Underdstanding and Procedure - knowledgecenter.ptpp.co.idknowledgecenter.ptpp.co.id/app/assets/upload/files/42c03c7cf4b548d... · 5/1/2000 · Data detail harus menyebutkan Klausula

Construction Claim:

Underdstanding and Procedure(UNDER FIDIC CONTRACTS)

Oleh: Dr. Sarwono Hardjomuljadi

© Dr. Sarwono Hardjomuljadi

Engineering Procurement and Construction

Le Meridien Hotel, Jakarta, 13-14 Juni 2012

KLAIM

KLAIM PEMAHAMAN BENTUK / JENIS KLAIM PROSEDUR PENGAJUAN KLAIM ADMINISTRASI KONTRAK

Engineering Procurement and Construction

Le Meridien Hotel, Jakarta, 13-14 Juni 2012

Hardjomuljadi et al (2006) [17] “Klaim adalah suatu tindakan seseorang untuk meminta sesuatu, dimana hak seseorang tersebut telah hilang sebelumnya, karena yang bersangkutan beranggapan mempunyai hak untuk mendapatkannya kembali”.

Garner (2004) [16] “A demand for money, property, or a legal remedy to which one asserts a right”

Martin and Law (2006) [18] “Claim is A demand for a remedy or ascertain of a right, especially the right to take a particular case to court”

CLAIM


Hanvey (2005) [19]“ One of the mostcommon issues impacting constructionprojects is inadequate or incompletedesign documents”

Fisk (2003) [21] “Differing site conditions is the one of the mostmisunderstood of all contract provisions, and the one that isfrequently the cause of large contractor claims for additional workand change orders”.

Arditi and Patel (1989) [20]

“ Most of the typical claims are caused byfactors differing site conditions”.

Barrie & Paulson (1992) [22] “Changedconditions when the actual physicalconditions or other jobsite condition provedifferent from those foreseeable from theplans and specifications”

CLAIM


(The action of demanding something, which one lost before hand, because of one’s right to recover it).

Hardjomuljadi et al (2006)

Gambaran sederhana adalah seseorang yang mempergunakan jasa angkutan udara akan menyerahkan bagasinya kepada perusahaan penerbangan untuk selanjutnya mengklaim kembali bagasinya (baggage claim) pada saat sampai ditempat tujuan penerbangan


Contractual ClaimsKlaim konstruksi di mana kontraktor secara nyata memang berhak di bayar dengan cara reimbursement dan secasra jelas mermpunyai dasar legal yang tercantum dalam kontrak seperti misalnya klaim upc.

Non-Contractual ClaimsKlaim konsatruklsui yang cara penyelesaiannya secara spesifik tidak diretapkan dalam kontrak, misalnya klaim, karena perubahan nilai tukar., ex gratia claims.


EMPLOYER’S CLAIM


2.5 Klaim oleh Pengguna JasaApabila Pengguna Jasa menganggap dirinya berhak atas oleh Pengguna Jasa pembayaran apapun berdasarkan Klausula mana saja dari Persyaratan ini atau sehubungan dengan Kontrak, dan/atau perpanjangan Masa Pemberitahuan Cacat Mutu, Pengguna Jasa atau Enjinir harus menyampaikan pemberitahuan dan rincian kepada Kontraktor. Akan tetapi, pemberitahuan tidak diperlukan untuk pembayaran yang harus dilakukan berdasarkan Sub-Klausula 4.19 [Listrik, Air dan Gas], Sub-Klausula 4.20 [Peralatan Pengguna Jasa dan Bahan-bahan Bebas Pakai], atau untuk pelayanan jasa yang diminta oleh Kontraktor.

Pemberitahuan harus diberikan sesegera mungkin setelah Pengguna Jasa menyadari atau harus menjadi sadar akan adanya kejadian atau hal-hal yang dapat menimbulkan klaim.

Pemberitahuan yang berkaitan dengan perpanjangan Masa Pemberitahuan Cacat Mutu harus diberikan sebelum berakhirnya masa tersebut.


2.5 Klaim oleh Pengguna Jasa (lanjutan)Data detail harus menyebutkan Klausula atau dasar pengajuan klaim, dan harus mencantumkan data pendukung atas jumlah dan atau perpanjangan yang dianggap berhak diperoleh Pengguna Jasa dalam kaitannya dengan Kontrak. Enjinir kemudian dapat melanjutkan berdasarkan Sub-Klausula 3.5 [Penetapan] untuk menyetujui atau menetapkan:

(i) jumlah (jika ada) yang berhak diterima oleh Pengguna Jasa dan dibayar oleh Kontraktor, dan/atau

(ii) perpanjangan (jika ada) Masa Pemberitahuan Cacat Mutu berdasarkan Sub-Klausula 11.3 [Perpanjangan Masa Pemberitahuan Cacat Mutu].

