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Nominated subcontractors

Samad Mohd AbdulMember for 20 years 9 months
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Hello everybody,

I would like to seek advice on the following issue.

On one of our project the nominated subcontractor has withdrawn due to the main contractor insisting on the liquidity damages to be capped at the origninal contract sum (which is 100 million) not on the nominated contractor works sum (which is 10 million); due to which the employer has to renominate another contractor to do the specialist works.

My question is who is responsible for the delay; the main contractor is claiming for extension of time due to renomination of the specialist contractor (which is actually caused by the main contractor insisting on the unreasonable terms and conditions with the nominated subcontractor, the main contractor here trying to apply his rigths under claus 59.1 of Fidic conditions of contract foruth eidtion 1987).

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    Samer Zawaydeh ·
    Dear Samad,

    The nominated subcontractor is the responsibility of the Main Contractor. The Main Contractor has a Contract to complete the job. The time delay in signing the agreement is similar to time delay in the delivery of the goods to site. They are both the responsibility of the Main Contractor.

    The situation that you have is similar to any other Claim. You need to make sure that the Contractor has submitted the claim in a timely manner (keeping in mind the time limits of FIDIC) and make sure that the claim has all the necessary supporting documents.

    Subsequently, you can study it like any other claim. Keep in mind that the relationship between the two parties started at the Tendering stage, at which time, the Contractor received the quotation from the nominated subcontractor and several negotations took place until they agreed on the price.

    With kind regards,

    Samer

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