2. Claims and Counterclaims Management

7/31/2019 2. Claims and Counterclaims Management

1/297

Euromatech - Claims and CounterclaimsManagement 1

CLAIMS ANDCOUNTERCLAIMS

MANAGEMENT

OCTOBER 2009


2/297


CLAIMS AND COUNTERCLAIMS

MANAGEMENT

October 2009 - Muscat

Peter Foreman

Senior Consultant


3/297


Seminar outline

While the object of international contracting is to write and manage contracts so as tominimize disputes, some disagreements are inevitable. These can arise from failures by oneof the parties, but also often arise from misunderstandings as to obligations under thecontract.

This programme will look at how claims (and counter claims) arise; how they should beevaluated when received, or prepared when being delivered, and how to resolve disputesarising from such claims. It will also, and most importantly, look at ways of avoiding disputedclaims in the first place.

Once a dispute starts, it can usually be solved most effectively by negotiation between theparties. However, if this does not prove effective, some sort of third party intervention isrequired.

Traditionally, this has tended to focus on either involving state courts (litigation) or theequivalent private method of getting a third party to make a decision (arbitration). However,there are now many more techniques available in the international market, including expertdetermination, mini-arbitration, pendulum arbitration, adjudication, and other techniqueswhereby a third party decides the matter for the parties. In addition, there are alsomediation, conciliation, hybrid solutions such as Arb/Med, where a third party facilitates the

settlement by the parties themselves, rather than imposing a decision. Many of thesetechniques rely on looking at the parties interests, rather than their strict legal rights. All of these processes, and indeed, claims and counterclaims generally, become more

complicated when placed in an international context. This is particularly the case where aforeign law and/or legal system is involved, with which you may not be familiar, and whichmay include rules which conflict with those of your own country.

The programme will deal with commercial disputes arising from Contracts written in theEnglish language, but will use techniques which have wide application to the resolution ofdisputes.


4/297


Main Seminar Contents

DAY ONE

How claims and counterclaims arise

DAY TWO

Types of claims and counterclaims

DAY THREE

Presenting and evaluation claims and counterclaims

DAY FOUR

Dispute resolutionDAY FIVE

Dispute resolution Ethical concerns, avoidance and role-plays


5/297


Course objectives

Provide an understanding of how and why claims and counterclaims arise

Explain the differences between claims and counterclaims

Identify common causes of claims and disputes, and how to avoid them

Discuss how to develop procedures to avoid disputes over claims andcounterclaims, while resisting unjustified claims

Enhance understanding of basic negotiation techniques to be used whenresolving disputes

Provide an understanding of some of the main methods of dispute resolutioninvolving third parties

Develop an understanding of Traditional and Alternative Dispute Resolutiontechniques, including different ways of resolving disputes without recourse to

courts or arbitration Provide strategies and tactics for negotiating during disputes

Explain how to use contract provisions to reduce the risk of claims and disputes


6/297


Course outline and slide index

DAY 1 - How Claims andCounter Claims arise

Causes of typical claims 14 Poor drafting of requirements 16 Lack of clarity in Scope of Work/Services

17 Misunderstanding of legal or technical

obligations 27 Deliberate misunderstanding

33 Counter claims - how they differ from claims

Rights of set-off 36

Overview of main contractual provisionsrelevant to claims and counter claims Obligation to perform work 41 Standards 45 Programme 51

Acceleration 55 Variations 56 Extension of time 73

Force majeure 75

DAY 2 - Types of Claims andCounter claims

Types of claims, in construction and otherareas - and their distinctive features 81 Re-measure disputes 82 Variations - disputes on valuation 85 Variations - disputes as to whether

there is change 89

Breaches of contract 92 Quality of workmanship 96

Re-work 99 Rejection of goods

Full rejection 102 Partial rejection 105

Liquidated damages and penalties 107 Warranty claims 112 Special issues with EPC/Turnkey

contracts 115 Interface problems - are these

always the Contractorsresponsibility? 116

Tracking change where clientinvolvement is limited 120

Special issues withdocumentation in EPC andturnkey contracts 122


7/297


Course outline continued

DAY 3-Presenting andEvaluating Claims andCounter claims

Requirements for claim presentation 124 Notices 125 Timing, and time limits 130

Are time limits binding? 133

Format 136 Information 146

Supporting documents 147 Defining features of claims evaluation and management 148

Recognising the causes of claims 149 Warning signs of disputes 150 Recording claims 151 Reviewing claims 152

Requesting further information 178 Realistic appraisal 179 When to make admissions - and denials Offers of settlement 184 Independent review 188

Cumulative effects 190 Managing claims quickly and effectively to avoid

disputes 193 Managing claims and disputes

Involving lawyers 196 Managing the legal process 197 Setting goals 198 Decision trees 201 Controlling costs - and including them in your

thinking 203

DAY 4 - Dispute Resolution What is a dispute? 205 Introduction to dispute resolution methods

and techniques 207 Stage negotiation 212 Measures of success - win-win

negotiation 235 Negotiating without prejudice 239

Making offers 240 Compromise 241 Bargaining 242

Interest-based negotiations 247 Conflict and its resolution 253

Traditional dispute resolution 257 Litigation 259 Arbitration 267 Issues with evidence and

production of documents 272 Differences between alternative dispute

resolution methods 274


8/297


Course outline continued

DAY 5 Ethical concerns 286

Audit trails 288 Avoiding the suspicion of

unethical behaviour 289 Problems with settlements based

on interests, not rights 290

Applying the same anti-corruptionsystems to claims as to tendering291

Avoidance is better than resolution Avoiding claims and counter

claims 292 Avoiding disputes 293 Avoiding litigation and

arbitration294 Practical application of techniques

Opportunities to role play a fewstraightforward negotiationscenarios involving typicalcontractual claims, counterclaims and disputes 295

Final wrap-up and questions296


9/297


Opening

Health & Safety

Ground rules

Timings

Introductions


10/297


Presenter

Peter Foreman

Law Degree, Kings College, London 1972

Admitted as an English Solicitor 1975 (currently non-practising)

Lawyer in private practice in London 1972-82

Administration Director of small electronics, property and construction group 1982 3

Legal & Commercial Director, Trafalgar House Offshore & Structural, later Kvaerner Oil &Gas 1983 99 (Executive Vice President 1998 9)

Chief Executive of consultancy company 1999 date. Operating in the Middle East as aSenior Consultant with Euromatech

Accredited commercial mediator, Member of Chartered Institute of Arbitrators, SupportingMember of the London Maritime Arbitrators Association Member of The Energy Institute,Member of The Law Society, England & Wales, Fellow of the Council on LitigationManagement

Wide experience as lawyer, project manager and project director in major oil & gas and otherengineering and construction projects around the world, including in the Middle East. FormerDirector of company owning Cleveland Bridge fabrication yard in Jebel Ali. Recentlycompleted work on the largest naval shipbuilding project in Europe

Vice Chairman Link Group (major social housing provider), Chairman of East LothianEducation Trust and member of East Lothian Learning Partnership


11/297


Memory Recall

25

75

100

50

%

time1 day 1 month1 week


12/297


Hand, Eye & Brain Feedback Loop


13/297


What constitutes a claim?

