Conditions of Tender Acceptance Contractors are required to implement the formal contract of agreement.

But in the mean time, the contractors tender and the letter of acceptance will be the temporary contract between the contractors and the Government which is the client. The contractors need to choose the method of payment either from i. ii. iii. iv. Banks Guarantee / Bank Islam / Bank Pembangunan Malaysia Berhad (BPMB) / Bank Perusahaan Kecil dan Sederhana Malaysia (Bank SME) or Finance Companys Guarantee Insurances Guarantee or 10% off of the implementation of the guarantee fund from every interim payment until it reach 5% total of contracts price.

The date of owning the site must follow what inside the contracts condition. The works can only be started until the contractors submit to the authority officers the insurance of disaster for workers and properties, work insurance policy and registration numbers under the Social Security Organisation. If the contractors choose to be paid through banks guarantee, Finance Companys Guarantee or Insurance Guarantee, the contractors need to submit the performance bonds. If the contractors fail to do it on the date of owning the site, Government have the right to do the implementation of the guarantee fund to the contractors. The failure of the contractors to start work within 2 weeks from the date that site owned will result in termination of contract. The owner is also required to submit a list of subcontractors names along with experience and its part of the work involved to the Superintending Officer before commencement of work at the construction site for approval. The contractor cannot subcontract the entire or part of the work without the prior approval of the Superintending officer. If the Superintending officer approves the contractors application to subcontract the entire or part of the work, the approval is subject to the contractor binds Deed of Assignment to subcontractor in advanced. The contractors need to state the tendered period of Completion Period either in days, weeks or months and the date of the completion of the entire work. The letter is sent to the contractors in two (2) copies. The contractor needs to return the original copy, signed in the space provided and witnessed properly, and the letter need to be submit within seven (7) days from the date of this letter.