QUANTITY SURVEYING & VALUATION

E-Notes

UNIT –1

1 QUANTITY SURVEYING1.1 Introduction

A quantity surveyor (QS) is a construction industry professional with expert knowledge on construction costs and contracts. They are not to be confused with land surveyors.

1.2 Estimating , Costing And ValuationEstimating (or estimating) is the process of finding an estimate, or approximation, which is a value that is usable for some purpose even if input dataCosting:-Cost accounting is the process of recording, classifying, analyzing, summarizing, and allocating costs associated with a process, and then developing various courses of action to control the costs. Its goal is to advise the management on how to optimize business practices and processes based on cost efficiency and capability. Cost accounting provides the detailed cost information that management needs to control current operations and plan for the future.

Since managers are making decisions only for their own organization, there is no need for the information to be comparable to similar information from other organizations. Instead, information must be relevant for a particular environment. Cost accounting information is commonly used in financial accounting information, but its primary function is for use by managers to facilitate making decisions.Valuation:-Valuation is defined as the procedure of finding out the value of the property which depends upon the life of property, maintains , location and legal control .

1.3 Importance of estimating:-

Estimating in construction is important because almost everyone has a budget they have tomeet for a project. Almost everyone wants to know how much it wil cost before they are willing to start. Estimates are also used to narrow down a choice in a contractor.

The contractor and customer relationship usually starts with a phone call and a scheduled time to meet and discuss the project. This is essentially a job interview for the contractor. The scope of work is discussed and this interview process is continued in the estimating phase of the project. Providing a detailed estimate shows the customer that the contractor is familiar with the type of project being planned and that the budget will work. Wether the project is a new factory, school, office, house, or just painting a bedroom the process is the same in my experience. Once the customer has the estimate they decide how much if any work they would like to schedule and the estimate is used as a starting point for billing later.

If you are hitting a contractor one thing that is really important to know is whether the estimate may be treated as an actual quote or if it is just an estimate. If it can be treated as a quote then the price should not increase just because the contractor priced something wrong. Also, before you ask for an estimate make sure you know what you want. In my experience most estimates are quotes for exactly the scope of work discussed. As soon as you start to make changes later the price can start going up. Once you start a project every change will have a minimum additional cost and often the cost of changes will be used to cover any mistakes the contractor made in his original price.

Only meet with a contractor who comes highly recommend, knows how to stay on budget, and who you feel is 100% trustworthy.

1.4:-Duty of Quantity SurveyorQuantity

Quantity surveyor duties typically include:

Conducting feasibility studies to estimate materials, time and labour costs Preparing, negotiating and analysing costs for tenders and contracts Coordination of work effort Advising on a range of legal and contractual issues Valuing completed work and arranging for payments

1.5 Types of estimates:-

1.Rough cost estimates2.Detailed estimates

1.6 Method of estimating :- (a)Complete Detail drawing showing plans and sections. (b)Detail specifications (c) Rates of various items.

UNIT –2

BUILDING ESTIMATE

2.1 Introduction

A cost estimate is the approximation of the cost of a program, project, or operation. The cost estimate is the product of the cost estimating process.

2.2 Items of work

Earth work

Bed concrete in foundation

Soling

D .P. C (Damp Proof Cours)

Masonry

Lintel

R.C.C

Flooring

Roof

2.3 Deduction

Various deductions are made as follow according to item;

2.3.1 deduction for opening , bearings etc in masonry

2.4 Degree of accuracy in estimating

measurement of estimation error is problematic, see Assessing the accuracy of estimates. The strong overconfidence in the accuracy of the effort estimates

Unit of measurements

10 millimeters (mm)= 1 centimeter (cm)

10 centimeters= 1 decimeter (dm) = 100 millimeters

10 decimeters= 1 meter (m) = 1000 millimeters

10 meters= 1 dekameter (dam)

10 dekameters= 1 hectometer (hm) = 100 meters

10 hectometers= 1 kilometer (km) = 1000 meters

Units of Area

100 square millimeters (mm2)= 1 square centimeter (cm2)

100 square centimeters= 1 square decimeter (dm2)

100 square decimeters= 1 square meter (m2)

100 square meters= 1 square dekameter (dam2) = 1 are

100 square dekameters= 1 square hectometer (hm2) = 1 hectare (ha)

100 square hectometers= 1 square kilometer (km2)

Units of Liquid Volume

10 milliliters (mL)= 1 centiliter (cL)

