Amendments and Additional Clauses to The PAM Agreement And Conditions Of Building Contract Private

Edition With Quantities (Edition 1998 Revised October 1998) consisting of eight (8) pages (including this
page) which are and shall be read and construed as part of the said Agreement And Conditions Of Building
Contract.

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Signature Of Contractor

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Signature Of Officer

Name In Full :

Name In Full :

I.C. No. : .

Designation : ..

In the capacity of :

Only authorised to sign for and on

behalf of Only authorised to sign for and on
SDN. BHD.

behalf of

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Contractors Chop Or Seal

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Official Chop

Witness : .

Witness : .

Name In Full :

Name In Full :

Occupation : ..

Designation : ..

Address : ....

Address : ....

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1.

Articles of Agreement
1.1

Article 7 - Definitions
Add the following additional definitions to Article 7:s)

t)

2.

Practically Completed or Practical Completion means the completion of all the

works specified in the Contract for practical intent and purpose of the Contract and
shall include the following:(1)

Obtain clearance letter from the relevant Authorities or Utilities Companies

for the completed works executed by the Main Contractor necessary for the
application and approval of Certificate of Fitness (CF) by Local Authority; and

(2)

Submission of operation maintenance manuals concerning the Works,

materials or equipment warranties from the relevant manufacturers, test
certificate and as-built drawings:

(3)

Any other relevant documents required by the Contract Document to signify

that the Works have been completed in accordance with the Contract.

"Loss And/Or Expense means the direct relevant costs of labour, materials or goods
and construction plant actually incurred on the Site and the costs of an overhead
nature actually and necessarily incurred on the Site but in either case only in so far
they would not otherwise have been incurred and which were not and should not
have been provided for by the Contractor.

Clause 1 - Contractor's Obligations

2.1

Clause 1.2
Delete Clause 1.2 in its entirety and substitute with the following:The Contractor shall pre-plan the Works and inter-alia, check for discrepancy in or
divergence between the Contract Documents (as hereinafter defined) prior to the execution
of the Works or any part thereof. If the Contractor shall find any such discrepancy or
divergence, he shall immediately give to the Architect a written notice specifying the same
and the Architect shall issue instructions in regard thereto. The Contractor shall ensure that
such written notice shall reach the Architect not less than fourteen (14) days from the day
on which it is necessary for him to receive the Architect's instruction in regard thereto. The
Contractor shall, notwithstanding any checks carried out by the Architect, be responsible for
and (unless the Architect shall otherwise instruct, in which case the Contract Sum shall be
adjusted accordingly) shall entirely at his own cost amend any error arising from his failure
or neglect to check or to notify the Architect of any discrepancy in or divergence between
the Contract Documents.

3.

Clause 3 - Contract Documents

3.1

Clause 3.3
At the end of Clause 3.3 insert the following:"The Architect shall without charge to the Contractor and within fourteen (14) days from the
date of the receipt of such written application furnish him with two (2) copies of such further
drawings and details."

4.
Clause 6 - Materials, Goods and Workmanship To Conform To Description, Testing And
Inspection
4.1

Clause 6.4
Insert new Sub-Clause 6.4(iii) as follows:"6.4(iii) To rectify and make good any defective work so that it is in accordance with the
Contract, provided that:-

4.2

(a)

the Contractor must first obtain the prior written consent of the Architect;
and

(b)

the Contractor submit a detailed work method statement describing how the
defective work, materials or goods can be rectified."

New Clause 6.6

Add new Clause 6.6 as follows:6.6

5.

"The Contractor shall comply with the provisions of Clause 6.1 with regards to the
type or the brand of materials or goods as specified in the Contract Documents.
The Contractor shall not be permitted to substitute any such materials or goods
without the prior written approval of the Architect and such approval shall be subject
to the following proviso:(a)

The materials or goods is of the standard of quality and workmanship

equivalent to those specified in the Contract Documents and any savings
resulting therefrom shall be accrued to the Employer; or

(b)

If there is an acute shortage or non-availability of the materials or goods in

the market which the Contractor has taken all practical steps to prevent,
avoid or reduce."

Clause 11 - Variations, Provisional and Prime Cost Sums

5.1

Sub-Clause 11.5 (iii)

Add to the end of Sub-Clause 11.5 (iii) the following sentence:failing which, the Architect's valuation of the same shall be correct and binding for purposes
of this Sub-Clause;"

5.2

Clause 11.6
Delete the words "a reasonable time" in the first line and substitute with the words:within 30 days of the Architect's instruction or the occurrence"

6.

Clause 15 - Practical Completion and Defects Liability

6.1

Clause 15.2
In line 5, delete the words "within a reasonable time" and substitute with the following:"within such time as may be specified by the Architect, or if not so specified then within 30
days"
At the end of Clause 15.2 add the following:In addition, the Contractor shall be wholly liable for further making good of any recurring
defects arising out of the defects previously rectified under the provisions of this Clause and
such liability shall automatically extend for a further period of three (3) months commencing
from the date of the expiry of the original defects liability period or the subsequent extended
defects liability period (if any).

