Common use of Clause No Clause in Contracts

Clause No. 2.7.2 “RIGHTS OF BHEL” of GCC shall be amended as below: 10.1. To terminate the contract or withdraw portion of work and get it done through other agency, at the risk and cost of the contractor after due notice of a period of two weeks by BHEL in any of the following cases: (i) Contractor’s poor progress of the work vis-à-vis execution timeline as stipulated in the Contract, backlog attributable to contractor including unexecuted portion of work does not appear to be executable within balance available period considering its performance of execution. (ii) Withdrawal from or abandonment of the work by contractor before completion of the work as per contract. (iii) Non-completion of work by the Contractor within scheduled completion period as per Contract or as extended from time to time, for the reasons attributable to the contractor. (iv) Termination of Contract on account of any other reason (s) attributable to Contractor. (v) Assignment, transfer, subletting of Contract without BHEL’s written permission. (vi) Non-compliance to any contractual condition or any other default attributable to Contractor. 10.2. Risk & Cost Amount against Balance Work: Risk & Cost Amount = [(A-B) + (A x H/100)] Where, A= Value of Balance scope of Work (*) as per rates of new contract B= Value of Balance scope of Work (*) as per rates of old contract being paid to the contractor at the time of termination of contract i.e. inclusive of PVC & ORC, if any. H = Overhead Factor to be taken as 5 In case (A-B) is less than 0 (zero), value of (A-B) shall be taken as 0 (zero). * Balance scope of work (in case of termination of contract): Difference of Contract Quantities and Executed Quantities as on the date of issue of Letter for ‘Termination of Contract’, shall be taken as balance scope of Work for calculating risk & cost amount. Contract quantities are the quantities as per original contract. If, Contract has been amended, quantities as per amended Contract shall be considered as Contract Quantities. Items for which total quantities to be executed have exceeded the Contract Quantities based on drawings issued to contractor from time to time till issue of Termination letter, then for these items total Quantities as per issued drawings would be deemed to be contract quantities. Substitute/ extra items whose rates have already been approved would form part of contract quantities for this purpose. Substitute/ extra items which have been executed but rates have not been approved, would also form part of contract quantities for this purpose and rates of such items shall be determined in line with contractual provisions. However, increase in quantities on account of additional scope in new tender shall not be considered for this purpose.