Exercise

What do you think is a claim in acontractual context?


14/297

Euromatech - Claims and CounterclaimsManagement

14

What causes claims?Major

Contributory factors

Poor drafting of requirements

Lack of clarity in Scope of Work/Services

Misunderstanding of legal or technical

obligations By client

By contractor

Deliberate misunderstanding


15/297


15







By contractor



16/297


16


This is the stage before we get to Scope ofWork or similar documents

Here you are deciding what it is that you

actually want from the project if this set ofrequirements is too vague, or unrealistic, itmay lead to conflict later

There is no great legal and contractual issuehere you just need to be as precise aspossible


17/297


17







By contractor



18/297


18

Lack of clarity in scope of

work/services

Even where the Requirements are clear, thedetailed Scope document can causeproblems

What is it you want? How much do you want?

When?

To what Standard?


19/297


20/297


20

Exercise

List the items you would want to see in aScope of Work for supply of new desktopcomputers for your offices


21/297


21

Exercise

Do the same for the supply of consultancyservices to provide a report on yourcompanys training needs, and

recommendations for action


22/297


22

Exercisewordingcommercial

issues A contract stated that a landowner of a development site would receive

an Additional Residential Payment of 23.4% of the price achievedfor each Residential Unit in excess of the Minimum GuaranteedResidential Unit Value, less the costs and Incentives

Assume the Minimum Guaranteed Residential Unit Value is 100, andthe sale price after deductions is 300

Does this mean the landowner gets 46.8 (23.4% of the difference), or

146.8 (the Minimum Value + 23.4% of the excess), or Nil (the amount by which 23.4% of the price exceeds the Minimum) 100 (as the previous version, but with the Minimum being payable) This is a real case (Chartbrookv- Persimmon) which went to the

highest court in the UK in 2009. The amount in dispute was around$5m


23/297


23

Standards

The contract shouldspecify the standard towhich the work shouldbe performed

Remember, the higherthe standard, the higherthe price so specifywhat you really need


24/297


24

Possible standards

Highest possible standards

In accordance with generally acceptedstandards

All new In accordance with [name of industry] best

practice

To the satisfaction of the Client To the reasonable satisfaction of the Client


25/297


25

Exercise

If the contract is silent as to the standard towhich the work is to be performed, whatstandard applies?

If you cannot agree what a standard means,who decides?


26/297


26

Case study - handrails

One oil companyrequired full materialtraceability on all steelused in an offshore

platform This included tertiary

steel (handrails,gratings etc)

This meant that they

could trace any handrailback to the individualingot of steel fromwhich it was made


27/297


27







By contractor



28/297


28

Misunderstanding of obligations

Even where the Scope of Work is reasonablyclear, there may still be genuinemisunderstandings

These can be by either party (or, sometimes,both!!)

They can relate to technical orlegal/contractual issues


29/297


29

Understanding your obligations

Make sure you have read the contract carefully, particularly theobligations imposed on the Client

These may be fairly limited in number, but will include importantmatters such as:

Access to site Provision of drawings

Provision of free issue material or equipment

Provision of facilities or support

Approval of drawings etc Payment


30/297

Euromatech - Claims and Counterclaims

Management

30

Understanding the obligations of

the other party Do not assume that they always have to do this. Their

obligations are those set out in the contract

Be cautious about concepts like design development

Their obligations may be dependent on you performing your

obligations What is there are breaches by both parties at the same time?

The Contractor may consider something to be a variation, whichyou consider to be original scope


31/297


Management

31

Mistake

Keenanv- Barclays Bank (2009)

Ms Keenan worked part-time for Woolwich Building Society,earning 9,520 a year. Woolwich was taken over by Barclays,who said they would review salaries and that there would be asignificant increase

Ms Keenan received a letter saying her salary would be 17,000a year

Two years later, Barclays realised that this was the rate for afull-time employee, and it should have been less than half thatstated

They tried to claw back the overpayment


32/297


Management

32

Case Study - Broadgate

Error in tender specification Not spotted by bidder Stair hangers loadings too

high by x10 Client refused to trade

concession Contractor would havetraded some claims as aresult of the Clients refusalto negotiate, everyone lost


33/297


Management

33







By contractor



34/297


Management

34


This is where someoneknows exactly what youwant, but pretends tomisunderstand and

then claim extra moneyfor doing what wasalways intended in thefirst place


35/297


Management

35

Counterclaims

These are claims raised to counter a claimfrom the other party

In principle, they are the same as a claim, but

the real issue is whether they have to belooked at as a separate claim, or set offagainst the other claim, so that only any netsum remaining falls to be paid


36/297


Management

36

Set Off

Sometimes called contra

This allows the party raising the counterclaimto reduce his liability under the original claim

by the amount of the counterclaim This is very important where one of the

parties is insolvent, or may become so beforethe claims are resolved


37/297


Management

37

Bankruptcy issues

Where bankruptcy or similarlaws apply, the company inbankruptcy pursues allclaims it is owed

However, it only pays outwhat money it has, dividedequally (with someexceptions) among itscreditors

It set off does not apply, the

solvent party may have topay 100% of the claimagainst it, but recover only afraction of their claim


38/297


Management

38

Set offcontract provisions

While the general law allowsset off in most countries, itmakes sense to include aspecific clause in thecontract authorising this

approach

1. This will always include setoff within the contract

2. It can also cover set offbetween different contractsbetween the same parties

3. In rare cases, it may includeset off between differentcontracts between differentparties but this is notrecommended, not least

because it is verycomplicated!


