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Showing contexts for: engineering contract in M.K. Abraham & Co vs State Of Kerala & Anr on 7 July, 2009Matching Fragments
GENERAL OBSREVATIONS
13. The use of multi-layered agreements, with several printed annexures, each with cyclostyled amendments, typed and hand written additions and deletions lead to confusion, uncertainty, delays in execution and apart from giving rise to avoidable disputes. Having a contract with different annexures dealing with the same issues with various attachments, in construction contracts (and some times insurance contracts) is a nightmare to anyone wanting to understand, implement or enforce them. Complicating contracts with several annexures and attachments with inconsistent, irrelevant, superseded or redundant provisions results in creating a lush dispute generating field. It helps greedy and unscrupulous contractors to make bloated imaginary claims. It enables Rule-Minded or corrupt officers to play havoc with honest and bonafide contractors. The best form of agreement is where all the relevant clauses/terms are incorporated in a single document with several sections dealing with different aspects/subjects, avoiding any overlapping. The difficulty arises if the same subject is dealt with in more than one section or in more than one document. Confusion and difficulties also arise using certain forms with conditions which were finalized and printed at an earlier point of time and using other sets of conditions which are finalized and printed at different subsequent points of time, without taking care to specify which of the earlier terms were deleted or modified. For example in this case, we have the 1959 terms that is Madras Detailed Standard Specifications forming part of the contract, and we have the general conditions of the Kerala Government which were modified from time to time in particular 1986 and we have the standard instructions of the Ministry of Surface Transport of 1994 which were applicable to National Highway Projects. The result is several years after completing of the work, parties are still trying to find out what the agreed terms and conditions are and whether there is a specified dispute resolution process by way of arbitration. On account of such confusion, several efficient and honest contractors stay away from participating in such tenders. The vagueness and confusion give unwarranted discretion and freedom to officers, leading to corruption and nepotism. Clear, simple and straight forward agreement is the need of the hour. Tens of thousands of engineering contracts are being entered all over the country everyday in regard to infrastructural works, without the necessary clarity, leading to avoidable disputes and considerable strain on the exchequer. With use of computers, with user friendly editing procedures with cut and paste facilities, it is fervently hoped that contract forms appropriate to the work would be prepared, to avoid redundancy, confusion, vagueness and inconsistency and to increase efficiency, expedition, reduction of disputes and saving of funds. Be that as it may. CONCLUSION