Vietnam: What are responsibilities of the construction contractor during the commencement of Construction?

According to Clause 1 Article 9 of the Circular No. 77/2014/TT-BGTVT of the Ministry of Transport of Vietnam, responsibilities of the construction contractor during the commencement of Construction are as follows:

- Ensure implementation of the contract in accordance with law and the signed all-inclusive contracts.

- Dredge under the provisions of the contract and the law, ensure the standard design (length, channel width, the bottom height, dredging slope...) of the whole channel route during the duration of the contract.

- Examine and make plans for dredging within 02 days after detecting of the shallow location or receiving the report or request of competent agencies ; dredge the shallow location to achieve the standard design of channel routes at the latest of 05 days after detecting the shallow location or receiving the report or request of competent agencies; complete the construction within 20 days after receiving feedback and requirements; simultaneously notify the monitoring consultancy unit to supervise the construction as prescribed.

- Select the survey measuring unit to internally accept the results of the field construction as prescribed. Measure and survey the results of dredging the shallow sections by the funding of construction contractors in cases specified at Point b, Clause 2 of this Article.

- If the construction contractor does not complete the dredging meeting the standard design requirements of channel routes in accordance with the time, schedule and quality as agreed in the contract and is complained and warned 01 time but still not complete dredging the shallow location meeting the standard design requirements of channel routes as defined in point c of this clause, the Maritime safety corporation shall report to the Vietnam maritime Administration for approval of selection of qualified construction contractors with the suitable unit price at the time of implementation. The construction contractor shall make a full payment to the selected contractor within 07 days after the construction contractor receives the funding under the signed contract. If the construction contractor delays in payment or does not make a full payment to the selected contractor when completing the full payment procedures as prescribed, the Maritime safety corporation shall report to the Vietnam Maritime Administration for decision to implement the necessary measures in accordance with the relevant provisions of the law and agreements of the all-inclusive contracts signed to ensure the payment to the selected contractor.

- If the contractor does not complete the dredging meeting the standard design requirements of channel routes in accordance with the time, schedule and quality as agreed in the contract and is complained and warned 03 times or 02 consecutive times but still not complete dredging the shallow location meeting the standard design requirements of channel routes as defined in point c of this clause, or pour mud in wrong positions, transfer bids contrary to the provision of the law, the Maritime safety corporation shall report to the Vietnam maritime Administration for termination the signed contract and selection of other qualified construction contractors prescribed to proceed the plan.  

- Moreover, the construction contractor shall also be fined for the contract, remedy the violation results, responsible for the incidents against ships due to shallow navigable channels and face up to other responsibilities as prescribed by law and agreements in the signed contract.

Note: In case of force majeure events (natural disasters, hurricanes, floods, earthquakes, tsunamis ...) without conducting the survey and dredging the shallow location, the construction contractor must immediately report to the Maritime Securing cooperation for guidance and at the latest of 02 days after the termination of the force majeure events, conduct the survey and make the dredging plan and dredge immediately the shallow location which meets the standard design requirements of channel routes. The construction completion time shall be within 20 days.

View more details at the Circular No. 77/2014/TT-BGTVT of the Ministry of Transport of Vietnam, effective from February 05, 2015.

Ty Na

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE