Update to the Determinations Provisions Under the 2017 FIDIC Silver Book: EPC/Turnkey Projects

    View Authors May 2019

    The 2017 FIDIC Suite of Contracts contain new versions of the Yellow, Red and Silver books, which are updates of the 1999 editions. The 2017 FIDIC Suite of Contracts contain more detailed and prescriptive provisions compared to the 1999 editions. Some may find such changes burdensome and inflexible. However, one of the benefits of the 2017 FIDIC Suite of Contracts is greater certainty and clarity for both the Employer and the Contractor.

    In particular, under Clause 3.5 [Agreement or Determination] (2017 FIDIC Silver Book: EPC/Turnkey Projects) (“Second Edition”), the Contractor benefits from the increased clarity and certainty, as Clause 3.5 now prevents the Employer from delaying (indefinitely) the issuance of a determination. The determinations under Clause 3.5 are particularly important to the Contractor, as some of the matters that are referred to determination under Clause 3.5 include claims for EOT and adjustments to the contract price in the event of a variation.