FIDIC glossary · Roles

Contractor

Contractor

In short

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

What is a Contractor?

The Contractor is the party carrying out the Works. The scope of its responsibility depends fundamentally on which book applies: under the Red Book it builds to the Employer's design; under the Yellow and Silver Books it designs as well.

The difference is qualitative, not just quantitative. Where the Contractor is responsible for design, a fitness-for-purpose standard applies: the result must be fit for the purpose stated in the Employer's Requirements. That is stricter than the familiar "reasonable skill and care" and — importantly — is frequently excluded from standard professional indemnity cover. Check that before signing, not after.

The core obligations are the same across the books: execute the Works in accordance with the Contract, provide the performance security, maintain the programme, comply with health, safety and environmental requirements, and remedy defects during the DNP.

The Contractor's rights are equally specific and routinely unused: suspension for non-payment, extension of time for Employer delays, the right to evidence of financial arrangements, and compensation for unforeseeable physical conditions. Every one of them runs through the notice procedure in Clause 20 — and is lost with a missed deadline.

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Need this read against your own contract?

This explains how the mechanism works in the standard form. How it works in your contract, after the Particular Conditions, is a separate question.

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A reference explanation of the FIDIC standard conditions. Not legal advice, and not a reproduction of the FIDIC books.