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Construction Law/Variation-Amendement?

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Question
Dear Florin,

Hope you are doing fine.

It has been so long since my question last time.

My question today is:

Whether an amendment to a sub-contracting agreement would be required if the main Contractor omits by mutual agreement certain, considerable rather, works? In fact, the agreement took place orally.

Or that a variation Order shall be signed?

What is the difference? Which one should be done- Variation Order or Amendment and how?

Being deeply indebted in advance to hearing your expert advice, as usual of course,  I remain

Alemu

Answer
Hi Alemu,


Good to hear from you, thank you for your new question.

I am not sure I fully understand your "telegraphic" question, but:

1. I suspect you refer to certain works that a Sub-Contractor was supposed to execute.

2. No oral deals!!! Always put everything in writing!!! "Verba volant, scripta manent", which in Latin means words fly, written stays.

Now, I can only assume your sub-contracting agreement is back-to-back with your main contract. As presumably under your main contract, the Employer can omit whatever works they please, except for executing them themselves or hire someone else, so should provide your sub-contracting agreement.

If that is the case, then you simply issue a similar Variation Order, for the sub-contractor to omit those works.

If not, please provide details on that sub-contracting agreement and will gladly develop my answer.

Hope that helps.

Construction Law

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Florin NICULESCU

Expertise

Questions related to Civil Engineering Contracts, using FIDIC or other Conditions of Contract, concerning Procurement procedures and documents (pre-qualification, tendering and contracting) and Services/ Works Contracts implementation matters including Determinations, Payments, Time Extensions, VOs, Claims/Disputes. Additionally, questions related to dealing with International Financing Institutions. Can also answer questions in Romanian. Can not answer improperly formulated questions.

Experience

Over 20 years of experience in the field of design, works supervision, construction, management of aid funds and technical assistance for various types of contracts implementation, including severe conflictual contractual situations leading to Claims and disputes. Claims/ Contract management, Disputes adjudication, Arbitration.

Organizations
Member of Romanian Professional Association of Roads and Bridges; Listed on President's List of Adjudicators of Romanian Association of Consulting Engineers www.aric.org Former member of the Disputes Resolution Board Foundation (DRBF) of United States – nominee on DRBF President’s Disputes Board Members List www.drb.org and of DRBF Chapter for Eastern Europe http://dabdrb.googlepages.com Former member of Polish Association of Consulting Engineers (SIDiR) – nominee on SIDiR President’s Disputes Board Members National List http://www.sidir.pl/sidir/index.php?action=czlonkowie&a2=r Member of “AllExperts.com” volunteers pool http://www.allexperts.com/user.cgi?m=4&expID=85358&catID=914 Member of the "Constructions Disputes Resolution Services” International Panel of Construction ADR Specialists" of United States www.constructiondisputes-cdrs.com

Education/Credentials
- Graduate in 1994 the Construction Institute - Graduate of several FIDIC,Procurement and other courses - Graduate of first Disputes Board Members Mentoring Scheme (http://www1.fidic.org/resources/adjudicators/pupilage.html) - FIDIC Accredited Adjudicator

Past/Present Clients
- Several State organisations/Ministries , such as Ministry of Transport, National Admistration of Roads, Ministry of Regional Development (former Ministry of European Integration), Public Works and Housing, Central Contracting and Financing Unit in Romania and also in Turkey, Croatia and Macedonia - Numerous Western based private consultancy companies - full CV and other relevant information available at www.abinitio.ro

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