Jumlah ini dapat dimasukkan sebagai potongan terhadap Harga Kontrak dan Berita Acara Pembayaran. Pengguna Jasa hanya berhak melakukan pemotongan dari jumlah pembayaran yang disetujui dalam Berita Acara Pembayaran, atau mengajukan klaim kepada Kontraktor, berdasarkan Sub-klausula ini.


FIDIC Construction 1999 Clause 2.5 Employer’s ClaimsIf the Employer considers himself to be entitled to any payment under any Clause of these Conditions or otherwise in connection with the Contract, and/or to any extension of the Defects Notification Period, the Employer or the Engineer shall give notice and particulars to the Contractor. However, notice is not required for payments due under Sub-Clause 4.19 [Electricity, Water and Gas], under Sub-Clause 4.20 [Employer’s Equipment and Free-Issue Materials], or for other services requested by the Contractor.The notice shall be given as soon as practicable, of the event or circumstances giving rise to the claim. A notice relating to any extension of the Defects Notification Period shall be given before the expiry of such period.


FIDIC MDB 20 Clause 2.5 Employer’s ClaimsIf the Employer considers himself to be entitled to any payment under any Clause of these Conditions or otherwise in connection with the Contract, and/or to any extension of the Defects Notification Period, the Employer or the Engineer shall give notice and particulars to the Contractor. However, notice is not required for payments due under Sub-Clause 4.19 [Electricity, Water and Gas], under Sub-Clause 4.20 [Employer’s Equipment and Free-Issue Materials], or for other services requested by the Contractor.

The notice shall be given as soon as practicable and no longer than 28 days after the Employer became aware, or should have become aware, of the event or circumstances giving rise to the claim. A notice relating to any extension of the Defects Notification Period shall be given before the expiry of such period.


CONTRACTOR’S CLAIM


Clause 20Claims, Disputes and Arbitration

20.1Contractor’s ClaimsIf the Contractor considers himself to be entitled to any extension of the Time for Completion and/or any additional payment, under any Clause of these Conditions or otherwise in connection with the Contract, the Contractor shall give notice to the Engineer, describing the event or circumstance giving rise to the claim. The notice shall be given as soon as practicable, and not later than 28 days after the Contractor became aware, or should have become aware, of the event or circumstance.

- Hak kontraktor untuk mengajukan klaim EOT & Additional Payment

- Pembeitahuan atas kemungkinan klaim dan batas waktu penyampaiannya.


The Contractor shall keep such contemporary records as may be necessary to substantiate any claim, either on the Site or at another location acceptable to the Engineer. Without admitting the Employer’s liability, the Engineer may, after receiving any notice under this Sub-Clause, monitor the record-keeping and/or instruct the Contractor to keep further contemporary records. The Contractor shall permit theEngineer to inspect all these records, and shall (if instructed) submit copies to the Engineer.


20.1Contractor’s Claims

- Tentang catatan lengkap (contemporary record).

- Hak Enjinir untuk memeriksa catatan

Each Payment Certificate shall include such additional payment for any claim as have been reasonably substantiated as due under the relevant provision of the Contract.Unless and until the particulars supplied are sufficient to substantiate the whole of the claim, the Contractor shall only be entitled to payment for such part of the claim as he has been able to substantiate.


20.1Contractor’s Claims

- Setiap BA Pembayaran harus termasuk tambahan biaya klaim, dalam hal belum dapat disetujui, diberi tanda bintang.

Clauses requiring notice by the Contractor (1)

1.8 Care and Supply of Documents1.9 Delayed Drawings or Instructions1.13 Compliance with Laws2.1 Right of Access to the Site3.4 Replacement of the Engineer4.3 Contractor’s Representative4.4 Subcontractors4.7 Setting Out4.12 Unforeseeable Physical Conditions4.16 Transport of Goods4.20 Employer’s Equipment and Free-Issue Materials4.21 Progress Reports4.24 Fossils

20.2Appointment of the Dispute Board

Disputes shall be referred to a DB for decision in accordance with Sub-Clause 20.4[Obtaining Dispute Board’s Decision]. The Parties shall appoint a DB by the date stated in the Contract Data.The DB shall comprise, as stated in the Contract Data, either one or three suitablyqualified persons (“the members”), each of whom shall be fluent in the language forcommunication defined in the Contract and shall be a professional experienced in thetype of construction involved in the Works and with the interpretation of contractualdocuments. If the number is not so stated and the Parties do not agree otherwise, the DB shall comprise three persons.

