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Question
Sir
Please draw your attention to the following scenario of a domestic subcontract of Iraq Middle east and share your opinion please.

1-Subcontractor mile stone payment is due on "Installation of earthing network system"
2-"Installation of underground earthing network"is also subcontractor responsibility
3-There is also a provision in agreement, that unless expressly mentioned, subcontractor has to supply all the services etc

Exclusion for subcontractor is " installation of embedded part in/on foundation"

A conflict is developed between us, as my stance is "that exclusion of work is only for part/parts and not for the system as whole. Since earthing system/network can not be completed and functional and is not payable unless subcontractor do not perform the earthing activities within foundation"

Subcontractor claims that all embedded part is contractor responsibility so he will not perform embedded work within or on foundation

Can you please advice on above scenario

Regards
Shaiba

Answer
Dear Mohammed,

You do not mention the form of contract nor the applicable law, so the the following comments will be generic in nature.  

I presume there is some sort of buried net or spikes that form the earthing system, which is to be bonded to the reinforcement in the (concrete0 foundations.  I presume that there are some metal (brass) fixings on the surface of the concrete to connect the reinforcement to the earthing system.  I suggest that the supply and installation of these minor fixings is outside the subcontract, but that generally the subcontractor is responsible for supply, installation and commissioning of the major parts of the earthing system, which may be be within the general area of the foundations or outside them.  

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Peter M. Elliott

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First response to queries regarding extensions of time, variations orders, site instructions and payment using FIDIC and other forms of Conditions of Contract, based on English Law, and derivatives only. Anyone who needs advice about EoT should download and study the SCL Delay & Disruption Protocol www.eotprotocol.com before submitting a question.

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It's unwise to pay too much, but it's unwise to pay too little. When you pay too much you lose a little money, that is all. When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing you bought it to do.
The common law of business balance prohibits paying a little and getting a lot. It can't be done. If you deal with the lowest bidder, it's well to add something for the risk you run.
And if you do that, you will have enough to pay for something better.
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I said it in German and Greek:
But I wholly forgot (and it vexes me much)
That English is what you speak!" Hunting of the Snark - Lewis Caroll
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Comments and observations leading to improvements in the translation of FIDIC Red & Yellow books into Romanian prior to approval by FIDIC (reference 'Preface to the Romanian edition')

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