Replacement of the Engineer under the New FIDIC Red Book 2017: Issues of Agency and Privity of Contract, with a Note on Qatar

Abstract

New rules have been introduced in the 2017 edition of the FIDIC Red Book, particularly in relation to the replacement of the engineer. Hence, the contractor has now become under a time limit to respond to the relevant notice issued by the employer. And failing to comply with such a time line would have the implication of considering the contractor to be deemed to have accepted such replacement. Furthermore, replacement may occur for reasons attributable to the engineer itself, such as illness, disability or resignation. In which case, the employer must immediately appoint a temporary engineer. Clearly, such an appointment needs to be confirmed by the contractor, if not so approved, then the employer must appoint another engineer. Also, the engineer has the right to appoint and/or replace a representative to work on site, without having to obtain the contractors approval. However, the contractor must seek the engineers approval when appointing and/or replacing its representative, once the same takes place following the commencement of the contract. All in all, the contractor decision as to the replacement of engineer must always be objective and on merit.