Understanding and Negotiating EPC Contracts, Volume 1: The Project Sponsor's Perspective

In Understanding and Negotiating EPC Contracts, Volume 1 , Howard M. Steinberg presents a practical and comprehensive guide to understanding virtually every aspect of engineering, procurement and construction (EPC) contracts for infrastructure projects.

The 25 chapters in Volume 1 are supplemented with real-life examples and court decisions, and offer tactical advice for anyone who must negotiate or understand EPC contracts in connection with the implementation, financing or operation of infrastructure projects.

Emphasizing current market practices and strategic options for risk sharing, the book contains a narrative explanation of the underpinning of all of the issues involved in EPC contracting. Exhaustive in scope, it clarifies the fundamental commercial principles and pitfalls of "turnkey" contracting for all types of capital investments ranging from electrical and thermal power generation (including combined heat and power, nuclear, wind, solar, natural gas and coal) to refining, to chemical processing to LNG liquefaction and re-gasification to high speed rail, bridging, tunneling and road building. Providing clear and thorough analyses of the issues and challenges, this volume will be of great value to all those involved in complex construction projects.

Contents: Foreword; Introduction; a historical perspective; Choosing a development approach; The EPC contractor's approach; Beginning the evaluation process; Full-scale development; Philosophy of the EPC contract; Subcontractors; Site or route survey; The work; The sponsors obligations under the EPC contract; Monitoring the progress of the work; Unforeseen circumstances, adjustments and change orders; The EPC contractor's failure to perform; The owner's failure to discharge its responsibilities; Unexpected market conditions; Testing and completion of the work; liquidated damages for delay and impaired performance; The EPC contractor's warranties of the work; Security for the EPC contractor's performance; limitations on overall liability and contract expiration; Payment for the work; Title and other legal matters; Indemnification and insurance; Dispute resolution and governing law; Interested third parties; Afterword; Table of case citations; Index; Glossary.