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Medical Professional Certified Case Manager Certification Exam (CCM) Sample Questions (Q85-Q90):
NEW QUESTION # 85
Under the FIDIC Red Book, which one of the following statements is correct for a claim by the Contractor?
Answer: C
Explanation:
Under FIDIC Red Book 1999, the Engineer plays a key role in determining claims submitted by the Contractor (Clause 20). If the Engineer fails to make a determination within the prescribed time, the Parties may be unable to resolve the dispute and thus the matter may proceed to dispute resolution mechanisms.
Option B is correct because if the Engineer does not decide, the claim remains unsettled, and the Parties are left to resolve the dispute, often via Dispute Adjudication Board or arbitration.
Option A is incorrect; claims must comply with notice requirements to be valid.
Option C is incorrect because the Engineer may request further particulars but is not obligated to give a final decision on quantum immediately.
Option D is incorrect as the Engineer, not the Employer's Representative, first responds to claims.
Option E is incorrect since the Engineer's decision is not final and binding if disputed; it may be challenged.
References:
FIDIC Red Book 1999 Edition, Clause 20 - Claims, Disputes and Arbitration FIDIC Contract Manager Study Guide, Module on Claims and Dispute Resolution
NEW QUESTION # 86
You are the Contract Manager of the Employer's Representative in a Thermal Power Plant Project. The Contract for this project is EPC Turnkey Contract using the FIDIC Silver Book (edition 2017) with a Contract Price of 28 million USD. The Employer's Requirements require that: "the Contractor design in accordance with international and national technical regulations, and standards, [etc.]".
For piling works, the Employer's Requirements state that the Contractor will design according to a specific national standard for piling works NTS-PW-01. After all piles for the jetty have been installed, a pile load test on lateral bearing capacity shows that actual lateral bearing capacity is much lower than the calculated lateral bearing capacity. It was later revealed by the Technical Standard Committee that there was a typo mistake during preparation of the NTS-PW-01 (translated from a foreign standard). The lateral bearing capacity of installed piles had been substantially overestimated as a result of this typo. Contractor submits a claim for
200,000 USD regarding extra costs for installing additional piles as a result of errors in the Employer's Requirements.
In the hydrological information of Site Data provided by the Employer, the annual high water level is 4.0m.
However, during the design stage, with updated data from local stations along the rivers, the Contractor found out there was a mistake in the calculation. The annual high water level should be 4.5m. As a result, the Contractor has to design and build additional flood walls along the river to protect the Plant from flooding.
The Contractor claims an amount of 300,000 USD to construct the flood wall, based on Unforeseeable difficulties.
As the Employer's Representative, after you have consulted with both Parties but failed to reach agreement, you will make a fair determination of the Claims of the Contractor.
In your "Notice of the Employer's Representative's determination", what is your determination for the Contractor?
Answer: B
Explanation:
Both claims are valid under the Silver Book principles:
The error in the Employer's Requirements (typo in NTS-PW-01) leads to entitlement for additional piling costs.
The unforeseen hydrological data causing additional flood protection works qualify as unforeseeable physical conditions entitling the Contractor to compensation.
Hence, Option D is correct - the Contractor is entitled to both claims.
References:
FIDIC Silver Book 2017 Edition, Sub-Clause 4.1 (Employer's Requirements) and Sub-Clause 4.12 (Unforeseeable Physical Conditions) FIDIC Contract Manager Study Guide, Module on Claims and Employer's Requirements
NEW QUESTION # 87
You are the Contract Manager of the Contractor in a building project. The Contract has been awarded to your firm, but the Engineer has not been selected. The Contract Agreement states that the Commencement Date shall be notified by the Engineer, which must be done within 14 days after the signing of the Contract Agreement. The Employer requested your firm to commence works on the 14th day after signing the Contract Agreement. Your director, Y, wants to wait with commencing the works until the Engineer has been selected or until the 42 days since the date your firm receives Letter of Acceptance. Is Y correct?
Answer: A
Explanation:
Y is not correct. The Contractor's obligation to commence works depends on the Commencement Date notification as per the contract. If the Employer requests commencement on the 14th day after signing, and the contract allows or the Engineer has not yet notified otherwise, the Contractor should comply unless formally instructed otherwise.
Delaying work beyond the contractual or Employer's instruction without valid cause may be considered breach of contract and could lead to claims against the Contractor.
References:
FIDIC Red, Yellow, and Silver Books 2017 Edition, Sub-Clause 8.1 - Commencement of Works FIDIC Contract Manager Study Guide, Module on Contract Formation and Execution
NEW QUESTION # 88
During the execution of certain Works under a FIDIC Yellow Book (edition 1999), a Contract in a historical area along the silk route, one of the workers on the excavator shouts out to the supervisor of the Contractor it has discovered something on the Site. The supervisor inspects the finding and concludes this is possibly an ancient treasure in a wooden box. The supervisor sees some golden coins through the cracked lid of the box.
The supervisor immediately stops the execution of the Works, sends the workers away and blocks access to the Site for all persons. Given the sensitive nature of the findings, the supervisor informs you as Engineer.
How do you react?
Answer: A
Explanation:
Comprehensive and Detailed Explanation:
Under FIDIC Yellow Book 1999, Sub-Clause 4.24 ("Unforeseeable Physical Conditions") deals with unexpected discoveries such as archaeological finds. The Engineer's role includes ensuring site safety, notifying the Employer and relevant authorities, and managing the implications through variations.
Option B reflects best practice: securing the site, appointing guards, notifying Employer and authorities, and requesting a formal Variation Notice to cover costs and entitlement to extension of time.
Options A and D are unsafe or legally risky actions that could damage the find and breach legal obligations.
Option C delays the necessary immediate protective actions.
References:
FIDIC Yellow Book 1999 Edition, Sub-Clause 4.24 - Unforeseeable Physical Conditions FIDIC Contract Manager Study Guide, Module on Claims and Variation Management
NEW QUESTION # 89
Which of the following statements are relevant to continuing effect claims? [FIDIC 2017 Edition] (2 correct answers apply)
Answer: A,B
Explanation:
Comprehensive and Detailed Explanation:
Option A is correct: Continuing effect claims (claims where the event's impact continues over time) require notices like other claims, typically within 28 days of awareness.
Option D is correct: The fully detailed claim submission generally must be within 84 days of becoming aware of the event, allowing the Claiming Party to elaborate on the claim.
Option B is incorrect; Employer claims also require timely notification.
Option C is incorrect; missing a single interim claim does not necessarily result in losing entitlement if the contract allows for correction or continued claims.
References:
FIDIC Red, Yellow, and Silver Books 2017 Edition, Sub-Clause 20.1 - Claims and Notices FIDIC Contract Manager Study Guide, Module on Claims and Continuing Effects
NEW QUESTION # 90
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