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CCM Practice Questions

Certified Contract Manager

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Total Questions : 140

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Question # 31

Upon review of the revised programme, submitted by the Contractor, if the Engineer (under FIDIC Red or Yellow Books) or Employer (under FIDIC Silver Book) does not give a Notice of Non-Compliance within 14 days after receiving a revised programme, then ... [complete the sentence, thereby considering FIDIC Red, Yellow, and Silver Books (edition 2017)]. (1 correct answer applies)

Options:

A.  

The Contractor shall submit a Notice to the Engineer or the Employer reminding him to give its approval on the revised programme.

B.  

The Engineer shall be deemed to have given a Consent and the revised programme shall be the Programme.

C.  

The Contractor cannot proceed in accordance with the Programme.

D.  

The Engineer is deemed to have no objection to use the revised programme submitted by the Contractor, for the Works.

Discussion 0
Question # 32

(Which two FIDIC Books (edition 2017) should especially be considered for use if the Employer needs the Contractor to take responsibility for the design and execution of the project. The construction will involve substantial work underground or work in other areas which tenderers cannot inspect.

Choose all of the correct answers (multiple possibilities).)

Options:

A.  

Yellow Book

B.  

Red Book

C.  

Silver Book by amending Sub-Clause 4.12 in the Particular Conditions

D.  

Silver Book without amending Sub-Clause 4.12 in the Particular Conditions

Discussion 0
Question # 33

(FIDIC Red Book (edition 2017) stipulates that the measurement shall be made as per the actual quantities executed at Site. Which one of the following statements is correct?)

Options:

A.  

The measurement shall be always made of the net actual quantity of each item of the Permanent Works.

B.  

The measurement shall be made of actual quantity of each item of the Permanent Works with allowance of shrinkage of the used materials.

C.  

Measurements of the actual quantity of an item of the Permanent Works that was not specified in the Bill of Quantities, the Contractor will choose the appropriate price.

D.  

None of the above are correct.

Discussion 0
Question # 34

Towards the end of implementing a varied work (initiated originally by the Contractor as a " Value Engineering Proposal " , relevant designs provided by the Contractor) it turned out, that there is some part of it not complying with the otherwise prevailing standards. Which statements are correct in this situation? [FIDIC Red Book, 2017 Edition]

Choose all of the correct answers (multiple possibilities).

Options:

A.  

Since the design was approved by the Engineer, the Contractor might not be found responsible for such discrepancy, hence, to be fully compensated.

B.  

In this situation, the whole of the varied works should be removed, and the original technical content reinstated.

C.  

The Contractor shall immediately rectify, ensuring, that the varied work fully complies with the prevailing standards.

D.  

In case it is necessary, the Contractor shall prepare designs for works subject to the Value Engineering, hence, it is up to the Contractor to ensure that the works are fit for the purposes, including that the designs are correct, regardless of any approval or " no-objection " of the Engineer.

Discussion 0
Question # 35

(Which one of the following statements is correct regarding the Employer ' s Representative under the FIDIC Silver Book (edition 1999)?)

Options:

A.  

The Representatives of both the Employer and the Engineer have no authority to amend the Contract at all.

B.  

The Employer may appoint an Employer ' s Representative to act on his behalf under the Contract.

C.  

The Employer must always appoint an Employer ' s Representative to act on his behalf under the Contract.

D.  

The Employer may appoint an Employer ' s Representative to act on his behalf under the Contract but has to consult the Contractor to agree to this Representative.

Discussion 0
Question # 36

The Employer has prepared a contract for a waste-to-energy project based on the FIDIC Yellow Book (edition 1999). You are preparing negotiations on behalf of one of the Subcontractors with the Contractor. The main Contractor will manage the design and build of the Works, whereby the Subcontractor will deliver critical systems regarding power generation and cooling. The Contractor intends to contract the main Contract back-to-back with the Subcontractor. In the proposed back-to-back subcontract, the following amendment is proposed through Particular Conditions:

" Sub-Clause 4.4. The following paragraph is added: The Subcontractor is required to scrutinize the Employer ' s Requirements in a manner identical to the obligations of the Contractor as stated in Sub-Clause 5.1 of the Main Contract. The Subcontractor will indemnify and hold harmless (up to the maximum liability of the Subcontractor) the Contractor with regard to any error, fault or other defect found in the Employer ' s Requirements, its items of reference or Contractor ' s design of the Works for the scope part for which Subcontractor is contracted. "

What is your advice to the Subcontractor (SC) in regard to entering this proposed subcontract?

Options:

A.  

I would advise the SC to enter the Contract with the request to the Contractor to delete this amendment in the Particular Conditions. If the Contractor does not agree to do so, at least the Subcontractor has tried its best.

B.  

I would advise the SC not to enter this contract because the Contractor is obliged to act in accordance with good faith. A proposed paragraph like this opposes good faith.

C.  

I would advise the SC not to enter this contract, because Sub-Clause 4.4 describes the obligations of SC towards Contractor, but this amendment positions the SC in a vulnerable position for claims regarding all errors, faults or other Defects (whether originating from the Employer ' s Requirements or the design of the Contractor). Essentially, this means the SC becomes liable for the design part, which is within the scope of Contractor even

D.  

I would advise the SC to discuss this amendment with the insurance company just to be sure there will be no transfer of risks. This amendment is mainly a consequence of the FIDIC Yellow Book structure, where the Contractor has obligations in terms of scrutinizing the Employer ' s Requirements. This amendment makes this obligation more explicit. If the insurance company has no problems with insuring the parts which will be delivered by SC to

Discussion 0
Question # 37

The FIDIC Red Book (edition 1999) deals with Value Engineering Clause. It follows from this clause that the Contractor shall give notice to the Engineer with supporting particulars. Upon receiving this notice, the Engineer shall proceed in accordance with Sub-Clause 3.5 to agree or determine this Cost, which shall be included in the Contract Price.

Options:

A.  

True

B.  

False

Discussion 0
Question # 38

Under the FIDIC Red, Yellow, and Silver Books (both editions), the Contractor has a contractual obligation to submit a Value Engineering Proposal. Such proposal shall be prepared at the cost of the Employer. Are both these statements true or false?

Options:

A.  

True

B.  

False

Discussion 0
Question # 39

Which one of the following claim events does NOT allow profit?

Options:

A.  

Under the Construction Contract, interference by the Employer with Tests on Completion.

B.  

Under the Construction Contract, the Engineer ' s delay in supplying drawings or issuing instructions.

C.  

Under the Construction Contract, the failure of the Employer to give right of access to the site.

D.  

Under the Construction Contract, the relevant authority had unnecessarily delayed the approval.

E.  

Under the Plant and Design-Build Contract, errors in the Employer ' s requirements.

Discussion 0
Question # 40

(Under FIDIC Red and Yellow Books (both editions) the Engineer must have received technical education. Is this statement true or false?)

Options:

A.  

True

B.  

False

Discussion 0
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