- Tentang Penunjukan Dewan Sengketa


5.2 Objection to Nomination7.3 Inspection7.4 Testing8.3 Programme8.4 Extension of Time for Completion8.9 Consequences of Suspension8.11 Prolonged Suspension9.1 Contractor’s Obligations [Tests on Completion]9.2 Delayed Tests10.1 Taking Over of the Works and Sections10.2 Taking Over of Parts of the Works10.3 Interference with Tests on Completion12.1 Works to be Measured


12.4 Omissions13.1 Right to Vary13.7 Adjustments for Changes in Legislation16.1 Contractor’s Entitlement to Suspend Work16.2 Termination by Contractor17.4 Consequences of Employer’s Risks17.5 Intellectual and Industrial Property Rights18.1 General Requirements for Insurances18.2 Insurance for Works and Contractor’s Equipment19.2 Notice of Force Majeure19.3 Duty to Minimise Delay19.6 Optional Termination, Payment and Release19.7 Release from Performance20.1 Contractor’s Claims20.4 Obtaining Dispute Board’s Decision

CASES

CONSTRUCTION RISKS AND CLAIMS MANAGEMENT

Le Meridien Hotel, Jakarta, 13-14 April 2011

Kontraktor melaksanakan beberapa item pekerjaan pada proyek jalan bebas hambatan sesuai spesifikasi dan gambar, tetapi karenakuantitas pekerjaan sudah mencapai volume yang ada dalam BOQ untuk pekerjaan tersebut, misalnya item pekerjaan galian struktur, kontraktor memutuskan untuk menghentikan pekerjaan

Padahal jika pekerjaan ini tidak terselesaikan terlebih dahulu maka banyak item pekerjaan lain yang tidak dapat dimulai pelaksanaannya misalnya grade preparation, common embankment. Dalam klausul kontrak disebutkan bahwa kuantitas pekerjaan yang ada dalam BoQ adalah pekiraan dan tidak dapat digunakan sebagai kuantitas aktual dan benar (GCC 14.1.c).

Hal yang harus diperhatikan: Hirarki dokumen tender, unit price atau lumpsum, perintah perubahan

CASE 1

Setelah melakukan rekayasa lapangan pada masa mobilisasi bersama dengan Enjinir dan PPK, disimpulkan bahwa terdapat pekerjaan major yang pay itemnya tidak termasuk dalam BOQ misalnya Galian Batu pada tebing dimana pada tahap desain diidentifikasi sebagai Galian Biasa. Jika pekerjaan tersebut tidak dilaksanakan, maka pekerjaan lain yang merupakan critical path seperti penyiapan drainase dan penyiapan badan jalan untuk pelebaran tidak dapat dimulai.

Penambahan biaya yang cukup besar menyulitkan pengguna jasa dalam mengambil keputusan.

Karena tidak adanya kepastian dalam proses dan persetujuan VO maka kontraktor memutuskan untuk menghentikan pekerjaan yang pasti akan mengakibatkan keterlambatan proyek secara keseluruhan.

Hal yang harus diperhatikan: status penandatanganan kontrak, value enjiniring

CASE 2

Kontraktor telah melaksanakan item pekerjaan masonry wall sesuai dengan gambar tetapi memutuskan untuk menghentikan pekerjaan tersebut karena ada item pekerjaan lanjutan seperti filter material for backfilling tidak masuk dalam BoQ. Kontraktor meminta adanya VO kepada Enjinir yang diteruskan kepada PPK untuk memasukkan pay item baru. Sebagaimana diketahui, persyaratan kontrak GCC 3.1 menyebutkan bahwa Enjinir harus mendapatkan persetujuan dari Pengguna Jasa sebelum dapat melakukan Variasi Kontrak.

Kontraktor mengingatkan bahwa meninggalkan pekerjaan tersebut tanpa kepastian akan membahayakan pada konstruksi yang ada.

Hal yang harus diperhatikan: keadaan darurat, klaim


CASE 3

Kontraktor memberikan sebagian pekerjaan kepada beberapa subkontraktor lokal atas permintaan informal Daerah untuk pemberdayaan pengusaha lokal tanpa melaporkan ke pada Enjinir untuk mengerjakan pekerjaan critical path seperti masonry wall, side ditch dan box culvert, ternyata dalam pelaksanaannya pekerjaan-pekerjaan tersebut kemajuan (progress) nya sangat terlambat.

Karena hal tersebut pekerjaan yang akan dilakukan Kontraktor Utama menjadi terhambat.

