Handbook of Contract Management in Construction

✍ Scribed by Ali D. Haidar

• Publisher: Springer
• Year: 2021
• Tongue: English
• Leaves: 195
• Category: Library

✦ Synopsis

This book addresses the process and principles of contract management in construction from an international perspective. It presents a well-structured, in-depth analysis of construction law doctrines necessary to understand the fundamentals of contract management.

The book begins with an introduction to contract management and contract law and formation. It then discusses the various parties to a contract and their relevant obligations, whether they are engineers, contractors or subcontractors. It also addresses standard practices when drafting and revising contracts, as well as what can be expected in standard contracts general clauses. Two chapters are dedicated to contract clauses, with one focused on contract administration such as schedules, payment certificates and defects liability, and the other focused on contract management, such as terminations, dispute resolutions and claims.

This book provides a useful reference to engineers, project managers andstudents within the field of engineering and construction management.

✦ Table of Contents

Preface
Book Structure
References
Contents
Abbreviations
1 Introduction to Contract Management
Contract Management: Process
Objectives
Contract Manager Role
Contractual Arrangement
Construction and Contract Law
Standard Forms of Contract
Contract Documents
References
2 Construction Contract Law
Understanding Law: General
An Overview of Construction Contract Law
Formation of a Contract
Offer and Acceptance
Intention to Create Legal Relations and Essential Terms
Consideration
Validity of Contract
Implied Terms
Privity
Novation and Assignment
Letters of Intent
Contractual Risks: A Legal Approach
Professional Obligations in Construction
Contra Proferentem Rule
Misrepresentation
Mistake
Test of Reasonableness
References
3 Types of Construction Contracts
Factors Affecting Contract Selection
The Nature of the Employer
The Employer’s Risk Attitude
The Employer’s Priorities
The Procurement Method
Project Constraints
Project Objectives
Project Scope
Requirements
Time
Cost
Project Delivery Methods
Contract and Procurement Arrangements
Traditional Approach
Construction Management: Direct Labour
Design and Build (D&B)
Build-Operate-Transfer (BOT)
PPP—Public–Private Partnership
Types of Construction Contracts
Lump Sum Contract
Unit Price Contract
Cost Plus Contract
Cost Plus Fixed Fee
Cost Plus Fixed Percentage Contract
Cost Plus—with a Guaranteed Maximum Price
Cost Plus Variable Percentage Contract
Target Estimate Contract
Risks Associated with the Contractor–Employer Relationship
Contract Provisions for Risk Allocation
Principles of Contract Negotiation
Relative Costs of Construction Contracts
References
4 Standard Forms of Contract
Introduction
Guidance for Using Suitable Forms of Contract
Advantages
Disadvantages
Key Tips on Amending a Standard Form: Special Conditions
Standard Forms of Contracts in Use
The American Institute of Architects (AIA)
ConsensusDocs
Design-Build Institute of America (DBIA)
ICE Conditions of Contract
New Engineering Contracts (NEC)
Joint Contracts Tribunal (JCT)
Federation Internationale Des Ingenieurs-Conseils (FIDIC) Contracts
An Overview of the Leading FIDIC Contracts: Red, Yellow and Silver Books
The Conditions of Contract for Construction for Building and Engineering Works Designed by the Client: The Red Book
The Conditions of Contract for Plant and Design-Build for Electrical and Mechanical Plant and for Building and Engineering Works Designed by the Contractor: The Yellow Book
The Conditions of Contract for EPC/Turnkey Projects: The Silver Book
Other FIDIC Contracts: Specialised Works
FIDIC—Subcontract Contracts
FIDIC: Consultancy Agreements
Short Form of Contract (First Edition, 1999) Green Book
References
5 Contract Drafting and Main Conditions
Drafting
Considerations in Drafting a Contract
Main Conditions in Contracts
Basic Definitions
Contract
Contract Documents
Contractor
Drawings
Engineer
Employer
Project
Specifications
Work(s)
Employer’s Responsibilities
Engineer
Engineer’s Administration of the Contract
Review by the Engineer
Engineer’s General Duties
Contractor’s Responsibilities
Contractor’s Responsibilities and Construction Procedures
Labour and Materials
Design, Specifications and Documents
Drawings and Specifications
Documents and Samples
Shop Drawings, Product Data and Samples
Time For Completion
Construction Programmes
Progress and Completion
Delays and Extensions of Time
Payments
Contract Sum
Advance Payment
Retention
Certificates for Payment
Progress Payments
Schedule of Rates
Failure of Payment
Variations and ChangeOrders
Change Orders Protocol
Construction Change Directive
Minor Change Order
Indemnification
Claims
Dispute Resolution
Dispute Resolution Procedure
Mediation
Arbitration
Warranty
Works
Access to Works
Uncovering and Correction of Works
Tests and Inspections
Termination
Suspension
Others
Injury or Damage to Person or Property
Governing Law
Notices
Rights and Remedies
Mutual Responsibility
Invalidity
Entire Agreement
References
6 Time and Costs—Claims
Delay and Disruption
Delay and Disruption (Loss and Expense) Claims
Time in Construction
Completion Dates
Extension of Time (EOT)
Types of Delays
Delay Claims
Methodology
Delay Substantiation
Disruption Claims
Loss of Productivity (Disruption v. Delay)
Disruption Substantiation
Disruption Costs Quantification
Costing in Construction
Direct Costs
Indirect Costs
Labour and Equipment Costs
Subcontractors’ Costs
Financing Costs
Reasonable Time
Time of Essence
Global Claims
Acceleration
Documentation and Records
Mitigation
References
7 A–Z Guide to Contract Management and Law
Adjudication
Balance of Probabilities
Bargain
Battle of Forms
Bonds and Guarantees
Advance Payment Bond
Performance Security (Bond)
Warranty Bond
Bid Bond
Breach of Contract
Burden of Proof
Damages
Documents
Progress Reports
As-Built Documents
Operation and Maintenance Manuals
Economic Duress
The Engineer
Engineer’s Duties and Authority
Ethics for Engineers
Entire Agreement
Fitness-for-Purpose
Force Majeure
Frustration
Good Faith
Indemnity
Liquidated Damages and Penalty
Liquidated Damages
Penalty v Liquidated Damages
Negligence
Tort and Causation
Duty of Care and Negligent Statement
Prevention Principle
Privity
Programme
Provisisonal Sum
Risks
Subcontractors
Sufficiency of the Contract Price
Suspension of the Works
Taking Over by Employer and Completion of Milestone Works
Termination
Termination by Employer
Consequences of Termination for Contractor Default
Termination for Employer’s Convenience
Termination by Contractor
Time at Large and Reasonable Time
Undue Influence
Value Engineering
Variations and Change Orders
References
Index