AboutPeter M. Elliott Expertise 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.
Experience Value . . .
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.
. . . John Ruskin (1819 - 1900)
"We are too poor to buy something cheap"
.Romanian Proverb 2002
A lean compromise is better than a fat lawsuit.
George Herbert (English poet 1593-1633)
I said it in Hebrew, I said it in Dutch,
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
Match your presentation to the reader!
The joy of food lasts but an hour, of sleep but a day, of a woman, but a month, but the joy of a building lasts a lifetime. Syrian proverb.
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')
Question I've completed several parts of a construction project ,here in conyers ga usa .Footers and structual support walls for stadium seating have beeen completed . My contract states that my retianage (10%) is to be halfed upon substantual completion. They now insert project completion , at that time all would be due anyway. Whats my next step.
Answer I do not know what form of contract you are using, so here is some general advice. I presume that you have a written contract which states that your retention would halved on substantial completion, that the remainder would be paid on project completion, and that you are the main contractor, not a sub contractor. Normally, half the retention would be released on taking over and the remainder at the end of the defects notification period, usually twelve months. If you are subcontractor, then you may have a pay when paid clause in your contract.
It would be unusual for a client to change this aspect of the Conditions of Contract after the Contract has started. It could be interpreted that he has cash flow problems and affect his credit rating for future work. Under some forms of contract you can ask the Employer to prove that he has sufficient funds to pay you for the work. In any case, you may wish to ask him the reason for changing the payment terms.
If the Employer is instructing a change the Conditions of Contract, then you acknowledge receipt of his instruction and advise him that you will be seeking reimbursement of your extra costs. You then submit a claim for your extra costs, which include interest and refinancing costs.
If I have misunderstood anything then come back with a follow up question.
