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Construction Law/Taking over Certificate and dispute


Dear Senthil,

We have a road project LUMP SUM following FIDIC 1987 fourth edition reprinted 1992.

There is a dispute between the client and the contractor regarding the contract price as the client indicated that according to the contract he can omit any work which was not executed or provided due to ''The project did not need for them at all'' and he (client) ready to compensate for any loss in profit to the contractor and according to the contract but the contractor says as long the contract is lump sum he is entitled to receive full contract price including items were not provided or executed.

NOW the problem is the contractor requested for issuing the taking over certificate

Is it recommended to issue this TOC even the above financial problem hasnít been solved ?

Or we should not issue the TOC till the contractor states that he wont claim for any further amounts in the future and admits that the contract is closed financially on the adjusted contract price (after omission)

PLEASE advise and inforce the answer with some clauses we can use in this regards for issuing TOC as described above.


Dear Sir,

We understand that for LUMP SUM contracts/measurement contracts, the items/milestone executed will only be paid and in the opposite, if, any item / milestone is outside the contract required by the Employer, will be taken-up as a variation work. This we practiced on Hydo-power project was donors were international banks. The main contractor was from one country and E&M contractor was from another country. In addition, supervisory consultants were from another country. The change in milestones had been adjusted, and unexecuted milestones were adjusted with the additional works instructed by the engineer/employer.

TOC certificate need not delayed for want of the settlement on additional work/decreased work, include in the pending items list for technical as well as for the contractual matters. TOC has further implications of the change of risk date/responsibility and or us of the facility may not be allowed unless the TOC is not agreed/issued.

Best Regards,
Akhtar Hussain Mayo

Construction Law

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Akhtar Hussain Mayo


I am interested to comment on Project planning/scheduling, schedule updating, extension of time delay analysis, concurrent delays, extension of time, extension of time delay compensation cost analysis, up to some extent on contractual matters, for the sake of my learning


worked on a Eot and cost compensation claim in 1992 for 34 million USD, 1987-1992 worked as RE technical at Tarbela third extension, Pakistan, 1992-1996 scheduling and construction claim processing at Lahore/Karachi on Thermal projects, 1197 to 2006 in Saudi Arabia project scheduling/coordination/monitoring and managing the multiple activities for completing four 300 beds hospitals in different parts of the world, since 2006 to date working for scheduling, delay analysis, cost compensation Eot claims and project monitoring. Also, Quality manuals review, monitoring and quality audit

National Engineering Services of Pakistan, Lahore, since 1982 - to date.

published my method in "The Engineer" Delay cost analysis through as-planned verses as-built and as-adjusted time schedule. 1991

1976-81 Bsc Engineering (Mechanical), UET (Lahore) 2007-2009 MS TQM (Total Quality Management) PU (Lahore) courses in CPM/PERT PIM Lahore Project planning/Control work shop ARAMCO, Dahran Primavera users conference in Jeddah. Heat recovery systems quality inspection in China 220 Kv transmission line tower manufacturing quality assurance at Lahore

Awards and Honors
- Best service award from Saudi German Hospitals Group (SGH), Jeddah during the construction planning/scheduling and monitoring of Abha Hospital, Saudi Arabia. - Selected as Steering Committee member for SGH Group, Jeddah. - Selected as Strategic Committee for business development, SGH, Jeddah. - Headed the committee for standardized recrutment of medical staff from different parts of the world for initial start-Up of hospitals.

Past/Present Clients
Water and Power Development Authority KaracHi Electric Supply Corporation Saudi German Hospitals Group,Jeddah Civil Aviation Authority, Islamabad, Pakistan Laraib Energy Limited, Mir Pur Azad-Kashmir, Pakistan Central Power Generation company processing the Eot Claims and cost compensation of claims CPGCL-GENCO-II, Lahore

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