Standard Form Of Agreement And Conditions Of Engagement For Consultancy Services Oman
Posted on: April 13, 2021
With respect to dispute resolution, the 1999 standard form contained provisions for referring disputes or disputes to the engineer and, subsequently, to ad hoc arbitration. The standard 2019 form allows, if voted on positively, legal disputes. This underlines the importance of obtaining legal advice when negotiating construction contracts and standard forms should not be treated as a standardized contract signed between the parties and then neglected for the duration of the project. Given the intensification of controversial construction in the region and the increased time and money constraints in the construction sector, it is essential that the parties consider escalating and resolving the most effective disputes for the project. This is informed by the nature of the parties, the value of the project, the language of the project documents and other key factors. The Litigation Commission (DAB) provisions contained in FIDIC`s Red Book may not be surprising in the standard 2019 form. Market Progress The updated edition of Oman`s standard form is a new step in the development of Oman`s construction sector, as well as other breakthroughs such as the upcoming creation of an arbitration centre announced last year and the likely creation of an Oman Chartered branch of the Institute of International Arbitrators. We understand that other standard form contracts will soon be published, followed by some contracts as part of THE FIDIC Rainbow Suite. The 1999 FIDIC Red Book has been used for some time as a basis for standard-form contractual terms in other GCC jurisdictions, such as the Abu Dhabi government conditions, which came into force in September 2007. Trowers- Hamlins recently organized a seminar on construction law with the Ministry of Legal Affairs on work contracts and litigation management. Please contact us if you would like to learn more through our project consultation, undisputed and controversial work in Oman`s construction and energy sector, as well as in the CCG and the Middle East, or participate in our mailing list for market updates and event invitations.
For the past 20 years, the most widely used standard construction order on the market has been the 4th edition of September 1999 Standard Documents for Building and Engineering Works, particularly for public infrastructure works. In the summer of 2019, a much-anticipated new edition was published by the Ministry of Finance and the Ministry of Law. The variants will be incorporated into the new standard 2019 form with the value engineering principle in the contract, which will increase efficiency and cost savings for the employer. This is also remarkable that 2019 standard is the form of the adaptation of the FIDIC Red Book 1999 and not the last edition 2017. The notable changes that this has brought about are: . There has been a lot of thought in the marketplace about what the new Oman standard form might include and, in fact, when it would be published. Now that it`s here, what does it look like and what are the main differences between the 1999 and 2019 versions? We`ll discuss a handful of the following updates.