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Construction Law/Client issues and Contractor

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Question
We are Consultants performing supervision services on a middle east project under the White Book FIDIC form of contract.

The works are delayed due to circumstances beyond contractors control. The works are 80% complete, but the client will not sanction additional budgets for consultants supervision, resulting in an imminent demobilization of half of the supervision team.

We have notified the client of the demobilization schedule and how the works may be affected.

We feel it is our obligation to inform the contractor too. Is it OK to do so, or will there be repercussions against us.

Answer
Dear Jaison,

Depends on what is exactly written in your contract and the condition(if any) that the Client confirmed to you when he decided not provide any additional budget for extension of your service.

Have you discussed with the Client who will take over the supervision of the Works? Will they take over?

To have a proper transition, I suggest to have a dialogue again with the Client and get from him, his plan of who will take charge after your departure from the Works.

Usually the Client announce this kind of information to the Contractors since they are a Party to a contract with the Contractor/s.


Hope this helps.

Regards,

Jonathan Peralta

Construction Law

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Jonathan L. Peralta

Expertise

Questions relating to construction claims, Extension of Time, Variations, Interim Payment and delay analysis under FIDIC Form of Contracts.

Experience

Experience in the following sectors: buildings, residential, infrastructure, civil and marine works. Have worked for different international contractors in Myanmar, Vietnam and the Philippines.

Organizations
AACEI, U.S.A., Dispute Resolution Board Foundation,U.S.A., ASCE, U.S.A., PICE,Philippines

Education/Credentials
Bachelor of Science in Civil Engineering, Registered Civil Engineer in the Philippines

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