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1. (What is the maximum period for the Engineer to issue the Notice of Commencement Date?)
A) 42 days
B) 14 days
C) 84 days
D) 21 days
2. Under the FIDIC Red and Yellow Books (edition 1999), which two of the following statements are correct regarding the issuance of Interim Payment by the Engineer?
(Choose all correct answers - multiple possibilities)
A) The Employer is bound by the Certificate issued by the Engineer and must make payment in full, irrespective of any entitlement to compensation arising from any claim which the Employer may have against the Contractor.
B) The Employer is not bound by the Certificate issued by the Engineer.
C) If the Employer considers itself entitled to claim against the Contractor, notice and particulars must first be submitted under Sub-Clause 2.5. The Employer ' s entitlement is then to be agreed or determined by the Engineer, and then, incorporated as a deduction in a Payment Certificate.
D) The Employer is bound by the Certificate issued by the Engineer, and must make payment in full, except for any compensation arising from any claim which the Employer may have against the Contractor.
3. When does discharge become effective under the FIDIC Red Book (edition 1999)? (1 correct answer applies)
A) When the Employer counter signs a discharge notice as issued by the Contractor, following full payment and return of the Performance Security.
B) When the Contractor receives full payment certified through the Final Payment Certificate.
C) When the Contractor receives full payment certified through the Final Payment Certificate and return of the Performance Security.
D) When the Contractor receives its Performance Security from the Employer.
4. (In a region experiencing civil unrest and armed conflict under a FIDIC Red Book 1999 Contract, violence escalates into an insurrection, forcing the Contractor to stop work and retreat to a secured compound. The Contractor issues a notice claiming this is an Employer's Risk under Sub-Clause 17.3 (a) and (b), requesting Extension of Time and Cost. What is the most appropriate position for the Engineer at this stage?)
A) The Contractor should have foreseen such risks due to the region's history; therefore, Clause 19 is not applicable.
B) The Employer is in breach of its obligation to provide safe working conditions under Sub-Clause 2.1; therefore, the Contractor can claim on that basis.
C) Violence is an Employer's Risk; however, the Contractor can only claim after the situation ends. The Engineer cannot determine EOT or Cost yet, and the Contractor must submit a fully detailed claim later.
D) This is an Employer's Risk under Sub-Clause 17.3 (a)/(b), and the Contractor is entitled to EOT and Cost. The Engineer will assess actual entitlement after the event; no further notices are required.
5. You are the Contract Manager of the Engineer for a contract using FIDIC Yellow Book (edition 2017). You are drafting a notice holding the Commencement Date. Which one of the following approaches has the most clear and unambiguous drafting?
A) I hereby give notice, in accordance with Sub-Clause 1.1.84 and 8.2 of the Conditions of Contract, that the Time for Completion shall commence from 17 April 2023.
B) The Contractor is kindly notified that the project shall be started by 17 April 2023.
C) The commencement date of this project under Sub-Clause 8.1 of the Conditions of Contract will be 10 days from 7 April 2023.
D) I hereby give notice, in accordance with Sub-Clause 8.1 of the Conditions of Contract, the Commencement Date shall be 17 April 2023.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: C,D | Question # 3 Answer: C | Question # 4 Answer: D | Question # 5 Answer: D |
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