Structure of a FIDIC Contract

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The FIDIC suite of contracts has become a global standard for construction and engineering projects. What makes FIDIC contracts so effective is not only their substantive provisions but their highly structured and modular drafting approach, which allows for consistency across jurisdictions while allowing project specific customization.

A typical FIDIC contract, whether the Red, Yellow, Silver, or Green Book follows a structured  framework. They use a simple building-block setup: fixed rules (General Conditions) plus custom tweaks (Particular Conditions) for each project. Understanding this architecture is essential for employers, contractors, consultants, and lawyers who wish to properly draft, negotiate, or administer these contracts.

General Conditions (GC)

The GC form the standard legal framework issued by FIDIC. These are the core provisions that must be used without alteration to preserve uniformity across projects.

The GC contains:

  1. roles and responsibilities
  2. variations and claims procedure
  3. extension of time and delay mechanisms
  4. payment and securities
  5. quality and testing requirements
  6. suspension and termination procedures
  7. indemnity and limitation of liability
  8. dispute resolution mechanisms

The GC serves as the default code of contractual conduct. Any modifications or amendments to the General Conditions of the FIDIC shall only apply as specified in the Particular Conditions. Any terms not specifically addressed in this Agreement shall be governed by the FIDIC Book

Appendix to the Agreement

The Appendix completes the GC by filling in blanks or specifying numerical limits and values. It typically contains variables such as factual project inputs (time for completion, liquidated damages, insurances, securities, governing law and dispute board details, performance security amounts, etc).This section effectively personalizes the FIDIC template to reflect the specific commercial and legal framework of the project.

Particular Conditions (PC)

Used to adapt the contract to the project and to local law. These are actual amendments to the General Conditions. They are used to:

  • modify standard clauses
  • insert employer-specific policies
  • incorporate local statutory requirements (e.g., GST applicability, labour laws, environmental regulations)
  • adapt international wording to domestic law
  • add project-specific procedures (approval cycles, reporting formats, safety requirements)

All modifications to the GC should appear here, not in the GC itself. . In so far as any of the Particular Conditions may be in conflict with or be inconsistent with any General Conditions, the Particular Conditions shall take precedence over the General Conditions in the implementation of the Agreement.

Instructions- Specifications, Drawings, and BOQ/Schedules

 In addition to the conditions of contract, FIDIC includes technical and commercial documents:

Specifications: A detailed description of:

  • materials
  • workmanship
  • standards
  • performance requirements
  • testing protocols

Under the Yellow and Silver Books, Specifications are central since design responsibility shifts to the contractor. Under the Red Book, Employer’s Requirements define the design baseline.

Drawings: The drawings form part of the contract and are used to interpret quantities, scope, and construction methodology. In case of discrepancies, drawings follow the hierarchy defined in the “Priority of Documents” clause.

 Bill of Quantities / Schedules: Depending on the FIDIC form, the contract may include:

  • Bill of Quantities (BOQ)
  • Schedules of Payments
  • Schedules of Rates
  • Activity Schedules

These documents determine valuation and are legally binding for interim payments and variations.

Other Supporting Documents include Programme, Contractors’ Tendered Design, Guidelines, etc

Appendices and Forms

Includes Form of Agreement, Performance Security, Advance Payment Guarantee, and Retention Guarantee

Priority of Documents: Why Structure Matters

FIDIC provides a clear hierarchy to resolve inconsistencies, typically:

  1. The Agreement
  2. The Appendix
  3. The Particular Conditions
  4. The General Conditions
  5. Letter of Acceptance
  6. The Specifications
  7. The Drawings
  8. The Contractors’ Tendered Design
  9. Schedules/BOQ
  10. Programme

The structure combines standardisation (GC) with flexibility (PC), supported by technical and financial documents that define the actual works. This system is the key reason FIDIC contracts integrate smoothly with various local legal frameworks.

Please find below the link to Part 1 of the FIDIC Article series – https://www.legal500.com/firms/237390-goswami-nigam-llp/c-india/news-and-developments/fidic-federation-internationale-des-ingenieurs-conseils-the-international-federation-of-consulting-engineers

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