39/297


Management

39

Set offseparate contracts

Invereskv- Tullis Russell (2009)

This is a dispute between two Scottish paper makers.TR refused to pay under an asset transfer agreementbecause Inveresk were said to owe them money

under a Service Agreement

The Scottish courts refused to allow this, saying that,by dividing the contract into two distinct documents,there was a presumption of no right of set off


40/297


Management

40

Pay first - argue later

Petroplus Marketing

v- Shell Trading International (2009)

Petroplus sold 29 30,000 MT of high sulphur fuel oil and 12,000 MT of light cycle oil to Shell FOB Coryton (UK)

Price to be at published market rates, and payment to be without

deduction, counterclaim or set off The shipment was made late, as a result of which the price hadrisen. Shell said they would pay at the market price whenshipment should have been made

Petrolplus obtained summary judgment for their claim, on thebasis that Shells deduction amounted to a counterclaim, andthe contract said that such a deduction could not be made


41/297


Management

41

Obligation to perform

While fairly obvious, the contract must setout, in reasonable detail, what goods,services, etc are to be provided

And when And where

And to what quality


42/297


Management

42

Acceptance

Third party certification

Documentation

Evidence of acceptance

Right to reject


43/297


Management

43

Risk

When does the riskof damage to thegoods pass to the

client? Link with Title

(Ownership)


44/297


Management

44

Title

Ownership, notpossession

Link with Risk

Retention of Titleclauses (Romalpa)


45/297


Management

45

Standards

We have already looked at the need to specifystandards, but how might this be handledcontractually?

International standards (e.g. ISO, API, EN)

National standards (e.g. BS)

Company standards

Bespoke standards written for the project in question

Where the standards are non-technical (e.g. some

consultancy or other service contracts) a generalstatement linked to what is accepted in the businessarea concerned may be the only practical solution


46/297


Management

46

Standardscryogenic valves

Large bore cryogencicvalves for the Dabhol LNGplant in India

To be built to a particularBritish Standard (an

establishe dinternationalstandard in this area)

This specified the length ofthe actuator column

-- but did not say whetheryou measured from the valvebody or the top of theinsulation..


47/297


Management

47

Fit for Purpose

This phrase appears in many contractsaround the world, although it actually comesform the English Sale of Goods Act 1896 (nolonger in force)

It is a fall back solution that a product mustactually do what it says it will do

This comes into two main types:

Fit for the purpose specified Fit for the usual purpose to which such goods

are put


48/297


Management

48

Intended purpose

What if the supplier does not know thepurpose?

What if the purpose is a trade or state secret?

Black box solutions Consider restricting to supply in accordance

with the specified purpose


49/297


Management

49

Fitness for purpose

Jewson Ltd

v- Kelly (2003) Mr Kelly was developing 12 apartments, and purchased central

heating boilers from Jewson (a well-known builders merchant)

The boilers worked perfectly well, but were not efficient, and

reduced the energy ratings of the apartments, making them lessattractive in the marketplace

The court held that they were fit for purpose (heating theapartments), and Mr Kelly had never advised Jewson of anyspecial requirement that meant they had to meet a higher

standard


50/297


Management

50

Fitness for purposeexercise

A Ukrainian company issueda tender for a large quantityof carbon steel pipework fora chemical plant. Thepipework was to be fit forpurpose.

When questioned, the clientrefused to specify thepurpose, stating that thiswas a State Secret

The plant was producing anacidic product, and the

pipework should have beenstainless steel When the pipework started

to leak who wasresponsible?


51/297


Management

51

Programme

The contract should provide

An end date

A start date (not alwaysquite as important)

Intermediate milestonedates (on more complexprojects

In addition, there may be arequirement to develop a

detailed programme showinghow the Contractor is goingto get from one date to thenext


52/297


Management

52

Levels of planning

The programme can be developed to a specific levelof detail

The common terminology is Level 1 up to 5, with thehigher numbers having greater detail

Remember that detail costs money, and if the plan istoo detailed, it may prove virtually impossible tomanage.

In addition, you should select the system to be used,ensuring that, wherever possible, it is compatible with

the systems of both the client and the contractor, andalso any professional consultants or managersinvolved


53/297


Management

53

Exercise

What level of planning does your companyuse?

How often do you update programmes?

What do you do when the job is movingagainst the plan?


54/297


Management

54

Recovery clauses

When a contractor falls behind, the contract should require themto recover at their own costs

It should also allow the Client to specifically instruct suchrecovery.

BUT - if such instructions are given when the Contractor is not in

default, then the Client will have to pay the costs incurred The Client can also give acceleration instructions when the

Contractor is not in default, but this is, effectively, a variation, towhich we shall return


55/297


Management

55

Acceleration

If the cause of any delay is theresponsibility of the Contractor,there is a duty to spend money topull this back

The contract will alsousually provide that the

Client can order this If not, if the Contractor is ordered toaccelerate, or decides to takereasonable steps to do so, he isentitled to payment

Again, the Client can orderthis, but then it will be a

variation


56/297


Management

56

Variation clauses

While changes to thecontract generallyrequire the consent ofboth parties, Variations

clauses allow the Clientto make changes withinthe scope of the clause,and the signature of the

contract by theContractor amounts toconsent


57/297


Management

57

What if the contract is silent?

Case study IT systems A company agreed to supply an IT system, with associated

training. A single price was quoted for the whole package.

During the course of the contract, the parties fell out, and thebuyer told the supplier he no longer wanted the training element.

He deducted a sum from the invoice which he consideredreflected the training

The supplier said they were still prepared to do the training, andsued for the whole amount

The contract had no variations clause

The supplier won the court held that, in the absence of aVariations clause, the client had no right to amend a contractwithout the consent of the other party


58/297


Management

58

Variations and claims

The basis of payment forvariations will usually beestablished in the contract

That for claims arises fromthe law of damages of thecountry concerned.

Changes/Amendments tothe actual contract usuallyrequire consent, but mayalso give rise to a claim forextra money/time. This

would normally be seen as avariation, but should beaddressed at the same timeas the Change itself

Distinguishing variations and


59/297


Management

59

Distinguishing variations and

claims VARIATIONS

Change to the scope of work

Change to the timing ororder of the work

Change to the way the workis performed

Contractual right, no consentis usually required

CLAIMS

Arise from a failure by theClient

Or an outside event

Right arises from the generallaw, and consent is irrelevant


60/297


Management

60

What is a Variation?

Change in the Scope,or

Change in the way theScope is to be

performed


61/297


Management

61

How do Variations occur?

