Scope/Quantity variation in construction contract

In the future, reject liquidated damages and put a cap on your liability. If desirable, your liability may not exceed the value of your effort.

This is a very biased comtract and won't help any party to be honest. I wonder how contractors agree to sign contracts with such terms that fully expose them.

Ive worked in many places over the world, many projects, engaged in many contracts but the this honestly the first time I hear this. Even the PMBOK itself under the procurement section explains that contracts must be negotiated in godo faith and for a win - win situation.

In cases like this, the contractor have really no motivation to do any savings nor be committed and loyal.

Rami,

Your frustration is very much right. But you will appreciate that construction industry in India is not that organised to set out clear workable terms in a contract.

The standards are used to frame a paper contract only, whereas in practice things mostly go out of hands towards end of a project.

In this area, mostly payments are deducted on pretext of issues in quality/quantity as have been pointed out by Candrashekhar previously in this thread.

Now the question is how does project management sort it out?
You might delve into the contract pricing types such as FFP, T& M or etc. but there is uncertainty with respect to acceptance of the deliverable, which must be addressed appropriately in order to safeguard the performing contract to save from undue delay's/deductions in payments.