10 centiliters= 1 deciliter (dL) = 100 milliliters

10 deciliters= 1 liter† = 1000 milliliters

10 liters= 1 dekaliter (daL)

10 dekaliters= 1 hectoliter (hL) = 100 liters

10 hectoliters= 1 kiloliter (kL) = 1000 liters

Units of Volume

1000 cubic millimeters (mm3)= 1 cubic centimeter (cm3)

1000 cubic centimeters= 1 cubic decimeter (dm3)

= 1 000 000 cubic millimeters

1000 cubic decimeters= 1 cubic meter (m3)

= 1 000 000 cubic centimeters

= 1 000 000 000 cubic millimeters

Units of Mass

10 milligrams (mg)= 1 centigram (cg)

10 centigrams= 1 decigram (dg) = 100 milligrams

10 decigrams= 1 gram (g) = 1000 milligrams

10 grams= 1 dekagram (dag)

10 dekagrams= 1 hectogram (hg) = 100 grams

10 hectograms= 1 kilogram (kg) = 1000 grams

1000 kilograms= 1 megagram (Mg) or 1 metric ton(t)

† By action of the 12th General Conference on Weights and Measures (1964) the liter is a special name for the cubic decimeter.

2. Tables of U.S. Units of Measurement††

In these tables where foot or mile is underlined, it is survey foot or U.S. statute mile rather than international foot or mile that is meant.

Units of Length

12 inches (in)= 1 foot (ft)

3 feet= 1 yard (yd)

16-1/2 feet= 1 rod (rd), pole, or perch

40 rods= 1 furlong (fur) = 660 feet

8 furlongs= 1 U.S. statute mile (mi) = 5280 feet

1852 meters= 6076.115 49 feet (approximately)

= 1 international nautical mile

Units of Area

144 square inches (in2)= 1 square foot (ft2)

9 square feet= 1 square yard (yd2) = 1296 square inches

272-1/4 square feet= 1 square rod (sqrd)

160 square rods= 1 acre = 43 560 square feet

640 acres= 1 square mile (mi2)

1 mile square= 1 section of land

6 miles square= 1 township = 36 sections = 36 square miles

Units of Volume

1728 cubic inches (in3)= 1 cubic foot (ft3)

27 cubic feet= 1 cubic yard (yd3)

Gunter’s or Surveyors Chain Units of Measurement

0.66 foot (ft)= 1 link (li)

100 links= 1 chain (ch) = 4 rods = 66 feet

80 chains= 1 U.S. statute mile (mi) = 320 rods = 5280 feet

Specifications :-

(a)General specification

(b)Brief specification

General specification of 1 st class building

FOUNDATION AND PLINTH:

First class bricks with cement or lime mortar shall be used in the foundation and plinth of a building.

FILLING:

Local sand shall be used to fill the foundation trenches and plinth.

DPC:

2.5 cm thick cement concrete shall be used in the damp proof course and 5 % pudlo or other good waterproofing materials shall be used at DPC.

SUPER STRUCTURE:

Superstructure shall be made of first class brick work in cement mortar. Lintels over doors and windows shall be of R.C.C.ROOFING:

The roof shall be of 10 cm R.C.C. slab with an insulation layer and lime concrete terracing above, supported over R.S.Joist or R.C.C. beam as required. The height of rooms shall not be less than 3.7m (12 feet).

FLOORING:

Drawing room and dining room floors shall be mosaic (terrazzo). Bathroom and W.C. floor and dado shall be of mosaic (terrazzo). Floors of bedroom shall be colored and polished of 2.5cm (1”) cement concrete over 7.5cm (3”) lime concrete. Floors of other shall be of 2.5cm (1”) cement concrete over 7.5cm (3”) lime concrete polished.

DOORS AND WINDOWS:

Doors and windows frame shall be of seasoned teak wood. Shuttering shall be of 3 cm teak wood thick paneled and partly glazed as required, with additional wire gauge shutter. All fitting shall be of brass. Doors and windows shall be varnished or painted two coats with high-class enamel paints over one coat of priming. Windows shall be provided with iron grating or grills.

MISCELLANEOUS:

Rainwater pipes of cast iron or of asbestos cement shall be provided and finished with painting. The building shall be provided with 1st class Sanitary and Water Fittings and Electrical installations. 1 meter wide 7.5cm thick C.C. 1:3:3 apron shall be provided all around the building.

