Expert: Senthil Kumar Sellamuthu - 1/19/2012

Question
Good day!

I am Syril, QS from Hanoi Vietnam. I have just some queries regarding claim matter. Our project is based on the FIDIC Condition of Contract 1987.

We have a claim regarding the construction of Engineer's site office. It was considered as VO by the Engineer due to the Construction from one area temporarily because of the delayed hand-over and then transferred to the designated area where it was supposed to be constructed as stated in the contract. After a series of correspondence, an amount was agreed between the Engineer and the Contractor regarding the claim of the Contractor for the newly constructed Engineer's office and the additional cost incurred in the transfer.

However, upon receiving of the Employer of the recommendation of the Engineer regarding the claim, the Employer questioned the amount that was agreed by the Engineer by sending letter to the Contractor and informing that to consider the amount incurred with the temporary office rather than the newly constructed office and was the amount justifiable.

Question?  Is the Contractor answerable to the queries of the Employer? Will it not be possible that the matter be settled between the Engineer and the Employer since the Engineer have already come up with the decision? Will it be considered that the former office be the claimable one instead of the newly constructed?

Thank you in advance for giving your time with this queries.

Very truly yours,

Syril
Hanoi, Vietnam

Answer
Dear Mr. Syril,

Thanks for your Questions. What ever the issues are behind, the contractor are responsible to clarify or justify the amount incurred in that temporary work executed by him.

So, collect the relevant documents and expenses list and have a meeting with the Engineer first. After getting conclusions meet the client together and clarify to them.

Thanks and regards,

Senthil Kumar