General Obligations; Business Law

3.1 General Obligations:

In respect of the general obligations of the contractor, clause 10 of the GCC provides:

It becomes the responsible of the Contractor to make available all the materials, labour and equipment and supervision required for the execution of all the works connected with the design and construction of the project. Such provision may be of a temporary or permanent nature depending on the nature of the contract undertaken by the contractor. (GCC)

This provision more or less fixes the complete responsibility for the execution of the contract, by providing an exhaustive list of obligations expected of the contractor in connection with the execution of the project. GCC includes other general obligations like:

* Executing an Articles of Agreement with the employer

* Provision of a bank guarantee for a mutually agreed sum for ensuring the performance under the contract

* Carrying out within the specified period of an inspection of the site, its surroundings and the roads and other means of communication with the site

* Carrying out a test for the inspection of the sub-surface condition of the site within a specified period and make a report there on

If on the basis of an examination of the sub-surface conditions there is any necessity to alter the contract proposal in terms of the design, time of completion and the value of the contract, then the contractor should advise the employer about the proposed changes that may have to be incorporated in the contract. The notice of such variation and the proposal for changes should be made within the time stipulated in the contract as otherwise

Once the tender for the contract is submitted by the contractor it is assumed that he has examined and inspected the Site and its surroundings. It is also assumed that on such examination has satisfied himself about the suitability of the soil and has taken into account the form and nature of the site. It is further assumed that the contractor...