On the basis of this Agreement, individual orders shall be issued against requirements. As with on-demand contracts, the framework agreement may or may not set a minimum consumption of goods/services or a minimum order value. This is advantageous for the owner or contracting entity of the project, since it assumes full responsibility for the project by the EPC Contractor and in the event of a dispute between the EPC Contractor and a party to the sub-agreements, it will settle the dispute without the owner or the client being required to participate in the dispute. Although the EPC (Engineering, Procurement and Construction) contract and the EPCM (Engineering, Procurement and Construction Management) contract have been present in the construction industry for many years, confusion remains as to the fundamental differences between these contracts, the role that each party must play and the timing of when a contract must be used in relation to the other. .
Sep
19
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