Ahmed's Blog

Contractor's Obligations under FIDIC Red Book 99


The FIDIC Conditions of Contract "Red Book 99" places a lot of obligations and responsibilities on the Contractor in performing the Works under the Contract.

The Contract allows the Employer to terminate the Contract if the Contractor is failing (or has failed) to perform his obligations under the Contract (Clause 15).

Furthermore, it allows the Engineer to withhold payments of unperformed obligations until they are fulfilled (Clause 14).

It is thus very important for Contractors, Engineers and Employers alike to know the responsibilities and obligations of the Contractor under the General Conditions of FIDIC Red Book 99.

Here is a list of the major obligations of the Contractors under the General Conditions of FIDIC Red Book 99.

It is noteworthy to mention that these general conditions can be easily amended in the Particular conditions, and thus may be changed.

Moreover, this list is a only summary of the major obligations which may be used to withhold payment or send a Notice to Correct under Sub-Clause 15.1, and is not an exhaustive list of the entire obligations of the Contractor.

This list is intended to be used as a reference to the Sub-Clauses that provisions obligations on the Contractor, and shall not be used as a guide or a reference to the exact wording of the Contract.

Sub-Clause Sub-Clause Name Contractor is under Obligation to
1.7 Assignment Not to assign whole/any part of the Contract or any benefit or interest in or under the Contract except with prior agreement of the other Party, or right of any moneys due to a bank/financial institution.
1.8 Care and Supply of Documents Supply 6 copies of Contractor's documents
1.8 Care and Supply of Documents Keep on Site copy of publications in Specs., Contract, Contractor Documents, Variations, Drawings and other communications
1.8 Care and Supply of Documents Give access to Employer's Personnel to such documents
1.8 Care and Supply of Documents Notify Employer of any technical defect in documents
1.9 Delayed Drawings or Instructions Notify Engineer whenever the Works are likely to be delayed/disrupted if any necessary drawing or instruction is not issued within a particular reasonable time.
1.11 Contractor's use of Employer's Documents Not to use, copy, communicate Employer's Documents to third parties, except as necessary for the Contract
1.12 Confidential Details Disclose confidential and other information as the Engineer may reasonably require in order to verify its compliance with the Contract
1.13 Compliance with Laws Comply with applicable Laws in performing the Contract
1.13 Compliance with Laws Contractor shall give all notices, pay all taxes, duties and fees and obtain all permits, licences and approvals
3.3 Instructions of Engineer Comply with Engineer's instructions on any matter related to the Contract
4.1 Contractor's General Obligations Design to the extent specified in the Contract
4.1 Contractor's General Obligations Execute the Works in accordance with the Contract and Engineer's instructions
4.1 Contractor's General Obligations Complete the Works in accordance with the Contract and Engineer's instructions
4.1 Contractor's General Obligations Provide the Plant Specified in the Contract
4.1 Contractor's General Obligations Provide the Contractor's Documents in the Contract
4.1 Contractor's General Obligations Provide all the Contractor's Personnel, Goods, consumables, all other things and services required in and for the design, execution, completion and remedying of defects
4.1 Contractor's General Obligations Responsible for adequacy, stability and safety of all Site operations and methods of construction
4.1 Contractor's General Obligations Responsible for all Contractor's Documents
4.1 Contractor's General Obligations Responsible for Temporary Works
4.1 Contractor's General Obligations Responsible for design of item of Plant and Materials as required by the item to be in accordance with the Contract
4.1 Contractor's General Obligations Submit details of arrangements/methods which the Contractor proposes to adopt for the execution of Works whenever required by the Engineer
4.1 Contractor's General Obligations Not to make significant alteration to arrangements or methods which it proposes to adopt for the execution of the Works without having previously notified this to the Engineer.
4.1 Contractor's General Obligations Submit to the Engineer the required Contractor's documents in accordance with the Contract procedures, if the Contract specifies that the Contractor shall design any part of the Permanent Works
4.1 Contractor's General Obligations Contractor's Documents shall be in accordance with the Specifications, Drawings, language of Contract and include additional information required by the Engineer for coordination
4.1 Contractor's General Obligations Any part designed by the Contractor shall be fit for purpose when the Works are completed
4.1 Contractor's General Obligations Submit as-built drawings, O&M manuals, in accordance with the Specifications and in sufficient details prior to Tests on Completion
4.3 Contractor's Representative Appoint Contractor's Representative, and give him all authority to act on the Contractor's behalf under the Contract
4.3 Contractor's Representative Provide full particulars of Contractor's Representative
4.3 Contractor's Representative Provide full particulars of new Contractor's Representative if original is not approved/fails to act
4.3 Contractor's Representative Not to revoke the appointment of the Contractor's Representative/appoint new one without Engineer's consent
4.3 Contractor's Representative That the whole time of the Contractor's Representative shall be given to directing the Contractor's performance of the Contract.
4.3 Contractor's Representative Contractor's Representative shall be fluent in the language of the Contract
