Legal Issues Of Construction Management

1670 Words7 Pages
California State University East Bay

Legal Issues in Construction Management CGMT 6200
Research Paper

Claims’ Management under FIDIC

Mohammed Hamdan
Net ID : mg9738

Fall 2014
FIDIC stands for a French name “Fédération Internationale des Ingénieurs – Conseils”, which can be best translated into “The International Federation of Consulting Engineers”. The importance of FIDIC comes from the fact that FIDIC controls the majority of projects around the world even US projects outside the states.

Claim management is an integral part of the construction process. Construction industry is uniquely complex of its nature. Since, prefect specifications and drawings don’t exist in real world, then perfect construction process is a hardly
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and shall include the amount and/or extension to which the Employer considers himself to be entitled in connection with the Contract. The Engineer shall then proceed in accordance with Sub-Clause 3.5 [Determinations].
Figure (1) : Employer’s Claims []

Contractor’s Claims,
Sub-Clause 20.1 “Contractor’s claims” under Clause 20 “Claims, Disputes and Arbitration” sets a strict mechanism that rules claim procedures, notices, requirements, and time limits for both of the contractor, the owner, and the Engineer.

Claim process consists of the following steps according to FIDIC claim timebar;
Step 1, Notification: a notice is required to be submitted by contractor describing and listing the reasons behind his belief of his entitlement of this claim. This notice should be submitted as soon as practicable as but no later than 28days after the contractor became aware or should have become aware of the event that gives the rise of a claim.
Step 2, Claim’s Particulars: Within 42days after the contractor became aware or should have become aware of the event, a complete set of supporting particulars should be submitted, consisting all the records anticipated to this claim, in addition to any necessary analysis required to evaluate this claim such as schedules, critical path, and materials’ invoices, etc. The
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