مقدمة في إدارة العقود الهندسية
The lecture includes:
- 5/50 Questions of Contract Fundamentals
- 3 Suites of Standard Forms of Contracts
- 5 Examples of Case Law
- 1 Sub-clause of FIDIC Red Book 2017
Video: https://youtu.be/2vrYi0PxpYg
3. Instructor: Engineer/ Mohamed Maged
PgMO - Project Control Manager, MBA, B.Sc. of Civil engineering, with
experience in MENA region of (construction, infrastructure, and roads) Mega
projects, in professions of Contract administration, Procurement, Tender estimating,
Cost control, Planning & Claim analysis.
Certificates & Memberships:
MBA, CCP, PMP, ACIArb, AIA Fellow, SCE-PE, FIDIC Contracts Consultant
M.M. Organized four Annual Conferences of Planning and Project Management (Anniversary of
Facebook Page: Prof.Planner)- American University in Cairo, 2014, 2015 & Online 2017, 2019.
SlideShare: www.slideshare.net/MohamedMaged8/
YouTube Channel: https://www.youtube.com/ArabPlanners
Facebook: https://www.facebook.com/Prof.Planner/
(related groups: Best Advice for Planners/ Cost/ Contract – Public groups)
8. April 17, 2020
C1 Jayaar Impex Ltd v Toaken Group Ltd 1996
-A contract was created with the agreement initially made by telephone.
- The seller's, T, provided a form of contract for "IGPA Spot conditions to
apply" but the buyers, J, failed to sign, date and return the form.
- The only reference to the IGPA terms had been in the written contract, no
mention had been made on the telephone.
- J alleged that T did a breach. The issue was referred to arbitration and the
question arose whether or not T's form of contract was binding on J.
- Held, that it could not be said that J intended to accept T's form of
contract whatever it provided in spite of the telephone agreements. The
written contract was never accepted by J, the contract was concluded
orally and it was wrong for T subsequently to attempt to substitute a
contract which was fundamentally different. The court would not
accept that J had agreed to amend their agreement to accept T's form of
contract.
Conclusion: Oral terms agreed by conduct while no agreement to
the counter offer of T.
9. April 17, 2020
C2
National Building Specification, National Construction Contracts and Law Report (2018)
RTS Flexible Systems Ltd v Molkerei Alois Muller GmbH And Co KG (2010)
Lord Clarke stated: “the moral was to reach an agreement before work began.
The court was not to impose binding contracts that the parties had not reached;
all would depend upon the circumstances. It was unrealistic to suppose that the
parties had not intended to create legal relations”.
Since the parties did not sign an agreement, the facts would determine if a
contract is legally concluded and what terms are incorporated.
11. April 17, 2020
C3 William Lacey (Hounslow) Ltd. v Davis (1957)
-Normally, the expenses of the tender stage is like a gamble as
Judge Barry described in William Lacey (Hounslow) Ltd. v Davis
(1957):
“no implication that will be paid for the work -
sometimes the very considerable amount of work -
involved in arriving at his price: he undertakes this work
as a gamble, and its cost is part of the overhead
expenses of his business which he hopes will be met out
of the profits of such contracts as are made”.
12. April 17, 2020
C4 Blackpool and Fylde Aero Club v Blackpool BC 1990
In the Blackpool case, it has been held that the invitation to
tender can also result in a unilateral contract between the invitor
and the tenderers,
as a result of which the invitor must follow its own stated
procedure or be held liable to the tenderers for a breach of that
procedure.
Following this judgement, the cases have
considered the rights of an unsuccessful
tenderer and the damages payable for any
breach of the tender process.
14. April 17, 2020
S1 Engineer (Consultant/Supervisor) administers the
contract
15. April 17, 2020
S2
NEC4 Engineering and Construction Contract
(ECC)
• Option A: Priced contract with activity
schedule
• Option B: Priced contract with bill of
quantities
• Option C: Target contract with activity
schedule
• Option D: Target contract with bill of
quantities
• Option E: Cost reimbursable contract
…………
PM administers the
contract
16. April 17, 2020
S3
Architect/CA administers the contract
JCT 2016 – Joint Tribunals Contract
Traditional or conventional: Measurement
• Standard Building Contract With
Approximate Quantities (SBC/AQ)
• Measured Term Contract (MTC)
Traditional or conventional: Cost
reimbursement or cost plus
• Prime Cost Building Contract (PCC)
Design and build
• Major Project Construction Contract
(MP)
• Design and Build Contract (DB)
…………..
18. April 17, 2020
C5 Blue Circle Industries Plc v Holland Dredging Co (UK)
Ltd (1987)
- B invited H to tender for dredging works at Larne Lough on the
terms of the ICE conditions 5th Edition.
- In discussions, it was reached to use the dredged material to
form an island.
- H failed to form the island properly- it merely broke the surface at
low water.
- B commenced proceedings claiming
damages for negligence, breach of
collateral warranty and misrepresentation.
- The court held that the work is wholly
outside the original scope, it could not be
ordered as a variation and it must be a
separate agreement.
19. April 17, 2020
CL
FIDIC RED BOOK 2017: CONSTRUCTION CONTRACT 2ND ED
12.3 Valuation of the Works
… Any item of work which is identified in the Bill of Quantities or other
Schedule, but for which no rate or price is specified, shall be deemed to
be included in other rates and prices in the Bill of Quantities or other
Schedule(s).
A new rate or price shall be appropriate for an item of work if:
(a) the item is not identified …, or is not executed under similar
conditions, …;
(b) (i) the measured quantity of the item is changed by …%; and/or
(c) the work is instructed under Clause 13 [Variations and Adjustments]
and sub-paragraph (a) or (b) above applies.