Formal notice

suggestion

Verbal instruction

Amended drawing

Late delivery of free-issue item

Late access to site


62/297


Management

62

Types of change

Scope increase or decrease

Change in type or quality of scope

Change in timing

Change in order of work Change in method of working


63/297


Management

63

ExerciseLNG trains

A B C


64/297


Management

64

Causes of Change

Error in definition ofproduct or service

Error in definition ofproject

Value-adding change External event

Change of mind


65/297


Management

65

Understanding consequences

A developer was building a towerblock in New York

The architect decided to add adoughnut (torus) shaped mall at thebase

The developer was delighted, as itincreased rents

The steel fabricator had alreadystarted to erect the structural steel The required removal and

replacement, and building amassive cantilever

The price rocketed, and thedeveloper lost the extra rent inbuilding costs


66/297


Management

66

Identifying and controlling change

Recognise that change maynot arise through the correctformal route

Changed drawing

Late materials Etc

Influence factors whichcreate change

Determine when change has

occurred


67/297


Management

67

Challenging change

Be prepared to ask why change is needed

What has happened since the original decision to requiresomething different?

Is someone just re-opening an argument lost during the originalscope preparation?

Is this preferential engineering?

Even if there has been a change, can you live with the originalconcept?

UNCONTROLLED CHANGE IS ALMOST CERTAINLY THE

BIGGEST CAUSE OF PROJECT FAILURE


68/297


Management

68

Case StudyA tale of two projects

SCOTTISH PARLIAMENTBUILDING

Original estimate 34m (c$65m)

Contract award 65m (c$120m)

Final out-turn 430m (>c$800m)over two years late

Public enquiry revealed almost totallack of change control, or anyrealisation by the Client of theimpact of change on cost and delay


69/297


Management

69

Case StudyA tale of two projects

PLAYFAIR PROJECTEXTENSION TO SCOTTISHNATIONAL ART GALLERY

About a mile from theParliament

Built at the same time Client did not interfere

Only two significant changes(both caused by externalfactors)

On time

On budget


70/297


Management

70

Delay and extension

Clients fault Extension

Costs

Contractors fault

Acceleration

Neither!

Force majeure


71/297


Management

71

Link with planning

When a delay occurs, it does not necessarilymean that the party who suffers the delay isentitled to an extension of time for the same

period as the delay The issue is whether the delay was on the

critical path on the plan


72/297


Management

72

Critical path

This technique wasoriginally used by theUS Navy for theconstruction of theGeorge Washingtonclass of missilesubmarines

It was essential toensure that all of a

complex mix of projectscame together at thesame time


73/297


Management

73

Extensions of time

In what circumstances might a contractor beentitled to an extension of time that is longerthan the actual period of delay complainedabout?


74/297


Management

74

A point to remember

TIME = MONEY


75/297


Management

75

Force Majeure

Outside the control of theparties and

Unanticipated and

Prevents performance

No formal definition in manycountries

Suspends obligationspossibly with an ultimate rightto terminate

Extends time Stand-by costs may be paid in

some circumstances


76/297


Management

76

Force Majeure - examples

War

Terrorism

Riot/civil disturbance

Severe adverse weather


77/297


Management

77

Force Majeure examples, continued

Earthquake, eruption, flood, tsunami etc

Epidemics

Strikes

Nuclear contamination

Pressure waves from supersonic aircraft

Embargo

Actions by environmental protesters


78/297


Management

78

ExerciseSuez Canal

On 7th November 2004 the 89,000t Liberiantanker Tropic Brilliancebroke down in theSuez Canal. Tugs were unable to move her,and by 8th November 46 vessels were waiting

in the Mediterranean off Port Said, and afurther 20 in the Gulf of Suez.

Is this force majeurefor the waiting vessels?


79/297


Management

79

ExerciseGulf of Aden

You have chartered a ship tosail from Rotterdam toKuwait via the Suez Canal

The shipowner claims forcemajeure applies because

piracy in the Gulf of Adenmeans he will not risk hiscrew or ship


80/297


Management

80

Contractors positions

WHEN THEY ARE ATFAULT

Force majeure

WHEN THE CLIENT ISAT FAULT

Not force majeure


81/297


Management

81

Types of claims

This section will touch on some of thepractical issues that arise from the legal andcontractual points already discussed,together with some additional issues forconsideration

There are, of course, many other ways inwhich claims can arise, but this is intended to

cover some major areas

di


82/297


Management

82

Re-measure disputes

Some of these arerelativelystraightforward, andonly involve agreeing

on a number (Howmany bricks were laid?How many cubic metresof soil removed? Howmany hours wereworked?)

Others are more subtle

R i l


83/297


Management

83

Re-measurement issues - examples

PIPEWORK Do you measure round

the outside or inside ofbends? Or down thecentreline? In large bore pipe over

long distances, thiscan make quite adifference

Do you measure flangeto flange or includegreen on the pipespools?

HOURS WORKED Is travelling time

included?

What about the time

going through securityat the site each day?

Meal breaks?

Holidays?

Union meetings?

If a day rate is used,how many hours in aday?

R i i i


84/297


Management

84

Re-measurement issues - opinion

Sometimes the matteris not as clear cut asmeasuring pipe lengthsor counting bricks

If a room is beingpainted, how do youmeasure progress?

V i i di l i


85/297


Management

85

Variationsdisputes on valuation

These issues tend to be very similar to re-measure disputes

However, there may be more opinion

elements where the original contract was noon a re-measure basis, and there is noagreed set of rates

V l i di l i


86/297


Management

86

Valuation disputes - solutions

Schedule of rates Include a schedule in

the contract to, ineffect, make thevariations re-measured

Star rates Where there is not a

precise rate agreed,the parties cancontract to use a ratederived from anagreed rate (oftencalled a star rate)

E i


87/297


Management

87

Estimates

Wherever possible, askthe contractor for anestimate, or, better still,a formal quotation,before agreeing to

proceed with the work This can convert the

variation into a mini-lump sum contract

BUT be careful and beclear what you areactually getting

Off d t ti


88/297


Management

88

Offers and quotations

Megalift

v- Terminals (2009) - Australia Megalift issued a quote for discharging a 270t sphere onto Terminals

land. In fact, the job required major excavation, and took much longer than

expected, and was much more expensive. The quotation was stated to be for budgetary purposes only, and

Megalift said it was not an offer capable of being accepted On the facts, it was held that there WAS a contract. Among the reasons were that the parties had been negotiating for

many months; other terms of the contract appeared to contradict thestatement that the quotation was budgetary; and when a formalcontract was signed later, it incorporated what was called a revisedquotation

H th b h ?


