WORK: AIN'T IT CHALLENGING?
HYPOTHETICALLY YOU'RE IN THIS SITUATION, WHAT WOULD YOU HAVE DONE?
BELOW IS JUST HYPOTHETICALLY A SITUATION OR TREAT IT LIKE ANOTHER STORY YOU ENCOUNTER. NO HARM READING IF YOU'RE BORED.
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Contractor
Thank you for providing me the opportunity to explain.
If you insist on a detailed explanation, please see below, they are my own words and not of my firm's.
Let's take a look at the facts from the past
Around the 25th of every month contractor submits the Claim to our firm.
By the 10th of the following month Metrowater expects the SIGNED payment certificate to be submitted.
In between these there are approximately 11 working days to work on the claim.
Bear in mind that approximately 30 properties as well as public works are to be checked within this time frame, including variation claims AND other works involved while certifying the claims.
We also had to check claims which need double checking, for example there are items which were claimed twice (see ITC#XXX) and claimed but no work had been done.
We wouldn't have known if they were not looked at in detail.
Now please take a look at the facts for the March Claim:
Our firm received the claims on 4th April (Wednesday) INSTEAD OF 25th March -- more than 1 WEEK LATE.
6th April and 9th April are public holidays. -- PUBLIC HOLIDAYS ARE UNAVOIDABLE
That leaves our firm with only Thursday 5th April (ONE DAY) to work on approximately 30 properties and public works, again, including variation claims.
This month's (March) claim I was allowed ONE extra day by our client (10th April, thanks to our client) to work on the schedule.
Conclusion:
2 working days to work on all properties and public works, including verifying all variations.
Dear contractor
I understand we all do have deadlines to meet but what you implied that our firm being 'unprofessional' was not appropriate. This is solely my personal opinion.
How it affects your company's cash flow I would not comment because our firm did follow up on 29th March, 30th March, 2 April, 3 April and your company has not sent in the claims.
Let's again lay out the facts:
How many properties can one person check in a single day? I was expected to check all these along with all public works AND variation claims in a single day when in fact 1 week (or 10 days in total) was taken away since Fulton Hogan had not sent in the claim ON TIME.
For this claim:
100% has been paid to properties I think are done up to satisfactory level.
75% (mostly) has been paid to properties which might need a second check.
ALSO, public works have all been paid for 100% when in fact we could have paid way less than 100% when they have not been checked. We do think of your situation about cash flow.
It could have been 0% of items paid to FH if they are not checked, or in this case, 75% out of our firm's discretion (as suggested by my boss).
dear contractor
I opted to stay silent during the meeting today because I believe you should be informed the same time as everyone else involved in this project.
We're working together here. Let's get this done as openly as possible. with respect.
It might be that my wordings in the previous email was a bit on the harsher side but I recommend that it always pays to find out the background of this before you 'take it further'.
Again, please understand from our point of view.
I trust that this response is satisfactory enough.
Have a nice day.
Kind regards
Kevin Teh
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From: the contractor
Sent: Thursday
To: contractor; subcontractor; our firm
Subject: RE: March Claim
Kevin
I don not accept our claim being reduced because you cant get out to check the quantities, I find this both completely unacceptable and unprofessional. Your firm are duty bound are as per contract law to pay the contractor for those items claimed unless you can provide justification for the item not being included in the payment certificate. I have sub contractor and suppliers to be paid for all works completed for the month and this type of decision making has a significant affect on both cash flow / interest accrued on WIP etc on both my company and third parties.
I expect full payment on all items unless you can justify otherwise. If I do not get a satisfactory response to this I will take this further.
Kind regards
the contractor
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From: contractor's rep
Sent: Thursday
To: contractor
Subject: FW: March Claim
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From: Kevin
Sent: Wednesday
To: contractor's rep
Cc: kevin's boss
Subject: March Claim
Dear contractor's rep
Due to time constraint (long weekend) there is a number of properties which I have not been able to inspect thoroughly, thus no full payment will be certified. This includes Variation claims.
However, we will get on to this once the March Payment is sorted.
Thank you.





