Part - 2

1) Q. What is Clause 12?

A. Clause 12:- Regarding adverse physical conditions/obstruction. Different from
FIDIC in the way that Dubai condition exclude adverse climate conditions from this
clause and also requires 14 days notice to be given by the contractor otherwise he
shall not be eligible for time extension.
If during course of work Contractor encounters physical obstructions or conditions
other than climatic conditions, which could not have been foreseen reasonably by an
experienced contractor, then Contractor shall give notice to Engineer with a copy to
Employer. If the Contractor wants to claim any time extension or additional payment
he shall give notice thereof within 28 days otherwise no time extension or claim shall
be allowed.

2) Q. What Clause 44? What factors do we have to ensure before deciding on any time
extension Contractor?
A. Clause 44 – related to time extension. The contractor is entitled to get time
extension in the following circumstances: -
1. If any additional or extra work has been instructed by the Engineer
2. Due to any delay caused by
a. Delay in issuing any drawing (Clause 6.3)
b. Adverse physical conditions. (Clause 12.2)
c. Loss damage due to employee’s risks (Clause 20)
d. Any additional tests (Clause 36)
e. Uncovering of works (Clause 38)
f. Suspension of works (Clause 40)
g. Failure to give possessions of site (Clause 47)

3. Exceptionally adverse climate conditions.

4. Any other reasons or circumstances which may occur for any reason other than
through a breach of contract by contractor or for which he is responsible.

3) Q. What is Clause 51 & 52?

A. Regarding variations and valuation of variations. Same as FIDIC

4) Q. What is Clause 53? (Claims) What is the procedure etc.?

A. Regarding claims same as FIDIC except that notice for clause 12 a must.

5) Q. What is Clause 67 (Arbitration)? What is the procedure etc.?

A. Arbitration as FIDIC.
67.1: - Any dispute should be first referred to Engineer. Engineer shall give notice of
decision within 84 days.
If Engineer fails to give notice of his decision within 84 days or Contractor or Client
is not satisfied by his decision, then Contractor or Client shall give notice other party
within 70th of the Notice of the Engineer, regarding his intention to commence
arbitration.

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 67.2: - Arbitration shall not be commented unless an attempt has been made to
settle such dispute amicably. If not settled amicably, then arbitration may be
commenced after 56th day of the notice of intention to commence arbitration.

67.3: - Arbitration shall be carried out under the rules of Arbitration and
conciliation of Dubai Municipality.

6) Q. What is completion statement?

A. Within 84 days of taking over certificate, Contractor has to submit final value of
work done and any other sums which he considers himself entitled. This is
Called completion statement.

7) Q. What is final statement/Discharge certificate?

A. Within 56 days of issue of defect liability certificate, Contractor has to submit value
of all the works done and any other amount he considers himself entitled.
Discharge:- Contractor to give the certificate with the final statement that the final
statement represents all the amount that the contractor considers himself due under
contract.

8) Q. How is Dubai Conditions of Contract differ from FIDIC?

A. Clause FIDIC Dubai
8.3 Not Available Decennial Liability (10 years liability
against any defect).
10.3 Not Available Default of Institution providing security
12.3 Not Available Notice for Physical obst. A must
15.2 Not Available Language ability of Contractor’s rep.
17.2 Not Available Orientation towards Mecca
20.4 Special Risk (a) Any force of nature deleted
(b) Acts of government added
(c) Unavoidable damage in the normal
process of construction added
42. Not available Use of site by client.
49.5 Not available Temporary reinstatement should last up to
defect liability
53.4 Claims Clause Same except notice for Clause 12 a must

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 70.1 Cost fluctuation Not allowed
Clause gives the
Alternative to be
Included in the
Contract
71.1 Not Available Boycott of Israel
74.1 Not available Penalty for Diversion

9. Q. What are the pre requisites for approving an advance Payment and how to recover it?
A. Requisite for advance payment to Contractor:
a. Insurance submission
b. Contract signing
c. Mobilization of machinery
d. Adv. Payment Bond
e. Performance Bond
f. Submission of Clause 14 programs

10. Q. What type of insurance are to be obtained from Contractors?

A. Types of Insurance:
a. Contract Works + Machinery
b. Third Party
c. Workman compensation

11. Q. What is Cost Fluctuation Clause?

A. Clause 70.1 – Any change in process of material shall not effect contract cost.

12. Q. What does the word “expressly required” means?

A. 1. Written in Contract/Specification/Drawing
2. Instructed by Engineer

13. Q. What forms a complete contract document and what is the priority for each?
A. Contract Documents:-
1. Condition of Contract (part 1 & 2)
2. Specifications
3. Drawings
4. Bill of Quantities
5. Tender with Appendix
6. Letter of acceptance
7. Contract agreement
8. Any other document expressly mentioned in agreement or letter of acceptance

Priority
1. Contract agreement
2. Letter of acceptance
3. Tender
4. Part 2 of contract condition
5. Part 1 of contract condition
6. Any other document forming part of contract

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14. Q. What files to be mentioned on site as Quantity Surveyor to get a quick reference
for anything?
A. Files are: -
1. Request for approvals – section wise
2. Correspondence – Category wise
3. Payment Certificate/Joint measurement for each payment
4. Claims
5. Site Instructions
6. Shop Drawings

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Part – 3 CONTRACT CONDITION

1. Q. Explain Clause 44, Extension of time and the bases of applying it?
B. Clause 44 – related to time extension. The contractor is entitled to get time
extension in the following circumstances: -
1. If any additional or extra work has been instructed by the Engineer
2. Due to any delay caused by
a. Delay in issuing any drawing (Clause 6.3)
b. Adverse physical conditions. (Clause 12.2)
c. Loss damage due to employee’s risks (Clause 20)
d. Any additional tests (Clause 36)
e. Uncovering of works (Clause 38)
f. Suspension of works (Clause 40)
g. Failure to give possessions of site (Clause 47)

3. Exceptionally adverse climate conditions.

4. Any other reasons or circumstances which may occur for any reason other than
through a breach of contract by contractor or for which he is responsible.