89/297


89

Has there been a change?

We have touched onthis issue already, but itis not always certainthat what has happened

DOES amount to achange entitling thecontractor to extramoney and/or time

E i


90/297


90

Exercise

On a fixed price, lump sum contract, are thefollowing changes (assuming there is aVariation Clause)? If so, would theContractor get extra time and/or money?:

1. Changing the colour of the paint on a sign2. Reducing the number of computers supplied

from 100 to 98

3. Delaying the start of the project by a month

4. Moving the position of a fire extinguisherfrom one wall to another

H d d thi i k?


91/297


91

How do you reduce this risk?

Serve notices where there IS a change

Include a contractual requirement that theContractor gives notice promptly when he

considers there is an undocumented change Consider having an independent professional

decide whether a change has taken place (atleast on an interim basis)

B h f t t


92/297


92

Breach of contract

In summary,any failure to

keep apromise madein a contract is

a breach

H dl B d l (1854)


93/297


93

Hadleyv- Baxendale (1854)

Where two parties have made a contract which one ofthem has broken, the damages which the other partyought to receive in respect of such breach of contractshould be such as may fairly and reasonably beconsidered either (1) arising naturally, i.e. according to the

usual course of things, or (2) such as may reasonably besupposed to have been in the contemplation of bothparties at the time they made the contract

ExerciseVictoria Laundry


94/297


94

y

(1949) Victoria Laundry ordered some boilers from Newmans, which

were delivered late.

It was accepted this was Newmans fault, and there was no limiton damages.

At the time of the contract, Victoria had just won an order to cleanArmy uniforms

(this took place during World War II). Newmans were not aware ofthis.

What damages are due?

Did they have to pay the profit lost on the Army contract?

Are the following breaches of


95/297


95

g

contract?

Not letting the contractor on site on the date agreed Taking 17 days to deal with a query on the design

The contractor not starting on the day planned

Delivering goods including components from acountry on your countrys banned list

Not using the same staff to do the consultancy asattended the tender presentation

Quality of workmanship


96/297


96

Quality of workmanship

We have looked at theissue of the appropriateStandards, but how doyou address the qualityof what has to be

produced? Can you tolerate a

certain number of non-conformances, or must

everything be perfect? Will you test every item,or only a sample?

Perfection?


97/297


97

Perfection?

Some jobs do have tobe 100% right, but thatcosts money (and takestime)

It could be cheaper toorder 105% of what youwant, and accept asmall failure rate

However, you need tobe clear what that rateis likely to be!

Failure rates


98/297


98

Failure rates

What level of failuremight you accept for:

Cheap pens for officeuse

Stitching on T-shirts Nails

Mobile phones

Audits of quality

systems Welding on a nuclear

power station

Rework/re performance


99/297


99

Rework/re-performance

What has to be done How quickly

At whose cost

Who bears the knock-

on costs Impact on schedule

Exercise


100/297


100

Exercise

Consider what changes you wouldwant to the rework clause on the nextslide if you were:

a) The Clientb) The Contractor

Rework clause


101/297


101

Rework clause

Notwithstanding approval by the Engineer of drawings, samples, patterns, models orinformation submitted by the Contractor, the Contractor shall be responsible for allerrors, omissions or discrepancies therein unless they are due to incorrect drawings,samples, patterns, models or information supplied by the Purchaser or the Engineer.

The Contractor shall bear any costs he may incur as a result of the delay in providingsuch drawings, samples, patterns, models or information or as a result of errors

omissions or discrepancies therein, for which the Contractor is responsible.

The Contractor shall at its own expense carry out, or bear the reasonable cost of, anyalterations or remedial work necessitated by such errors, omissions or discrepanciesfor which he is responsible and modify the drawings, samples, patterns or informationaccordingly.

Product liability and defective


102/297


102

goods - Rejection

Standard required Tests to be passed

What is sufficient failure toreject

E.g. proportion ofproducts

Can the supplier try andrectify?

Standards a common solution


103/297


103

Standardsa common solution

Fit for purpose

Fit for intended purpose

Fit for specified purpose

Exercise


104/297


104

Exercise

When should you have a right to reject, and whatshould be the consequences in each of thesecases?

An office building

Chemicals for use in a blending process

Database software

A report on your procurement process

A Suezmax tanker

Partial rejection


105/297


105

Partial rejection

If you reject part of a consignment, thecontract should state what happens next:

Reduction in invoice

Replacement of defective goods? Time for replacement?

Damages?

What happens if the goods are not replaced,

or are again defective?

Abatement Wembley Stadium


106/297


106

AbatementWembley Stadium

This relates to the steelwork forthe new national footballstadium in London, and is oneof very many disputes on thisproject!

The issue was how you valued

the reduction in value wheredefective steelwork wassupplied to the main contractor

You cannot value a bit of astadium under construction

The only way to look at this wasthat the abatement in price wasthe same as the cost of repairs

Liquidated Damages
http://en.wikipedia.org/wiki/File:Wembley_Stadium_closeup.jpg


107/297


107

Liquidated Damages

Genuine pre-estimateof loss

Often a protection, not apenalty

Check the actualtriggers

Can you get anextension of time?

Caps

Exercise liquidated damages triggers


108/297


108

Exerciseliquidated damages triggers

The contract provides for liquidated damages of$1,000 per day for each day the goods are late.Delivery is to be on 1st June. How much can beclaimed if actual delivery is at:

23:00 on 1st

June 00:01 on 2nd June

17:00 on 2nd June

09:00 on 3rd June

Penalties


109/297


109

Penalties

Not permitted underEnglish/Scots Law Quite acceptable in most

other jurisdictions if clearlystated

May be limited to a

reasonable sum (e.g.Egypt) Risk of double-dips Penal and exemplary

damages US jury trials

Liquidated damages/penalties -


110/297


110

drafting

What is covered? Sole remedy, or in

addition to actual losses?

Proof of loss

Triggers

Grace periods

Set-off

Recovery from retentions,bonds etc.

Are interim penaltiesrepayable if final date ismet?

Caps on periodicpenalties

Overall caps

Exercise


111/297


111

Exercise

Consider in what circumstancesremedies other than a financialremedy might be required

Warranty


112/297


112

Warranty

When does it start? When does it end?

