External development Work

Hi Sankar

It seems that you have been issued a variation order for extra work.

This will be governed by the relevant contract clause as to the method of payment.

The fact that the boundary wall is constructed externlly does not necessarily mean that it is part of the external package.

Best regards

Mike Testro

Sir,

In Our Contrcat Agreement ,the scope of External Development Work is not defined .Our Orginal BOQ rate for Structural work is not so good compaired with fee we are getting for External work .

Now Client  issue a variation order Construction of Boundary Wall & want to execute this item   with our lesser BOQ Rate stating that it is not External work .

How to tackle this issue .

Regards

SV

Hi Sankar

The variation can only be valued at BOQ rates if it is similar in nature and executed under similar circunstances.

If not then new rates have to be agreed.

Best regards

Mike Testro

Sir,

Our Contract BOQ rates are for Shell & Core Structure work .But for  construction of Boundary wall ,scope of work is very less  & rates cannt be work out based on the existing BOQ Rates .Our aim is to establish that both work are not in similar nature & our  entitlement  for claimming boundary wall in External development work which is having a better cordination fee.

Can any one suggest some points to substantiate this

Regards

SV

Hi Sankar

You cannot force the Employer to include the boundary wall in the external works package.

You can negotiate and agree reasonable rates and prices and not start the work until that is achieved.

Have you got a certificate of completion on the Shell & Core section? If yes then there can be no more variation orders on that section of the contract.

Maybe someone else has a better idea.

Best regards

Mike Testro

Sankar,

You need to demonstrate why the BQ Unit Rates is not applicable to the new work. For example, a painting work in a construction of a plant;

Standard scope was painting of tanks, piping and structures only. We do it manually using scaffolding.

Suddenly, Client requested us to paint touch-up their columns and vessels which is shop painted and is exemption to the BQ.

The work requires painters to use crane man basket to carry-out.

This is obviously a loss in productivity and convinced them the BQ rates do not apply. Disagreements arise. Finally we agreed to perform it in day works rates.

Therefore, pls. demonstrate why the BQ Unit Rates do not apply, whether grounds is loss in productivity, differs in work methodology, additional equipment, or other applicable factors is up to you.

Regards,

Larry