General Specification of a Second Class Buildings

1. Foundation and Plinth: Foundation and plinth shall be of first-class brickwork lime mortar over lime concrete.

2. Dam Proof Course: D.P.C. shall be 2 cm thick cement concrete 1:2, mixed with one kg of impermo per bag of cement or other standard waterproofing materials.

3. Superstructure: Superstructure shall be of 2nd class brickwork in lime mortar. Lintels over doors and windows shall be of R.B.

4. Roofing: Roofs shall be of R.B slab with a 7.5 cm lime concrete terracing above( or flat terraced roof supported over wooden battens and beams, or jack arch roof), verandah roof shall be of A.C sheet or Allahabad tiles.

5. Flooring: Floors shall be of 2.5 cm cement concrete over 7.5 cm lime concrete. Verandah floor shall be of brick tile or flagstone over lime concrete finished cement pointed.6. Finishing: Inside and outside shall be of 12 mm cement mortar plastered 1 : 6 ceiling shall be cement plastered 1 : 3. Inside shall be whitewashed 3 coats, Outside shall be coloured washed two coats over one coat of whitewash.

7. Door and Windows: Chaukhats shall be R.C.C or well-seasoned sal wood. shutters shall be shisham wood or deodar wood 4 cm thick, panelled, glazed or partly panelled and partly glazed as required, fitted with iron fittings. Doors and windows shall be painted two coats over one coat of priming.

8. For Other materials: Rainwater pipes shall be of cast iron finished painted. Electrification, sanitary and water fittings may be provided if required.

General Specification of a Third Class Buildings

1. Foundation and Plinth: Foundation and plinth shall be of 2nd class brick work lime mortar over lime concrete.2. Dam Proof Course: D.P.C. shall be 2 cm thick cement mortar 1:2, mixed with standard water proofing materials.

3. Superstructure: Superstructure shall be of 2nd class brickwork in mud mortar. Door and Windows opening shall be provided with arches of 2nd class brickwork in the lime mortar or with wooden planks.

4. Roofing: Roofs shall be of mud over tiles or bricks or planks over wooden beams or of tiles or G.I sheets sloping roof.

5. Flooring: Floors shall be of brick on edge floor over well-rammed earth.

6. Finishing: Inside and outside shall be plastered with lime mortar and white washed three coats.

7. Door and Windows: Chaukhats shall be of sal wood. shutters shall be chir mango or other country wood. Doors and windows shall be painted two coats with ordinary paint over one coat of priming.General Specification of a Fourth Class Buildings

1. Foundation and Superstructure: Foundation and superstructure shall be of sun-dried or kutcha bricks in mud mortar. door and windows openings shall be provided with arches of 2nd class brickwork in the lime mortar or with wooden planks. inside and outside shall be water proof mud plastered.

2. Roofing: Roofs shall be of tiles roof over bamboo and wooden support.

3. Flooring: Floors shall be kutcha or earthen floor finished with gobri washing (cowdunglepping).

4. Door and Windows: Chaukhats shall be of chir or mango wood, or country wood.

2.7 Rules of measurement :- NRM1: Order of cost estimating and cost planning for capital building works.

NRM 1 was first published in February 2009 (as NRM Order of cost estimating and elemental cost planning). Now in its second edition, it provides guidance on the quantification of building works in order to prepare order of cost estimates and cost plans as well as approximate estimates. It also includes guidance about quantifying wider costs such as preliminaries, overheads and profit, risk allowances, and inflation.

The second edition has been renamed to better distinguish between capital building works and building maintenance works, and the arrangement of elements has been revised. It became operative on 1 January 2013.

See NRM1 for more information.

NRM2: Detailed measurement for building works.

NRM2 was published in April 2012. It became operative on 1 January 2013 and replaced the Standard Method of Measurement, seventh edition (SMM7) on 1 July 2013.

NRM2 establishes detailed measurement rules allowing the preparation of bills of quantities, quantified schedules of works and schedules of rates in order to obtain tender prices. Guidance is also provided on the content, structure and format of bills of quantities.

See NRM2 for more information.

NRM3 - Order of cost estimating and cost planning for building maintenance works.

NRM3 was published in March 2014. It allows the quantification and description of maintenance works. It can be used for initial order of cost estimates, general cost plans and asset-specific cost plans. It also provides guidance on procurement and cost control.

NRM3 also offers guidance about the measurement of other items associated with maintenance works that are not included in work items.

See NRM3 for more information.