What parts of the work arecovered?

What are the obligations

of the supplier?

Are there any exclusions?(see next slide)

Rolling warranties

Possible exclusions


113/297


113

Possible exclusions

XFair wear and tear

XOperational spares

XMisuseXOut of specification use

XModifications

Wear and tear


114/297


114

Wear and tear

Midland Mainline

v- Eagle Star (2004) This case arises from a fatal rail accident at Hatfield in England in 2000

when an express train derailed at speed because of fatigue cracking ofthe track

As a result of the accident (which did not involve Midland Mainline) rail

services in the country were subject to severe speed restrictions, whichcaused loss to Midland Mainline, which they claimed on their insurance

The insurance had a standard exclusion (see below for wording)including wear and tear

The court ruled that the speed restrictions were caused by the fatiguecracking, which was itself wear and tear, and there was, therefore, no

cover

EPC/Turnkey contractsspecial


115/297


115

issues

EPC (Engineering, Procure, Contract) andsimilar contractual structures (EPIC, EPCMetc) and turnkey contracts work on theprinciple of a one stop shop

The contract may be with one contractor, or ajoint venture of several contractors

In either case, there is a single contract with

the client

Traditional structure - example


116/297


116

Traditional structure example

CLIENT

Engineer/designer

Fabricator/manufacturer

InstallerCommissioningcontractor

EPC/Turnkey structure - example


117/297


117

EPC/Turnkey structure example

CLIENT

Engineer/designer

Fabricator/manufacturer

InstallerCommissioningcontractor

EPC CONTRACTOR

Special issues joint ventures


118/297


118

Special issues joint ventures

JOINT VENTURE

All members arejointly and severally

liable All are responsible for

100% of claims arisingfrom their share of thework AND 100% of the

total claims

CONSORTIUM

Members do nothave joint and

several liability All are responsible

for 100% of claimsarising from theirshare of the work,but no more

NOTE THAT THESE ARE NOT FORMAL LEGAL DEFINITIONS IN ALLCOUNTRIES, AND THE TERMS GET USED INTERCHANGEABLY.ALWAYS CHECK WHAT THE CONTRACT SAYS

Interface issues - exercise


119/297


119

Interface issues exercise

On the face of it, the main purpose of an EPCarrangement is that the interface issueswithin the contract are all the responsibility ofthe Contractor(s)

In what circumstances might interface issuesnot be their responsibility?

Issues tracking progress


120/297


120

Issues tracking progress

In traditional contracting, theClient is closely involved withthe project as it progresses

However, in EPC, andparticularly, in true Turnkey,

the Contractor is sometimesjust allowed to get on withthings

This can mean the Clientloses the ability to spot

problems as they arise

Issues tracking change


121/297


121

Issues tracking change

A similar problem ariseshere, but probably moreone for the Contractor

If changes are made,

the question that needsto be asked is whetherthey remain within theoriginal scope(Contractors problem)or are something new(a Client variation)

Documentation on EPC/Turnkey


122/297


122

Documentation on EPC/Turnkey

As with any contract, the requirements fordocumentation should be clearly stated

In reality, the issues are much the same asfor any lump sum contract, however, when wecome to look at the Format of a claim, thisarea probably needs to have a section statingwhy any claim arises from an issue that is not

within the responsibility of the Contractor

Example


123/297


123

Example

An EPC contract is awarded covering (among otherthings) the design and construction of an offshore oilplatform

The job is running late

The design office of company X writes to the Client tosay they are sorry for the delay, but the fabricationyard dont know what they are doing

The fabrication yard of company X writes to the Clientto say they are sorry that they are late, but the

designers are running behind schedule The Client puts both letters on the table and says not

my problem

Requirements for claim presentation


124/297


124

q p

Set these out in the contract Do NOT assume that you can merely state

we require the claim in the following formatif this was not made a contractual term

It is not possible to impose such terms afterthe event without agreement from the otherparty

Notices


125/297


125

The contract shouldspecify timing andmethod of service

These clauses are often

not read, but need to beunderstood, andcomplied with to theletter

Issues on notices


126/297


126

Is the method proposedpossible? For example many

clauses still provide fortelex service

How do you proveservice?

P.O. Boxes

Electronic

communications

Notices


127/297


127

How many days? What is a day?

In what form?

Who should sign them? To whom should they be sent?

How should they be delivered?

Is an acknowledgement needed?

Sample clause (Consultants)


128/297


128

p ( )

All notifications and statements under thisContract shall be written in the Arabiclanguage, and delivered to the other party atthe location indicated in the Contract with

acknowledgement of receipt given thereto.Formal notices may, however, be sent to thesaid address by registered mail, fax, cable ortelex as appropriate

Continued


129/297


129

provided that confirmation of such notice isreceived. Change of Consultants localaddress stated in the contract shall not beaccepted unless the new address is in the

Kingdom of Saudi Arabia and the Employer isso notified at least 15 days prior to thechange of address.

Exercise - Timing


130/297


130

g

The Contract requires a notice to be given within 7 days of thehappening of an event

Is this working or calendar days?

If working, what happens is one of the days is: A Friday (in an Islamic country)

A Sunday (in a Non-Islamic country)

A Saturday in (i) Dubai (ii) Saudi Arabia

A usual public holiday in the Clients country

A usual public holiday in the Contractors country

A special holiday in the Clients country (e.g for the death of aruler)

A day when the Contractors business is usually closed forannual works holidays

Service of notices


131/297


131

All notices should be required to be in writing, however, thephysical method of service needs to be defined: By hand By post By special type of post (recorded/registered etc) By fax

By e mail By telex (which still appears in many contracts)

Note that the majority of contracts do NOT allow service by email, and a significant number do not allow service by fax

Case study - notices


132/297


132

y

The Scottish branch of a Norwegian-owned Englishcompany contracted with a Dutch company to supplyservices in South Africa. They subcontracted part ofthe work to a South African company, who in turncontracted with a Qatari company for the supply of

labour from India. The same notice clause was passed down through

the contracts. When it reached the SouthAfrican/Qatari contract, it required notices to beserved in a manner which was impossible in eithercountry.

Timing and time limits


133/297


133

g

It is common to require a party wanting tomake a claim to give notice within a fairlylimited period

The contract often goes on to say that, if thisis not done, the right to present a claim is lost

Since this clause is usually directed againstthe contractor/supplier, it is a frequent cause

of dispute

Time limits


134/297


134

Make sure that any limitimposed is realistic

Distinguish betweenwarning of a claim (with

outline details) andactually presenting fullfinancial amounts andback-up

Time limitswhat happens if they are

missed?


