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FIDIC Red Book 2017 - Clauses 19, 20 & 21: Insurance, Claims & Disputes and Arbitration

The FIDIC Red Book 2017 outlines essential clauses regarding insurance, claims, disputes, and arbitration. Key provisions include the requirement for parties to maintain insurance, the process for submitting claims, and the role of the Dispute Avoidance/Adjudication Board (DAAB) in resolving disputes. If disputes remain unresolved, they are to be referred to final and binding arbitration.

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0% found this document useful (0 votes)
38 views15 pages

FIDIC Red Book 2017 - Clauses 19, 20 & 21: Insurance, Claims & Disputes and Arbitration

The FIDIC Red Book 2017 outlines essential clauses regarding insurance, claims, disputes, and arbitration. Key provisions include the requirement for parties to maintain insurance, the process for submitting claims, and the role of the Dispute Avoidance/Adjudication Board (DAAB) in resolving disputes. If disputes remain unresolved, they are to be referred to final and binding arbitration.

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Donz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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FIDIC Red Book 2017 – Clauses

19, 20 & 21
Insurance, Claims & Disputes and
Arbitration
Clause 19 – 19.1 General
Requirements
• Each Party must maintain insurance required
under the Contract throughout the stated
period.
Clause 19 – 19.2 Insurance for
Works and Equipment
• Contractor must insure Works, Plant, and
Equipment from delivery until Taking Over.
Clause 19 – 19.3 Third-Party
Liability
• Contractor must insure against death, injury,
or property damage to third parties.
Clause 19 – 19.4 Personnel
Insurance
• Contractor must insure their employees for
accidents, illness, or injury on duty.
Clause 19 – 19.5–19.6 Evidence &
Failure to Insure
• Proof must be submitted; if not, Employer
may arrange cover and deduct cost from
payments.
Clause 20 – 20.1 Entitlement to
Claim
• Either Party may submit a claim for EOT,
payment, or other relief under the Contract.
Clause 20 – 20.2 Notice and
Detailed Claim
• Notice within 28 days, followed by detailed
submission within 84 days, with records and
updates.
Clause 20 – 20.2 Engineer’s
Determination
• Engineer must consult and determine claim
within 42 days, following Clause 3.7.
Clause 20 – Time-Bar and Records
• Late notice may bar claims unless justified;
continuous records must be kept and shared.
Clause 21 – 21.1 DAAB
Appointment
• DAAB (Dispute Avoidance/Adjudication Board)
is appointed to resolve disputes during the
Contract.
Clause 21 – 21.2 DAAB Procedure
• Disputes referred to DAAB for decision within
84 days; binding unless challenged.
Clause 21 – 21.3 Amicable
Settlement
• After DAAB decision, Parties must attempt
amicable settlement before arbitration.
Clause 21 – 21.4 Arbitration
• If unresolved, disputes are referred to final
and binding international arbitration.
Clause 21 – Role of DAAB in
Dispute Avoidance
• DAAB may assist in avoiding disputes
proactively, upon joint request of the Parties.

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