Reasons for the changes

It is suggested by the RICS that together, the new suite of documents will better reflect the way the industry now works, for example:

Better meeting the needs of clients.

Providing for more up-front detail.

Allowing better consideration of the full costs of a construction project (for example marketing costs, fees and charges, the cost of acquiring land, planning costs, relocation costs, the cost of finance and so on).

Providing a better method for quantifying risk.

The RICS also suggest that it will facilitate “...greater cross industry working, the introduction of Building Information Modelling and effectively analysing the costs of construction projects” ref RICS.

As well as a set of rules for how to quantify building work, NRM is intended to provide a toolkit for cost management that will be central to controlling costs as a project develops. It provides guidance on how measurement changes as design progresses, how cost centres can be included in a single project cost plan, how to assess the cost of risk, how to assess fees, what information is required to make key decisions and so on.

2.8 Method of Building Estimates :-

(a)Long Wall and Short Wall Method

For the calculating quantity of various construction item, long wall and short wall method is used. For measuring the long wall and short wall the external out-to-out length of walls running in the longitudinal direction generally is considered as “long wall” while the in-to-in internal length of walls running in the transverse direction is called as “short wall” or “cross wall”. For calculating quantity multiply the length into the breadth and height of the wall.

As shown in the figure we indicate long wall and short wall and centre line is indicated with red line.

For finding out the length of long wall, simply add centre length of wall to the two times half breadth on one side of the wall which gives the out-to-out length of long wall.

Length of Long Wall = Center to Center Length of wall + Half Breadth on One Side + Half Breadth on the Other Side

= Center to Center Length of wall + One Breadth

For finding out length of short wall or cross wall subtract from the centre length, so the one breadth of the wall, which gives the length of the short wall (in-to-in) (instead of adding).

Length of Short Wall = Centre to Centre Length – One breadth

Here we give example of long wall and short wall method.Using the above image, you can first find the length of long wall and short wall.

Centre to Centre length of long wall = 5+ (1/2×0.30) + (1/2 x 0.30) = 5.30 m

Centre to Centre length of short wall = 4+ (1/2 x 0.30) + (1/2×0.30) = 4.30 m

After finding out the length of the long wall and short wall, now find the quantity of the various items which are used in construction.

You can calculate the quantity of various construction items using the above method for different building dimension.

Long wall and short wall method is used for finding out the quantity and cost of materials. This method is simple and accurate, so there is may be no chances of any mistake. But correctly choose long wall and short wall for finding out accurate quantity.

Centre Line Method

Centre to centre line method is one of the methods for preparing an estimate. In this method first, calculate the centre line length of the wall, and then multiply it with the breadth and depth of the wall to find out quantity. Center to centre line method is suitable for rectangular, circular (polygonal, hexagonal, octagonal) buildings having no inter or cross walls(the cross wall is an interior dividing wall of a building.).

Centre to centre line method is quick, but it requires special attention and consideration at the junctions or meeting points of partition or cross walls, etc. For each junction, half breadth of the respective item should be deducted from the total centre length for accurate quantity one has to learn seriously as the accuracy is very important while preparing bills rather than working out estimates.In the case of building having different types of walls, for example, outer (main) walls are of “X ” and inner cross wall shall be “Y”, then all X type of walls shall be taken jointly first, and then all Y type wall shall be taken together separately. In such cases, no deduction is required for X type walls, but when Y type walls are taken, for each junction deduct half breadth of Y type wall shall have to be made from the total centre length of walls.

For more explanation, for above figure when we find the centre length of the wall, at the junction, the portion of A and B shown by hatch lines and in figure A & B portion will come twice times, and we get the quantity excess by these portions, and these excesses shall be deducted. So when we find the centre length of wall A and B portion (Twice times half breadth) shall be deducted for accurate centre length.

Note: At the corners of the building where two walls are meeting no addition or subtraction is required.

Here we give you three alternative method for finding out centre line.

01. First Method for Finding Out Centre to Centre Line

Here we give you a figure for single room building. In this figure centre line is indicated with red dotted line.

Total external perimeter length is 28 m.