135/297


135

missed?

The contract states no claim will be accepted bythe Client unless it is received within 14 days of thedate on which the Contractor should reasonablyhave been aware that a claim for additional costand/or time would be made

What would you do if:

1. The document is delivered 15 days after the relevantdate

2. The document is delivered within 14 days of the date

when the Contractor was aware there would be aclaim, but 20 days after he should have been aware

Format of claim


136/297


136

While there is noperfect format, it issuggested that thefollowing slide gives agood basis as to whatneeds to be included

A possible format


137/297


137

Brief summary of the contract Statement of the facts leading to the claim

Statement as to which contractual provisions(or breach of which provisions) are stated to

give rise to the claim Details of the time and/or cost claimed

A summary of any correspondence,especially notices served

A schedule of back-up information, cross-referenced in the earlier sections

A possible format


138/297


138

Brief summary of the contract Merely a statement as to the nature of the

contract, and any important features (e.g.lump sum or re-measure)

A possible format


139/297


139

Statement of the facts leading to the claim Again, this is a helpful scene-setting, and

should explain why the claimant considersthat there is any claim in the first place

It is helpful if this is kept in an un-emotivelanguage as possible, but this is not alwaysthe case!

A possible format


140/297


140

Statement as to which contractual provisions(or breach of which provisions) are stated togive rise to the claim

This is the heart of the claim, and a point thatis not always included.

Too many claims are along the lines ofsomething terrible happened, it is all your

fault, please send lots of money They should specify why a claim is permitted

Examples


141/297


141

The claim is presented on the basis that theClient failed to provide access to the Site onthe agreed date, as provided by Clause 14.3

The claim arises from a change in the

operational specification for the computersystem as set out in Notice 125H6 dated 14thJune 2008. Such a change entitles theContractor to a Variation in accordance with

Clause 21.1, but the Client refuses to issue aVariation Notice as provided by Clause 21.3,in breach of contract

A possible format


142/297


142

Details of the time and/or cost claimed

While time and cost are clearly related (and onetends to produce the other), it helps to keep themseparate

It may assist to present a bat chart illustrating time

claims, and a schedule of the costs incurred In English court cases, use is made of what is called

a Scott Schedule, which lists each sum claimed, withdetails of what it is for, and why it is claimed. Thisenable the judge to agree or strike out claims item byitem

While not a requirement for many claims, it is,nonetheless, a helpful tool in many cases

A possible format


143/297


143

A summary of any correspondence,especially notices served

A timeline is useful, together with a narrativeof the important correspondence, explaininghow the matter has developed. This shouldquote relevant extracts from the moreimportant parts of letters etc

A possible format


144/297


144

A schedule of back-up information, cross-referenced in the earlier sections

By using cross-references in the claimdocument, perhaps by footnotes, the readercan flip to the schedule and review thedocument in question.

Back up should be sufficient, but should not

drown the other party in paper

Formatwhat not to do


145/297


145

Windglass Windowsv- Capital Skyline Construction(2009)

Claims were rejected with the following note: Our financial director has returned this application and

is not willing to process the amount due to insufficientsupporting information. Please note that our companypolicy is such that each sub-contractor valuation mustbe presented in a standard format, copy attached, andauthorised by the appropriate site manager before yourapplication can be processed. Could you kindly re-submit your application with the correct supportinginformation.

This was not a requirement of the contract, and thesub-contractor was allowed to proceed to claim theirmoney without amending the paperwork

Supporting information


146/297


146

While it reasonable torequire supportinginformation, do notdemand more than youactually need

Remember thateverything costs moneyto produce moneythat will be included in

the price that you pay

Supporting documents - exercise


147/297


147

When asking for supporting documents, doyou want to see originals or copies?

Would you want any authenticated, and, if so,by whom?

What about translations of anything in foreignlanguages?

Principles of claims evaluation


148/297


148

Review the main claims headings Brief summary of the contract Statement of the facts leading to the claim

Are these factually correct?

Statement as to which contractual provisions (or breach of which provisions) arestated to give rise to the claim

Are these correct? Have correct notices been served?

In the correct time? Are there other relevant provisions?

Details of the time and/or cost claimed Are these mathematically correct? Do they relate to the facts relied on? What is their breakdown

A summary of any correspondence, especially notices served Is this accurate? Has anything important been missed out?

A schedule of back-up information, cross-referenced in the earlier sections Is anything else needed?


Contributory factors (repeat)


149/297


149

Contributory factors (repeat)

Poor drafting of requirements Lack of clarity in Scope of Work/Services



By contractor


Anticipating disputeswarning

signs


150/297


150

signs

Progress = timeexpended

Cost = value

Manning below plan

Quality non-conformances

Changes in projectmanagement

Slow payments Claims team in other

offices

Weekly reportsunchanging

Parent company hascash problems

Discussions not open

Recording claims - exercise


151/297


151

How do you record claims when they arereceived?

Reviewing claims


152/297


152

We will now look at some of the processesneeded to review a claim, starting withanalysing cost

Evaluation - Types of contract cost


153/297


153

Cost Direct

Indirect Overhead

Fixed

Truly fixed Variable fixed

Variable

To convert to a Price or a sum claimed add -

Profit Or Loss (if being supplied at less than cost)

Pricing models


154/297


154

There are numerous models, but can include: Simple lump sum for a product

Rate per hour

Rate per unit

Risk and reward

Fixed sum for a period of time

Payment for results (performance based)

Price and Cost analysis


155/297


155

Price should bedirect costs +indirect costs +

overhead + costof money +profit

Analysis of cost data


156/297


156

AccuracyBack-up

Make-up of rates and lump sums

Allocated costs

Overhead recovery methods

Variation rates volume related

Dayworks

Exercise


157/297


157

Your supplier is going to use all of his Abu Dhabiplant to supply products to your company He sells for $100 a unit, made up of

Cost of materials $50 Labour costs $25

Fixed overhead $5 Variable overhead $5 Profit $15

The proposed variation rate for extra units is $100per unit. Is this correct?

