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Is FIDIC 87 better for FIDIC 99?

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Question added by Maruti Sangle , Commercial Manager , WSP
Date Posted: 2014/03/24
Alexander Stirling
by Alexander Stirling , Commercial Manager , Bam International

Generally, evolution of contracts provide greater definition or terms and updates to existing terms after a period of practice.

In FIDIC 1999 the concept of being able to foresee problems is better defined and this the obligation of foreseeable risk falls on the Contractor with unforeseeable risk being borne by the employer.

The Contractor now also has the right to ensure that the employer has finances in place to meet their obligations to the contractor.  If the employer fails to provide such evidence them the contractor may reduce the rate or suspend the works with EOT and associated prolongation.

The employer now has 56 days to make payment from receipt of an interim statement.  Previously it was 28 days.

 

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