So, Total centre line length = External perimeter – (4 x 2 x (half of original width/Breadth))

UNIT –3ANALYSIS OF RATES

3.1 The construction industry has a major role in the development of the Indian economy. This industryconsumes 40 to 50% of the national five year plan outlay and contributes 20% of gross domestic product.Medium to large construction projects take over a year for completion and the cost of materials and labour oftenincrease, which leads to major problems in administration of the contract.Over the past few years the construction industry has been facing several problems due to rapidincrease in the price of construction materials, labour, interest charges and equipment cost. Rate escalation isdefined as changes in the cost or price of specific goods or services in a given economy over a period. This is asimilar to the concepts of inflation and deflation except that escalation is specific to an item or class of items, itis often not primarily driven by changes in the money supply, and it tends to be less sustained.While escalation includes general inflation related to the money supply, it is also driven by changes intechnology, practices, and particularly supply and demand imbalances that are specific to a good or service in agiven economy. For example, while general inflation in the US was less than 5% in the 2003-2007 time period,steel prices increased by over 50% because of supply-demand imbalance. Cost escalation may contribute to aproject cost overrun. In particular, this increase has been a major problem to the construction industry. In orderto find out the percentage increase in cost of construction, a study and analysis has been done in this project3.2 Over headcost:-

Overhead costs are the expenses paid to keep your business running, whether you are in high demand or barely producing a product. Having a solid record of your overhead costs will help you set a better price for your product or service, show where you can save money, and illuminate ways to streamline your business model. But these benefits only come from careful bookkeepers, so read on to figure out the best way to calculate your business's overhead costs.

3.3 Factor effecting the rate analysis :-

Locality and situation.

Size and extent of work.

Nature of project.

Height/Level of work at which it is being executed.

Environmental and climatic conditions.Rate analysis is the study of principal role played by various constituents, elements of construction such as equipments, cost of labor, number of equipments etc.

Rate of an item = Cost of material (A) + Cost of Labor (B) + Cost of scaffolding (C)+ Cost of water charges (D) + Cost of sundries (E)*

Sundries mean cost of all small items which cannot be accounted separately.

Analysis of rates for flooring :-

Flooring

1 20-25mm thick kota Stone

Item Uom Rate(Rs.)

Kota Stone Cost Sqm 300

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost/Sqm 700

2 20-25mm thick kota Stone- for Stair, Riser & Skirting

Item Uom Rate

Kota Stone Cost Sqm 300

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost 700

3 Cladding with 20 mm thick Granite stone

Item Uom Rate(Rs.)

Granite stone cost Sqm 2152

Labor cost Sqm 350

Mortar cost Sqm 50

Total cost/Sqm 2552

4 With 10mm thick Vitrified Tiles-

Item Uom Rate(Rs.)

tiles Sqm 914.6

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost/Sqm 1315

5 With 8mm thick Ceramic Tiles

Item Uom Rate(Rs.)

Tiles Sqm 538

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost/Sqm 938

6 With 10mm thick Vitrified Tiles-

Item Uom Rate(Rs.)

Tiles Sqm 914.6

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost/Sqm 1315

7 China Mosaic Tiles

Item Uom Rate(Rs.)

Tiles Sqm 538

Labor Cost Sqm 350

Mortar Cost Sqm 50

Total Cost/Sqm 938 .

UNIT –4 RCC WORK

4.1 Measurement length of bar :-

We can measure standard sized length bars from 0.5 mm to 1200 mm in length. We can measure standard size length bars in inch units from 1 to 50 inches.

Bent-up bar

stirrups

cantilever beam

5.3 finding no. of bars :-

Obtain slab dimension and reinforcement details from design drawings as shown in Fig.1.

Compute number of steel bars.

Main Steel Bars

No. of bars= (Slab length(L)/spacing)+1 Equation

Shrinkage and Temperature Steel Bars

No. of bars= (Slab length(S)/spacing)+1 Equation 2

In equation 1, center to center spacing of main reinforcement steel bars are used and shrinkage and temperature bar spacing is used in equation 2.Cutting length= clear span(S)+Ld+inclined length+2×45 degree bend Equation 4

Where:

Ld: development length which illustrated in Fig. 2.

Inclined length can found from the following expression:

Inclined length= 0.45D Equation 5

D=slab thickness-2*concrete cover-bar diameter Equation 6Instructional Objectives:

At the end of this lesson, the student should be able to:

• identify the main two types of problems of singly reinforced rectangular

sections,

• name the inputs and outputs of the two types of problems,

• state the specific guidelines of assuming the breadth, depths, area of steel

reinforcement, diameter of the bars, grade of concrete and grade of steel,

• determine the depth of the neutral axis for specific dimensions of beam

(breadth and depth) and amount of reinforcement,

• identify the beam with known dimensions and area of steel if it is underreinforced or over-reinforced,

• apply the principles to design a beam.Types of Problems

Two types of problems are possible: (i) design type and (ii) analysis type.

