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Mastering FIDIC 2017: A Deep Dive into Clause 7 - Plants, Materials, and Workmanship. 🌐 Visit CMC shop https://ko-fi.com/klinkercontracts/shop Welcome to this comprehensive guide on Clause 7 of the FIDIC Conditions of Contract for EPC/Turnkey Projects (2017 Edition), often referred to as the Silver Book. Whether you are an employer, contractor, or legal professional, understanding the nuances of how plants, materials, and workmanship are regulated is vital for the successful delivery of any large-scale international project. In this video, we break down the specific obligations, rights, and procedures outlined in Clause 7, ensuring you have the knowledge to navigate quality control and compliance. The Foundation of Quality: Manner of Execution We begin with the "Manner of Execution." Under Sub-Clause 7.1, the contractor bears a significant responsibility to carry out the manufacture, supply, installation, testing, and commissioning of the works. This includes the production and supply of materials and all other operational activities. The standard required is rigorous: work must be done in the manner specified in the contract, in a proper workmanlike and careful manner following recognized good practice, and using properly equipped facilities and non-hazardous materials. This sets the baseline for quality that permeates the entire contract. The Sampling Process Moving to "Samples," Sub-Clause 7.2 requires the contractor to submit samples and relevant information to the employer for consent before those materials are used in the works. Each sample must be clearly labeled with its origin and intended use. This section highlights the importance of transparency and early approval to prevent costly delays or disputes later in the project lifecycle. Rigorous Inspection and Access Rights "Inspection" is a critical oversight mechanism detailed in Sub-Clause 7.3. The employer’s personnel are granted full access to the site and all production locations during normal working hours. This includes the right to examine, inspect, measure, and test materials and workmanship. A key procedural element here is the requirement for the contractor to give a "Notice" to the employer when work is ready for inspection before it is covered up or packaged for transport. If the contractor fails to provide this notice, they may be forced to uncover the work at their own risk and cost. This underscores the necessity of strict administrative adherence. Testing by the Contractor "Testing by the Contractor" (Sub-Clause 7.4) outlines the robust testing regime required. The contractor must provide all necessary apparatus, assistance, documents, and qualified staff to conduct tests efficiently. All equipment must be calibrated according to specified standards. We explore the notice periods required for the employer to attend these tests and what happens if the employer fails to attend. Crucially, if the employer does not attend after being properly notified, the contractor may proceed, and the employer is deemed to have accepted the readings as accurate. Addressing Defects and Rejection When work doesn't meet standards, "Defects and Rejection" (Sub-Clause 7.5) comes into play. If items are found to be defective, the employer must issue a Notice describing the defect. The contractor is then obligated to submit a proposal for remedial work. We detail the "Notice of No-objection" process, where the employer has 14 days to review the proposal. If the contractor fails to act, the employer may reject the work or proceed with remedial instructions. Remedial Work Obligations Sub-Clause 7.6 gives the employer the power to instruct the repair, removal, or replacement of non-compliant materials or work at any time before the Taking-Over Certificate is issued. It also covers urgent safety requirements. The cost of this remedial work generally falls on the contractor, except in specific cases where the work is attributable to the employer's actions or an "Exceptional Event". If the contractor fails to comply, the employer may employ other persons to carry out the work at the contractor’s expense. Ownership and Royalties Finally, we discuss "Ownership of Plant and Materials" (Sub-Clause 7.7) and "Royalties" (Sub-Clause 7.8). Ownership typically transfers to the employer upon delivery to the site or once the contractor has been paid for the items. Additionally, the contractor is responsible for all royalties and rents for materials obtained outside the site and for the disposal of surplus materials. By understanding these provisions, parties can better manage risks and ensure that the project's physical components meet the highest standards of workmanship and reliability as required by the International Federation of Consulting Engineers. Stay tuned as we continue to explore the complexities of international construction law. Don't forget to like and subscribe for more in-depth contract analysis.