PROJECT MANAGEMENT TOPIC 6: SIA CONDITIONS OF SUB-CONTRACT 6.

1 SUB-CONTRACT AND MAIN CONTRACT

The Sub-Contract is entered into between the Main Contractor and the Nominated SubContractor whereas the Main Contract is signed between the Employer and the Main Contractor.

6.2 INTERPRETATION OF SUB-CONTRACT

The Sub-Contractor shall have full knowledge of the Main Contract. If there is any ambiguity as to the meaning of provisions in the Sub-Contract the terms of the Main Contract shall be considered in order to resolve such ambiguity.

6.3

GENERAL OBLIGATIONS AND INDEMNITIES

The Sub-Contractor will execute, complete and maintain the Sub-Contract and that they will conform to all the requirements in the Main Contract. The Sub-Contractor will indemnify the Contractor against any liability incurred to any person and against all claims made against him by reason of any negligence by the SubContractor. The Sub-Contractor undertakes that all of the Sub-Contract Works shall be reasonably fit for the purpose for which they are required.

6.4

ARCHITECT

The Sub-Contractor (SC) will comply with all directions and instructions of the Architect. In giving such directions or instructions the Architect shall be deemed to be agent of the Contractor. The Sub-Contractor must give immediate notice to the Contractor should the SC consider that any direction or instruction involves a variation which entitles the SC to additional payment.

6.5

VARIATIONS

The Architect on behalf of the Contractor shall have power to order any variations of the SC Works.

6.6 THIRD PARTY CLAIMS AND INDEMNITIES

The SC will indemnify the Contractor against any liability of the Contractor to indemnity the Employer in so far as the liability may arise out of the carrying out the SC Works for personal injuries and damage to property.

6.7 INSURANCE
The Contractor will take out insurance in respect of all SC Works and all unfixed materials
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PROJECT MANAGEMENT TOPIC 6: SIA CONDITIONS OF SUB-CONTRACT

against fire, damage and theft. The SC shall take out third party insurance to cover his liability under the SC Conditions.

6.8 COMPLETION AND DELAY

The SC will carry out the SC Works with diligence and will commence and complete the same by the dates specified in the Schedule of the SC Conditions. The SC shall be entitled extensions of time on any relevant grounds in the Main Contract Conditions and also for delays caused by any wrongful act of the Main Contractor. The SC shall make such application to the Contractor with a copy to the Architect. The Architect, after receiving representations from the Main Contractor grants extension of time relating exclusively to the SC Works. The SC Completion certificates shall be issued by the Architect when the SC Works appear to be complete. Where the Schedule to this SC provides for LD for delay in completion of the SC Works the Contractor, upon the issue of a SC Delay Certificate of the Architect relating to those Works may deduct from monies due the SC. If the Schedule to the SC makes no provision for LD for delay the Contractor may set off against any monies due under this SC such damages as he shall incur as a result of the failure of the SC to carry out the SC Works with diligence or to complete by the due date.

6.9 TERMINATION OF SUB-CONTRACT

The Contractor may terminate the SC on any of the grounds in the Main Contract. Should the SC becomes bankrupt the SC shall be automatically terminated. Should the Main Contract be terminated, the Contractor shall be entitled to determine this SC.

6.10 PAYMENT
The SC will be paid within 14 days after payment of the Main Contractor following certification by the Architect of the amount due to the SC.

6.11 ARBITRATION
Any disputes between the parties shall be referred to arbitration.