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  • Lack of conformity in FIDIC Yellow Book - from a practical point of view
    21-46
    Views:
    123

    The FIDIC Books made by the International Federation of Consulting Engineers provides different contract samples for construction projects, depending on the type of the project, with the primary aim of summarising best practice and proportionate risk-sharing. FIDIC Books are considered to be the most popular contractual conditions worldwide in connection with construction projects. The Yellow Book is the second most commonly used contract sample, the essence of which is that the contractor’s obligation covers both planning and building. In case of construction contracts lack of conformity is one of the most common breach of contract, so it is of particular importance for the parties to know what warranty rights the customer can exercise and under what conditions. Warranty rights are also provided for in the Yellow Book, which is why in certain cases there is competition between the Hungarian Civil Code and the Yellow Book, which makes it difficult to draw up a contract, bearing in mind that the rules of the Yellow Book are often difficult to interpret because of their Anglo-Saxon origin. After outlining the views on the interpretation of the Yellow Book, the study will examine the relevant rules of the Hungarian Civil Code and the Yellow Book from a comparative legal point of view, with a view to identifying the cases of lack of conformity under the Yellow Book, the available warranty rights and the procedures for their exercise by the customer. At the end of each chapter, the author presents the rules of the Hungarian Civil Code and the Yellow Book in comparative tables, and concludes the study by outlining the advantages and disadvantages for both the customer and the contractor.

  • The interaction of Continental and Anglo-Saxon legal system in the light of the FIDIC Yellow Book
    49-64
    Views:
    389

    The so-called FIDIC Books made by the International Federation of Consulting Engineers provides different contract samples for construction projects, depending on the type of the project, with the primary aim of summarising best practice and proportionate risk-sharing. FIDIC Books are considered to be the most popular body of law worldwide in connection with construction projects. The Yellow Book is the second most commonly used contract sample, the essence of which is that the contractor’s obligation covers both planning and building. The Yellow Book applies the legal principles and legal institutions of the Anglo-Saxon legal system, which implies that the application of the contract sample in a continental legal context raises several problems regarding to interpretation and application. After an introduction to the interpretation of the Yellow Book in the continental legal context, the study deals with the question of the contractor's liability for damages arising from delay. The author focuses on cases where the delay of the contractor is caused by the principal. In this context, the author outlines a concrete proposal for the application of the law.