Contract Effectiveness and Commencement of Work in EPC Contracts

Description

This Skill Bit shows that in an EPC contract, the effectiveness of the agreement and the commencement of work are pivotal. In common law systems, effectiveness hinges on mutual agreement and contract signing, while civil law systems allow various means. Commencement of work signifies the contractor’s initiation of obligations, often linked to specific triggers like a notice to proceed. Parties must scrutinize these aspects to grasp their rights and obligations, preempting potential disputes arising from delays or contract effectiveness in EPC projects.

Duration approx. 2 Min.

Tier: advanced