Price Adjustment on Prolongation Cost Claim

A
Andrew Ng 👤 Member for 22 years

Dear Sanjeev,



if what you are looking for is pertaining to the formulae for calculation and recovery of home and head office overheads, there is a rather lengthy but comprehensive article written by J G Zack fro Fluor USA, which I found rather useful.



Pls download from



www.icoste.org/ZACK.pdf.



Best Regards



Andrew Huang

Project Resources International

S
sanjay sharma 👤 Member for 21 years 9 months

Stuart



I mean the indirect cost not direct like (materials) in pursuant to clause 70 of FIDIC. Indirect cost such as headoffice expences, overheads, fixed cost like camps and time related such as insurnace, manpower etc.



Thanks



sanjeev


S
Stuart Ness 👤 Member for 22 years

Sanjeev,

Do you mean time related direct costs?



Usually, indirect costs – also sometimes called consequential damages – are not normally allowed!



However, direct costs that are time related to an EOT are usually allowed.

If you can clarify this point, we may be able to move forward.



Cheers,



Stuart



www.rosmartin.com

Featured Partner

Top Posters

Sagar Raut
14 posts
Patricio_aoa
0 posts
James Williams
75 posts
Philip Assou-Dodji
1 posts
jeoffrey reyes
15 posts
markg
0 posts
Manjeet Yadav
0 posts
Pan
0 posts
Tijo Kurian
11 posts
Zainab El-Beialy
3 posts