Jun 11-Q&A-2

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My comments are given in red below :-

From: Mathen [mailto:[email protected]]Sent: Tuesday, September !, "## $:% &MTo: '&ro(. Sam'Subject: )*: +inal all (or the September lass - S

ear &ro(.

Than/ you very much (or your valuable 01 sessions. t present 2 have aproblem with our lient3s auditors4 2 have a variation claim (or 5re 5ghting wor/s 6lump sum7 amounting to * %.8million which we the onsultant have agreed upon. 9ne particular item in theclaim is the sprin/ler heads, where in the contract we have stipulated; sprin/ler heads but now we re no. and we the consultant havepro ? rated the rate (or #; sprin/ler heads to * "= >no., cause the rate"; is * %% > no. and #; is * % > no.

The auditors are stating the rate (or the new #; sprin/ler heads should be *% A9B&6 which is much lower than the ; sprin/ler rate in the contract7 andnot * "=. Ce have used our *ngineering Dudgement with re(erence to the contract to 5Ethe rate based on similar items.

&lease advise i( we have done this correctly.

The correct method would be to pay the ontractor the additional amount thathe has to pay to the Subcontractor 6plus the ontractor3 9B1&7. There(ore theappropriate rate would be * F#=% A [6%-%%7 A 9B1&]G

Regards,

&ro(. Sam.

Prof. Indrawansa Samaratunga PhD, DScFRICS, FAIQS, FIQSSL, FCIArb, FCIOB, FCMI, FASI, FBEng

Chartered Surveyor, Chartered QS, Chartered Manager, Chartered Builder Arbitrator / Mediator - London Court of International Arbitration Arbitrator / Expert - ubai International Arbitration Centre, !AEMiddle East Representative - Australian Inst. of Qty. Surveyors"O Box #$%&', ubai, !AE( ) *+' . %+%+ F *+' % $$&&

0i1it 222(dr1a3(44l(org for detail1 of DRSAM FZE 5our1e1

Than/ you.

Mathen

From: abdul basit [mailto:[email protected]]Sent: Saturday, September "$, "## 8: &MTo: &ro(. SamSubject: )e: ongratulations - 01 attached

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Dear Professor,

The last few words put forth by you during the end of the session were more touhing! "nd

now what Mr! #halid has e$pressed are the views of most of us! The training provided by you

annot be ompared by any means with the nominal fee harged!

%e are proud to be part of your student group and wish you all the best in your future

endeavors!

Than& you for the &ind words of all of you who sent similar messages!

Regards,

&ro(. Sam.

Prof. Indrawansa Samaratunga PhD, DScFRICS, FAIQS, FIQSSL, FCIArb, FCIOB, FCMI, FASI, FBEngChartered Surveyor, Chartered QS, Chartered Manager, Chartered Builder

Arbitrator / Mediator - London Court of International Arbitration Arbitrator / Expert - ubai International Arbitration Centre, !AEMiddle East Representative - Australian Inst. of Qty. Surveyors"O Box #$%&', ubai, !AE( ) *+' . %+%+ F *+' % $$&&


Best Regards,

"bdul Basit

From: Sonny 9bdin [mailto:[email protected]]

Sent: Thursday, September "=, "## #":" &MTo: &ro(. SamSubject: 0uali5cation to Tender

ear &ro( Sam, 2 was one o( your student in S 6ugust "#7 class that greatly helps me in per(ormingmy tas/ in our company. Hy the way, can you eEplain the appendiE to the (orm o( tender 60uali5cations7 thatsays...

ICe con5rm that the sum given on the (orm o( Tender is without

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alternative to the speci5ed material, eEpression o( inability to accept any o( the lient3sstipulated terms and conditions, etc.7

n Nuno2e7er, if it i1 agreeable to t6e 5ontra5tor, t6en a "ro7i1ional Su3 5ould be in1tru5ted a1 a

7ariation and t6ereafter t6e no3ination 5an be done under it( Of 5our1e a1 part of t6e 7aluation of t6i1 7ariationt6e Contra5tor 2ould be entitled to 6a7e a rea1onable Mar

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Regards,

&ro(. Sam.




