Legal relationship between

consultant and client in FIDIC

contracts
Prepared by
DR. Walaa eldeen Ibraheem

Contents
What do we mean by Engineering consultant ?
Main obligations of consultant.

Main obligations of client.

What do we mean
By
Engineering consultant ?

Engineering
Generally it defines as , the discipline , art, skill,
profession and technology of acquiring and applying
scientific , mathematical, economic, social and
practical knowledge , in order to design and build
structures ,machines, devices, systems , materials and
processes.

 In the contemporary era ,engineering is generally

considered to consist of the major basic branches of
chemical engineering , civil engineering , electrical
engineering and mechanical engineering .
There are numerous other engineering sub disciplines
and interdisciplinary subjects that are derived from
concentrations, combinations, or extensions of the
major engineering branches.
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Consultant
Is a professional who provides professional or expert
advice , in a particular area such as law , human
resources , accountancy, engineering .etc.
A consultant is usually an expert or a professional in a
specific field and has a wide knowledge of the subject
matter, and his role can fall under one of two general
categories :

- Internal Consultant : who operates within an

organization , to be consulted on areas of specialism
by other departments.
- External consultant : who is employed externally (
firm or individual) whose expertise is provided on a
temporary basis opposite to fees.

Engineering Consultant

Is a professional (individual or a firm ) engaged in the

practice of engineering , technically qualified by
education and experience , and motivated by
personal responsibility , and professional integrity , to
confine practice within capabilities.

 Because of the importance of qualifications and

experience , the consulting engineer must be
registered, and licensed as a professional engineer,
more over, he may be categorized I relation to size of
projects that he can implement , according to laws of
the country in which he practices and accepts legal
responsibility for services performed.

 Engineering Consultant is different from Contractor , that

the first works with businesses to help them to meet their
design and construction needs giving advices , while the
later performs activities as directed .
In other words we can say that consultant determines what
needs to be done , and the contractor does the work .

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 Consultant in Fidic means the party named in the

agreement, who is employed as an independent
professional firm by the client to perform the services
and legal successors to the consultant and permitted
assignees .

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Main Obligations
of
consultant
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Services
Economically Services means intangible commodities
, and in fidic means the services to be performed by
the consultant in accordance with the agreement and
comprise Normal services , Additional services and
Exceptional .

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Scope of services
The consultant shall perform services relating to the
project . The scope of the services is stated in
appendix a ( 1998 ) or 1 ( 2006 ).
These services may be
- normal services .
- Additional services .
- Exceptional services

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Types of Engineering Consulting

Services

Preparation services

Implementation services

Sector studies

Tender documents

Master plans

Procurement assistance

Feasibility studies

Construction supervision

Institution building

Project management

Training/knowledge transfer

Design studies

Advisory services

Policy and strategy

Reorganization/privatization

Quality management

Management advice

Commissioning

Technical/operating advice

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Normal services
May considered the following services :
Report stage :
considers the preparation and submission of a
report embodying preliminary proposals or
feasibility studies ,it may include inspection of the
project site , preliminary investigation ,route
location ,
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advice about the regulatory and statutory

requirements need for surveys , analyses,
tests and site or other investigations ,
searching for , obtaining , investigation and
collation of available data , drawings and
plans relating to works

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 Preliminary design stage:

Following the clients instructions to
proceed , the development of preliminary
proposals or the basic planning of the project
, comprising all or any of the following :
submission of a basic planning report .

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Establishment of final design criteria, advice to

the client ,as may be necessary, on the
engagement and delineation of the services
of other consultants and advisers ,
preparation and submission to the client of
any preliminary plans ..etc

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 Design and tender stage

This may includes as examples the following
1- Preparation of detail designs and tender and working
drawings,
2- Preparation of specifications and schedules of
quantities for engineering works,

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3- Drafting or adapting invitations to tender , tender

conditions , forms of tender and conditions of
contract , advising the client on tender strategies and
suitable contractors ,
4- Analysis tenders and submission recommendations
on the acceptance of tenders ,etc.

21

 Workings drawings stage, that the consultant shall

provide working drawings in which includes full
information ,dimensions and specifications on all
sections , connectionsetc to a such extent that no
further designs by contractor or other parties are
required .

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 Construction stage , the overall contract

administration and co-ordination , as well as
construction monitoring of the execution of the
works in accordance with the contract including all or
any of the following :
1- giving orders for the works on behalf of the client ,
2- Directing construction monitoring operations

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3- checking contractors drawings of structures, plant ,

equipment and systems of works for conformity with design
requirements,

4- Issuing certificates or recommendations for payment of

contractors and submitting regular reports regarding works
finances and anticipated dates ,

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5-Agreeing final quantities with contractors, compiling

final accounts and issuing final payment certificates ,
etc
Targeted procurement during any stage of the project
,require the consultant to perform
services
pertaining to targeted procurement.

