Key Clauses in EPC Contracts: Rights and duties of a contractor

Description

This Skill Bit shows that effective management of changes in EPC contracts is paramount for project success, benefiting both Contractor and Owner. A well-defined change order procedure addresses common factors leading to modifications, ensuring clarity in rights and responsibilities. The procedure should expressly grant the Contractor the right to propose reasonable changes, with provisions for cost recovery outlined, including extensions or force majeure events. Detailed provisions covering submission, approval, documentation, permits, schedule adjustments, testing, liability, and Owner-initiated changes are crucial. Thorough documentation and impact assessment are essential for smooth implementation, reducing disputes and ensuring project alignment.

Duration approx. 4 Min.

Tier: advanced