100 Days to Master the Cost Estimator Exam Interactive Review Guide · Case Analysis Workbook

Author: Miao Shuguang / Country: Mainland China
Publisher:
Publish Date: 2005-04-01
Features: [Book Excerpt:] (V) Conditions for the Establishment of Claims To achieve a successful claim, the claim request must meet the following basic conditions. 1. Objectivity There must be a real event that does not comply with the contract or violates the contract, which affects the contractor's schedule and/or cost, and provides solid evidence. 2. Legality The event is not caused by the contractor's own reasons, and according to the contract terms, compensation should be provided by the other party. The claim request should comply with the provisions of the contract. 3. Reasonableness The claim request should be reasonable and realistic, reflecting the actual losses caused by the event, and should adopt reasonable calculation methods and bases. (VI) Composition of Claim Documents A claim document is the formal written material submitted by the contractor to the owner for a claim, and it is also the main basis for the owner to review the contractor's claim request. The claim document mainly consists of the following three parts. 1. Claim Letter A claim letter is a short letter from the contractor to the owner or engineer, which mainly includes the following content: (1) Describe the claim event; (2) List the reasons for the claim; (3) Propose the claim amount and/or extension of time; (4) Attachment description. 2. Claim Report The claim report is the main body of the claim document and has a significant impact on the resolution of the claim. The claim report is generally composed of three parts: title, facts and reasons, loss calculation, and the amount of compensation and/or extension of time required. When writing the claim report, the following aspects should be mainly noted: (1) The claim event should be real, and the evidence should be solid; (2) The calculation of the claim should be accurate, and the basis, methods, and results of the calculation should be detailed; (3) It should be clearly stated that the occurrence of the claim event is not the contractor's responsibility; (4) It should be explained that the event that occurred cannot be predicted by an experienced contractor; (5) It should be clearly elaborated on the causal relationship between the event that occurred and the losses suffered by the contractor. 3. Attachments Attachments mainly include two parts: (1) Claim evidence documents and evidence;