Time, Payment, Performance Bonds and Termination Under the 1999 FIDIC Red Book

Analysis

Introduction

Internationally, the FIDIC forms of contract are the most widely used standard forms for construction and engineering projects.2 Whilst this success can be attributed to a number of factors, the most prominent is down to the support by the World Development Bank.3

In terms of FIDIC's history, the 1st Edition was published in 1957. The FIDIC 1st Edition was based upon the ACE form of contract which was itself based on the ICE 4th Edition (an English civil engineering contract).4 The FIDIC 2nd Edition was published in 1969. The 3rd Edition was issued in 1977, and the FIDIC 4th Edition was issued in 1987. In 1999 FIDIC published its ‘Rainbow Suite' of contracts, which included, along with the FIDIC Red Book, the Yellow Book (Design and Build), the Silver Book (EPC) and the Green Book (Short Form). Other forms followed by way of the Red Book Subcontract (2002), the Pink Book (MDB) (2004), the Blue Book (Dredging) 2006 and the Gold Book (DBO) in 2008. In 2000 FIDIC published an extremely useful Contracts Guide.5