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Remeasurement in Lump Sum Contract

9 replies [Last post]
Wed, 2007-05-16 10:14
Samagata Chakravorty
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hi,
in a lump sum contract,if only the material specification of an original BOQ item is changed(eg instead of bitumen painting cementitious waterproofing is instructed)is it required to remeasure the whole item even if there is no change in the scope quantity wise??? plz throw some light with reference to FIDIC.
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Replies

Tue, 2011-06-14 07:37
#1
Mike Testro
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Hi Lloyd

This is a very old thread and it is not a good idea to tag new topics to a long dead subject.

In future please start a new thread.

It all depends on what your sub-contract says in respect of risk in work volumes.

If it is a fixed price lump sum and the scope of work has not changed then if the quantity of work is different to that priced then you cannot expect a change.

If however the employer has changed the scope of work then you may be able to calculate the difference by add / deduct the quantities.

If the change results in a lesser quantity then there is usually no reduction in time unless it forms part of an overll EoT calculation.

Best regards

Mike Testro

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Tue, 2011-06-14 05:55
#2
lloyd dayap
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We are a Subcontractor on a back to back basis using GCC contract ( Lump Sum & Unit Rate Basis ).

Our problem is when will be the variation/work considered under remeasurement and under extra . How it will affect the progress say in the original scope IFC drawing the quantity is bigger after issuance of design change by contractor it was change to a lesser quantity.

Anticipating your usual prompt response regarding this matter with thanks.

 

Lloyd

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Mon, 2007-07-09 02:21
#3
Bolisetti Jogiraju
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Hi
Skan Bu !
We have to identify that what type of Contract it is,and the concerned docs.
Check all doc’c according to Cl 5.2 of FIDIC.
secondly,from where you have identified these changes.
no need to remeasure whole,paticular segment is enough.

Hope,you got it.

cheers
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Sun, 2007-07-08 04:23
#4
Skan Bu
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Hi Bolisetti,

Thanks

I thought that is the way forward too.
But the Supervising Officer (resident Eng) insist that this is a remeasure contract.
The way I interpret the sub contract :seems to be Add/Omit.
Surely,I do not have to remaesure the whole woeks but pick up the are of change, add & omit.
He seems to think it is my responsibility to remaesure & pay accordingly.
He wouldn’t issue SI or confirm the CVI sent to him & as far as I can see,there are no drgs revision and he had not given me any levels, ie is the existing before excavation & the as build.
What should I do?

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Sat, 2007-07-07 06:01
#5
Bolisetti Jogiraju
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Hi Skan Bu & Samagata
I have joined verr recently to this nice society.
I strongly agreed with Raphael’s reply on this issue.
To Samagata !
If both parties in the contract agreed,the difference of cost due to material change can be added to the contract.

To Skan Bu !
The S/C is bound in line with FIDIC,no extra over for concrete ,only thing is you have to apply ADD/OMIT rule for varied work with Contract rates/Agreed rates.

Cheers
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Sat, 2007-05-26 07:24
#6
Raphael Adeyemi, ...
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Hi Samagata,

The FIDIC 1992 Edition clause 53 - valuation of variations stipulates how these issue should be treated. It is a varied work and should be remeasured and priced with a simillar item in the BOQ. Should the nature or the amount of works differs so much from the original contract provision, it is the Engineer’s responsibility to fix the rate or prorate basis from existing rate.
Hope u will find this useful
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Fri, 2007-05-25 14:48
#7
Hernando Pesca
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Hi Samagata,

If I am a contractor, I will surely re-check the quantity and claim for the material difference. If the contract is lumpsum, contractually you are only entitle for material price (or work) difference in such case. Your claim would only be qty. (orig. scope) x its difference in price.

Regards,

Hernan

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Thu, 2007-05-17 10:35
#8
Samagata Chakravorty
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in addition to my earlier query, plz note that there is for sure a price adjustment for the change but is it necessary to remeasure the quantity or the exsiting BOQ quantity can be considered while adjusting the price.

thanks
sam
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Wed, 2007-05-16 14:39
#9
Skan Bu
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Hi,

Like yourself, I am always confuse regarding whether is remeasure or not.
I am working on a contract where the main contract is Fidic.
The subcontract is also a Fidic with amendment.
The enquiry sent to the Civil work subcontractor is drawings, spec and a BQ (The BQ is produced by the Main Contractor based on the drawings)

Order is eventually given based on their quotation, priced up the BQ (inclusive prelim etc)

On the first day on site, the new drawings showed the drains route had change. The route will cross a concrete foundation and the original BQ do not included excavation in concrete.

Questions:
1) PRINCPLE: Do we remeasure because the work had changed?
2) In such a case, Fidic contract, should it be a Lump Sum pay on completion of the work plus a claim on the extra over excavation in concrete foundation?
3) Pay Lump Sum as order but add & omit?
4) Do any of these phase: "Sub Contract Sum" or "Order Value" or "Tender Sum" OR "Sum" play a part?

Obviusly, the S/C do not want to remeasure but wants to be paid full as order (qty might had decrease)and also claim the excavation in copncrete too.

Would appreciate some logical/certainty explanation.

I think this situation will also answer samagata’s query

thanks
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