Q&A
Baseline & Updated Programme
Delay Analysis Methods
Contract
Any contract should be reviewed before signing to:
● Review all clauses and understand the project risk and each party’s
obligation.
● Know and understand the clauses related to claims (time and cost).
● Ensure it goes with the company policy to save the company’s rights
and to avoid any losses of time or cost in the future.
The Law includes two types of rules:
1- Supplementary rules.
The Contract can include clauses against these rules. 2- Mandatory rules.
The Contract’s parties cannot agree on any clauses against these rules. If they did, those clauses are not valid in court.
Claims
There are a lot of types of claims. They are all related to time or cost. Some examples include:
1- EOT Claim.
2- Prolongation cost.
3- Disruption Claim.
4- Acceleration cost.
5- Delayed payments.
6- Variation Claim.
7- Suspension Claim.
There are two methods to calculate the prolongation cost:
1- Using Preliminaries. (Hadson Formula)
2- Using Actual cost. (MDM Formula)