Course Introduction

 

 

People of technical or financial background are frequently called upon to manage commercial contracts without having a proper level of competency in the subject. This frequently leads to disputes with the other parties to the contract as well as delays and cost overruns.

This course will introduce technical and financial people to the subject of commercial contract management, providing with basic tools that will enable them to select, plan and execute commercial contracts effectively and efficiently. The course will also introduce the subject of claims management through international best practices.

The main focus of the course will be on the best practices aspects of the subject with the presentation of many actual case studies. Several standardized forms of contract documents will be introduced and discussed.

 

 

Objectives

 

At the end of this course participants will be able to :

• Provide a comprehensive overview of the key elements and phases of contract management
• Identify all types of contracts
• Learn the detection processes in different types of contracts 
• Understand the contracts life cycle from Bidding till closure and settlement
• Understand the difference between the contract clauses (General and Specific) and the necessary efforts required to review contracts
• Understand the relation between all contacts’ parties involved (rights and obligations)
• Understand variations and adjustments, Contract Price and Payment
• Understand Suspension and Termination of Contracts
• The way of dealing with variations/change orders, and disputes in contracts

 

 

Outline 

 

Day (1):

The Legal Principles Behind Commercial Contracts

• Basic Contract Law
• Types of Laws binding various Contracts
• Elements Of A Binding Contract
• The Contractual Scene

·                                 Parties to contract

·                                 Types of contract

Making of a Contract

·         Invitation to tender

·         Tender (Procedures Flowchart)

·         Invitation To Prequalify         

·         Issue And Submission Of Prequalification Documents:

·         Issue Of Enquiry Documents 

·         Visits To Site By Tenderers

·         Submission And Receipt Of Tenders

·         Opening Of Tenders  

·         Evaluation Of Tenders           

·         Award Of Contract

 

Day (2):

Contracts Conditions and Documentations

·         The Conditions of Contract

·         Drawings

·         Specifications

·         BOQ

·         Instruction to Tenderers

·         Form of Tender

·         Form of Agreement

·         Form of Bond

·         The contractor's overall obligation

 

 

 

 

·         Adverse physical conditions

·         Care of the works and damage to third parties

·         Powers of the employer/engineer to vary the work

·         Testing of materials and workmanship

·         Completion, remedying of defects

 

Day (3):

Contractors & Sub Contractors          

·         Commencement of Works

·         Possession of Site

·         Extension of Time for Completion

·         Rate of Progress

·         Completion Certificate

·         Maintenance and Defects

 

Day (4):

Contract Execution and Control

·         Reporting

·         Payment

·         Change Orders

·         Key Areas of Workmanship and Time

·         Financial Clauses and Procedures

 

Day (5):

Variations (Claims)

·         The Variation Environment

·         Contract Clauses Frequently Causing variations

·         variation Preparation

·         Variation Analysis

·         Variation Negotiation and Settlement

Settlement of disputes arising from contract execution

·         Amicable Settlement

·         Arbitration (with an introduction to the different rules of arbitration)

·         Alternative Dispute Resolution (ADR)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Training Method

A highly interactive combination of lecture and discussion sessions will be managed to maximize the amount and quality of information, knowledge, and experience transfer. The sessions will start by raising the most relevant questions and motivating everybody to find the right answers. The attendants will also be encouraged to raise more of their questions and to share developing the right answers using their analysis and experience. Course material through power point equipped with necessary animation, learning videos, and general discussion to provide the participant with full understanding concerning the subject course will be provided.

Flip chart – Lectures – Practical situations – Video – PowerPoint – Presentation –  style coach- led discussions – activities – Exercises - Quiz - Case study - Assessment.