Ambiguity extension of time provisions in standard forms of contract: an analysis of PAM 2018 contract

Ambiguity extension of time provisions in standard forms of contract: an analysis of PAM 2018 contract. Malaysian Construction Research Journal: RISM International Research Conference 2020, 9 (1): 18. pp. 208-227. ISSN 2590-4140 (2020)


The administration of construction contracts in Malaysia is facilitated through standard forms of contract. The application of local documents either Pertubuhan Akitek Malaysia (PAM), Institution of Engineers Malaysia (IEM), Public Works Department (PWD) or Construction Industry Development Board (CIDB) is dependent on the type of project, mode of finance and owner of the project. In any construction contract, the ambiguous contract provisions have a significance impact on the project performance, which in turn affects the achievement of the project completion date. Hence, it is observed that ambiguity provisions can be considered as a source of construction dispute in the event of misunderstanding and ignorance of the contract clauses. This paper aims to examine the relationship between the effects of ambiguity provisions on extension of time (EOT) claim and the moderating effects of contractual complexity. To achieve the aims, case law is examined to illuminate the judicial approach and highlight the ambiguity of EOT provisions in the existing standard forms of contract. Analysis of EOT provisions of PAM 2006 and 2018 is then made to look at certain specific ambiguous provisions so as to serve a catalyst for further investigation, honing and refinement. The findings create awareness and offer new insight into the effect ambiguous provisions have upon the contractor contractual rights to extension of time and nuance understanding of contractual management and governance in project. Therefore, a clear and more complete general condition documentation should end up with win-win situation for various parties involved.

Item Type: Article
Keywords: Construction contracts, Ambiguous provisions, Extension of time, Standard form, Contract management, Contract prolongation
Taxonomy: By Subject > Architecture, Planning & Surveying > Construction Management
Local Content Hub: Subjects > Architecture, Planning & Surveying
Depositing User: Eza Eliana Abdul Wahid
Date Deposited: 11 Feb 2021 05:22
Last Modified: 11 Feb 2021 05:22
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