4.4 Subcontractors Not to subcontract the whole of the Works
4.4 Subcontractors Obtain Engineer's prior consent for proposed Subcontractor's not named in the Contract
4.4 Subcontractors Give Engineer at least 28 days' notice of the intended date of commencement of each Subcontractor's work
4.4 Subcontractors Give Engineer notice of the date of commencement of each Subcontractor's work at Site
4.4 Subcontractors Include Subcontract provisions which would entitle the Employer to require the Subcontract to be assigned to the Employer
4.6 Cooperation Allow appropriate opportunities for carrying out work to any other Contractor's employed by the Employer, Personnel of any legally constituted public authorities and Employer's Personnel
4.6 Cooperation Submit any Contractor's Documents which requires the Employer to give Contractor access
4.7 Setting Out Set out the Works in relation to the original points, lines and levels of reference specified or notified
4.7 Setting Out Responsible for the correct positioning of all parts of the Works
4.7 Setting Out Responsible for the rectification or any error in the positions, levels, dimensions or alignment of all parts of the Works
4.8 Safety Comply with all applicable safety regulations
4.8 Safety Take care for the safety of all persons on Site
4.8 Safety Use reasonable efforts to keep the Site and Works clear of unnecessary obstruction so as to avoid danger
4.8 Safety Provide fencing, lighting, guarding and watching of the Works
4.8 Safety Provide any Temporary Works which may be necessary for the use and protection of the public
4.9 Quality Assurance Institute QA system
4.9 Quality Assurance Details of all procedures and compliance documents shall be submitted to the Engineer before each design and execution stage.
4.9 Quality Assurance All documents shall show Contractor's approval
4.12 Unforeseeable Physical Conditions Notice of Unforeseeable adverse physical conditions encountered
4.12 Unforeseeable Physical Conditions Continue executing the Works after encountering Unforeseeable physical conditions
4.12 Unforeseeable Physical Conditions Contractor shall comply with instructions of Engineer relevant to Unforeseeable physical conditions
4.13 Rights of Way and Facilities obtain any additional facilities outside the Site which he may require for the purpose of the Works
4.13 Rights of Way and Facilities Bear all costs and charges for special/temporary rights of way
4.14 Avoidance of Interference Shall not interfere unnecessarily with the convenience of the public, access to and use and occupation of all roads and footpaths
4.15 Access Route Use reasonable efforts to prevent any road or bridge from being damaged by the Contractor's traffic or the Contractor's Personnel
4.15 Access Route Responsible for any maintenance which may be required for his use of access routes
4.15 Access Route Provide all necessary signs or directions along access routes, and obtain any permission required from relevant authorities for them
4.16 Transport of Goods Give Engineer not less than 21 days' notice of the date on which any Plant or a major item of other Goods will be delivered to the Site
4.17 Contractor's Equipment Contractor's Equipment on Site shall be used exclusively for execution of the Works (deeming clause)
4.17 Contractor's Equipment Not remove from the Site any major items of Contractor's Equipment without the consent of the Engineer
4.18 Protection of the Environment Take reasonable steps to protect the environment both on and off the Site
4.18 Protection of the Environment Take reasonable steps to limit damage and nuisance to people and property resulting from his operations (pollution, noise, …)
4.18 Protection of the Environment Ensure that emissions, surface discharges and effluent from the Contractor's activities shall not exceed the values indicated in the Specifications and Applicable Laws
4.19 Electricity, Water and Gas Provide any apparatus necessary for his use of electricity water and gas and for measuring the quantities used.
4.2 Employer's Equipment and Free-Issue Material Care, custody and control of free issue materials
4.21 Progress Reports Provide monthly progress reports to the Engineer in six copies within 7 days of the last day of the period to which it relates containing the details described in the Sub-Clause
4.22 Security of the Site Keep unauthorized persons off the Site
4.23 Contractor's Operations on Site Confine operations to Site and additional agreed areas
4.23 Contractor's Operations on Site Take all necessary precautions to keep Contractor's Equipment and Contractor s Personnel within the Site and off adjacent land
4.23 Contractor's Operations on Site Keep Site free from unnecessary obstruction
4.23 Contractor's Operations on Site Store or dispose of Contractor's Equipment or surplus materials
4.23 Contractor's Operations on Site Clear away from and remove from the Site any wreckage rubbish and Temporary Works no longer required
5.3 Payments to Nominated Sub-Contractors Pay to the Nominated Subcontractor the amounts which the Engineer certifies
5.4 Evidence of Payments Contractor shall provide evidence that the Contractor has the right to withhold the amounts and the Subcontractor has been so notified, if requested by the Engineer
6.2 Rates of Wages and Conditions of Labour Contractor shall pay rates and observe conditions of labour which are not lower than those established for the trade or industry where the work is carried out
6.3 Persons in the Service of the Employer Not recruit/attempt to recruit staff and labour from Employer's Personnel
6.4 Labour Laws Contractor shall comply with all relevant labour laws
6.4 Labour Laws Require employee and subcontractors to obey all applicable Laws
6.5 Working Hours No work on Site on local holidays or outside working hours in Appendix to Tender unless otherwise stated in Contract, agreed, or emergency.