Kontraktor berdasarkan persyaratan kontrak mengajukan revisi program. Setelah dilakukan evaluasi terlihat bahwa secara realistis program tersebut tidak akan dapat dilakukan tanpa perpanjangan waktu.

Hal yang harus diperhatikan: subkontraktor, lintasan kritis, EOT.


CASE 4

Dalam gambar design Kontraktor diminta untuk melaksanakan pekerjaan borepile dimana elevasi pile tip yang telah ditentukan berada 10 meter dibawah lapisan tanah keras atau batu. Karena diperkirakan akan menjadi kendala maka pada saat tender alat borepile menjadi salah satu kriteria evaluasi. Pada saat pelaksanaan pekerjaan Kontraktor pemenang menyatakan tidak sanggup melakukan pengeboran pada lapisan keras dan menghentikan pekerjaan di atas lapisan keras tersebut dan meminta kepada Enjinir agar dapat menerima kondisi lapangandengan membuat justifikasi teknis yang melampirkan data boring baru yang menunjukkan ada perbedaan klasifikasi lapisan keras disertai perhitungan perkuatan pondasi dengan penambahan jumlah dan perubahan konfigurasi borepile. Berdasarkan hasil evaluasi dengan mempertimbangan kondisi lapangan dan pengalaman dilokasi lain, Enjinir menolak permintaan kontraktor dan menginstruksikan untuk melanjutkan pengeboran sampai kedalaman yang tertera pada gambar. Kontraktor tidak mengikuti instruksi Enjinir dan melanjutkan pekerjaan pengecoran borepile pada kedalaman diatas tanah keras dan melakukan perubahan konfigurasi atas dasar instruksi langsung dari Pengguna Jasa walaupun Justifikasi Teknis belum disetujui Enjinir.

Hal yang harus diperhatikan: pemahaman kontrak, klaim


CASE 5

The Contractor submitted their working schedule to complete an access tunnel within x working days in accordance with Clause 14.1 Programme to be submitted and was approved by the Engineer. During the execution, the progress of work decreased and not in accordance with the schedule. The Employer gave the notice to the Contractor to maintain the progress of work as scheduled. The Contractor, before receiving the notice, had prepared a contemporary record showing that even though they fully followed the construction method the rate of working progress still happened, in other words the decreasing progress of work was not caused by the inconsistency to the construction method.

Based on his contemporary records, the Contractor could prove that to achieve the expected rate of progress as scheduled, the Contractor should add working hour or working shift. The Contractor obtained the additional cost by indirectly proved that an unforeseeable condition had occurred.

CASE 6

During the excavation of the lower half section of the tunnel, there was a different interpretation on the rock type. There were several unit prices in the Bill of Quantities, i.e. hard rock, weathered rock and common excavation. The Employer interpreted the excavated material as weathered rock, whereas the Contractor was smart enough to find the definition of weathered rock in the specification as “…... can be excavated efficiently after loosening by ripping or the use of power toolswithout drilling and blasting”. So, in case that the material cannot be “excavated efficiently”, it should be classified into the higher type, in this case as hard rock

Excavation was carried out by using bulldozer with single claw ripper (approved by the Engineer) and the rate of progress was the same as planned, whereas the scheduled equipment was bulldozer with double claw ripper. In the Contractor’s opinion, from the beginning the excavated material was classified into hard rock since the Engineer required higher qualification equipment (bulldozer with double claw ripper instead of single claw). Contractor’s claim was finally accepted.

CASE 7

The Engineer issued a Variation Order to the Contractor to approve the full price adjustment to all works in the Variation Order amounting USD 150,000.

After completing the work in two months time, the Contractor submitted their claim on “obstruction and delay due to Variation Order”.

Claim on delay and additional cost to carry out the work instructed by the Engineer through Variation Order could not be disagreed by the Engineer since the formal Variation Order only stated “cost amounting USD 150,000 payable to all works in the Variation Order”. The Contractor saw this opportunity and claimed for the additional cost and extension of time due to the “obstruction and delay” to other parts of the project which in the Contractor’s opinion was caused by the activities instructed in the Variation Order.

CASE 8

The Engineer issued a letter referred to Clause 46 FIDIC Conditions of Contract 4th Edition instructing the Contractor to expedite the progress because the progress was too low. It was also stated in the letter that the Contractor was not entitled to obtain any compensation to increase the rate of progress.

This letter did not break the Contractor down but on the contrary the Contractor tried to prove that the former delay was not caused by the Contractor’s fault. Fortunately, the Contractor kept the Minutes of Meeting containing his report on the excessive water coming out from the excavation face and asking the Engineer’s instruction to overcome the problem.