In the design type of problems, the designer has to determine the dimensions b,

d, D, Ast (Fig. 3.6.1) and other detailing of reinforcement, grades of concrete and

steel from the given design moment of the beam. In the analysis type of the

problems, all the above data will be known and the designer has to find out the

moment of resistance of the beam. Both Design Type of Problems

The designer has to make preliminary plan lay out including location of the

beam, its span and spacing, estimate the imposed and other loads from the given

functional requirement of the structure. The dead loads of the beam are

estimated assuming the dimensions b and d initially. The bending moment, shear

force and axial thrust are determined after estimating the different loads. In this

illustrative problem, let us assume that the imposed and other loads are given.

Therefore, the problem is such that the designer has to start with some initial

dimensions and subsequently revise them, if needed. The following guidelines

are helpful to assume the design parameters initially.

3.6.2.1 Selection of breadth of the beam b

Normally, the breadth of the beam b is governed by: (i) proper housing of

reinforcing bars and (ii) architectural considerations. It is desirable that the width

of the beam should be less than or equal to the width of its supporting structure

like column width, or width of the wall etc. Practical aspects should also be kept

in mind. It has been found that most of the requirements are satisfied with b as

150, 200, 230, 250 and 300 mm. Again, width to overall depth ratio is normally

kept between 0.5 and 0.67.

3.6.2.2 Selection of depths of the beam d and D

The effective depth has the major role to play in satisfying (i) the strength

requirements of bending moment and shear force, and (ii) deflection of the beam.

The initial effective depth of the beam, however, is assumed to satisfy the

deflection requirement depending on the span and type of the reinforcement. IS

456 stipulates the basic ratios of span to effective depth of beams for span up to

10 m as (Clause 23.2.1)

Cantilever 7

Simply supported 20

Continuous 26

For spans above 10 m, the above values may be multiplied with 10/span

in metres, except for cantilevers where the deflection calculations should be

made. Further, these ratios are to be multiplied with the modification factor

depending on reinforcement percentage and type. Figures 4 and 5 of IS 456 give

the different values of modification factors. The total depth D can be determined

by adding 40 to 80 mm to the effective depth.

3.6.2.3 Selection of the amount of steel reinforcement Ast

The amount of steel reinforcement should provide the required tensile

force T to resist the factored moment Mu of the beam. Further, it should satisfy

The effective depth of the beam has been revised to 408.76 mm from the

limiting moment carrying capacity of the beam. Increasing that depth to 410 also

has raised the Mu, lim of the beam from the design factored moment of 115.08

kNm. Therefore, the area of steel is to be calculated from the moment equation

Unit-55.1 Introduction to contract

An introduction to contract law. A contract is formed when two or more different people or groups make a formal, legally binding agreement (either written or spoken). ... The offer may be written or spoken, and is a proposal to enter a legally binding agreement on clear terms.

5.2 Voidable and void contractI. Voidable contract

A voidable contract, unlike a void contract, is a valid contract which may be either affirmed or rejected at the option of one of the parties. At most, one party to the contract is bound. The unbound party may repudiate (reject) the contract, at which time the contract becomes void.

II. 2 Void contractAn agreement to carry out an illegal act is an example of a void agreement. For example, a contract between drug dealers and buyers is a void contract simply because the terms of the contract are illegal. In such a case, neither party can go to court to enforce the contra

5.3 Essential of contractIII. The requisite elements that must be established to demonstrate the

formation of a legally binding contract are(1) offer(2) acceptance;(3) consideration;(4) mutuality of obligation;(5) competency and capacity; and, in certain circumstances,(6) a written instrument.

5.4 Types of contract

(1) Lump – sum contracts(2) Schedule contracts(3) Lump –sum and schedule contracts(4) Cost plus or percentage contracts

5.4.1. Lump – sum contracts

A lump sum contract is a closed-book arrangement. This means that a contractor does not have to give the owner a report of the cost of labor and materials. With a lump sum agreement, contractors have the potential to earn more profit as long as they complete the project under the fixed, agreed upon cost.

5.4.2. Schedule contracts

The "Schedule of Contract Documents" is a list of the documents that will be incorporated into the contract and the "Scope of Contract" is a succinct summary of the goods, works (including the physical extent of the works) and / or services to be provided under the contract.

