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Y

PROCESSING OF VARIATION ORDERS UNDER FIDIC RED BOOK 4TH EDITION 1992

Does Contractor seek VO from Engineer (CL 13 or 20) Y

Does Engineer deem necessary to issue VO (CL 51.1) Y

No VO

Does Contractor notify Engineer accordingly Y

Contractor has no Authority to make VO or to suspend the Works (CL 51.2)

Is Engineer required to seek Employers Approval before issuing VO (CL 2.1(b)) Y

Engineer to Certify Dayworks Amounts in Interim Certificates

Not Entitled to Dayworks

N Does Engineer Issue VO in accordance with CL 51.1 N N Does Engineer issue VO in accordance with CL 51.1 Y N Does Employer grant Engineer approval to issue VO Does Engineer Consult with Employer Y
Does Engineer consider it impractical to submit such statements (CL 52.4)

Y Engineer to proceed to authorise payment to Contractor subject to being satisfied the resources together with rates and prices are fair and reasonable (CL 52.4) Y

Contractor may request the Engineer to Issue VO in accordance with CL 51.1

Has Contractor submitted Monthly priced statement (CL 52.4)

Y Engineer to countersign one duplicate copy of the Dayworks Records Submitted by Contractor and return the same to the Contractor (CL 52.4)

Requisite Approval Deemed provided by Employer for Engineer to Issue VO (CL 2.1)

Possible dispute between Engineer and Employer. Contractor is under no obligation to question this matter and approval is deemed provided by Engineer issuing VO

No VO

Y Are the Dayworks Records correct and Agreed (CL 52.4)

Y Can Engineer & Contractor Agree on details

The Engineer may make any VO in the form, quality or quantity of the Works or any part thereof that may in the opinion of the Engineer be necessary or appropriate and shall have the authority to instruct the Contractor to vary the Works

Contractor shall vary the Works as instructed in VO (CL 51.1)

Is the VO as a result of a default by the Contractor

Any additional costs which result from the VO shall be borne by the Contractor in accordance with CL 51.1

Contractor to submit Dayworks records as the works proceed each day to the Engineer together with duplicate lists of workmen, materials and plant engaged in execution of the Works. (CL 52.4)

N Contractor shall furnish proof of all payments made by him to the Engineer and obtain the Engineers approval before the ordering of materials under Dayworks (CL 52.4)

The VO shall not in any way vitiate or invalidate the Contract (CL 51.1)

Are varied Works under VO to be executed under Dayworks (CL 52.4) N

The Engineer shall certify varied works instructed under the VO under the terms set out in the Day Works Schedule as included within the Contract and at the rates and prices stated therein (CL 52.4)

Does Contractor Give notice of extra payment or varied rate Y

Engineer may choose not to Value the VO (other than omitted Works) in accordance with CL 52.3

MALCONLAW

Does the VO render rates or prices inappropriate or inapplicable N

Engineer to Value the VO in accordance with CL 52.1

END

Does Contract contain applicable rates and prices (CL52.1)

Does Engineer deem rates and prices appropriate (CL 52.1)

Is Sum Acceptable Y

N
Start of Dispute or Claim (CL 53 & 67)

The rates and prices as contained in the Contract shall be used as basis to value the

Engineer to Adjust Final Contract Price & Certify accordingly Varied Works under VO shall be valued at rates and prices contained in Contract (CL 52.1)

Engineer to consult with Contractor & Employer to agree suitable rates and prices for varied Works under VO (CL 51.1)

Engineer to determine and notify adjustments with copy issued to Employer and Contractor Are the rates and prices acceptable to the Contractor

Y Y

Is Agreement Reached on prices and rates

N Engineer to Consult with Contractor and Employer in respect of adjustment of rates and Prices due to Contract Price variance (CL 52.3)
Start of Dispute or Claim (CL 53 & 67)

Is Agreement reached

Apply the Agreed rates and prices

Engineer shall fix appropriate rates and prices and notify Contractor with copy to Employer (CL 52.1) N Are the rates and prices acceptable to the Contractor No further Adjustment to VO Rates and Prices Required N

Y
Do rates require adjustment due to 15% variance of Contract amount as CL 52.3

Y Y Is Agreement on rates and prices agreed N Engineer to determine provisional rates and prices (CL 52.2)

Y Has Engineer issued Taking over certificate for whole of Works (CL 48.1)

Await Contract Completion Engineer to Certify amounts in Interim Payment Certificates