Course Details

Handling Variations and Delays under FIDIC Contracts Training Course

INTRODUCTION

This essential training course provides comprehensive knowledge and practical skills for effectively Handling Variations and Delays under FIDIC Contracts. Recognizing that changes to scope and unforeseen delays are almost inevitable in complex construction and engineering projects, leading to significant commercial and legal implications, this program equips participants with a systematic understanding of FIDIC's detailed procedures for instructing, valuing, and claiming variations, as well as managing and extending time for project delays. Participants will gain deep insights into differentiating between various types of variations and delays, preparing robust notifications, substantiating entitlements, and proactively mitigating impacts, all crucial for protecting contractual positions, controlling costs, and maintaining project schedules.

Handling Variations and Delays under FIDIC Contracts Training Course is designed for project managers, contract administrators, quantity surveyors, and legal professionals who regularly encounter variations and delays on FIDIC-based projects. It moves beyond a theoretical understanding of clauses to empower participants with the practical skills and strategic insights needed to efficiently manage these critical project events, ensuring compliance, minimizing disputes, and safeguarding project profitability.

DURATION

10 days

TARGET AUDIENCE

This course is specifically designed for professionals actively involved in the day-to-day administration and commercial management of FIDIC contracts, who need to understand and apply effective strategies for handling variations and delays, including:

• Project Managers and Directors.
• Contract Managers and Administrators.
• Commercial Managers and Quantity Surveyors.
• Site Engineers and Construction Managers.
• Legal and Claims Specialists.

OBJECTIVES

Upon completion of this course, participants will be able to:

• Understand the FIDIC definitions and procedures for Variations.
• Effectively instruct, value, and manage changes to the scope of work.
• Identify and assess different types of project delays and their causes.
• Master the notification and substantiation requirements for claims for Extension of Time (EOT).
• Apply strategies for proactively managing and mitigating the impact of variations and delays.

MODULES

Module 1: Foundations of Variations in FIDIC Contracts

• Define "Variation" under FIDIC and its contractual basis (Clause 13).
• Explore common reasons for variations in construction projects.
• Understand the Employer's right to vary the works and the Engineer's role in instructing them.
• Discuss the difference between Variation Orders and other forms of change.
• Examine the impact of variations on time, cost, and quality.

Module 2: Procedures for Instructing and Approving Variations

• Understand the formal process for the Engineer to instruct a Variation.
• Discuss the Contractor's right to submit a proposal for a variation (e.g., Value Engineering).
• Explore the Contractor's right to object to a Variation in certain circumstances.
• Examine the importance of clear, written instructions and agreements for variations.
• Learn about the timelines for response and determination of variations.

Module 3: Valuation of Variations

• Understand the different methods for valuing Variations as per FIDIC (e.g., contract rates, new rates, cost-plus).
• Discuss the principles of "similar character and executed under similar conditions" for applying contract rates.
• Explore the process for agreeing new rates or prices for varied work.
• Examine the valuation of provisional sums and daywork used in variations.
• Learn about documenting the valuation process and reaching agreement.

Module 4: Understanding and Classifying Delays in FIDIC

• Define "Delay" in the context of FIDIC contracts.
• Understand the distinctions between Excusable, Compensable, and Non-Excusable delays.
• Discuss common causes of delays (e.g., Employer's default, unforeseen conditions, force majeure, Contractor's fault).
• Explore the concept of critical path delays and their impact on project completion.
• Examine the importance of contemporaneous records for delay analysis.

Module 5: Claims for Extension of Time (EOT)

• Understand the Contractor's entitlement to Extension of Time (EOT) (Clause 8.4).
• Discuss the strict notification requirements and time bars for EOT claims (Clause 20.1/20).
• Explore the process for preparing and submitting a detailed EOT claim, including cause, effect, and proposed extension.
• Examine various delay analysis methodologies (e.g., time impact, windows, as-planned vs. as-built).
• Learn about the Engineer's role in assessing EOT claims and mitigating concurrent delays.

Module 6: Managing Disruption and Concurrent Delays

• Define "Disruption" and distinguish it from delay.
• Discuss the challenges of proving and valuing disruption claims.
• Explore the complexities of concurrent delays and their impact on EOT and cost entitlement.
• Examine FIDIC's approach to concurrent delays (e.g., causation vs. apportionment).
• Learn about strategies for mitigating disruption and managing overlapping delays.

Module 7: Cost Implications of Delays and Liquidated Damages

• Understand the Contractor's potential entitlement to prolongation costs due to excusable and compensable delays.
• Discuss the types of costs recoverable in delay claims (e.g., site overheads, head office overheads).
• Explore the concept of Liquidated Damages for Delay (LDs) and their enforceability.
• Examine the circumstances under which LDs can be levied and when they are waived.
• Learn about the Employer's and Contractor's strategies regarding LDs.

Module 8: Proactive Management and Dispute Avoidance

• Understand the importance of early warning systems (2017 Editions) for variations and delays.
• Discuss strategies for proactive mitigation of delays and their financial impact.
• Explore effective communication and collaboration between parties to manage changes.
• Examine the role of the Engineer's determinations in resolving disagreements on variations and delays.
• Learn about maintaining comprehensive project records to support or defend against future claims.
• CERTIFICATION
• Upon successful completion of this training, participants will be issued with a Macskills Training and Development Institute Certificate
• TRAINING VENUE
• Training will be held at Macskills Training Centre. We also tailor make the training upon request at different locations across the world.
• AIRPORT PICK UP AND ACCOMMODATION
• Airport pick up and accommodation is arranged upon request
• TERMS OF PAYMENT
• Payment should be made to Macskills Development Institute bank account before the start of the training and receipts sent to info@macskillsdevelopment.com