164Appendices Appendix J Model Letters for Use by the Employer Letter to the Contractor c.c.: Engineer EMP. 1.8 Sub-Clause 1.8 – Care and Supply of Documents (Although this sub-clause requires the mployer to supply the Contractor !ith documents including Specifications and Dra!ings" in practice the mployer may delegate this tas# to the ngineer.$ (%uote$ &n accordance !ith the pro'isions of Sub-Clause 1.8" Care and Supply of Documents" !e here!ith pro'ide you !ith t!o copies of the follo!ing documents( (1$ ()$ (+$ (*ro'ide full listing$ (,nquote$ Letter to the Contractor c.c.: Engineer EMP. 1.13 Sub-Clause 1.1+ – Compliance !ith Statutory -egulations and .a!s (%uote$ /e ad'ise you that !e ha'e obtained (typically$ a construction permit enabling !or# to commence. (,nquote$ Appendix J An Employer’s and Engineer’s Guide to the FIDIC Conditions of Contract" 0irst dition. 1ichael D. -obinson. 2 )31+ 4ohn /iley 5 Sons" .td. *ublished )31+ by 4ohn /iley 5 Sons" .td. ..nquote$ Counter-signature for acceptance ... or /e confirm that the follo!ing parts of the Site (and access thereto$ !ere pro'ided to you for the e8ecution of the /or#s at 7 hours" on 7 (date$( (1$ ()$ 6ptions( 1.c...: Engineer EMP..... Contractor.........1 Sub-Clause )...nquote$ Second Letter (in follow up (%uote$ /e confirm that follo!ing a site inspection" the Site (and access thereto$ !as pro'ided to you for the e8ecution of the /or#s at . Consider if it !ould be useful to attach a dra!ing or s#etch to define the physical limits of the hand-o'er. )............. 8ceptions 9he follo!ing minor areas:buildings are presently e8cluded from the hando'er and !ill be handed o'er as follo!s( (......... 2.....s -epresentati'e Appendix J (1$ ()$ (Description$ – a'ailable by (date$ (Description$ – a'ailable by (date$ .. hours" on 7 (date$...Appendix J 165 Letter to the Contractor c...... (..1 – -ight of Access to the Site First Letter (%uote$ 6n (Date$" at 7 hours" !e intend to gi'e you access to the Site and to hand o'er to you the !hole of the Site (or hand o'er the follo!ing parts of the Site$( – (*ro'ide details of the parts$ (And" if not already pro'ided$ *lease ensure that the *erformance Security is pro'ided and that all required &nsurances are in force prior to the date of the hand-o'er. %ueries are most li#ely to arise !hen the Contractor is required to perform additional !or#s at a stage of the Contract !hen the stated source of financing is already e8hausted.= – mployer. A simple response to a request from the Contractor for clarification could be( (%uote$ &n response to your letter reference:data" you are ad'ised that funding for the remaining:additional !or#s is to be pro'ided by .s financial arrangements..166 Appendices Letter to the Public Authorities and others c. 2. 9ypically this !ould include letters to the customs authorities enabling the Contractor efficiently to import his <oods and 1aterials into the country and letters of support or e8planation to local authorities !ho may be affected by the Contractor.s 0inancial Arrangements 9he tender documents !ill in'ariably pro'ide basic information of the mployer.: Engineer and Contractor EMP...c..c.: Engineer EMP.4 Sub-Clause ). A topic frequently encountered is a need for the mployer to pro'ide letters to <o'ernment departments in support of the Contractor.2 Sub-Clause ).s acti'ities..s actions.. (.) – *ermits" ..nquote$ Appendix J ... Letter to the Contractor c. 2.icences or Appro'als &t is not possible here to define all the 'arious types of letters !hich the mployer may need to pro'ide under the pro'isions of this sub-clause. nquote$ 9he abo'e letter records only the mployer.. 2.5 Sub-Clause ).> of the <eneral Conditions of Contract the mployer hereby gi'es notice that he considers himself entitled to payment from the Contractor in respect of 7 (pro'ide claim heading$ in accordance !ith Sub-Clause 7 (refer to Appendi8 D$. 8. !ote( @ecause of its importance" a separate draft model letter ( 1*. A follo!