Rejection to Notice of Delay

Rejection to Notice of Delay

Our Ref: xxx

Date: xxx

To                           : xxx Contracting Company LLC

                               P. O. Box xxx, Dubai, U.A.E.

Attention            : Mr. xxx, Senior Project Manager

Project                 : xxx Tower, Dubai – U.A.E.

Subject                 : Rejection to Notice of Delay

References: a) xxx dated 21 June xxx

                      b) xxx dated 06 July xxx

                      c) xxx dated 09 May xxx

Dear Sir,

We are in receipt of your letter ref: xxx dated 12 July xxx and record our total rejection to your misleading allegations of delay stated therein and would like to note the following:

  1. References used:

You are referring in your allegations to the baseline programme that was shared with us via your letter ref: xxx dated 22 June xxx and to which we have already responded via our letter reference (b) above. Our response remains valid.

In addition to that, you are referring to a tentative material submittal plan which is invalid. Our Subcontract was received on 24 June xxx.

According to your baseline programme the duration for the material submission and approval is 60 days from the commencement date for Pods. Considering that the actual commencement date is 24 June xxx, the materials submission and approval activity has an end date of 24 August xxx.

Hence all your allegations are incorrect, misleading, and wholly rejected.

  • Materials Status:
  • Wall & Floor tiles:

The MAS was submitted on 6 June xxx with a sample from the latest production batch available in stock and we have received the approval on 1 July xxx with a comment mentioning that “reference for approved sample to be as per phase 3”.

The supplier has confirmed that production batches from the Phase 3 tiles are no longer in stock and based on that he has provided a letter stating that color, size, and shade may vary slightly as per International Standards in different production batches of the same tile. This letter was submitted to you on 12 July xxx in the revised MAS submittal.

Please note that this specific tile is the same which is approved on previous phase 3, and M/s xxx (Contractor Name) has no control over slight variations in shade due to different production batches which are standard in the fabrication process as confirmed by the supplier.

Accordingly, if this specified tile is no longer acceptable, please provide us with your required tile selection/supplier in order for us to submit your preferred alternative and further advise you on the relevant availability and cost impact. Alternatively, you are invited to supply these tiles as free issue material if you find a more suitable alternative.

Please note that M/s xxx (Contractor Name) is unable to procure the tiles without approval and this is currently impacting our procurement and production schedule. We shall not be held liable in any respect for any delays resulting from the ongoing comments and hesitation in the final approval of this previously approved tile.

  • Paint

The MAS was submitted by M/s xxx (Contractor Name) on 2 June xxx and approval was released to us on 11 July xxx. M/s xxx (Contractor Name) has no control over the period expended by ASC and the Engineer for review and approval.

  • Drainage Pipes:

The MAS was submitted by M/s xxx (Contractor Name) on 21 June xxx and approval was obtained on 11 July xxx. M/s xxx (Contractor Name) has no control over the period expended by ASC and the Engineer for review and approval.

  • Exhaust Grill:

The MAS was submitted by M/s xxx (Contractor Name) on 19 May xxx and we received the comments on 5 June xxx. We have then revised and resubmitted the MAS on 10 June xxx (appendix 1) but it was kept on hold for 9 days by ASC before informing us on 19 June xxx (appendix 2) to follow “Aldes” as per vendor list noting that none of the comments/rejection to our first submittal from the consultant included such a request.

We have clarified to you that our submittal “Flowtech” was as approved for previous phases but you insisted on us to submit “Aldes” (appendix 3).

We have contacted “Aldes” who responded on 28 June xxx (appendix 4) that they don’t have the size required of 150 mm in their product range and we ended up submitting our initial proposal on 30 June xxx which is currently under review.

The 18 days of lost time from 10 June xxx to 28 June xxx is the sole responsibility of ASC.

  • Angle Valve:

The MAS was submitted by M/s xxx (Contractor Name) on 03 June xxx (appendix 5) but the submittal was kept on hold for 16 days by ASC before informing us on 19 June xxx (appendix 2) to follow “Peglar” as per vendor list noting that the consultant did not reject our submittal.

We have clarified to you that our submittal “PEX” was already as approved for previous phases but you insisted that we submit “Peglar” (appendix 3).

We have contacted “Peglar” whom price was much higher than PEX and the same was communicated to you. You have then instructed us to resubmit “PEX” following our site meeting on 29 June xxx.

Again we ended up submitting our initial proposal on 01 July xxx which is currently under review.

The 26 days of lost time from 03 June xxx to 29 June xxx is the sole responsibility of ASC.

  • Electrical Cables:

Since 10 May xxx we have been requesting from you that you provide the approved MEP items for the project to allow us to follow the same material in the Pods as required. (Appendix 6)

We still have not received the copy of the approval from your side and we have been told that “TEKAB” is your proposal. (Appendix 7)

Accordingly, The MAS was submitted by M/s xxx (Contractor Name) on 15 June xxx and approval with comments was obtained on 23 June xxx. 

We were extremely surprised to note that the consultant approved “TEKAB” for heat resistant cable only and requested that single core wire should be as per the material approval of wires and cables for whole project which you earlier wrongly informed us was “Tekab” and which you have been withholding from M/s xxx (Contractor Name) since 10 May xxx.

On 28 June xxx you have shared the information that “Oman Cables” is the material submitted by ASC for the project (appendix 8).

Till today, you have still not shared a copy of this approval with M/s xxx (Contractor Name) to allow us to proceed.

  • Insulation:

The MAS was submitted by M/s xxx (Contractor Name) on 13 June xxx and till today we have still not received the approval copy from your end or any sort of feedback on our submittal.

All material submittals have been initiated by M/s xxx (Contractor Name) on a goodwill basis as a show of support to your project prior to our contractual commencement date of 24 June xxx and we are astonished by your unjustified and baseless notice of delay which fails to take into consideration any of the facts highlighted above including the multiple change requests initiated by ASC.

We again invite you to refer to our letter ref (a) which is very clear in highlighting every pre-requisite milestone required in order to reach production and delivery of pods.

Although we will extend all our efforts to improve the chances of having pods on site in a time frame compatible with your site requirements, you remain solely responsible for delaying the release of the Subcontract Agreement of M/s xxx (Contractor Name) to a date almost two months beyond what is stipulated in your baseline programme.

M/s xxx (Contractor Name) shall not hold any responsibility neither direct nor indirect for any delay to the project resulting from such actions by ASC, and we further reserve our right to claim for an Extension of Time in relation to this baseline programme of 57 days.

On the other hand, with regards to your request for procurement tracker and as we mentioned in our letter ref (a), a detailed procurement schedule can be shared upon receiving approval on all the materials which will allow us to place the necessary orders. However, we will share with you starting 14 July xxx the procurement schedule as requested.

We further remind you that all official communications to M/s xxx (Contractor Name) relative to your project should be addressed to the contact persons mentioned in our letter ref (c) in order to ensure timely action on our part.

Yours faithfully,

On behalf of M/s xxx (Contractor Name) LLC

xxx

Projects Manager

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