sorry I should have added clause 15.1.5 Claims for additional time (AIA Document

Question

sorry I should have added clause 15.1.5 Claims for additional time (AIA Document A201-2007) please refer to extract attached:

More Clarification: above Ar 8.3 has some flows/ disadvantage to Contractor( point of view) and owner (point of view) please help me find out those issues. and provide some amendment so it could work (fair) to both parties and they can mutually agree on the amended contract terms.

If the Contractor is delayed at any time in the commencement or progress of the Work by an act or neglect of the Owner or Architect, or of an employee of either, or of a separate contractor employed by the Owner; or by changes ordered in the Work; or by labor disputes, fire, unusual delay in deliveries, unavoidable casualties or other causes beyond the Contractor's control; or by delay authorized by the Owner pending mediation and arbitration; or by other causes that the Architect determines may justify delay, then the Contract Time shall be extended by Change Order for such reasonable time as the Architect may determine. Claims relating to time shall be made in accordance with applicable provisions of Article 15. This Section 8.3 does not entitle recovery of damages for delay by the Contractor. Contractor's sole remedy for an excusable delay event is an extension of time as set forth in section 8.3.1, above and Contractor hereby waves any claim for additional costs, expenses, or damages, arising from the delay.

Explanation / Answer

Here the owner is at risk since the contractor can claim for any delays from his end which is not correct.

- Liquidated damages shall be claimed by owner due to delay from the contractor in executing the work. (exception - delays due to natural disasters like flood,earthquake, fire ,storm and other enivronmental imapcts, curfew, political instability in country or any other delays to force majeure)

Amendment to include -

"Liquidated damages: In the event of delay due to reasons attributable to contractor subject to Force Majeure Conditions a penalty of 0.5% of the contract value per week of delay subject to a maximum of 5% of the total contract value."

"Defects Liability Period: 2 years from the date of handing over of project to the owner.Any defects observed during this 2 years caused due to defective construction, the contractor is liable."

" If the progress of work is not found to be satisfactory for the owner/architect, they reserves the right to bring a new contractor & subcontract the earlier contractor's awarded portion of work to another contractor at his cost and risk."

"Schedule: Contractor to follow the schedule committed to owner and any change in the same should be mutually aggreed and signed by both owner or architect and contractor".

"Dispute Resolution : Disputes and differences of any nature that may arise between the Parties, relating to the construction or interpretation of the provisions of this Contract or any dispute or difference in connection with this Contract shall be referred to an arbitration tribunal consisting of  owner and the contractor appointing their respective arbitrators and the third and presiding arbitrator being appointed by the arbitrators of both parties. Any such arbitration shall be governed by the Arbitration and Conciliation Act"

"Time extension - Any delay in work schedule due to delay from owner or architect in providing any clarifications or neglect or any delay by other contractor appointed by the owner, the contractor to claim time extension and additonal cost incured(if any) and same to be mutually agreed and signed by owner and contractor".

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