3.3 Other Cases of Termination:
Other cases of termination were studied according to the investigation done on termination in Construction Contracts through laws and provisions related to the topic.
3.3.1 Termination of Contract immediately because of Contractor’s default.
As mentioned before that Employer may affirm or terminate the contract as a result of Contractor’s Event.
• Reason of Contract termination: The Employer decide to terminate the Contract immediately in the following Cases, which represents the Contractor’s default:
1- Fails to extend the validity of Performance Bond.
2- Not comply with Engineer’s notice within 28 days after receiving it, which is issued for:
a. Remedying or making good the defective Works such as; Plants and Materials.
b.
…show more content…
Assigns the Contract.
5- Abandons the Contract or establishes the intentions not to continue performing the Contract’s obligations.
6- Gives directly or indirectly any bribe, reward, gift, or commission to any person in relation to the Contract.
7- Bankrupt or going to liquidation.
8- An Administration Order made against him to carry the work under a receiver.
9- Concession to his creditors or Agrees with his creditors to execute the Contract under their committee supervision.
• Clauses
According to sub-clauses of the general conditions (63-1) and (63-2) which are relating to breach of Contract.
• Termination Notice
The Employer issues a notice to terminate the Contractor instantly. Also, he provides a sentry support to secure and expel the contractor from the site. In addition, he liquidates the performance bond as a compensation for damaged afford by the Employer as a result of contract termination, and the non-refundable of the advance payment from the Advance Payment Bond.
• Valuation at the date of termination
A valuation process must be done within 30 days after termination to evaluate the executed work as in Contract and the unused approved materials and equipment in the site.
• Payment after
-up to the individual to decide whether they contract or not and on what term (McMillan)
In the United States, employment is “at-will,” unless an exact employment contract has been entered by both the employer and employee. When entered as an at-will employment; the employer does not need a specific reason to terminate an employee. If an employer terminates an employee for a definite reason that is unsuitable, the at-will policy does not
Employment at will is a law that is present in all fifty states in the US; although, in Montana there requires a stated cause for termination. Employment at will creates dissent among employees when they have been terminated for a cause that is thought to be unsubstantial or when no cause is given. There are pros and cons to the presumption, and employees and employers have different views. Employment at will means that the employer can terminate an employee at any time, for any cause without warning. However, even an at-will employee cannot be terminated because of discriminatory reasons. Employment at will also means that an employee can leave a job at any time without the fear of facing any legal consequences. An employer can also change the terms of employment without notice and no penalties. Throughout this paper, the two sides to employment at will will be discussed, and different examples of employment at will cases will be given. At its most basic, employment at will is not the best path because it can create feelings of violation and betrayal in the employee and can create a negative public opinion or loss of profit for the business.
labor law term used for contractual relationships in which an employee can be terminated by an employer for any reason, without just cause, and without warning. And, unless stated in an employee handbook, the employee is equally free to quit at will, cease to work, or strike. Ms. Barton and her colleagues have co-authored a resource guide for employers with the goal of helping them develop effective policies that promote fairness in the workplace, and comply with Arizona state law.
...ent of an employment contract. This is likely to be troublesome point for some time to come and likely to work on case by case basis.
They must abide by the rules set by the main contractor. E.g. always wearing PPE.
The case presented is that of Sam Stevens who resides in an apartment. He has been working on an alarm system that makes barking sounds to scare off intruders, and has made a verbal agreement with a chain store to ship them 1,000 units. He had verbally told his landlord, Quinn, about his new invention and Quinn wished him luck. However, he recently received an eviction notice for the violation of his lease due to the fact that his new invention was too loud and interrupting the covenant of quiet of enjoyment of the neighbors and for conducting business from his apartment unit.
The construction site was in a downtown area of a large southeastern city, criss-crossed with city streets, utilities, and immediately adjacent to mid-rise and high rise buildings. Nearly all of the work was required to be constructed within temporary piling structures to limit settlement of adjacent structures. The construction contract called for seven phase releases of work areas and nine completion milestones, each milestone has its own liquidated damages penalty. The construction contract was valued at $10 million, and the duration was 545 calendar days. Following the completion of the work, the contractor filed a claim for $5.5 million and 1.1 million in interest. The authority subsequently denied the claim and the contractor, in accordance with the contract, filed an arbitration demand with the American Arbitration Association. Following the contractor’s issuance of the demand letter, the parties agreed to resolve the dispute through negotiation” (Ray,
HILLIARD, J. And O’SULLIVAN, J. (2012) The Law of Contract [Online] 5th Ed. Oxford: Oxford University Press. Available from - http://books.google.co.uk/ [Accessed: 2nd January 2014]
Although it takes place at the end of the project lifecycle, closing a project is an equally important step in managing a project. In the final phase, project manager has the opportunity to schedule a formal completion or de-commissioning meeting with the client, project team and Project Sponsor. “The purpose of the meeting is to review the final acceptance document and obtain final approval that the project is complete and objectives have been attained” (Mastering-projectmanagement.com, 2014). This phase also entails celebrating the success of the project, identifying and planning for any follow up activities, and reflecting on lessons learned to be applied to future projects. The activities other activities such as budget audits, gathering and storing all documentation, and creating a final report including a Lessons Learned document all take place in the closure phase of the project(Darnall & Preston, 2010).
The express terms , that parties put down in the contract that is in writing and stated in the contract and cannot be ignored .
In general the contract of Mudarabah allows anyone of the contracting parties to terminate the contract unilaterally. The contract shall not be terminated unilaterally if the manager has commenced the work or when both parties have agreed not to terminate the contract during a specified time.
The definition of this contract is formed by the conduct of the parties. This contract is saying that to form an implied contract there is certain things that must be there. One of them is a plaintive furnish someone’s property, that plaintiff expected to be paid and the defendant knows then that is an implied contract. An example would go something like this, daisy hires a local boy named blue to come and babysit her children. Blue agree to babysit the kids. Blue thought that daisy will come and bring the kids to him, although daisy was for sure that blue would come to her house for the
Part 2 of Employer Duties and Rights- management rights, subcontracting, just-cause discipline and discharge, and safety standards.
This paper examines the legal aspects of procurement management and specifically how procurement management can be used as an effective tool for the overall management of a project. This paper focuses on the basics of common contract laws, the basics of agency law, the Uniform Commercial Code (UCC), and some aspects of that pertaining to the Federal Acquisition Regulations (FAR). A summation of the company’s position in relation to a given supplier (provided the company decides not to procure all of the material in a contract) will be examined along with how that position is strengthened by understanding the legal aspects of procurement management. Finally, the paper will analyze how the project manager is supported by the contract management function. Fleming (2003) posited that there is a clear and important distinction that should be made that delineates the work of the project from the inside work of the company.