7.

Clause 19 - Insurance Against Injury To Persons And Property

7.1

Clause 19.3
Delete Clause 19.3 in its entirety and substitute with the following:The Contractor shall maintain in the joint names of the Employer and the Contractor
insurance for such amounts of indemnity as may be specified by way of provisional sum
items in the Contract Bills in respect of any expense, liability, loss, claim or proceedings which
the Employer may incur or sustain by reason of damage to any property other than the Works
caused by collapse, subsidence, vibration, weakening or removal of support or lowering of
ground water arising out of or in the course of or by reason of the carrying out of the Works
excepting damages:-

8.

(i)

Caused by the negligence, omission or default of the Contractor, his servants or

agents or of any Sub-Contractors, his servants or agents.

(ii)

Attributable to errors or omissions in the designing of the Works.

(iii)

Which can reasonably be foreseen to be inevitable having regard to the nature of the
work to be executed or the manner of its execution.

(iv)

Arising from a nuclear risk or war risk.

Clause 21 - Date of Commencement, Dates of Commencement Given for Sections,

Postponement And Date for Completion
8.1

New Sub-Clause 21.5

Add new Sub-Clause 21.5 as follows:21.5

In the event of any delay in giving possession of the site from the Date of
Commencement as stated in the Appendix or delay in giving possession of any
section or part of the site as provided in Clause 21.2 hereof, the Architect may issue
instructions to the revision of the Date of Commencement and the Date for
Completion shall appropriately be modified or re-calculated, but the Contractor shall
not be entitled to claim for any loss or damage caused by such delay in giving
possession of the site, nor be entitled to determine his own employment under this
Contract.

8.
Clause 21 - Date of Commencement, Dates of Commencement Given for Sections,
Postponement And Date for Completion (Contd)
8.2

New Sub-Clause 21.6

Add new Sub-Clause 21.6 as follows:21.6

9.

Provided that in the event the giving of possession of the site is delayed beyond three
(3) months of the Date of Commencement stated in the Appendix, the Architect
shall give written notice to the Contractor of the causes of such delay. Within fourteen
(14) days of the receipt of the said written notice, the Contractor may by written
notice serve on the Architect:(a)

agree to proceed with the Works when the site is subsequently made
available, in which case Clause 21.5 shall apply, in particular, the Contractor
shall not be entitled to claim for loss or damage caused by such delay in
giving possession of the site; or

(b)

without prejudice to any other rights or remedies he may possess, determine

his own employment under the Contract. "

Clause 22 - Damages for Non-Completion

9.1

Clause 22.1
Delete Clause 22.1 in its entirety and substitute with the following:22.1

If the Contractor shall fail to complete the Works by the Date for Completion stated in
the Appendix to these Conditions or within any extended time fixed under Clause 23
or Sub-Clause 32.1 (iii) of these Conditions and there are no matters entitling the
Contractor to an extension of time, the Architect shall issue a certificate setting out
the Date of Completion or (if applicable) any modified Date for Completion calculated
under Clause 23 or Sub-Clause 32.1 (iii) of these Conditions, the total period of
extension of time (if any) and certifying that the Contractor is in default in not having
completed the Works by the stated Date of Completion or the extended Date for
Completion (as the case may be). Such certificate shall be issued to the Contractor
with a copy to the Employer, and is hereinafter called a "Certificate of NonCompletion ".
Upon the receipt of the Certificate Of Non-Completion the Employer shall be entitled
to recover from the Contractor Liquidated and Ascertained Damages calculated at the
rate stated in the Appendix from the date of default certified by the Architect for the
period during which the Works remain incomplete, and may deduct such Liquidated
and Ascertained Damages, whether in whole or in part, from any monies due or to
become due to the Contractor under the Contract. The payment or deduction of such
Liquidated and Ascertained Damages shall not relieve the Contractor from his
obligations to complete the Works or from any other of his obligations and liabilities
under the Contract."

10.

Clause 23 Extension of Time

10.1

Sub-Clause 23.7 (ii)

In the Preliminaries, with reference to Sub-Clause 23.7(ii), the following amplification notes
should be included:The words exceptionally inclement weather is hereby defined as a condition of weather
which on the basis of past records could be considered as having less than 5% chance of
occurring in any one year.
In assessing the statistical probability of such extra-ordinary weather condition reference shall
be made to the Rainfall Statistics issued by the Department of Meteorological Services,
Department of Civil Aviation or Department of Drainage and Irrigation in respect of the
location of or nearest to the site for the past five (5) years.

