Tender document — White Topping of Selected Roads under GoK Grants, Package-2 (BBMP, Project Central-8)

Comprehensive Development of Selected Roads by Providing
White Topping Under GoK Grants Package - 2 Technical Bid
Tenderer Page 40 of 65 Executive Engineer,
PC-8, BBMP, Bengaluru
38. Compensation Events
38.1 The following are Compensation Events unless they are caused by the Contractor.
a. The Employer does not give Access to a Part of the Site by the Site Possession Date stated
in the Contract Data.
b. The Employer orders a Delay or does not issue Drawings, Specifications or Instructions
Required for Execution of Works on time.
c. The Employer instructs the Contractor to uncover or to carry out Additional Tests upon
Work which is then found to have no Defects.
d. The Employer gives an Instruction for dealing with an Unforeseen Condition, caused by
the Employer, or Additional Work required for Safety or other Reasons.
e. The Effect on the Contractor of any of the Employer’s Risks.
f. The Employer unreasonably delays issuing a Certificate of Completion.
g. Other Compensation Events listed in the Contract Data or mentioned in the Contract.
38.2 If a Compensation Event would cause Additional Cost or would prevent the Work being
completed before the Intended Completion Date, the Contract Price shall be increased and /
or the Intended Completion Date is extended. The Employer shall decide whether and by how
much the Contract Price shall be increased and whether and by how much the Intended
Completion Date shall be extended.
38.3 As soon as Information demonstrating the Effect of each Compensation Event upon the
Contractor's Forecast Cost has been provided by the Contractor, it is to be assessed by the
Employer and the Contract Price shall be adjusted accordingly. If the Contractor's Forecast is
deemed Unreasonable, the Employer shall adjust the Contract Price based on Employer’s
own Forecast. The Employer will assume that the Contractor will react competently and
promptly to the Event.
38.4 The Contractor shall not be entitled to Compensation to the Extent that the Employer's
Interests are adversely affected by the Contractor not having given Early Warning or not
having cooperated with the Employer.
39. Tax
39.1 The Rates quoted by the Contractor shall be deemed to be inclusive of the Sales and Other
Taxes that the Contractor will have to pay for the Performance of this Contract. The Employer
will perform such Duties in regard to the Deduction of such Taxes at Source as per Applicable
Law.
40. Price Adjustment
40.1 Contract Price shall be adjusted for increase or decrease in rates and Prices of Labour,
Materials, Fuels and Lubricants in accordance with the following Principles and Procedures
and as per the Formulae given in the Contract Data.
a. The Price Adjustment shall apply for the Work done from the Date of
Commencement upto the End of Original Period of Completion or Extensions
granted by the Employer and shall not apply to Work carried out beyond the
Stipulated Period of Completion for Reasons attributable to the Contractor.
b. Price Adjustment shall be admissible from the Date of Opening of Tenders (Original
or Extended).
c. The Price Adjustment shall be determined during each quarter from the Formulae