-up letter should follo! detailing !ith precision the amount claimed by the mployer for e'aluation by the ngineer in accordance !ith the pro'isions of Sub-Clause +.> – mployer. A typical letter !ould be( (%uote$ &n compliance !ith the pro'isions gi'en in Sub-Clause ).s Claims !ote( A full listing of matters !hich entitle the mployer to claim payment from the Contractor is pro'ided in Appendi8 D.> does not pro'ide a specific period in !hich the mployer is obligated to gi'e notice of his intention to ma#e a claim against the Contractor and states only that ?"he notice shall #e gi$en as soon as practica#le after the Employer #ecame aware of the e$ent or circumstances gi$ing rise to the claim.c.Appendix J 167 Letter to the Engineer c.s entitlement.A$ on the topic of Delay Damages is included Appendix J .: Contractor EMP.>" Determinations. Sub-Clause ). (. ).s Duties and Authority" (name of ngineer$ has been appointed as ngineer. 9he follo!ing letter is appropriate( (%uote$ &n accordance !ith Sub-Clause +. Bo!e'er" circumstances may arise !hich oblige the mployer to name the ngineer after the @ase Date.s Duties and Authority /hene'er possible" the mployer !ill ha'e named the ngineer in the tender documents.1" ngineer.nquote$ !ote( &t is the duty of the ngineer to ad'ise the Contractor of any delegation of his authority in accordance !ith Sub-Clause +.c.168 Appendices Letter to the Contractor c. 3.1 Sub-Clause +.1 – ngineer. Details of the ngineer are as follo!s( Came( -epresented by( Address( Address for Correspondence (if different$( -mail( 9elephone( 0acsimile( (. Appendix J .: Contractor EMP. = – -eplacement of the ngineer (%uote$ /e ad'ise you that the current ngineer (name$ !ill be replaced !ith effect from (date$ by (name$.: Engineer EMP. 3.4 Sub-Clause +.c.Appendix J 169 Letter to the Contractor c.nquote$ Appendix J . Details of the replacement ngineer are as follo!s( Came( -epresented by( Address( Address for Correspondence (if different$( -mail( 9elephone( 0acsimile( (. A typical letter !ould be( (%uote$ &n accordance !ith Sub-Clause =.13 – Site Data !ote( 9he mployer is required to ha'e made a'ailable to the Contractor" as part of the tender documents" all rele'ant data in his possession prior to the @ase Data. (. Letter to the Contractor c.170 Appendices Letter to the Contractor c.nquote$ !ote( Should the submitted *erformance Security not be acceptable" then a similar letter" but one of reDection" is to be sent" preferably identifying the reasons for the reDection.nquote$ . (.: Engineer EMP. 4.13 !e here!ith pro'ide you !ith the follo!ing additional data( Appendix J (1$ ()$ (+$ 9he Contractor is responsible for interpreting this data.10 Sub-Clause =. &t is a further requirement that the mployer shall ma#e a'ailable to the Contractor all other rele'ant data that may come into the mployer.: Engineer EMP.c.) – *erformance Security (%uote$ 9he *erformance Security (number$ pro'ided by (*ro'ider$ and sent to us under co'er of your letter (reference$ has been e'aluated and found to be in accordance !ith the requirements of the contract.2 Sub-Clause =. 4.s possession after @ase Date.c. 14.: Engineer EMP. Should the submitted guarantee not be acceptable" then a similar letter" but one of reDection" is to be sent" preferably identifying the reasons for the reDection.c.A" Delay Damages" the mployer gi'es notice that he considers himself entitled to payment of delay damages by the Contractor in respect of his failure.2 Sub-Clause 1=. Sub-Clause 8.>. Letter to the Contractor c. (.nless the final period is #no!n !ith e8actitude" it is suggested that quantum of the claim could be delayed until the period of delay is final.nquote$ !ote( . .) – Ad'ance *ayment (%uote$ 9he guarantee pro'ided for the ad'ance payment (number$ pro'ided by (*ro'ider$ and sent to us under co'er of your letter (reference:date$ has been e'aluated and found to be in accordance !ith the requirements of the Contract.nquote$ ()$ Appendix J !otes( (1$ 9he mployer is required to pro'ide the Contractor !ith an ad'ance payment for mobilisation !ith the pro'iso that the Contractor pro'ides an acceptable guarantee. (. 