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In September 1999, FIDIC introduced its new Suite of Contracts, which included a “new” Red, Yellow, Silver and Green forms of contract. The “new” Red Book was intended to replace the 1992 fourth edition of the Red Book, with the ambition that its use would cease with time. This ambition has not materialised and is unlikely to do so in the future. Despite the importance of the 1999 Forms, there has been very little published on the new concepts adopted in them and how they interact with the previous forms. This important work considers these aspects together with the many developments affecting the fourth edition of the Red Book that have taken place since 1997, when the second edition of this book was published, and relates them to key contracting issues. It is written by a chartered engineer, conciliator and international arbitrator with wide experience in the use of the FIDIC Forms and in the various dispute resolution mechanisms specified in them. Important features of this book include: · background and concepts of the various forms of contract; · a detailed comparison of the wording of the1999 three main forms, which although similar in nature; it nevertheless significantly differs in certain areas where the three forms diverge due to their intended purpose; · analysis of the rights and obligations of the parties involved in the contract and the allocation of risks concerned; · a range of ‘decision tree’ charts, analysing the main features of the 1992 Red Book, including risks, indemnities and insurances, claims and counterclaims, variations, procedure for claims, programme and delay, suspension, payments and certificates, dispute resolution mechanisms, and dispute boards; · a much enlarged discussion of the meaning of “claim” and “dispute” and the types of claim with a discussion of the Notice provision in the 1999 forms of contract for the submittal of claims by a contractor and by an employer; · the FIDIC scheme of indemnities and insurance requirements; and the methods of dispute resolution provided by the various forms of contract; and · five new chapters in this third edition, the first four chapters deal with each of the 1999 forms and the fifth chapter is confined to the topic of Dispute Boards.
The terms of the Conditions of Contract for Design - Build and Turnkey have been prepared by the Federation Internationale des Ingenieurs Conseils (FIDIC) and are recommended for general use for the purpose of the design and construction of works where tenders are invited on an international basis; with minor modifications, the Conditions are also suitable for use on domestic contracts.
The Conditions of Contract prepared by FIDIC are used extensively as the standard contract of choice in international construction and civil engineering projects. Engineers working on these projects need to be aware of these contracts, but as the forms are complex it can be difficult to draw together all the sub-clauses relating to a particular issue. The FIDIC Plant and Design-Build Forms of Contract Illustrated crystallizes the requirements of the FIDIC P&DB contract into a range of simple to follow flow charts, providing a clear and concise way to rapidly assimilate the requirements of each clause. The relationship between the various clauses in the contract, the concepts, process methods and actors involved in each sub-clause are all easily seen, and key issues around each topic (such as periods allowed, notices, etc) are all documented. In addition, related sub-clauses and/or important additional documents are linked so that the reader has a full understanding of the wider implications of each clause.
FIDIC Contracts: Law and Practice is sure to become the leading industry standard guide to using the FIDIC forms, and is the only book to date which deals with the whole suites of contracts, including the new gold book for Design, Build and Operate projects. The White & Case work is outstanding in its detailed consideration and treatment of the legal aspects of the interpretation and application of the Conditions, touching on many points that most people would not have encountered. Humphrey LLoyd, International Construction Law Review [2010] ICLR 386
In 1999, a suite of three new conditions of contract was published by FIDIC, following the basic structure and wording harmonised and updated around the previous FIDIC Design-Build and Turnkey Contract (the 1992 ‘‘Orange Book’’). These conditions, known as the ‘‘FIDIC rainbow, were the Conditions of C- tract for: l Construction, the so-called Red Book, for works designed by the Employer l Plant and Design-Build, the so-called Yellow Book, for works designed by the Contractor l EPC/Turnkey Projects, the so-called Silver Book, for works designed by the Contractor The ?rst is intended for construction works where the Employer is responsible for the design, as for per the previous so-called Red Book 4th Edition (1987), with an important role for the Engineer. The other two conditions of contract are intended for situations when the Contractor is responsible for the design. The Plant and Design-Build Contract has the traditional Engineer while the EPC/Turnkey Contract has a two-party arran- ment, generally with an Employer’s Representative as one of the parties.
It is vital to ensure that your company complies with its contractual obligations. It is also vital to check whether the other parties are complying with theirs. This book was written to help those involved in the management of busy construction projects to find answers to contractual issues arising from the FIDIC forms of contract. The book is organised in such a way that you can find answers in a fraction of the time it would take to study the full conditions of contract. This book sets out the contractual obligations of the Employer, the Contractor, the Engineer and the DAB in a simple tabular form, together with the time-frames in which they should be performed and the consequences of non-compliance. This means that you will have all the information at your fingertips without having to study lengthy contractual clauses. For those using the FIDIC forms for the first time, or perhaps not using them too often, this book is a must, whilst experienced users will find it provides a valuable checklist. Whichever category you fall into, using this book should improve both knowledge and efficiency. The book is ideal for engineers, quantity surveyors, contract managers and any person whose job it is to understand the workings of a FIDIC contract. Roger Knowles had this to say: "The most important part of any contract is the obligations of the parties, the time frames in which the parties must perform these obligations, and the consequences of failing to meet them. Failure to carry out obligations correctly is a serious risk and common source of contention or claims. This practical ready-reference on the contractual obligations of the various parties for a FIDIC construction contract promotes efficient administration of construction projects, prevents contention and aids an easier understanding of their obligations." The FIDIC Contracts: Obligations of the Parties is presented in an easily-referenced, tabular format. The Red, Pink, Red Book Subcontract, Yellow, Silver, Gold, Pink, Green and White Books are all included and for ease of reference, each contract is separated into sections relating to the Employer, the Contractor, the Engineer (or the equivalent) and the DAB. This guide's accessible style will enable all parties and personnel involved in the project to quickly check that their company is performing the required obligations correctly - and also to ensure that other parties are doing the same.