Construction Law/cost claim


Dear Sir,
We have determined and notify EOT of 45 days due to addition work of concrete pile which was required under the abutment of a barrage work.The Contractor did this work but during this additional work, his all equipment were  in use on other activities to be performed under the Contract and there was nothing idling of equipment. The Contractor has raised cost claim and has claimed  depreciation & FCCM cost,besides claiming other indirect cost.I,m not sure for which cost he is entitled to. Please note that conditions are of MDB harmonized version 2010.Please advise and help.

Engr. Arshad

Dear Engr Arshad,

Thank you for your question.

It is very difficult to say precisely because I do not know the bulk of evidence and supporting documents the Contractor is relying on in his claim. One thing I can adviSe in this situation is that, any valid claim must be supported with evidence and convincing supporting document. A claim for idling of resources must be supported with the resources concerned and evidence that they were idle on site at such period. Progress reports and site physocal records will confirm this if you request.

Depreciation of plant claim is not valid except the Contractor can confirm that it was not considered as part of the unit rate for plant and also in head office overheads (if unrecovered or unabsorbed).

This is the bit I can advise now.


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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.

1. FAIQS - Fellow, Australian Institute of Quantity Surveyors, Australia 2. FRICS - Fellow, Royal Institution of Chartered Surveyors, UK 3. CCP - Certified Cost Professional AACEI, USA 4. PQS - CIQS, CANADA 5. ACIArb. - CIArb, UK 6. MNIQS - NIQS, NIGERIA 7. RQS - QSRBN, NIGERIA

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