FIDIC Contracts Management: Practical Use of FIDIC Contracts

Why Attend

This course is designed to provide practical guidance to those involved in the management or administration of projects where the use of FIDIC forms of contracts is required. The course covers management disciplines and procedures in the “Pre-Contract” phase of the project including the FIDIC Client Consultant Service Agreement and selection of the appropriate FIDIC form of contract. It also covers the “Post Contract” award phase, including all contract management disciplines and claim management issues.

Course Methodology

This course is highly interactive and includes group discussions, case studies and syndicate work. It also includes practical exercises that enable all participants to apply the advanced knowledge they gained and demonstrate their skills in managing FIDIC Contracts.

Course Objectives

By the end of the course, participants will be able to:

• Apply the correct FIDIC form of contract that is best suited for each project
• Implement FIDIC’s principles, mechanisms, and best practices for contract and project management
• Demonstrate the responsibilities, obligations, and entitlements of the employer and the contractor
• List the engineer’s different roles, duties, and responsibilities in relation to FIDIC contracts
• Apply the correct payments, claims, and dispute resolution mechanisms as envisaged by the FIDIC contracts

Target Audience

This course provides the necessary knowledge for professionals from government entities, private sector employers, consulting engineers, contractors, quantity surveyors, architects, legal advisers, funding agencies, insurers, and all professionals involved with FIDIC contracts.

Target Competencies

• Understanding FIDIC contracts
• Contract administration
• Claim management
• Dispute resolution
• Construction management

FIDIC contract documents: Introduction and principles

• Introduction to FIDIC
• Background to FIDIC contracts
• Harmonization based on the type of project
• Features of the 1999 editions
• Structure of the documents
• Forms
• Main differences between the 1999 construction contract and the 1987 Red Book
• User friendliness
• Preparation of conditions of contract
• The legal character of FIDIC conditions of contract
• Relationship between FIDIC conditions of contract and legal systems
• Risk analysis
• Which form to use

Overview of the 1999 contracts

• Construction contract
• Main differences between the construction contracts

Responsibilities of the main parties

• Clause 1: General provisions and general issues
• Clause 2: The employer
• Clause 3: The engineer
• Clause 4: The contractor
• Clause 5: Construction contract – nominated subcontractors
• Clause 5: Plant and design-build contract – design

Management of projects

• Clause 6: Staff and labor
• Clause 7: Plant material and workmanship
• Clause 8: Commencement delays and suspension

Tests on completion

• Clause 9: Tests on completion
• Clause 10: Employer’s taking over; defects liability
• Clause 11: Plant contract – tests after completion

Financial clauses and procedures

• Clause 12: Construction contract – measurement and evaluation
• Clause 13: Variations and adjustments
• Clause 14: Contract price and payment

Suspension and termination

• Clause 15: Termination by employer
• Clause 16: Suspension and termination by contractor

Risk, liability and force majeure

• Clause 17: Risk and responsibility
• Clause 18: Liability and insurance
• Clause 19: Force majeure

Claims, disputes and arbitration

• Clause 20: Claims, disputes and arbitration
• Inherent project risk
• Contractor’s claims and employer’s claims; claims procedures
• Disputes
• Amicable settlement
• Dispute adjudication board
• Arbitration