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Payment for normal services

The client shall pay the consultant for normal services

with the conditions and details stated in Appendix c .

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Additional services
Additional services are those either described in
appendix ( a in 1998 or 1 in ver.2006), or which
attached by a written agreement of the parties .
Additional services may be pertaining to all stages of
the project , as, enquires not directly concerned with
works , valuation for purchase ,sale or leasing of plant
,equipment ,.etc .

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 Additional services , may be resulting from project

changes , alterations or instructions by the client
requiring the consulting engineer to advice upon
review , adapt and alter his completed designs and
any other documentation and change the scope of his
services , such additional services are subject to
agreement in writing between the consulting
engineer and the client .
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Payment for additional

services
The client shall pay the consultant for additional
services at rates and prices which are given in or
based conditions and details stated in appendix c as
far as they applicable but otherwise it must agreed in
accordance with clause 23 ( variations ).

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Exceptional services
When it arises ?
1- upon occurrence of circumstances described in clause
26 .
2- upon abandonment or suspension or resumption of
services or termination of the agreement.
3- under provisions of clause 27.1 (ii).

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First condition
clause 26
Circumstances arise for which the consultant is not
responsible .
These circumstances make his exercising to his duties
( whole or part thereof ) , irresponsible or impossible.
Informing the client by a promptly dispatched notice
from the consultant .

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Second condition
clause 27.1
Client may suspend all or part of the services , or
resumption the services , terminate the Agreement .
In case of termination the agreement, Client shall
inform the consultant by notice of at least 56 days
prior to date of termination determined by the client,
to take immediately arrangements to stop services
and minimize expenditures.

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Third condition
clause 27 (ii)
If the client considers that the consultant is without
good reason good reason discharging his obligations
,he can inform the consultant by notice stating the
grounds for the notice .
If a satisfactory reply is not received within 21 days ,
the client may by a further notice , given within 35
days from the former notice ,terminates the
agreement .
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Payment for
Exceptional services
Unless otherwise agreed in writing the client shall pay
the consultant in respect of exceptional services .
A- as for additional services for extra time spent by the
consultants personnel in the performance of the
services .
B- the net cost of all other extra expense incurred by
the consultant .

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Duty of care
The consultant shall exercise
1- reasonable skill care and
2- diligence in the performance of his obligations under
the agreement.
We can notice here that fidic show the degree of care .

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 In common law countries this obligation is

conventional for professional consultant firms.
In German law design services must fit for the
purposes , so that general conditions should be
adapted.

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 Under French law it should be carefully verified that

consultant shall perform the services with best
efforts ( obligation de moyens) or fit for the intended
purposes ( obligation de resultat ).

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Exercise of Authority
The consultant may :
A- have due regard to the third party contract that the details
of such powers and duties are acceptable to him , and
agreed in writing where they are not described in appendix
1.
B- if authorized to certify , determine or exercise discretion to
do so fairly between the client and third party not as an
arbitrator , but as an independent professional exercising
his judgment with reasonable skill , care and diligence .
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C if so authorized vary the obligations of any third

party , subject to obtaining the prior approval of the
approval of the client to any variation which can have
important effect on costs or quality or time ( except
in any emergency when the consultant shall inform
the client as soon as practicable ).

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Main obligations
of
the client
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Information
Consultant doesnt work in a vacuum, he needs
support from client especially information , thus client
shall within a reasonable time give to the consultant
free of cost all information in his power to obtain
which may pertain to the services .

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Decisions
On all matters properly referred to him in writing by
the consultant the client shall give his decision in
writing so as not to delay the services and within a
reasonable time.

42

Assistance
In the country of the Project and in respect of the
Consultant, his personnel and dependants, as the
case may be, the Client shall do all in his power to
assist in:
(i) the provision of documents necessary for entry,
residence, work and exit;

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(ii) providing unobstructed access wherever it is

required for the Services;
(iii) import, export and customs clearance of personal
effects and of goods required for the Services;
(iv) their repatriation in emergencies;

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(v) the provision of the authorities necessary to permit

the import of foreign currency by the Consultant for
the Services and by his personnel for their personal
use and to permit the export of money earned in the
performance of the Services;
(vi) providing access to other organizations for
collection of information which is to be obtained by
the Consultant.
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Equipment and facilities

The Client shall make available, free of cost, to the
Consultant for the purpose of the Services the
equipment and facilities described in Appendix
B(personnel, equipment, facilities and services of
others to be provided by the client ).

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Clients personnel
In consultation with the Consultant, the Client shall at
his own cost arrange for the selection and provision
of personnel in his employment to the Consultant in
accordance with Appendix B. In connection with the
Services such personnel shall take instructions only
from the Consultant.

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Services of others
The Client shall at his cost arrange for the provision of
services from others as described in Appendix B, and
the Consultant shall co-operate with the suppliers of
such services but shall not be responsible for them or
their performance.

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Many Thanks
for your
Lessening and attention
with my hope to see you again .

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