-han you very much.

est re$ards

Ann$ela !have/

From: Sha//eel Busain [mailto:sha//[email protected]]Sent: Cednesday, 9ctober #=, "## ##:" MTo: [email protected]: lause #$.= &ayment o( )etention Money +22 #===

Dear Professor Sam,

First of all Thank you for sharing your Knowledge with us. I was a student of September 2!! session"Sound #ontra$t

%dministration. I would like ask one &uestion related to #lause!'.( Payment of )etention *oney FIDI# !((( .

+The terminology used in this email is somewhat ina$$urate. edis$uss the $orre$t terminology of FIDI# !((( in detail duringthe %d-an$ed #lass be$ause they are &uite dierent to those ofFIDI# / 'th 0dition, gi-ing rise to disputes. It is too detailed and$annot be gi-en in this short answer1

#ontra$t %mount 23(,4,.

Final ork Done %mount 23(,5,.ork Done %mount for #i-il ork 26(,4,.ork Done %mount for 0le$tro"*e$hani$al ork (,3,.)etention 47 of the #ontra$t amount

Defe$ts 8oti9$ation Period for #i-il ork !. :earDefe$ts 8oti9$ation Period for 0le$tro"me$hani$al ork 5.

:ear

8ow ;ur pro

*y ?uestion is

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!. hat we $all this payment..@ + it is a not interim payment, notstatement at $ompletion and not a 9nal statement as per $lause!'.!! 1

2. 8ow $an I submit payment to $onsultantA$lientfor )etention money for #i-il work..@ and5. Bow mu$h amount it will $ome as per the abo-e s$enario ..@+ please show me $al$ulation details 1 'mmediately after issuing the Ta&ing()ver Certifiate under Clause *+, the ngineer should

issue a ertifiate to release the first half of the retention money for both Civil and MP

wor&s -i!e! one half of the total Retention Money shown in the 'nterim Payment Certifiate

issued by the ngineer prior to the issue of the Ta&ing()ver Certifiate.! This ould be

re/uested either by a letter or by submitting a monthly payment appliation to prompt the

ngineer -though there is no re/uirement for suh a re/uest aording to the ontrat and it is

the ngineer0s duty to ertify it even in the absene of suh a re/uest.! %hen the Contrator

submits his Statement at Completion he should show the Retention Money redution as 1!23

of 145,6++,+++7(

"t the end of the D8P for the Civil %or& the Contrator an ma&e a similar re/uest to release

the seond half -i!e! 1!23 of 195,2++7(. and at the end of D8P for MP wor& another re/uest

for 1!23 of 5,4++,+++7( -but the ngineer is duty bound to issue ertifiates for eah of them

even without suh re/uests! But without prompting, it is unli&ely that the ngineer would

issue them.!

:our ontrat has the speial irumstane of 1 D8Ps -without 1 partial7setional Ta&ing(

)ver Certifiates. whih is not addressed in the ontrat -This should have been addressed by

amending Sub(Clause *;!5 suitably.! 't is very li&ely that one would try to use the referene

to multiple D8Ps in *;!5 as an e$use to delay the release of the Retention Money for Civil

%or& too until the 6 year period would be over, but "rbitrators or Courts are unli&ely to ta&e

suh a view!

During the "dvaned Class we disuss in detail the differenes in Payment "ppliations 7

Certifiates under l!org

Regards,

&ro(. Sam.




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Than&s ? Regards,

Sha&&eel @usain A Quantity Surveyor

----- Original Message -----From9 ?agadee16

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' was one of the partiipants of SC" training last month! ust to as& you for the followingE

'( I1 it po11ible to edit a55ordingl8 and u1e t6e FIIC 7er1ion '+ a1 a for3 of Sub5ontra5t agree3ent e1 8ou5an( But 3an8 a3end3ent1 are re=uired(

#( I1 t6ere an8 FIIC for3 for Sub5ontra5t Condition1 of Sub5ontra5t for Gor

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)6e Contra5tor 6a1 a 7alid 5lai3 if9-

'( )6e 2ording in 8our 5ontra5t i1 1i3ilar to t6o1e in Sub-Clau1e .(# of FIIC - %t6 EditionH#( )6e Jo7ern3ent de5ree 1tate1 t6at it i1 5o3pul1or8 :and not optional; for t6e pri7ate 1e5tor 5o3panie1 too topa8 t6eir 2or

Jun 11-Q&A-2

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