A contractor entered into a contract in the FIDIC form for the construction of a new bridge. In the course of the work the new bridge was to cross over a line of an old sewer which lies under a road embankment. At the date of tender the old sewer was known to be in existence but its construction line and precise level was not known. It was thought to be at least 100 years old. All this information, together with the approximate location of the line of the sewer, was shown on a drawing given to the contractor at tender stage. The contractor encountered the old sewer whilst driving the excavation. As a result, the excavation flooded with sewer and silt from the old sewer which was fractured when the earth surrounding it was disturbed. The engineer and the contractor met and reached a joint decision that the old sewer should be shut temporarily at a nearby manhole and the engineer issued instructions accordingly. Subsequently the old sewer was repaired by the contractor by inserting a new section of pipe of same diameter. You are requested to read the above statement carefully and give your point of view about the following (Few sentences for each questions). Please read FIDIC clauses Download FIDIC clausesto support your answer. 

Questions: 

1. Who should bear the cost of the extra work carried out for shutting and the replacement of the pipe section? 

2. Who should bear the costs of remedy for the flooded excavation? 

3. Is the contractor entitled for any time extension? If yes, what does the contractor have to do to get that time extension? State the conditions and the FIDIC clauses on which you base your judgments.

 

FIDIC CLAUSES

FIDIC conditions of the contract are made up of 72 clauses.FIDIC provides the contractor or engineer with a practical set of guidelines so he can avoid making mistakes in risky areas of the contract.The contractor or engineer will have to read the contract carefully and modify it to suit his needs accordingly.The following list of clauses gives a brief description of each clause.