context Employer means the person named as employer in the Contract Dataand the legal successors in title to this Contractor means the person(s) named as contractor in the Letter ofTender accepted by the Employer and the legal successors in title to thisperson(s). Engineer means the person appointed by the Employer to act as theEngineer for the purposes of the Contract and named in the Contract Data,or other person appointed from time to time by the Employer and notified tothe Contractor under Sub-Clause [Replacement of the Engineer]. Contractor s Representative means the person named by the Contractorin the Contract or appointed from time to time by the Contractor under Sub-Clause [Contractor s Representative], who acts on behalf of Employer s Personnel means the Engineer, the assistants referred to inSub-Clause [Delegation by the Engineer] and all other staff, labour andother employees of the Engineer and of the Employer; and any otherpersonnel notified to the Contractor, by the Employer or the Engineer, asEmployer s Contractor s Personnel means the Contractor s Representative and allpersonnel whom the Contractor utilises on Site, who may include the staff,labour and other employees of the Contractor and of each Subcontractor; andany other personnel assisting the Contractor in the execution of the Subcontractor means any person named in the Contract as asubcontractor, or any person appointed as a subcontractor, for a part of theWorks.