No further action until the Engineer issued the above letter and the Contractor finally obtain the extension of time in accordance with Clause 44 FIDIC Conditions of Contract.

CASE 9

The overbreak in tunnel excavation always becomes problem and brings to disputes since there is no clarity to what extent it is payable or not payable.

Due to the unclarity of A line and B line, the Contractor who formerly claimed for the payment might not get the payment for the said overbreak.

Attention shall also be paid to the existence of excessive water on excavation face whereas the method of measurement does not accommodate this fact.

CASE 10

Geological ConditionDuring the excavation of the diversion tunnel in one HEPP,

an up-side down conical slide towards the tunnel occurred and need to be filled with concrete from the top side of the tunnel.

The information submitted at the tender stage or called the “information to tenderer” was different with what was actually found on site.

Claim could be minimized by stating that the “information to tenderer” was submitted as the ”early information only and the contractor should conduct the investigation to satisfy himself before starting the work”

However, claim for the “extension of time” and additional “direct construction cost” was unavoidable since the incident actually occurred and the Contractor had executed the work in accordance with the method statement approved by the Engineer, even though it was stated in the approval letter that “approval will not relieve the contractor from their obligation”. It is the Contractor’s obligation to complete the work in good manner and without defect, not only responsible for the method statement he prepared, so there is a risk sharing between the Engineer/Employer and the Contractor.

CASE 11

Former Contractor’s faultDuring the excavation of the diversion tunnel by the main contractor, it was found that the location of the pilot tunnel for investigation made by the former contractor was too close to the excavation line using the upper half excavation method. As a consequence, the pilot tunnel of 100 meter long should be filled with concrete to strengthen the location for further excavation.Besides the claim for the direct cost for the concrete filling and the delay in the excavation, there was an indirect claim due to the delay in the completion of the diversion tunnel i.e. the delay in the river diversion to the next dry season since the diversion could not take place during the rainy season for safety reason. This concurrent claim requires special treatment since one delay may affect further activity and to avoid this kind of claim the contractor need to accelerate the concrete filling and the tunnel excavation, of course with acceleration cost.

CASE 12

CASE 13

Interfacing and Coordination Problem The schedule and the coordination between one Contractor and

another are the critical factor that may raise Contractor’s claim.The delay in the preparation work by Contractor A (activity P for civil

work of penstock tunnel) due too an optimistic schedule will raise claims from Contractor B. For example: The arrival of the mechanical equipment for activity Q which was too early would need a quite big cost for storage and idle time. Moreover, if it could be proven that the equipment was actually scheduled and would be utilized for other activity, for example activity R. The Contractor might claim for the delay in activity R due to the delay in activity P, in order to obtain the extension of time for the completion of work. In this case he Employer/Engineer should check whether the use of the equipment for activity R has been informed in advance in the Contractor’s method statement besides the schedule of equipments. If there is no information about this, the claim shall automatically fail.

To avoid the administration claim, if the Employer/Engineer shall instruct the acceleration, of course with the additional construction cost. In this situation and condition, in writer’s opinion, additional construction cost is much safer for the auditing process by the auditor compared to the administration cost since the construction cost is the expense for actual physical construction whereas the administration cost may include the Contractor’s expense or not the real expense.

Design ChangeThe Contractor said that they had ordered the equipment in accordance with the original bid, let’s say equipment A but due to design change, the tunnel became shorter and required equipment B which was more economical as suggested and approved by the Engineer.The Contractor submitted his claim stating that they had spent a sum of money to cancel the purchase of equipment A (with supporting documents from the supplier, the equipment schedule and the agreement to change the equipment A to equipment B).During the execution, the equipment A was also required due to the geological condition. The Contractor had to purchase the equipment A, whereas the equipment B was just utilized for only 25 meter.The price for the same equipment A was higher than before but it should be purchased and brought to the site as soon as possible.

CASE 14.1

The claims were unavoidable, since:The Engineer instructed design change.The Engineer suggested the use of equipment B.The cancellation fee of equipment B was USD X.The equipment A was required and had to be purchased. The price was higher due to the tight production and

delivery time.The equipment B had been purchased and used at site.

If the Contractor was smart enough, they might claim for returning cost of the equipment B.

The operator’s fee because the equipment A was different and more sophisticated compared with equipment B. The Employer was responsible for the cost of mobilization and demobilization.

CASE 14.2

The tunnel was completed and worked as expected but the cost payable to the Contractor was very expensive (technically and financially) besides the delay in the tunnel operation meant the delay in the operation of the Hydro Electric Power Project. The design change to make the tunnel shorter was not economical at all, and in the contrary made double the construction cost.