AnalysisDirect Costs


158/297


158

Identifying direct materials andsubcontract pricing

Analysing direct labour costsDetermining and evaluating

other direct costs

Analysis - Direct


159/297


159

Material costsMaterials, components etc

Associated costs, e.g. freight

Scrap or surplus Direct labour

Other direct costs

May include consumables

Identifying direct materials and

subcontract pricing


160/297


160

subco t act p c g

Currentquotes

Historicalquotes

Inventory

pricing

Analysing direct labour costs


161/297


161

Identify classificationsEstimate of man hours to be

used for each gradeLabour rates for each

classification (with details)

Possible questions about labour

elements of claim #1


162/297


162

Fit with manufacturingplan

Volume necessary tocomplete

Relevant skills?

Classifications same asfor rest of company?

Appropriateclassifications

Qualifications Overlap on tasks

Overlap on currentcontract

Overlap on othercontracts

Consistent mix

New trades?

Possible Questions #2


163/297


163

Direct/indirect comparisonsIndustry/regional norms

Overtimes and shiftsPremium rates

Comparable rates

Other direct costs


164/297


164

Consumables Special tooling and test

equipment

Computer services

Consultant services Travel

Taxes

Royalties Preservation, packing

and packaging

Start up or mobilisation

costs Demobilisation costs

AnalysisIndirect Costs


165/297


165

How is overhead determinedIdentifying overhead cost

categoriesEnsuring fair allocation of

indirect costs

Analysing proposed rates

Analysis - Indirect


166/297


166

May include elements suchas -

Material overhead

Manufacturing overhead

Engineering overhead

Field service overhead Site overhead

General & Administrative

Expenses (G&A)


167/297


167

p ( )

Salary of executivestaff

Overhead costs ofhead office

Legal, accounting,PR, HR etc

Selling andmarketing

Transfer pricing

Determining overhead rates


168/297


168

INDIRECT RATE = INDIRECT COST POOL

INDIRECT COST ALLOCATION

BASE

Overhead cost categories -

examples


169/297


169

p

Material overhead Operationsoverhead

G & A Expense

Purchasing

Transportation

Indirect labourEmployee expenses

Receiving & handling

Indirect labour

Perishable tooling

Indirect materialsFixed charges

Downtime

Executives

Staff services

SellingHead office

R&D

Bids & proposals

Fair AllocationPossible

Allocation Bases


170/297


170

SALES - $100M DIRECT FACTORY COST- $15M

Product A 50%

Product B 30%

Product C 20%

Product A 30%

Product B 20%

Product C 50%

Allocations bases - issues


171/297


171

Are costs in the pool adding value to theproduct?

Are there contingency allowances?

If so, are they realistic?

Exercise - profit


172/297


172

What is a reasonable %profit for a company tomake?

Profit motive


173/297


173

Contractor stays in business

Contractor wants to work for you again

Contractor does not hide profit in cost

Motivation for good performance

Good personnel used Good relations

Reputation enhanced in marketplace

Profitwhat is reasonable


174/297


174

Assessment can be by :

Benchmarking againstindustry norms

Assessment of resourcesemployed and risks taken

On a claim or variation, whatwas in the original contract(if known)

Time


175/297


175

Remember that the personmaking the claim has todemonstrate that the delay:

1. Is not something for whichthey are responsible

2. Entitles them to anextension of time

3. HAS ACTUALLY CAUSEDthe delay claimed

The last point is very much

related to the question ofcritical path analysis

Planningcritical path


176/297


176

It is not enough for the Contractor to show there has been a delay

He must show that the delay impacted on the overall programme that is, that it caused a delay on the critical path

Conversely, if the delay is on the critical path, the impact may bedisproportionate. For example, a delay of one week could push thework out of a weather window, and cause a delay of several

months

BUT if there is float in the plan, this may belong to the Contractor,enabling him to claim an extension of time, even though he may beable to absorb the delay

Critical path -exercise


177/297


177

How do you determine if an activity is on thecritical path?

Requesting further information


178/297


178

We have already looked at making sure thatyou only ask for the information you actuallyneed

However, you should also be careful to ask

for further information quickly and logically

Drip-feeding requests can sour a negotiation

Realistic appraisals


179/297


179

It is worth making the point that it is nothelpful to ignore genuine claims

THIS DOES NOT MEAN YOU SHOULD PAYSUMS THAT ARE NOT DUE!!!!!

However, where the point is small, it maysimply not be worth arguing over somethingtrivial

Be realistic many things are not 100% black

and white, much of the world is shades ofgrey (gray if you are American)

Global claims


180/297


180

Commonly used incomplex engineering andconstruction disputes

They have a difficult legal

history, sometimesaccepted, sometimes not

Global claims - issues


181/297


181

It is the duty of the Contractor to demonstrate linkage between thematter complained of (e.g. a variation or breach) and the damagesuffered. Global claims do not do this.

The problem is that large projects are so complex that the generalrule is virtually impossible to apply in practice

Global claims say it is all down to the Client, so all the impacts are

payable

The risk for the Contractor is that if any element is found to havebeen the Contractors responsibility, the whole claim may fail

Responding to a global claim


182/297


182

Invite the Contractor to

demonstrate cause and effect If they decline, ask them to list

all causes, and to confirm thattheir case is that thecombination of these causescaused the costs

Identify any individual cause

where some or all of theresponsibility rests with theContractor

Be realistic they may be right,and time and cost will be savedby a little horse trading

Payments on account


183/297


183

If it is clear that money is owed,

an interim payment has theeffect of

Demonstrating good faith

Assisting the Contractors cashflow

Reducing any claim forinterest/cost of money

BUT, these can also be seen asa sign of weakness

Admissions and denials


184/297


184

Admissions

If the facts are clear, there israrely any harm in agreeingthem

If the claim goes into dispute,you will lose on this point

anyway, so save cost and timewith a concession

This also gives more credibilityto your denials

Denials

Similarly, a clear, reasoneddenial brings matters to a head

Merely saying you are thinkingabout matters, when the realityis that the answer is no helps

nobody

Offers of settlement


185/297


185

If offering to settle a claim, it may be necessary touse certain specific legal terms to prevent the offerbeing used against you

A common term is without prejudice

This means I still think you are not due any money,but, without prejudice to that position, I will offer you100,000 rials to get rid of this problem

If this is accepted, there is no problem. If it isrejected, the claimant cannot produce the offer incourt as evidence that the Client admits that 100,000rials is due, which is simply not the case

Legal costs


186/297

Euromatech - Claims and CounterclaimsMana

2. Claims and Counterclaims Management

Documents