Non Negotiable T&Cs for Projects (Focus EPC Projects)

. A Contract can be defined as a mutual agreement with defined Commitments.

The terms and conditions of a contract serve to protect both the customer and the organization in the event of something going awry. They also make all information clear both parties. These include such information as a description of the item or service which is described in subsequent chapters.

It is seen that in many tenders, certain specified Terms and Conditions (T&Cs) are such that it could cause potential risks to Contractors during execution. A risk as we know is any uncertain event or condition that might affect the performance of a project. Such T&Cs should be identified during tender phase and mitigation measures need to be accordingly framed. This shall provide complete protection from undefined risks arising out of tender stipulation or due to circumstances beyond the control of Owner or contractor. Such T&Cs must be agreed between Customer / Owner and Contractor. The course provides detailed T&Cs with logical reasoning which are non negotiable and must be reflected in signed contract.

The course includes  various types of such T&Cs related to Technical, Commercial, Scope of Work, Construction and schedule which are explained with examples and this will enable you to understand why it is of utmost important to freeze such critical T&Cs at the time of contract sign off and/or before bid submission

Many companies have their standard Terms which they would like to see in the signed contract. Any deprture from their standard must be discussed and agreed mutually and should form part of the contract.

For handling such Non Negotiable T&Cs one need to be aware of Legal Lexicon which has also been explained. This will be helpful in understanding the concept of contract formation for projects with special emphasis on EPC projects.