Plain-language explanations of key terms — for engineers and project managers, not lawyers.
A rapid dispute resolution mechanism where a third party (adjudicator) makes a binding interim decision within a short timeframe — typically 28 days. Widely used in construction contracts across the UK and other common law jurisdictions. The decision is enforceable immediately, even if challenged through arbitration later. Under FIDIC contracts, adjudication is conducted by the Dispute Adjudication Board (DAB).
A private, binding dispute resolution process in which parties submit their dispute to one or more arbitrators whose decision (award) is final and enforceable in most countries under the New York Convention. In FIDIC contracts, arbitration is typically the final step in the dispute resolution chain, following engineer determination and DAB adjudication. Most international construction contracts specify ICC, LCIA, or UNCITRAL arbitration rules.
Revised drawings produced at the end of a construction project, showing the actual dimensions, locations, and conditions of all elements as constructed — including any variations from the original design. As-built drawings are a standard contractual requirement under most construction contracts and are essential for handover, future maintenance, and regulatory compliance.
A payment made by the employer to the contractor at the start of a project, prior to any work being performed. Intended to assist the contractor with mobilisation costs. Under FIDIC Red and Yellow Books, advance payments are typically secured by an advance payment guarantee (bond) and repaid through deductions from subsequent interim payment certificates. The advance payment provision is set out in the Contract Data/Particular Conditions.
A broad form of property insurance covering loss or damage to works, materials, and equipment on site, from any cause not specifically excluded. Construction All-Risks (CAR) insurance is a common requirement under FIDIC and other major contracts. It typically covers the period from commencement through to the end of the defects notification period.