ERDEM-NEWSLETTER-2018-metin

47 COMMERCIAL LAW Most Remarkable Changes in the 2017 Updates Interpretation Rules The definitions have been expanded to mean uniformity in the sense used, apart from the language used, and attempts have been made to reduce the headings that may lead to different interpretations of the parties. Some of the noteworthy definitions are as follows: • May. Statement used in matters for which election is granted; • Shall. Statement used in liability issues; • Include. Not limited to the counted matters; • Claim. Request or claim; • Dispute. Where a request or claim is alleged, not accepted and the claimant does not consent to, or the assignment is not accepted by, one of the parties; • Cost Plus Profit . Unless otherwise agreed to in the contract, it is 5%; • Execute the Works. Completion of design, construction and works and elimination of defects/ deficiencies from previous versions. Claim and Determination Another important innovation is with respect to the “Determina- tion” provision in Article 3.5 of each of the three books. The Determi- nation regulation in Article 3.5 of the FIDIC 1999 is taken to Article 3.7 in FIDIC 2017, and structural changes are made. According to the new clause (“Determination” is made by the “Engineer” in the Red and Yellow Books and by the “Employer” in the Silver Book), upon the claim of one of the parties, the parties are to make negotiations within 42 days, and sign a binding agreement if they agree. However, if these parties fail to reach an agreement within 42 days, the claim is directed to the Engineer for determination. The Engineer also has a 42-day period in which to make a Determination. The party who is not