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Construction Law/FIDIC 99 Sub clause 8.1


Dear Sir/Madam;

Employer has issued Letter of Acceptance.But now he wants to change the scope of the work.What is the Contractor's entitlement,

1. If the commencement date is not issued but LOA is issued

2. If the commencement date is issued but the Contractor has not started the Work.

Thank you!

Dear Fernando,

Good day.

I am answering this question on assumption that you are referring to "Letter of Acceptance for programme submitted by the Contractor for execution of the works". If the scope of the work changes, then, the contractor's entitlement is "compensation of any additional cost and or time requirement as may have resulted from the impact of the scope change. and if it omission of cost as well, it will be applicable.

1. If the LOA for the programme is not issued, whatever effect of the change of scope would then be analysed by either mutually agreeing to the Contractors programme that is waiting for acceptance or any other agreed modification to the contractor's submitted programme. If they cannot agree, then, it will become a dispute and would be referred to DAB for resolution and thereafter, Arbitration.

Should the LOA have been accepted and the Contractor did not start work due to fault of his own, then, it may constitute delays and should the delay has a consequential impact on the performance of the contract or the agreement, then, appropriate remedy may be invoked which may mean Employer levying penalties in form on the Contractor for any damages sustained in line with the Contract. The contractor may be requested also to submit recovery programme. But if the non-commencement of contractor is due to Employer's fault, then, the contractor would be compensated in like manner for time and cost as may be applicable.

Hope this clears your doubts?


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Femi Alofe


I can answer all questions relating to the followings: 1. Contract Administration - variations, contract clauses interpretation, all post contract procedures, valuations and certificates questions, extension of time issues and prolongation cost matters. 2. Contract Practice - Any questions regarding forms of contract like JCT, FIDIC & other Bespoke forms. 3. Quantification, measurements and Estimating questions 4. Contracts and construction law questions and dispute resolutions problems. 5. All FIDIC Conditions of contracts


Out of my 24 years experience in construction industry, i have the following specific experience: 1. Contract Administration - 15 years in contract administration with over 10yrs in Managerial positions covering africa and the middleeast. 2. Contract Practice - 15 years experience with over 10yrs in Managerial and expert positions covering africa, north america and the middleeast. 3. All pre-contract procedures, Tendering, Quantification, measurements and Estimating questions - 20 years experience. 4. Contracts and construction law questions and dispute resolutions problems - 15 years experience with over 10yrs in Managerial and expert positions and 5 years expert witness and active practice in arbitration proceedings covering africa and the middleeast.

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