Contracts Management and Administration (Based on FIDIC Standard) PMI, PMP, PMBOK and the PMI Registered Education Provider logo are registered marks of the Project Management Institute, Inc. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD Sub-Clause 13.1 “Variation” or “Right to Var y” The Unilateral Right of the Employer to Alter a FIDIC Contract Agreement © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD LEARNING OBJECTIVES 1. Provide “Supporting” Case Law examples to FIDIC Concept that “Variations cannot be proposed by the Employer simply to remove works away from the existing Main Contractor and allow this same works to be given to another Contractor”; © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD LEARNING OBJECTIVES 2. “Is a Particular ‘Instruction’ a Variation or just an instruction?”. 3. Provide the specific UAE Civil Codes references applicable to FIDIC 1999 RB Sub-Clause 13.1 – and discuss the differences between the two areas. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD WHAT IS A “VARIATION?” © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD IMPORTANT DEFINITIONS FOR “VARIATIONS” – WHAT IS IT? • Changes are required to the works at some point on most construction projects. • Hence, a mechanism enabling the employer to instruct, and the contractor to implement, variations is important. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD IMPORTANT DEFINITIONS FOR “VARIATIONS” – WHAT IS IT? • The power to var y is an essential part of ver y construction contract but the scope of the power to var y differs considerably between different forms. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD IMPORTANT DEFINITIONS FOR “VARIATIONS” – WHAT IS IT? • Sub-Clause 13.1 confers a ver y wide power and it will only be in unusual circumstances that the Contractor will not be obliged to follow a variation instruction. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD IMPORTANT DEFINITIONS FOR “VARIATIONS” – WHAT IS IT? • A variation ( sometimes referred to as ) is an alteration to a ‘Change Order’ the scope of work originally specified in the contract, whether by way of an addition, substitution or omission to the works, or through a change to the manner in which the works are to be carried out. © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD DEFINING VARIATION © 2016 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . 800 3FOLD
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