Civil Engineering Project Management (4th Edition)
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44 <strong>Civil</strong> <strong>Engineering</strong> <strong>Project</strong> <strong>Management</strong><br />
bonus, delay damages, and price adjustment. A short form for minor works<br />
and a short sub-contract form are also available.<br />
The contract requirements are defined in separate sets of data – Works<br />
Information and Site Information supplied by the Employer, and Contract<br />
Data which set out various pieces of information depending on which options<br />
have been chosen.<br />
A project manager appointed by the employer administers the contract on<br />
behalf of the employer, assisted by a supervisor on site. A separate adjudicator is<br />
appointed to whom the contractor (but not the employer) can take disputes<br />
with the project manager or the supervisor for adjudication. But if the employer<br />
or the contractor disagrees with the adjudicator’s decision either can have the<br />
dispute referred to any final tribunal set out in the contract.<br />
The contract attempts to overcome some old problems by several new<br />
approaches, but the latter may present some new difficulties. A list of eighteen<br />
Compensation Events is prescribed, each of which entitles the contractor to claim<br />
extra payment and delay. They include the usual matters of claim such as variation<br />
of work, unforeseen conditions, etc. but add unusual weather. The latter<br />
is defined as – Weather recorded ‘within a calendar month … at the place<br />
stated in the Contract Data … which by comparison with the weather data, is<br />
shown to occur on average less frequently than once in ten years.’ The weather<br />
data is that supplied by the employer in the Contract Data, and a ‘weather<br />
measurement’, could, for instance be rainfall. This definition could give rise to<br />
problems of interpretation and may lead to claims even when the weather<br />
causes no delay.<br />
Another provision is that the contractor’s claims when he experiences a<br />
compensation event take the form of quotations which the project manager can<br />
accept, return for revision, or reject by advising he will make his own assessment<br />
in lieu. The problems with this approach are discussed in Section 17.12<br />
below. Strict time limits of 2 weeks apply to stages of action and response<br />
by both contractor and project manager in respect of such quotations and<br />
other submissions. These times are tight and may cause difficulties; failure<br />
of the project manager to reply within a specified time limit being itself a<br />
compensation event!<br />
The stated intent of the drafters of the ECC contract is to stimulate good<br />
management. This seems to be achieved by requirements for meetings in a<br />
variety of situations, so as to seek advantageous solutions to potential problems,<br />
and the tight timetables for responses between the parties.<br />
(g) Partnering Addendum<br />
This addendum has been issued by the ICE in 2003 to provide for the partners<br />
setting down their objectives and any risk sharing provisions formally. The<br />
addendum acts as an addition to individual contracts, which may be of any<br />
type, and allows for revision as partners leave or are added to a project.