Lessons learned from this case:The Engineer did not base his decision on thorough investigation but by his intuition only.We should aware of cutting the direct cost since the contractual claim in form of administration cost is actually not useful and has no relation with the construction cost but has to be paid and becomes the project cost.

CASE 14.3

Decision MakingIn one HEPP, there were two parts of headrace tunnel i.e. upper and lower part. The rock condition in the upper headrace tunnel was so bad so that every time the TBM (Tunnel Boring Machine) went forward, slides always occurred behind the blade.The Employer, based on his experience in other HEPP, instructed the Engineer to give the Engineer’s Instruction to strengthen the rock condition in the tunnel alignment for about 100 meter long ahead till the bad rock condition ended (based on the Information to Tenderer). The strengthening was carried out by the installation of earth reinforcement forming layered curtain for certain distance of tunnel cross section and then sprayed with concrete grouting.The direct cost was about USD 100,000. After the concrete grouting, the tunnel excavation using the TBM could be continued and the work could be completed. The bad rock condition was actually predicted in the Information to Tenderer but the proper decision had been taken before the work was fully stopped.

CASE 15.1

In the beginning, the decision was considered as not economical, a deviation to the contract and a favour to the Contractor, but at last it was proven as a right decision since the TBM only worked well in the good and homogeneous rock condition. We should know that sophisticated equipment was not always better than conventional equipment, for example TBM is effective and efficient for the tunnel excavation in good and homogeneous rock condition. For bad and inhomogeneous rock condition, better to use conventional excavation method with drilling and blasting called DBM (drilling, blasting, mucking).

CASE 15.2

Decision Making

For the lower headrace tunnel, the similar problem occurred but it seemed that the decision was made after too many considerations and caused the rock weathering, deterioration and loosening.Even the tunnel was then completed using the additional construction of steel lining and grouting, the cost was far bigger than the countermeasures in the upper headrace tunnel. We can see that the timely decision is absolutely required in the construction stage. A project manager should have besides the technical ability, also the courage to make a timely decision based on the existing contract taking into account the effect of delay in one section to the other section.

CASE 15.3

Decision Making

TIME

B

C1 D1

C D

EA F

OTHERS

CONSTRUCTION RISKS AND CLAIMS MANAGEMENT

Le Meridien Hotel, Jakarta, 13-14 April 2011

SAMPLE BIDDING DOCUMENTS UNDER JBIC ODA LOANSPROCUREMENT OF CIVIL WORKSJapan Bank for International Cooperation (JBIC)November 1999(Amended September 2007)

Section 2 Part I – General Conditions ················……···················23NOTES ON CONDITIONS OF CONTRACT................................................. ....23

FIDIC CONDITIONS OF CONTRACT FOR WORKS OF CIVIL ENGINEERING CONSTRUCTION........................................................................25

PART I – GENERAL CONDITIONS, FOURTH EDITION, REPRINTED 1992 WITH FURTHER AMENDMENTS .........................................................................25

Federation Internationale des Ingenieurs Conseils - Japan International Cooperation AgencyContract Management for International ConstructionJakarta, 26th – 30th July 2010


Check List for One Sided ContractsFor use with “Sample Bidding Documents under JBIC ODA Loans -Procurement of Civil Works” November 1999 Edition

December 2006

Procurement Policy and Supervision DivisionProject Development DepartmentJapan Bank for International Cooperation(JBIC)



There are three potential factors which make any contract one sided as follows:-

(1) the Contractor’s contractual rights are unreasonably limited.

(2) the Contractor’s contractual responsibilities are unreasonably expanded.

(3) the Engineer’s powers, discretions and or authority are excessively restricted.



Employer’s Obligation and Responsibilities

1. to give possession of the site to the Contractor

2. to give necessary instructions, consents, approvals and notices to the Contractor under contract’s clauses

3. to pay the Contractor as specified in the contract

4. to be responsible for the Employer’s risk items



Mortimer-Hawkins (1993) [15] ” ……the principal obligation ofthe Contractor is to execute and complete the Works in strictaccordance with the terms and conditions of the Contract, butthe Employer is also required to carry certain risk under thecontract”.

[15] Mortimer-Hawkins, Michael (1993): “Conditions of Contract for Works of Civil Engineering Construction” BITS-Swedpower, Stockholm, Sweden

THE CONTRACTOR’S AND THE EMPLOYER’S OBLIGATION

©Sarwono Hardjomuljadi


1 + 2 = 3Persyaratan teknis memastikan spesifikasi yang harus dipenuhi, Siapapun yang akan mempunyai pendapat yang sama untuk capaian yang diinginkan.

