Guide to the General Conditions of Contract 2015 Second Edition

GUIDE TO THE GENERAL CONDITIONS OF CONTRACT 2015

CONTENTS Page

CHAPTER I: COMPILATION AND APPLICATION OF GCC 2015 1
1. The need for general conditions of contract 1
2. The development of GCC 1
3. The amendment of GCC 2
4. Objective of GCC 2015 3
4.1 Green Paper on uniformity in contract documentation 3
4.2 Equity requirements for conditions of contract 4
5. The appropriation of risks 7
6. Application of GCC 2015 8
6.1 Relevance of GCC 2015 9
6.2 Pricing strategy for GCC 2015 10
6.3 Suitability of GCC 2015 10
CHAPTER II: HELPFUL NOTES ON GCC 2015 12
1. GENERAL 12
1.1 Definitions 12
Contractual Definitions 12
Definitions about Goods and Places 15
Payment Definitions 16
Stakeholder Definitions 19
Time Definitions 20
1.2 Interpretations 22
1.3 General provisions 24
2. BASIS OF CONTRACT 27
2.1 Available data and information 27
2.2 Adverse physical conditions 29
2.3 Technical data 31
2.4 Ambiguity or discrepancy 31
2.5 Assignment 32
3. EMPLOYER’S AGENT 33
3.1 Qualifications of the Employer’s Agent 33
3.2 Functions of the Employer’s Agent 33
3.3 Employer’s Agent’s Representative 37
4. CONTRACTOR’S GENERAL OBLIGATIONS 40
4.1 Extent of obligations and liability 40
4.2 Employer’s Agent’s instructions 40
4.3 Legal provisions 41
4.4 Subcontracting 42
4.5 Notices and fees 44
4.6 Patent rights 46
4.7 Fossils 47
4.8 Facilities for others 47
4.9 Construction Equipment 48
4.10 Contractor’s employees 49
4.11 Competent employees 50
4.12 Contractor’s superintendence 50
5. TIME AND RELATED MATTERS 52
5.1 Time calculations 52
5.2 Commencement of the Contract 54
5.3 Commencement of the Works 54
5.4 Access to the Site 56
5.5 Time for Practical Completion 58
5.6 Programme 60
5.7 Progress of the Works 64
5.8 Non-working times 66
5.9 Instructions 66
5.10 Delays attributable to the Employer 69
5.11 Suspension of the Works 70
5.12 Extension of time for Practical Completion 72
5.13 Penalty for delay 78
5.14 Completion 79
5.15 Clearance of Site 84
5.16 Approval 84
6. PAYMENT AND RELATED MATTERS 87
6.1 Payment to Contractor 87
6.2 Security 87
6.3 Variations 90
6.4 Value of variations 94
6.5 Dayworks 96
6.6 Provisional sums and prime cost sums 98
6.7 Measurement of the Works 100
6.8 Adjustments in rates and/or prices 102
6.9 Vesting of Plant and materials 104
6.10 Payments 105
6.11 Variations that exceed 15% 116
7. QUALITY AND RELATED MATTERS 117
7.1 Quality of Construction Equipment 117
7.2 Quality of Plant, workmanship and materials 117
7.3 Access to the Works 118
7.4 Samples and testing 118
7.5 Examination of the Works 120
7.6 Defective Plant, materials and work 121
7.7 Search for defects 123
7.8 Defects 123
7.9 Urgent remedial work 125
8. RISKS AND RELATED MATTERS 126
8.1 Protection of the Works 126
8.2 Care of the Works 129
8.3 Excepted risks 130
8.4 Indemnifications 133
8.5 Reporting accidents 134
8.6 Insurances 135
9. TERMINATION OF CONTRACT 139
9.1 Termination of contract 139
9.2 Termination by Employer 142
9.3 Termination by Contractor 146
10. CLAIMS AND DISPUTES 149
10.1 Contractor’s claim 150
10.2 Dissatisfaction claim 158
10.3 Dispute notice 161
10.4 Amicable settlement 164
10.5 Adjudication 166
10.6 Disagreement with Adjudication Board’s decision 170
10.7 Arbitration 171
10.8 Court proceedings 173
10.9 Appointment 174
10.10 Common provisions 175
10.11 Continuing validity 176
CHAPTER III: NOTES ON SUPPLEMENTARY DOCUMENTS IN GCC 2015 177
1. CONTRACT PRICE ADJUSTMENT SCHEDULE 178
2. ADJUDICATION BOARD RULES 187
2.1 Powers of the Adjudication Board 187
2.2 Ad-hoc adjudication procedures 191
2.3 Standing adjudication procedures 194
3. FORM OF OFFER AND ACCEPTANCE 200
4. CONTRACT DATA 204
5. PERFORMANCE GUARANTEE 206
6. DISCLOSURE STATEMENT 209
7. ADJUDICATION BOARD MEMBER AGREEMENT 210
CHAPTER IV: GCC 2015 SUBCONTRACT 211
CHAPTER V: AMICABLE SETTLEMENT 214
CHAPTER VI: AMICABLE SETTLEMENT PROCEDURES 215
1. Scope of the Procedures 215
2. Commencement of amicable settlement proceedings 216
3. Amicable Settlement Procedures 216
4. Representation 216
5. Communication 217
6. Information 217
7. Settlement Agreement 217
8. Confidentiality 217
9. Termination of Proceedings 217
10. Role of Neutral in subsequent proceedings 218
11. Liability of the Neutral 218
12. Fees and expenses 218
CHAPTER VII: NOTES ON SAICE AMICABLE SETTLEMENT PROCEDURE 219
1. Introduction 219
2. Amicable settlement techniques 219
3. Commencement of amicable settlement procedures 221
4. Amicable settlement procedures 222
5. Representation 223
6. Communication 223
7. Information 223
8. Settlement Agreement 223
9. Confidentiality 224
10. Termination of Proceedings 224
11. Role of the Neutral in subsequent proceedings 224
12. Liability of the Neutral 225
13. Fees and expenses 225
APPENDIX 1: WRITTEN ACTIONS REQUIRED IN GCC 2015 226
APPENDIX 2: LIST OF ITEMS IN GCC 2015 THAT THE EMPLOYER’S AGENT MUST ATTEND TO 230
APPENDIX 3: GCC 2015 USED FOR DESIGN AND BUILD CONTRACTS 233
APPENDIX 4: ADVANCE PAYMENT GUARANTEE 236
APPENDIX 5: CONSTRUCTION INSURANCE 240
APPENDIX 6: SUBSTITUTIVE CONTRACTUAL TERMS 259
APPENDIX 7: PRO FORMA CERTIFICATE OF PRACTICAL COMPLETION 265
APPENDIX 8: PRO FORMA CERTIFICATE OF COMPLETION 266
APPENDIX 9: PRO FORMA FINAL APPROVAL CERTIFICATE 267
APPENDIX 10: PRO FORMA PAYMENT CERTIFICATE 268
APPENDIX 11: PRO FORMA NOTICE OF CONTRACTOR’S CLAIM 269
APPENDIX 12: PRO FORMA NOTICE OF DISSATISFACTION CLAIM 270
APPENDIX 13: PRO FORMA DISPUTE NOTICE 271
APPENDIX 14: PRO FORMA NOTICE OF ADJUDICATION 272