6.6 Facilities for Staff and Labour Not permit personnel to live within structures forming part of the Permanent Works
6.7 Health and Safety take all reasonable precautions to maintain the health and safety of Contractor's Personnel at all times
6.7 Health and Safety Ensure medical staff, first aid facilities, sick bay and ambulance services available at all times
6.7 Health and Safety ensure that suitable arrangements are made for all necessary welfare and hygiene requirements and the prevention of epidemics
6.7 Health and Safety Appoint qualified and empowered accident prevention officer
6.7 Health and Safety Send details of all accidents to Engineer as soon as practicable
6.7 Health and Safety Maintain records and make reports regarding health, safety and welfare as required by the Engineer
6.8 Contractor's Superintendence Provide all necessary superintendence
6.8 Contractor's Superintendence Superintendence personnel shall have good knowledge of language of the contract and of the operations to be carried
6.9 Contractor's Personnel Shall be appropriately qualified skilled and experienced
6.9 Contractor's Personnel Remove any person required to be removed by Engineer to due conditions described in Sub-Clause
6.9 Contractor's Personnel Replace removed person
6.1 Records of Contractor's Personnel and Equipment Submit monthly records of personnel and equipment to Engineer
6.11 Disorderly Conduct Take reasonable precautions to prevent unlawful, riotous or disorderly conduct by its personnel
7.1 Manner of Execution Execute Works in manner required by Contract in a proper workmanlike and careful manner with properly equipped facilities and nonhazardous Materials
7.3 Inspection Give Employer's Personnel full access and protection
7.3 Inspection Give notice before work is covered up
7.3 Inspection Uncover work to allow inspection if failed to give notice
7.4 Testing Provide all necessary staff and equipment for testing
7.4 Testing Agree with Engineer time and place of testing and promptly forward results to Engineer
7.5 Rejection Properly make good the defect if the Engineer rejects or require repair
8.1 Commencement of Works Commence the Works as soon as reasonably practicable after the Commencement Date
8.1 Commencement of Works Proceed with the Works with due expedition and without delay
8.2 Time for Completion Complete the Works within the Time for Completion
8.3 Programme Submit a detailed time programme within 28 days after notice of commencement
8.3 Programme Submit revised programme whenever previous programme is inconsistent with actual
8.3 Programme Proceed in accordance with the programme
8.3 Programme Give notice to Engineer of probable future events which may adversely affect the work, increase Contract Price or delay the execution of Works.
8.3 Programme Submit anticipated effect a future effect or Variation proposal
8.6 Rate of Progress Adopt revised methods if progress is behind programme/will not achieve TFC
8.8 Suspension of Work Contractor shall suspend progress on all or part of the Works if instructed by Engineer and shall protect store and secure the Works
12.1 Works to be Measured Assist in making the measurement and supply any particulars requested by Engineer
12.1 Works to be Measured Shall attend to examine and agree records.
12.1 Works to be Measured Give notice of respect in which records are asserted to be inaccurate
13.1 Right to Vary Execute and be bound by each Variation unless it promptly gives notice that it cannot readily obtain the Goods required for the Variation
13.1 Right to Vary Not make any alteration and/or modification of the Permanent Works unless and until the Engineer instructs or approves a Variation
13.3 Variation Procedure Respond as soon as practicable if the Engineer requests a Variation proposal
13.3 Variation Procedure Acknowledge receipt of Variation
13.5 Provisional Sums Produce, when required, quotations, invoices, vouchers and accounts or receipts
13.6 Daywork Produce, when required, quotations, invoices, vouchers and accounts or receipts
13.6 Daywork Deliver accurate statements daily including names of Personnel, details of Equipment and Temporary Works and quantities and types of Plant and Materials used. After agreement the Contractor will submit priced statements of these resources.
14.1 Contract Price Pay all taxes, duties and fees required to be paid by him
14.1 Contract Price Submit a proposed breakdown of each lumpsum item within 28 days for Commencement Date
17.2 Contractor's Care of the Works Fully responsible for the care of the Works and Goods during carrying out of Works (except for Employer's risks) and rectify loss or damage
17.4 Consequences of Employer's Risk If any loss or damage occurs as a result of Employer's risk the Contractor shall promptly give notice to the Employer
17.4 Consequences of Employer's Risk If any loss or damage occurs as a result of Employer's risk the Contractor shall rectify this loss or damage to the extent required by the Engineer
18 Insurance Obtain insurance for matters which is required to insure, maintain that insurance and not do anything which might prevent the insurance being enforceable
20.1 Contractor's Claims Keep contemporary records to substantiate any claim and shall permit the Engineer to inspect such records
20.1 Contractor's Claims Provide a fully detailed claim within 42 days (or agreed period)) after the Contractor became aware (or should have become aware) of the event or circumstance
20.1 Contractor's Claims Send further interim claims at monthly intervals including such further particulars as the Engineer requires
20.1 Contractor's Claims Submit final claim within 28 days of the end of the effects resulting from the event or circumstances or as agreed.
20.5 Amicable Settlement Attempt to settle the dispute amicably where a notice of dissatisfaction has been given

Download link:

Summary of Major Contractor's Obligations Under FIDIC Red Book 99 (pdf)