1 + 2 = 3 atau 1 + 2 = ?Persyaratan umum kontrak.memuat persyaratan yang bisa ditafsirkan berbeda oleh para pihak.



Factor 3.1 Changes in Design

Factor 1.2 Variation Order

Factor 1.1 Constructive Change Order

Factor 2. 2 Possession of Site and Availability

Factor 1.3 : Inadequate site investigation

Factor 3.2 Subsurface conditions of geology

Factor 3.3 Other Contractors Interference and Delay

Factor 3.4 Inefficiency and Disruption

Factor 2.1 Oral Change Order by Employer

CLAIM


CLAIM

D02CONSTRUCTIVE

CHANGE ORDER

A05CHANGE IN DESIGN

D06VARIATON ORDER

A14INADEQUATE SITE

INVESTIGATION

A16ORAL CHANGES ORDER

BY EMPLOYERA19

POSESSION OF SITE

+

+

+ +

+

+

+

-

72,6%

90,3%81,7%

88,2%

64,7%

55,4%-


Based on the questionnaires distributed bySarwono (2008)[1] among the employers (42),consultants (27) and contractors (40), analyzed bySPSS 13, it was found that the additional costs onthe contractual claims and non contractual claimsin Indonesia were due to the possession of siteand the changes in design.

[1] Hardjomuljadi, Sarwono (2008): “Pre-Contract Strategy on Reducing The Impact of Construction Claim at Hydro Electric Power Plant Project in Indonesia”.

© Sarwono Hardjomuljadi



I SHOULD FIND THE EMPLOYER WEAKNESS IN THE CONTRACT TO SUBMIT CLAIMS.

EMPLOYER

I HAVE THE CONTRACT WITH MODIFIED CONDITIONS AS WE REQUIRED FOR OUR CONVENIENCE, AGREED AND SIGNED BY THE CONTRACTOR.

I HAVE THE CONTRACT WITH MODIFIED CONDITIONS AS WE REQUIRED FOR OUR CONVENIENCE, AGREED AND SIGNED BY THE CONTRACTOR.


CONTRACTOR


CONTOH STRATEGI KONTRAK:

Suatu hal yang menarik dari sudut pandang penyedia jasa/ kontraktor adalah adanya suatu strategi yang sering dilakukan oleh penyedia jasa/kontraktor yaitu penawaran biaya proyek dibuat serendah mungkin, tentunya dengan terlebih dahulu mengkaji pasal-pasal kontrak yang merupakan persyaratan (conditions).

Sebagai contoh: Dalam suatu kontrak jual beli listrik, ditawarkan suatu harga jual yang rendah dengan kondisi “take or pay” di mana suatu jumlah tertentu pembelian disepakati, jika kebutuhan energi ternyata dibawah angka kesepakatan, pihak pembeli tetap harus membayar sebesar jumlah minimum pembelian yang tercantum dalam kontrak. Kejadian ini kelihatannya biasa dan dalam batas kewajaran, tetapi hal ini sebenarnya dapat dikategorikan sebagai suatu strategi di pihak penyedia jasa.


Penyedia jasa yang memahami kekuatan pasal-pasal dalam kontrak, akan memasukkan dalam perjanjian kontraknya pasal-pasal yang memberi peluang untuk mendapatkan kembali “suatu hak yang telah hilang” yang disebabkan oleh penawaran harga yang relatif rendah, tentunya dengan mempelajari terlebih dahulu kebutuhan listrik (power demand) yang ada dan kemudian memperhitungkan semua biaya yang dibutuhkan untuk menentukan harga pokok penjualan dan menambahkan profit, sesuai dengan prinsip usaha yaitu mencari keuntungan semaksimal mungkin.


Clause 2.1 Right of Access to the SiteThe Employer shall give the Contractor right of access to, and possession of, all parts of the Site within the time (or times) stated in the Contract Data. The right and possession may not be exclusive to the Contractor.

If, under the Contract, the Employer is required to give (to the Contractor) possession of any foundation, structure, plant or means of access, the Employer shall do so in the time and manner stated in the Specification.

However, the Employer may withhold any such right or possession until the Performance Security has been received.

If no such time is stated in the Contract Data, the Employer shall give the Contractor right of access to, and possession of, the Site within such times as required to enable the Contractor to proceed without disruption in accordance with the programmesubmitted under Sub-Clause 8.3 [Programme].

FIDIC MDB Harmonised Major Works (Costruction) Contract ConferenceRenaissance Hotel, Brussels, Belgium27 – 28 January 2011


0000Additional Cost & Extension of Time

1203Contractor’s Capability

1303Financial Ability

1502Bid Evaluation.

