Star Rates

Star Rates are used to price work where the unit rates in the contract cannot fairly represent the work done exactly. Usually, contract unit rates that are similar to the work done are used in negotiations to determine the Star Rate. Star Rates may be used, for example, where the original installation work is required …

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construction document

Bill of Quantities

A Bill of Quantities (BOQ) is a detailed document that lists all the materials, labor, and other costs that are required to complete a construction project. It specifies the quantities and qualities of the items needed, along with the unit prices or rates for each item. The Bill of Quantities is usually prepared by Quantity …

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construction lump sum contract

Lump Sum Contract

The Lump Sum Contract can sometimes be called ‘Stipulated Sum’ and is the most basic form of agreement where the contractor/supplier agrees to a fixed lump sum price to undertake all the specified contract works and the employer agrees to pay this price upon completion of works. The Schedule of Rates may be provided by …

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Specialist Sub-Contractors

When site condition demands, the Main Contractor may employ specialist sub-contractors to carry out certain portions of work on / off the site or overseas, for instance, steel fixing, flexible pavement, diving, structural steelwork, etc. The scope of sublet work must be clearly listed out in the terms and conditions of the Sub-Contract or Works …

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Main Contractors

In the United Kingdom and certain former British Commonwealth countries such as Hong Kong, the term ‘general contractor’ was gradually superseded by ‘main contractor’ during the early twentieth century. This followed the practice of major professional, trade and consumer organizations issuing standard forms of contract for undertaking the variety of construction works spanning the whole …

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Notification of Delay

A contractor should and is often required by contract to submit a Notification of Delay upon the realization of any delaying event that may affect the date of completion or milestones of the construction project. It is often stated in the contract that the notification should be submitted within a maximum of 28 days upon the occurrence …

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Construction Delays

Construction projects will have a date of completion specified in the contract and may also include relevant milestones and a contract programme to control the project. As construction projects are a combined effort from multiple parties, it is critical that designers, engineers and contractors perform their activities in a co-ordinated matter to acoid delaying other parties and the completion …

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Construction Claims

Construction related claims are varies widely on the type and scale. Most construction claims are made with reference to contract provisions or common law / contract law. Claims are often resolved prior to Mediation or Arbitration procedures between the involved parties and it is common practise for the employer to suggest any contruction claims be …

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Extension of Time

The granting of  an Extension of Time relieves the contractor from liability of damages such as Liquidated Damages up to the extended contract completion date. For the employer, the early establishment of an extended contract completion date prevents the contract period becoming ‘Time at Large‘. Entitlement and Notifications The conditions and events that the contractor is entitled …

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