The Red Book is the "Conditions of Contract for Works of Civil Engineering Construction": the fourth edition was published in and amended in and The Yellow Book is the "Conditions of Contract for Electrical and Mechanical Works": the third edition was published in and amended in Soft cover; pages Foreword The Red Book is intended for the construction of works designed by or on behalf of the Employer, with evaluation by measured quantities and contract rates. The Yellow Book is intended for the provision and erection of plant, often for items which are to be part of a large project.
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Skip to content About the legal and management system in the field of French foreign contracting engineering The French legal and management system for foreign contracted projects can be summarized into two aspects, namely: 1. Management in accordance with international common practices and practices; 2.
Management in accordance with French domestic laws and management methods. Specifically, French foreign contracted projects are managed in accordance with international practices and practices in most cases; French engineering projects in French-speaking African countries are mainly managed in accordance with French domestic laws and practices. International practices and practices in the field of foreign contracted engineering Domestic industry insiders are no strangers to the professional association of the International Federation of Consulting Engineers FIDIC.
The purpose is to jointly safeguard the interests of member associations and disseminate information to other member associations. After , the United States, Australia, Canada and other countries have joined each other. Headquartered in Lausanne, Switzerland. In fact, the relevant professional institutions in China are quite familiar with these professional guides. The fourth edition was published in and has been revised several times.
The third edition was published in and has since been revised. It should be pointed out that the three models of the International Federation of Consulting Engineers on international contract conditions, although not laws and regulations, have indeed become an internationally accepted international practice.
Authorized by the International Federation of Consulting Engineers, the China Engineering Consulting Association has compiled and published the relevant contract conditions in both Chinese and English. French foreign contracted projects are, in most cases, managed in accordance with the contractual conditions established by the International Federation of Consulting Engineers. As long as we are familiar with these international practices, we can have a clearer understanding of the legal and management systems of French foreign contracted projects.
In addition, the International Federation of Consulting Engineers often holds professional forums to discuss technical issues in the engineering field. These forum meetings are also a good place to learn about the latest developments in the field of contracting engineering.
The annual meeting was rich in topics. The main contents of the exchanges were: 1. Considerations for responsible investment; The challenges faced by consulting engineers; 3.
The consulting industry needs to do a good job in the face of challenges. At the same time, the annual meeting also arranged a special forum, the topics mainly involved: 1, the role of consulting engineers in strategic planning and investment choice; 2, monitoring the social and economic impact of regional development; 3, in the design phase, should consider the project Operating expenses and related maintenance costs; 4.
Strengthen project risk management; 5. Manage a team of consultants, engineers and designers with multiple constraints; 6. Strengthen moral obligations through responsible investment; 7. Facing global differentiation The market, seeking sustainable development; 8, with new investment, will lead to public and political debates, the role that consultants can play; 9, through responsible investment, enhance new sense of responsibility.
The contract conditions are prepared by a special working group, mainly from experts in engineering consulting companies in Germany, the United Kingdom, Canada, and the United States; in addition, France, Denmark, Sweden, the World Bank, the International Bar Association, etc. Experts from professional institutions participated in the review of the original manuscript. The contract conditions emphasize the importance of engineering standardization in the introduction, and believe that standardization is an ideal method to ensure the successful implementation of engineering projects, both technically and in management.
Because of the large number of complex projects, such as construction, civil engineering, chemical engineering, electrical engineering, mechanical engineering or comprehensive engineering, the contract conditions will naturally be quite complex, and the standardized contract format becomes more and more important.
Therefore, in most cases, both parties will agree to the choice. This standard way. It should be pointed out that although the contract conditions have become the basis of all the contracts of the engineering contract design scheme today, the description of the relevant clauses in the contract conditions itself does not provide an authoritative legal explanation for all aspects of each problem, because Explain the need to comply with the legal requirements of the specific contract.
According to the contract conditions, the design is the responsibility of the construction unit. This arrangement can reduce disputes arising from unclear division of responsibilities between the designer and the constructor. Contractual conditions require that the procurement method be evaluated at the beginning of a project to determine the most appropriate method. The characteristics of the actual project may have a significant impact on the specific application conditions and other tender documents in the contract conditions.
Therefore, the drafting of bidding documents must be careful, especially in terms of quality, performance standards and testing. Any defects in the bidding documents may result in unqualified works and the employer will pay a high price for this.
Therefore, employers need to ensure adequate personnel, costs and time for drafting tender documents and analyzing tender proposals. Under the contract conditions, the bidding process attaches importance to the prequalification of the bidders. It is believed that this helps employers understand the capabilities of the company, so that they can be invited to participate in the bidding in the future, and encourage companies with better qualifications to participate in the bidding when they have a chance to succeed.
It is considered that unrestricted bids cannot promote reasonable competition. Although the employer can stipulate what conditions are required for the bidding that meets its requirements, if there are too many bidders, it will affect the bidding effect; because the bidders are worried that too many bidders may make their investment more than worth the effort, rather than having a certain level of detail.
If the bidding process is not subject to the rules of the relevant agency, the ideal pre-qualification invitation should indicate how many prospective bidders are invited to submit the bid. If considering the workload of preparing a responsive bidding document, for a simple project, six bidders are more suitable; for a more complex and large-scale project, three bidders are more reasonable. Laws and regulations on the management of foreign contracted projects in France France has not independently promulgated relevant laws and regulations for foreign contracted projects.