8. &n accordance !ith the pro'isions of Sub-Clause 8.A – Delay Damages (%uote$ 9he Contractor has failed to complete the /or#s (or part of the /or#s$ by (date$ (9ime for Completion$.: Contractor EMP. 9his notice complies !ith the requirements of Sub-Clause ).Appendix J 171 Letter to the Engineer c.c. (.) – 9ermination by the (%uote$ mployer Eou ha'e been notified by separate correspondence that Contract (name:number$ of 1essrs (name of Contractor$ has been terminated !ith effect from (date$.)" 9ermination by the mployer" you are gi'en 1= days notice that your contract (title:number$ is terminated.s accommodation" 'ehicles" ongoing site security could also be addressed in these instructions or addressed in a separate letter.) (f$" Corruption" the notice of termination can be immediate" but this has to be stated so in the letter of termination.>" Determinations.c. Eour contract is terminated for the follo!ing reasons( (Select from sub-items (a$ – (f$ gi'en in Sub-Clause 1>. Eou are instructed to ma#e a 'aluation of the /or#s in accordance !ith the pro'isions of Sub-Clause 1>. &n addition" you are required to ta#e deli'ery of any <oods" all Contract 1aterials and other design documents made for or by the Contract" to categorise the same and arrange for them to be deli'ered to the mployer in a manner and timing to be discussed.nquote$ !ote( 6ther specific matters" such as the ngineer.) – 9ermination by the (%uote$ ngineer &n accordance !ith the pro'isions of Sub-Clause 1>. Appendix J . 15.: Engineer EMP.) (e$" @an#ruptcy" and Sub-Clause 1>.)$ (.2 Sub-Clause 1>. 15. 0or defaults falling under Sub-Clauses 1>.nquote$ !otes( (1$ 9ermination of the Contract is a most serious matter and should be subDect to legal re'ie! before any notice of termination is issued to the Contractor.172 Appendices Letter to the Contractor c.+" Faluation at Date of 9ermination" ta#ing into account the further requirements of Sub-Clause +. ()$ Letter to the Engineer EMP.2 Sub-Clause 1>. : Engineer EMP. &n either case the ser'ices of insurance specialists !ill be required to ensure that the contractual obligations of the *arties are correctly addressed.c.Appendix J 173 Letter to the Contractor !onl" i# re$uired% c. 18.3 – &nsurances /ithin the Contract Documents the mployer !ill ha'e defined !hether he !ill himself pro'ide the required Contract insurances or !hether he required the Contractor to pro'ide the same. &t is appropriate that the mployer ad'ises the Contractor of any inadequacies of the Contractor pro'ided insurance policy and request that they be amended accordingly. Appendix J .0 Clause 18.s insurers" since there is a ris# of inad'ertently affecting the ris# distribution bet!een the *arties. 9here is no requirement for the mployer to appro'e insurance documents pro'ided by the Contractor. = – 6btaining Dispute AdDudication @oard.: Engineer EMP.nquote$ and (%uote$ /e consent to the appointment of (name – Contractor.c.: Engineer EMP. (. A copy of the curriculum 'itae of (name$ is attached for your e8amination. (. &t is not necessary to e8plain the reason for non-acceptance in this response. /e are dissatisfied !ith the decision of the @oard and required that the dispute be referred to arbitration in accordance !ith the procedures stated in Sub-Clauses )3.s Decision (%uote$ /e ha'e recei'ed the Dispute AdDudication @oard.s decision (number:title$. Eour consent is requested.nquote$ !ote( 9his notice is to be gi'en !ithin )8 days of receipt of the DA@s decision.) – Appointment of the Dispute AdDudication @oard (%uote$ /e propose to appoint (name$ as a member of the Dispute AdDudication @oard.2 Sub-Clause )3.s member$ as a member of the Dispute AdDudication @oard.4 Sub-Clause )3.G of the Conditions of Contract.nquote$ Letter to the Contractor c. 20.c. .174 Appendices Letter to the Contractor c. Appendix J (.> and )3. &f the non-acceptance is limited to one part of the decision" then the response should clarify matters. 20.