Procedure For Variation Clause Samples
Procedure For Variation. 5.8.5.1 In the event of either party seeking a variation of the fixed fee, such party shall give written notice to the other of the proposed variation, which notice shall contain a detailed motivation as to the basis upon which the variation is requested.
5.8.5.2 The party receiving the notice shall reply within 30 (THIRTY) days indicating whether it is agreeable to the proposed variation and if not, such party shall indicate what variation, if any, it is agreeable to and shall furnish reasons why the proposed variation is unacceptable.
5.8.5.3 In the event of there being any matter still unresolved, the parties shall convene a meeting of the JLC where appropriate, within 10 (TEN) days to try and resolve the matter.
5.8.5.4 If the matter thereafter remains unresolved, the matter shall be referred to arbitration as provided for in this Agreement.
5.8.5.5 Pending the arbitration, the fee structure shall be adjusted by such amount, if any, as the parties have agreed upon without prejudice to the right of the other to seek further variation.
Procedure For Variation. (a) If State Govt. requires a Variation in accordance with Sub-Clause 12.1(a) or State Govt. agrees to the Concessionaire‟s proposed Variation in accordance with Sub- Clause 12.1(b), State Govt. shall issue a notice specifying in reasonable detail the works and services contemplated by such Variation (the „Variation Notice‟).
(b) Upon receipt of a Change in Scope Notice, the Concessionaire shall, with due diligence, provide to State Govt. such information as is necessary, together with preliminary documentation in support of:
(i) the impact, if any, which the Variation is likely to have on the completion of the Project Milestones if the proposed works or services are required to be carried out during the Construction Period;
(ii) the cost to the Concessionaire of complying with such Variation Notice (including, without limitation, material and labour cost information furnished in accordance with the then current schedule of rates applicable to the works assigned by State Govt. to its contractors, including the premium on such rates); and
(iii) the options suggested for implementing the proposed Variation and the effect, if any, each such option would have on the costs and time for the implementation thereof, including a detailed breakdown by work classifications.
(c) In the event that the Variation has been initiated by State Govt., the costs of providing the information and documentation referred to in Sub-Clause 12.2(b), shall be reimbursed to the Concessionaire by State Govt. to the extent such costs are certified to be reasonable by the Project Engineer .
(d) Upon receipt of the information and documentation in the event that State Govt. decides to proceed with the Change in Scope, it shall convey to the Concessionaire:
(i) its preferred option as referred to in Sub-Clause 12.2(b)(iii); and
(ii) in the case of Additional Major Works, its proposed method of compensation for consideration by the Concessionaire.
(e) The Parties shall, with assistance of the Project Engineer, agree on the terms for additional compensation for completing the Variation in accordance with the principle set out in Clause 12.3 - Compensation for Variation.
(f) Upon reaching an agreement on the terms of additional compensation for completing the Variation, State Govt. shall issue an order (the “Variation Order‟), requiring the Concessionaire to undertake the Variation. In the event that the Parties are unable to agree as to the additional compensation payable, the Parties may pr...