The FIDIC contract forms offer significant benefits for all parties involved in the project.
Firstly, the FIDIC Books offer a guarantee for works quality by means of contractual conditions covering unwanted situations where the works status deteriorates shortly after being taken over by the Beneficiary.
From legislative point of view, these situations are subject to Order no. 915/465/415 of March 25 2008, by which the Beneficiary, together with the Consultant Engineer, obtain a good performance guarantee for the executed works.
The validity of the good performance guarantee can be extended by the Contractor, should defects that need remediation occur before the works completion according to the standards imposed in the contract.
In this way, the risks, rights and obligations of the Beneficiary and of the contractor are distributed in a balanced way and the Consultant Engineer has a clear record of works evolution.
Advantages of FIDIC contracts:
- clarity: conditions expressed unequivocally and in detail, time limits set explicitly, allowing appropriate contract management during the construction stage;
- wide recognition, both nationally and internationally. The FIDIC contracts have represented a standard in the industry of engineering consultancy for over 50 years;
- optimized costs: by the accreditation they benefit from, the time and costs inherent to the negotiation and understanding of the contractual clauses by both parties involved are significantly reduced;
- flexibility: the possibility to adapt the contractual conditions to the individual necessities of the projects, by adding Special Conditions;
- consistency: the FIDIC contracts are ample, detailed, regulating each contractual element, in order to cover a variety of situations and to have almost universal applicability;
- standardization allowing efficient recognition by all partied involved in the project and removing communicational barriers, within international projects;
- correctness: the FIDIC contracts are formulated in an equidistant way, without favouring contracting parties and on the contrary, using a balanced approach of the roles of those involved in the project.