A FIDIC contract is a standardized contract used in the construction industry to govern the relationship between the employer and the contractor. FIDIC stands for the “Fédération Internationale des Ingénieurs-Conseils” or the International Federation of Consulting Engineers.
FIDIC contracts have become widely recognized as the international standard for construction contracts, and they are used by governments, international organizations, and private companies. There are several different types of FIDIC contracts, but the most commonly used is the “FIDIC Red Book,” which is used for construction projects where the contractor designs and builds the project.
One of the key features of FIDIC contracts is that they are designed to be fair and balanced to both the employer and the contractor. They provide a clear framework for resolving disputes and managing risks, and they help to ensure that the project is completed on time, within budget, and to the required quality standards.
FIDIC contracts are typically structured in several sections, including the general conditions of contract, the particulars of contract, the scope of work, and the schedule of prices. The general conditions of contract provide the standard terms and conditions that govern the relationship between the employer and the contractor, while the particulars of contract provide specific details about the project.
The scope of work outlines the specific tasks that the contractor is required to perform, while the schedule of prices details the payment arrangements for the project. FIDIC contracts also include provisions for risk management, such as the allocation of risks between the employer and the contractor, and for the resolution of disputes through arbitration.
In summary, a FIDIC contract is a standardized contract used in the construction industry to govern the relationship between the employer and the contractor. FIDIC contracts are designed to be fair and balanced to both parties, and they provide a clear framework for resolving disputes and managing risks. They are widely recognized as the international standard for construction contracts and are used by governments, international organizations, and private companies.
