Contract in telecommunication infrastructure project

Abstract

It is unavoidable that during the construction process, a dispute on the insufficiency of contract document often arose. However, the insufficiency of the clauses in the contract is uncommon. The drafted contract must fulfill all the intended roles and guidelines for the relationships between the contracting parties throughout the project. Apart from that, all the project needs and requirements should be also included in the contract to optimize the usage of the contract for the project and to ensure the contract is more comprehensive. Therefore, this research aims to identify insufficient clauses in the contract for telecommunication infrastructure project. A structured interview is performed with the stakeholder in telecommunication infrastructure project to established issues and problems that occur due to insufficient clauses in the contract documents. The data is collected mainly through documentary analyses, which consist of contract documents for telecommunication infrastructure project. From the findings, seven clauses have been identified as insufficient based on the issues and problems, which arose during the execution of work and the needs and requirement of telecommunication infrastructure project. From the analysis, it was also found that the contract is not only insufficient in the contract clauses, but it also in the interpretations of the clauses of contract documents. Some recommendation has been suggested to Network Facilities Provider as the client to enhance the contract documents for telecommunication infrastructure project. From the recommendations being made, the interest and rights of both parties in the contract can be protected. It also helps to minimize disputes between Network Facilities Provider and a Full Turnkey Contractors and to optimize the productivity of the project.