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Construction Law/Rejection of IPC by the Employer


Dear Florin,
We are the Contractor under the Red FICIC -1999 first edition, and the Engineer has issued to the Employer an IPC which include works + materials on site ….. The Employer decide to reject the IPC and he request to be deducted from it the value of the materials on site, due to its financial arrangements issues.
We have issued a “notice of claim” on 20.1, considering that the reason for which the IPC was rejected is not contractual. The Engineer has issue an revised IPC to the Employer without the value of materials on site.
Can you recommend us what to claim ?
Thank you.

Dear Stefan

Thank you for your question.
Firstly, you should check the actual Particular Conditions and ensure the Employer has indeed not reserved any such right.
I believe one would need to check in more depth for a fully fledged answer, but think you can proceed on the basis of delayed payment for the portion unpaid, I.e. the difference between the first and revised IPC. Including suspension and termination.
But again, first read the Particular Conditions.
Hope that helps.

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