FIDIC Glossary

A priced schedule of work quantities; the basis of payment in the Red/Pink Book (re-measurement).

One party’s request to the other for additional payment, time or another entitlement. In 2017, a single procedure for both parties (Clause 20).

The party carrying out the works; in Yellow/Silver also responsible for the design.

Dispute Avoidance/Adjudication Board — a standing body to avoid and resolve disputes; its decisions are binding with immediate effect.

The period after taking-over during which the Contractor must remedy notified defects (Clause 11).

Pre-assessed damages for delayed completion (liquidated damages), usually capped.

The Engineer’s decision to agree or determine a matter where the parties have not agreed (Sub-Clause 3.7).

The party commissioning the works and carrying the payment obligations; in the Silver Book it acts through the Employer’s Representative.

Manages the contract in the Silver Book instead of an independent Engineer; acts in the Employer’s interest.

A person appointed by the Employer to administer the contract (Red/Yellow). Must act neutrally when making determinations (Sub-Clause 3.7).

An event beyond the parties’ control (Force Majeure in 1999), giving relief from liability (Clause 18).

The Contractor’s entitlement to extend the completion time for delays it is not responsible for (Sub-Clause 8.5).

The Contractor’s statement at completion to finally determine the amounts due (Clause 14).

The Engineer’s certificate for an interim payment for completed work and delivered materials (Clause 14).

A formal notice of disagreement with a DAAB decision, opening the way to arbitration. Missing the deadline makes the decision final.

Issued after defects are remedied and the DNP ends; signifies that the Contractor’s obligations are fulfilled.

A bank guarantee/security provided by the Contractor as a performance guarantee (Sub-Clause 4.2).

A Red Book version harmonised with the development banks (World Bank, ADB, EBRD) for projects they finance.

The detailed execution schedule submitted by the Contractor; the basis for time control (Sub-Clause 8.3).

A sum included in the price for work/supply to be defined later; spent on the Engineer’s instruction.

Confirms the Works are complete and taken over by the Employer; starts the Defects Notification Period (Clause 10).

Operational tests after taking-over (Yellow/Silver, Clause 12) confirming design performance.

Tests before taking-over confirming the Works meet the requirements (Clause 9).

The deadline to give a notice of claim. Missing it can forfeit the party’s right to the claim (Sub-Clause 20.2.1).

Physical site conditions an experienced Contractor could not foresee (Sub-Clause 4.12); risk allocation depends on the book.

A change to the Works initiated by the Engineer/Employer under Clause 13; valued, and may adjust price and time.