2. Q. Explain Clause 51 and 52 and their applications.?

A. Clause 51 & 52: -
Variations Variation may instructed by the Engineer in the following ways:
a. Increase or decrease of quantity of any work.
b. Omit any work
c. Change the character or quality of any works
d. Change level lines etc.
e. Change any sequence of works.

In these cases variation have to be valued in the contract in accordance with

following:
a. At the rates and process set out in the contract if the same is applicable.
b. If the contract does not contain any rates, thus the similar items in the contract
can be used to derive the new rates.
c. Failing above, suitable rates shall be agreed between the Engineer and the
Contractor after Consultation with the Employer.
d. Failing above, Engineer shall fix such process which in the opinion of the
Engineer are appropriate.

3. Q. Procedure of Claims, Clause 53?

A. Clause 53 – Procedure:
a. Notice of claim – Within 28 days of event giving rise to such claim.
b. Contemporary Record: - Contractor shall keep contemporary records and the
Contractor to maintain any further contemporary records as he finds suitable.
c. Substantiation of Claims: - Within 28 days notice Contractor to submit
substantiation of Claim and the event is continuing, the interim particular at such
regular intervals as agreed by Engineers and final account within 28 days of end
of such event.
d. Payment of Claims: - Engineer to decide in consultation with Employer and can
be included in interim payments.
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4. Q. Basis and application of Clause 40. (Suspension of Works)?
A. Clause 40: - (Suspension of Works)
40.1 – Contractor may suspend the part or whole of the works on the instruction of
the Engineer.
40.2 – Contractor is entitled for extension time and the increase in the contract price
unless the suspension is for: -
a. Provided for in the contract
b. Due to the default or breach of contract by contractor
c. Due to the climate conditions
d. Due to the Contractor not following any specific standards.

5. Q. Basis and application of the Clause 12 in relation to the claims?

A. For Clause 12 Notice is a must otherwise it shall not be considered for claims.

6. Q. Explain the “uncovering and making openings” Clause?

A. Uncovering of works (Clause 38)
Engineer may ask for uncovering of the works. If on uncovering it is found that work
is not in accordance with the contract, then no compensation for cost or time shall be
granted. Otherwise extra cost and time shall be worked out.

7. Q. Explain the Insurances from the Contractor?

A. Insurances required from the Contractors are: -
a. Contract works + full cost replacement of machinery
b. Workman compensation
c. Third party liability

8. Q. Explain the “cost of tests not provided for” Clause?

A. Cost of tests not provided for (clause 36.4)
It shall be reimbursed to the Contractor, unless
a. Results shows that the material is not in accordance with contract requirements.
b. Or if the method of working by Contractor is not in accordance with the
Contractor and that makes the Engineer to ask for additional tests.

8. Q. Explain how the retention money is released?

A. Retention money release (Clause 60.3)
50% on issue of Taking over certificate
50% on expiration of defect liability period

9. Q. Which part of the contract document could you alter to modify CESMM?
A. Preambles of Bill of Quantities could normally be used to modify CESMM

10. Q. Advantage of Method – related charges?

A. These are the charges likely to be incurred by the contractor which are not
proportional to the quantities contained during course of work.

Contractor gets the advantage to get the benefit of recovering the money that he is
likely to spend in the beginning of the project and also to recover overheads if the
Bill of Quantities are decreased during courses of work.

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 Client gets the advantage that in case of variation to work extra cost involved in
respect of preliminary items can be easily assessed and also no undue overheads will
go to contractor if Bill of Quantities are increasing.

11. Q. Explain the Employer’s risks?

A. Employer’s risk (Clause 20.4)
a. War, hostilities
b. Revolution, military upsurge
c. Ionization radiation or radioactive rays
d. Presser waves caused by supersonic air craft
e. Riots etc.
f. Damage due to employer occupying any site not provided for in contract
g. Due to any design defect provided by Client/Engineer
h. Any acts of government
i. Any unavoidable result of construction in accordance with contract.

12. Q. Explain the Contractors entitlement to suspend the work?

A. As per Clause 40.3, if within 84 days of issue of instruction of suspension, permission
is not granted to resume work without any valid reason, then Contractor may give 28
days notice to proceed the work. If within such period permission is not granted then
the Contractor may treat the suspension as the omission if it effects only a part of the
work, otherwise if it affects whole of the work, then terminate his employment.

13. Q. When does the responsibility for the ‘Care of the works’ pass on the employer?
A. ‘Care of the works’ passes on to the employer after taking over certificate except for
the works which are still occupied by Contractor for the purpose of attending the
defect repair.

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 Part – 4

1. Q. What is defect liability Certificate?

A. Within 28 days of expiration of Defect liability period Engineer shall issue a defect
liability certificate stating the date on which the Contractor completed his obligation
to execute and complete the work and remedy any defects therein to the Engineer’s
satisfaction.

2. Q. How the release Performance Bond?

A. The performance bond may be released on completion of defect liability period.

3. Q. Contractor inserts a lump sum amount for supervising his staff for the contract works.
How to pay on monthly payment certificates?

A. Payment against method related charges for Lump Sum amount for supervision staff
can be made according to the percentage work done.