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EOT Claim Analysis after 3 years of Project Completion

4 replies [Last post]
Mon, 2010-01-04 06:10
Vamsi Gollapinni
User offline. Last seen 5 years 14 weeks ago. Offline
Joined: 19 Apr 2007
Posts: 22
Groups: Building Information Modelling, GPC Qatar, TURNAROUND & SHUTDOWN (T/A & S/D)
All

I am facing a bizarre situation where an EOT claim was submitted by the Contractor 3 years ago, at the time of completion of the project. During all these years no action was taken on the claim (unfortunately), and Engineer on this Project have to finish the EOT analysis to close the Final Account. The client is threatening to impose a penalty on the Engineer. The absence of as-built data is another major factor causing hindrance to the determination of EOT now.

What kind of approach should be adopted, as the claim submitted by the contractor is a global claim and does not have Time Impact Analysis or Time-Slice to determine effect of each individual event?

Can somebody guide me on this issue?

Thanks in advance
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Replies

Fri, 2011-01-28 03:09
#1
Stephen F Delaney
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Joined: 12 Nov 2010
Posts: 6
Groups: None

If the Contractor has not provided a reasonable analysis with adequate documentation and support to allow the engineer to make a determination, then the engineer can request additional information be provided. 

You can evaluate the EOT request by performing an independent analysis using the project records available.  I do this for a living and you can piece it together even if you do not have an as-built or project schedules (though they are helpful).  You can use daily reports, monthly reports, etc,.  It is time consuming and a bit like detective work but you must respond.  Based on the fact that it has been left idle, suggests the parties were not prepared to deal with it at the time, and now, years later it has to be dealt with.

If you need any asisstance evaluating the EOT or performing an independent analysis of delays and impacts I can help.  My email address is sfd@sfdelaneyconsulting.com.  If you would like to see my qualifications and experience, you can visit my website at sfdelaneyconsulting.com.

 

Best of luck,

Stephen F. Delaney

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Fri, 2011-01-07 14:03
#2
liaqat hayat
User offline. Last seen 8 years 13 weeks ago. Offline
Joined: 28 Dec 2009
Posts: 5
Groups: Civil Engineering

Hi  Vamsi,

You can recommend EOT retrospectively till accounts are finalized and so award of EOT issue can be resolved.If compensable delay has been experienced by the contractor,you have to take action as per contemporenous record which was to be submitted at appropriate time by the contractor as it is his resposibility to provide proof of actual costs incurred. In case he has failed to do so,he has to agree with Engineer's assessment.I hope this gives you some line of action.

Regards-Liaqat Hayat

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Mon, 2010-01-04 10:55
#3
Samer Zawaydeh
User offline. Last seen 5 years 39 weeks ago. Offline
Joined: 3 Aug 2008
Posts: 1664
Groups: Civil Engineering, Regional Representatives
Dear vamsi,

What was the Contractor doing during the past 3 years? How come he did not pursue the EOT?

How important is this issue? It is just paperwork, or does it have some impact on the remaining works?

With kind regards,

Samer
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Mon, 2010-01-04 06:40
#4
Mike Testro
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Joined: 14 Dec 2005
Posts: 4420
Groups: Building Information Modelling, Content Moderators, GPCCAR Editors
Hi Vamsi

Depending on the form of contract there is usually a period of time when the Engineer has to respond to an EoT claim and fix a reasonable extension.

If the Engineer did not do this then he is in breach of his duties and the Employer is right to be angry.

The Engineer must now review the claim as submitted and without delay issue his opinion as the EoT entitlement so that the final account can be settled.

This may lead to a dispute and the Engineers position will be weakened by his inactivity.

This may be balanced if the Contractor made no complaint at the time.

The Employer may try to recover any excess payment to the contractor which could have been avoided but for the Engineers tardiness.

Best regards

Mike Testro
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