10.2

Sub-Clause 23.7(v)
At the end of Sub-Clause 23.7 (v) add the following:provided that the Contractor shall show to the satisfaction of the Architect that the execution
of such work in giving effect to such Architects instructions falls within the critical path of the
Work Programme submitted by the Contractor and duly endorsed and approved by the
Architect.

10.3

Sub-Clause 23.7(vii)
At the end of Sub-Clause (vii) add the following:, provided the same are not due to any act, negligence, default or breach of contract by the
nominated sub-contractors, nominated suppliers and/or the Contractor or any of their
respective servants or agents.

11.

Clause 24 Loss and/or Expense caused by disturbance of regular progress of the Works
11.1

Sub-Clause 24.1(i)
Delete the Sub-Clause 24.1(i) in its entirety and substitute with the following:the Contractors application is made in writing within thirty (30) days of the occurrence of the
event or circumstance which has materially affected the regular progress of the Works or any
part of it; and

11.2

Clause 24.3
Delete Clause 24.3 in its entirety and substitute with the following:"If and when the Contractor makes written application within the time and submits the
relevant information stipulated in Clause 24.1, then the Architect or the Quantity Surveyor as
instructed by the Architect shall ascertain the amount of such loss and/or expense. Provided
that the Contractor's claim for loss and/or expense under Clause 24 shall be limited only to
those recurring portion of the relevant priced Preliminary items included in the Contract and
not other whatsoever. Provided further that if the Contractor shall fail to comply with the
requirements of Clause 24, it shall be construed that the Contractor has voluntarily waived his
right (whether under this Contract or under common law) to claim for such loss and/or
expense."

12.

Clause 27 - Nominated Sub-Contractor

12.1

Sub-Clause 27.2 (vii)

Delete Sub-Clause 27.2(vii) in its entirety and substitute with the following:that payment due to the nominated sub-contractor less any deductions in accordance with
the sub-contract shall be made by the Contractor within 14 days of his receipt of the payment
from the Employer under the Architects certificate issued pursuant to Clause 30 of these
Conditions which includes the value of such sub-contract works and/or materials or goods
supplied.

12.2

Clause 27.3
Delete the words "from the Architect the certificate" in the 6th line and substitute with:"payment from the Employer in respect of the said Architects certificate issued pursuant to
Clause 30 of these Conditions"

12.3

Clause 27.4
Delete the sentence starting from the words If the Contractor fails. in the 4th line up to the
words become due to the Contractor in the 8th line and substitute with the following:"If the Contractor fails to comply with any such request or has not paid the nominated subcontractor the amounts stated as due in the previous certificates, then the Architect shall
issue a certificate to that effect and thereupon the Employer may himself pay direct such
amounts to any nominated sub-contractor concerned. Provided also that in the event of such
default, the Employer shall be entitled to make all payments direct to such nominated subcontractor in respect of all amounts which may subsequently become due to such nominated
sub-contractor which amounts have been certified by the Architect pursuant to Clause 30
hereof. The amounts paid direct by the Employer to the nominated sub-contractor pursuant to
this Clause shall be deducted from any sums due or to become due to the Contractor.

13.

Clause 28 - Nominated Supplier

13.1

Clause 28.4
Delete Clause 28.4 in its entirety and substitute with the following:"All payments by the Contractor for materials or goods supplied by a nominated supplier shall
be paid within 14 days of his receipt of the payment under the Architect's certificate issued
pursuant to Clause 30 of these Conditions which includes the value of such materials or
goods supplied. Provided that in the event the Contractor shall fail to pay the nominated
supplier the amount due pursuant to any Architect's certificate issued under Clause 30 for
which payment has been received by him, then the Employer may himself pay direct such
amounts to any nominated supplier concerned. Provided also that in the event of such
default, the Employer shall be entitled to make all payments direct to such nominated supplier
in respect of all amounts which may subsequently become due to such nominated supplier
which amounts have been certified by the Architect pursuant to Clause 30 hereof. The
amounts paid direct by the Employer to the nominated supplier pursuant to this Clause shall
be deducted from any sums due or to become due to the Contractor.

14.

Clause 30 - Certificates and Payment

14.1

Clause 30.3, line 3

Delete the words "the full cost" and substitute with the following:"the amount equal to seventy five percent (75%) of the value"

14.2

Clause 30.6
At the end of line 5 after the words "under Clause30.7. add the following:If nothing in the summary of the measurement and valuation issued to the Contractor is
disputed by the Contractor within thirty (30) days of the issue of the same, the summary of
measurement and valuation so issued shall be deemed to have been accepted and agreed to
by the Contractor.

15.

Clause 36 - Additional Conditions

15.1

Clauses 36(a) To 36(l)

Refer Preliminaries Section of Bills of Quantities.

Amendments And Additional Clauses To The PAM Agreement And

Conditions Of Building Contract Private Edition With Quantities (Edition
1998 Revised October 1998)