For the historical reasons, the French-speaking African countries maintain a special relationship with France in politics, economy and culture. This relationship is also reflected in some economic management including engineering contracting. Therefore, studying the laws, regulations and management systems of French management of foreign contracted projects is actually the research and understanding of the French domestic engineering contracting market.
In other words, the establishment of a company by a foreign company in France is a prerequisite for entering the French construction contracting market. In order to enter the French construction contracting market and to conduct business effectively, there are two more effective ways, namely: First, through the acquisition of French construction companies, the construction contracting business.
This method is often adopted by companies in EU member states, such as Italy. Second, the project manager Project mamagement entered the market, and the specific construction is still carried out by French companies. This method is often adopted in countries outside Europe. This type of contracting does not have clear requirements for the qualification of construction contracting companies. Of course, there are other ways, such as directly registering a company.
However, the French construction market is still relatively closed, and there are many standards. There are also some large companies such as Vinci, Bouygues, Eiffage , which have special relationships with French government departments, and European suppliers and some Professional subcontractors have established close alliances and cooperative relationships, and have a strong competitive advantage in price, which makes the French market have some hidden exclusivity.
For foreign companies, the above two methods are more feasible ways to enter the market. Foreign companies cannot engage in construction contracting business in France by way of project registration. There are generally two choices of one of two forms: a company limited by shares SA or a limited liability company SARL.
The formalities for registration with relevant institutions usually take one and a half months to two months to complete; of course, it depends on the time period for submission, for example, taking into account the factors of the holidays.
It is recommended to consult or entrust a law firm with a business or representative office in China to facilitate communication and understanding to find the best solution that is suitable for the actual situation of Chinese companies while complying with French regulations.
After the company is registered, registration with professional institutions in the industry such as the French Building Federation is not necessary, depending on the business content and scale of the company. However, through industry registration or registration, some relevant information about the construction industry can be obtained through this channel. France has its own principle of dividing the qualification level. The qualification level of a foreign company in its country may be helpful to its registration in France.
Once the company is established, its qualification assessment will be carried out in full accordance with the French principle, starting from scratch. Therefore, it is recommended to acquire some medium-sized enterprises that have a certain qualification level in France with an annual turnover of between 30 million and 50 million euros , so that they can obtain the corresponding qualifications immediately, in line with the requirements of France.
There are many rules and standards in the French construction industry, which are basically in line with European standards. There are many kinds of taxes in France, such as profit tax, land tax, personnel tax and so on. Once the company is registered in France, the tax department will take the initiative to contact.
With regard to the entry of personnel, it is easier for senior management to handle long-term residence, and the entry of personnel is relatively easy, while the entry of ordinary personnel is very difficult, and it is generally required to hire local French personnel. Specific personnel access and taxation issues involve very professional legal issues, and general counseling and answers are generally obtained through professional lawyers.
During the bidding phase of the project, the contractor is required to submit a Bid bond. After the project is signed, the contractor needs to submit a performance bond. The specific amount of the loan will vary depending on the contract conditions. The letter of guarantee can be a bank guarantee or an insurance guarantee. At the same time, the contractor can request a payment guarantee from the owner. The form of guarantee also varies according to the nature of the project. In addition, it can also be determined according to the management method and organizational structure of the project.
Government projects are regulated by the government. There is no unified centrally supervised institution in France. The supervision of the project is carried out by the department or state enterprise specifically involved in the project.
In the form of contract adoption, there is no unified contract model, but there are some basic principles and behaviors that are customary.
Information about the form of project tendering, content and requirements for qualifications can be obtained from a number of professional magazines, such as the Public Works Guidelines magazine, which publishes information on all government public projects. Information about private projects is sometimes published in professional magazines, but it can only be part of it. Most of the information is mainly obtained through business channels such as architects, supervision companies, real estate agencies or real estate experts.
In recent years, due to financial reasons, the French government has increasingly granted some public projects such as roads, water services, and parking lots by means of BOT and BT.
This type of award is only possible for companies with strong capital strength to participate. Such awards require a high bid bond. In terms of the composition and regulations of the project contract, France has no specific regulations. This is the basic administrative requirements of the owner for the contractor; 2. This is the specific technical requirements of the project itself; 3.
Other accessories. Foreign companies are engaged in contracting business in France. After legal tax payment, they are completely free to handle the outflow of their own funds. There is no restriction on the French side.
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Skip to content About the legal and management system in the field of French foreign contracting engineering The French legal and management system for foreign contracted projects can be summarized into two aspects, namely: 1. Management in accordance with international common practices and practices; 2. Management in accordance with French domestic laws and management methods. Specifically, French foreign contracted projects are managed in accordance with international practices and practices in most cases; French engineering projects in French-speaking African countries are mainly managed in accordance with French domestic laws and practices.
About the legal and management system in the field of French foreign contracting engineering
In our case the project was sponsored by the KFW Germany. Such requests may also include requests for the employees assistance in applying for any necessary government consent to the export of contractors equipment when it is removed from site. Contractor are of the opinion, that Contractor is neither the owner of the future project nor of the construction site which has been taken from the former owner by law enforcement and belongs now to the Employer. This we see as our obligation. Contractor is however of the opinion: - that the owner Employer has to obtain the Construction Permit to erect the project as far as technical information is required, the Contractor will assist the Employer ; - that the same applies for the Discharge Permit as far as technical information are required, the Contractor will assist the Employer. Answer The feeling of the drafting committee was that the Employer was best placed to help the Contractor in obtaining the various permits and approvals etc. It was not foreseen that the Employer would refuse since it is the Contractor who bears any costs involved.