Incoterms have been made and published by the International Chamber of Commerce (ICC) in Paris . One of the tasks of the ICC is to make it easier for companies in different countries to trade which each other. Incoterms are accepted world-wide. The present edition of...
Commercial Law
FIDIC Claim Management
FIDIC forms of Contract 1987, 1999 and 2017 et seq. require to manage claims with skill and care. Claims are aimed at the compensation of the Contractor or Employer for either breach of contract or risk which has eventuated. The ability to claim goes along with...
Are Civil Law Engineers fit for FIDIC?
The FIDIC standard forms, the so called Red Book, Silver Book, Yellow Book and Green Book (1999 1st Edition and 2017 2nd Edition) and since September 2008 also the Gold Book, sometimes seem to be a mystic thing for Civil Law engineers, who failed to participate in...
Risk allocation in the FIDIC Conditions of Contract (1999 & 2017) for Construction (Red Book) and the FIDIC Conditions of Contract (1999&2017) for EPC / Turnkey Projects (Silver Book) from the perspective of a German lawyer
In 1999 FIDIC updated its existing standard forms of Conditions of Contract, i.e. the Conditions of Contract for Works of Civil Engineering Construction (the so-called “Red Book”) and the Conditions of Contract for Electrical and Mechanical Works including Erection...
FIDIC Dispute Adjudication 1999 and 2017
Whenever possible, it is advisable to solve any differences or disputes by amicable settlement, since disputes are time-consuming and expensive. Most international contract forms therefore provide express stipulations through which the parties to them attempt to avoid...
The FIDIC Joint Venture Agreement 1st Edition (1992) and 2nd Edition (2017)
The FIDIC JOINT VENTURE (CONSORTIUM) AGREEMENT, 1st edition 1992 was prepared essentially to be used for the association between two or more Consultants, when: the association is for marketing and/or performing the Services required for a specific project, rather...
FIDIC Rainbow Edition, 1999 updated: FIDIC Rainbow, 2nd Edition 2017 has been published
In 2008, a significant landmark occurred in the development of the FIDIC contracts. This was the launch of the FIDIC Design, Build and Operate form of Contract—the FIDIC Gold Book. Major concepts and policies have been adopted by the new FIDIC Rainbow suite. However,...
Fundamental or Golden FIDIC Principles – Do they exist?
I should first clarify and underline that in my view Golden FIDIC principles[1] do exist. For instance the aim to fairly allocate risk[2] belongs to the Golden principles. Also I would include the aim that FIDIC wording is user friendly, clear and coherent but also...
FIDIC has launched the new FIDIC Consultancy Agreements, 2017 Edition
On the occasion of the annual Middle East FIDIC Users´ Conference 2017 in Abu Dhabi FIDIC has launched three new Agreements: The FIDIC White Book – Client/Consultant Services´ Agreement, 5thEdition 2017 The FIDIC Consortium / Joint Venture Agreement, 2nd Edition 2017...
International Arbitration in the Construction Business and under FIDIC
Private arbitration or (dispute) adjudication is a process built on consent in that parties agree that their respective disputes shall be settled by arbitrators or arbitral panels. Arbitral tribunals have considered that arbitration is an entirely alternative...
SIGNIFICANT CASE LAW ON THE FIDIC FORMS OF CONTRACT – Development of a FIDIC case law?
The dispute clauses under FIDIC forms of Contract 1957 - 1999 edition (Clause 67 FIDIC, 1 Edition, Sub-Clauses 20.2 et seq. FIDIC 1999 edition) provide for first dispute adjudication (until 1999 the Engineer had authority to give a decision) and second arbitration...
The Civil Law decennial (decennal) liability or
FIDIC advises users of the FIDIC Suite of contracts, 1999 edition, that under some Civil Law jurisdictions the Contractor will be liable absolutely (without evidence for fault) for hidden or latent defects during a period of ten years from completion (which is called...
Revocability of offers and tenders in the construction industry
Whether there is a contract between the parties or not and if so what are its terms: these are common issues in construction litigation. The general rule is that the valid formation of a construction contract just like any other contract requires mutual assent by both...
The FIDIC Design Build and Operate Contract – Gold Book
In 2008 FIDIC has published a standard form of Contract which extends the single responsibility of the Contractor to the operation service. It is known as the FIDIC Gold Book for Design Build and Operate. The concept is to require the Contractor to take in...
Specific performance in construction contracts under German law
Construction contracts come in all shapes and sizes from the simple short form of Contract (the FIDIC Green Book) to the 1999 FIDIC suite of contracts (including the FIDIC Red Book, Yellow Book and Silver Book) and other Standards like NEC. It is common practise in...
Offshore Projects under FIDIC
The offshore windmill industry and the renewable energy sector (including for instance hydro power, biomass, photovoltaik) in general use frequently FIDIC forms of Contract. In particular the FIDIC Yellow Book is obviously quite popular...
FIDIC Training
Throughout the world the use of FIDIC forms of Contract can be observed. The use of FIDIC forms of Contract requires care and diligence since the contract wording and the underlying concepts are embedded in the laws. More or less only English common law helps to...
FIDIC under the laws of Botswana – Default Rules
'FIDIC terms and conditions are well known standards for the procurement of construction services. Prof. Molineaux[1] has stated: The forms of contract of the Fédération Internationale des Ingénieurs-Conseils (FIDIC) are widely used and their dissemination has already...
EPC Turnkey Contracts – Risk or Risk Avoidance?
The correct and official name of the FIDIC Silver Book is „Conditions of Contract for EPC/Turnkey Projects“. This suggests that this is the only and appropriate standard form of contract for EPC/T projects. However, the abbreviation EPC/T merely connotes that this...
The FIDIC Subcontract for Works
Introduction Naturally a subcontract is an ancillary contract depending on the existence of a main contract. Both contracts, the Main Contract and the Subcontract, are aimed at achieving the same objective or have a common subset of objectives. Subcontracts may be...
Taking over, Acceptance and Completion Certificate under German law
Although it is still uncommon to use standard forms of contract in English language for German projects it sometimes happens that FIDIC standard forms are used. In particular for off-shore windfarm projects FIDIC contracts are currently en vogue. Contractors and...
Statutory security devices in construction contracts in France and Germany, a challenge to the parties´ freedom of contract favoured by the FIDIC terms
In the past standard forms for international construction contracts did not include any type of security device covering compensation claims of the contractor other than a sample form of a Payment Guarantee which is actually rarely used in practice. It took until 1999...
FIDIC Books have been translated
The current FIDIC standard form contracts, published in 1999, are English-language standard forms for different types of contracts originally inspired by the elder ICE Standards. It is obvious that there is a need in the construction industry for the FIDIC Conditions...