1408MANAGEMENTDECISION

1204Planning of Interfacing

1503Government Decision

1304Human Resources

1501BEYOND THE CONTROL.

1404Contract’s Price

1403Financial Management

1405Contract’s Escalation Clause

1504BEYOND THE CONTROL

1407BEYOND THE CONTROL.

1306Planning Capability



1000Possession of Site

1406Recruitment /Employment System

1305Equipment Availability

1102Infrastructure Availability

Causal Factor of the Occurrence of Additional Cost and Extension of Time.

(Possession of Site – Infrastructure Availability)


0000Additional cost & Extension of Time

1103Other Utilities

1205TelecommunicationAvailability

1000Possession of Site

1206Electric Power Supply Availability

1307Condition in the Specification

1409Specification’s Preparation.

1503MANAGEMENTDECISION.


(Possession of Site – Other Utilities)



Additional Cost & Time Extension

Possession of Site

Land Acquisition

Planning Land Use

Regional Government Action

Cultural Approach Regulation

Staff Capability


(Possession of Site – Land Acquisition)




Clause 4.12 Unforeseeable Physical ConditionsIn this Sub-Clause “physical conditions” means natural physical conditions and man made and other physical obstructions and pollutants, which the Contractor encounters at the Site when executing the Works, including sub-surface and hydrological conditions but excluding climatic conditions.If the Contractor encounters adverse physical conditions which he considers to have been Unforeseeable, the Contractor shall give notice to the Engineer as soon as practicable.(FIDIC General Conditions of Contract for Construction, 1st Edition 1999 and MDB Harmonised Edition 2006)




Based on the Contract: material in the tunnel excavation is rock type A

Actual condition: material in the tunnel excavation is rock type B

Question:

Could it be considered as an Unforeseeable Physical Condition ?

May the contractor submit a claim for this condition?

Rock type B is harder than A



Sub-Clause 13.1 Right to VaryVariations may be initiated by the Employer at any time prior to issuing the taking Over Certificate for the Works, either by an instruction or by request for the contractor to submit a proposal.The Contractor shall execute and be bound by each Variation, unless the Contractor promptly gives notice to the Employer stating (with supporting particulars) that the Contractor cannot readily obtain the Goods required for the Variation. Upon receiving this notice, the Employer shall cancel, confirm or vary the instruction.Each Variation may include:(a) changes in the quantities of any item of work included in the Contract (however, such change do not necessarily constitute a Variation), (b) changes to the quality and other characteristics of any item of work,(c) changes to the level, positions and/or dimension of any parts of the Works,(d) omission of any work unless it is to be carried out by others,(e) any additional works, Plant, Materials or services necessary for the Permanent Works, including any associate Test on Completion, boreholes and other testing and exploratory work or,(f) changes to the sequence or timing of the execution of the Works.(Conditions of Contract for Construction-1999 and MDB Harmonised Edition-2006)



0000Additional Cost & Extension of Time

4000Variations

4101Formal Change

4102Constructive Change

4201Ommission, Increase, orDecrease of quantity.

4202AmmendPreviously Approved Drawing

Drawing

4203Change the Quality of Material

4204Any kindNecessary for Completion of the Work


4205Constructive Acceleration

4206UnspecifiedAdministrativeRequirement

4207InaccurateInformation

4208Over-inspection

4209ImproperRejection


4303Data/informationCollected duringTender Preparation

4304Knowledge andExperience of Supervisor

4401Staff Capability



(Variations-Changes in Design)



MODIFIED CONDITIONS OF CONTRACT BY THE EMPLOYEREmployer’s Reason : To avoid the Contract’s Cost Overrun

WON BY EMPLOYER WON BY CONTRACTOR

CONTRACT PRICE NOT INCREASE

POSSIBLY BAD QUALITY

DELAY IN OPERATION OF THE PREMISES FOR REVENUE

INCREASE OF CONTRACT PRICE

IMPACT TO THE EMPLOYER

POSSIBLY PROJECT COMPLETION DELAY

CLAIMS


2000.01.01

Commencement Date

Scheduled Starting date of contractor’s activity and Possession of Site [Clause 2.1] refer to Sub-Clause 8.3 [Programme]

2000.03.01

2000.03.01 2000.04.012000.03.20

Actual Possession of site [Clause 2.1], (3 stages) without disruption to the contractor’s activities

Actual start of contractor’s activity

2000.05.01

Employer’s barrier for Clause 20:

1. Payment of Performance Security

2. Right to Claim if suffer delay

Start of contractor’s activity as scheduled


TERIMA KASIH
