Solutions and Correct Explanations
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Updated CIV3701 Assignment 2 study resource for 2025/2026. Provides complete
answers and verified explanations for civil engineering and construction
management concepts.
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CIV3701 2025 complete answers
CIV3701 Assignment 2: 100 Q&A Study Guide (2025/2026)
Section 1: Contract Law & Administration (Q1-25)
1. What is the primary purpose of a contract in construction?
A: To create a legally binding agreement that defines the rights, obligations, and
responsibilities of all parties (e.g., Client and Contractor), providing a framework
for project execution and dispute resolution.
,2. What are the three essential elements for a valid contract?
A: Offer, Acceptance, and Consideration.
3. What is the difference between an Express and an Implied term in a
contract?
A: An Express term is explicitly stated (orally or in writing), while an Implied term
is not stated but is read into the contract by law, custom, or the parties' conduct to
give it business efficacy.
4. What is the role of the Engineering and Construction Contract (NEC)'s
"Early Warning" procedure?
A: To proactively identify and manage potential problems and cost impacts early,
fostering collaboration and reducing the likelihood of disputes.
5. Define "Liquidated Damages" (LDs).
A: A pre-agreed, genuine estimate of the loss the client will suffer per day/week if
the contractor fails to complete the project by the stipulated completion date. It is
not a penalty.
6. What is a "Variation" (or Change Order)?
A: A change to the original scope of work, which may include alterations to the
design, quality, quantity, or working conditions, typically instructed by the
Engineer or Client's Representative.
, 7. What is the principle of "Quantum Meruit"?
A: A Latin term meaning "as much as he deserved." It is a claim for a reasonable
sum for work done where no fixed price was agreed upon, often used when a
contract is void or discharged.
8. What is the key difference between a "Condition" and a "Warranty" in
contract law?
A: A Condition is a major term, the breach of which allows the innocent party to
terminate the contract and claim damages. A Warranty is a minor term, the breach
of which only gives rise to a claim for damages.
9. What is "Consideration" in a contractual context?
A: Something of value (e.g., money, a promise, an act) given by one party to
another in exchange for a promise. It is the price for which the promise is bought.
10. What does "Privity of Contract" mean?
A: The doctrine that a contract cannot confer rights or impose obligations on any
person except the parties to the contract.
11. What is a "Bond" in construction, and name one common type.
A: A guarantee provided by a third party (e.g., a bank or insurance company) to
cover a contractor's failure to perform. A common type is a Performance Bond.