Legal Observations

ONGC “Restoration of Gas Terminal, Phase-I (Part-A) at ONGC Hazira Plant on EPC reimbursable (OBE)
basis

Most critical observations from legal point of view are as following:

1. Clause 1.3.2 GCC: The Arbitration clause mentions PMA Mechanism which is not applicable. DPE
mandates that any disputes between CPSEs be resolved through AMRCD/ AMRCD Mechanism.
This may be taken up with the Client for updation.
2. Clause 3.2.5 GCC: Invoice for extra work will be cleared only after approvals under clause 8.1.
This is highlighted for EIL user division.
3. Clause 4.1 GCC: Confidentiality obligations are to be noted for necessary compliance by EIL user
division.
4. Clause 5.2 GCC: Clause mandates that labor law compliance to be done by the Contractor. This
is highlighted for information of EIL user division.
5. Clause 7.5 of GCC: This does not include epidemic/ pandemic. EIL user division to discussion
with Client about inclusion of this provisions.
6. Clause (k) at Pg 19 of SoW: Understanding that this provision is included in scope of work,
payments will be made to EIL according to contractual provision, for this scope.