5.4.3. Lump –sum and schedule contracts

A lump sum contract or a stipulated sum contract will require that the contractoragree to provide specified services for a stipulated or fixed price. ... A lump sum contract is a suitable if the scope and schedule of the project are sufficiently defined to allow the contractor to fully estimate project costs

5.4.4 Cost plus or percentage contractcost plus percentage contract. In construction, a method of payment to acontractor in which an additional amount of money, expressed as a percentage, is paid by the client that is designated to cover the contractor's overhead costs.

5.5 CONTRACT DOCUMENNTSI. Title page

II. Index pageIII. Brief tender noticeIV. Tender form showingV. Schedule of specification

VI. General specificationVII. Details specifications of all items

VIII. A complete set of drawingsIX. Complete statement5.6 Contractor

A contractor is a person or company that performs work on a contract basis. The term may refer to: Business roles[edit]. Defense contractor, arms industry which ...

5.7 TendersTender is basically a rate chart with quantity of items. In that case you have understand BOQ. WHAT is BOQ? This refers to BILLING OF QUANTITY. When a org ..

5.7 Tender noticeTender usually refers to the process whereby governments and financial institutions invite bids for large projects that must be submitted within a finite deadline. The term also refers to the process whereby shareholders submit their shares or securities in response to a takeover offer.

The Form of Tender and Schedule are issued as part of the tender documents

The Form of Tender is a form where the tenderer can fill in details relating to their offer, including the l

ump sum for which they are offering to complete the works.

5.8 Opening of tendersA bidding process that is open to all qualified bidders and where the sealed bids areopened in public for scrutiny and are chosen on the basis of price and quality. Also called competitive tender or public tender.

5.9 Comparative StatementA comparative statement is a document that compares a particular financial statement with prior period statements or with the same financial report generated by another company. Analysts and business managers use the income statement, balance sheet and cash flow statement for comparative purposes. The process reveals trends in the financials and compares one company's performance with another business.

5.10 Scrutiny of tendersA tender is a bidding process that is open to all qualified bidders and where the sealed bids are opened in public for scrutiny and are chosen on the basis of price and quail

5.11 Unbalanced tender

For procurement of goods or service or getting works done as per indentor , tender will be called to get best quote. Before inviting tender normally all procurement officer or the person inviting tender does the estimation of goods, services or works. Upon estimation and nature of goods, services or works the tenderors will participate. During the process someone will be the lowest quote tenderor, it is not necessarily that the lowest tenderors quote and match with the estimated price. The participants can quote undervalue or below rates or even above the estimated value of tender. If the tenderor quotes below to the tender value such tenders will be called as unbalanced tender. Before awarding such unbalanced tenders to the lowest tenderor, the officer or tender inviting authority may take as security deposit with unbalanced amount as precautionary. The reason of taking is, if the tenderor facing difficulty , not wished to complete or work done with inferior quality due to quoting of lowest price below the estimation, unbalanced amount can be utilized to complete the project. Once the project completed as per estimation the unbalanced amount will also be released to the tenderor. Overall below the estimated price is called unbalanced tender.

5.11 Tender form or Tender documents

A tender is a submission made by a prospective supplier in response to an invitation to tender. It makes an offer for the supply of goods or services. An invitation to tender might be issued for a range of contracts, including: equipment supply, the main construction contract (perhaps including design by the contractor), demolition, enabling works, and so on.

An invitation to tender might include:

A letter of invitation to tender. The form of tender. Preliminaries . The form of contract. A tender pricing document. A drawing schedule. Design drawings . Specifications .

The form of tender is prepared by the client or their consultants and completed and signed by the tenderer. It is a formal acknowledgement that the tenderer understands and accepts the terms of conditions of the tender documents and any other requirements that are stipulated.

Items that might be appear on a form of tender could include

5.111 Type or Classification of tender

1. Open tender– An oral talk or written document between the Engineer and the Contractor for certain small jobs to be performed. Sometimes it is advertised

2. Sealed tender—Invited for important or huge projects; wide publicity is given; always written documents are made

5.12 Earnest money

Earnest money is a deposit made to a seller that represents a buyer's good faith to buy a home. The money serves as a “promise” to the home seller and gives the buyer extra time to get financing and conduct the title search, property appraisal and inspections before closing. In most cases, earnest money is delivered when the sales contract or purchase agreement is signed, but it can also be attached to the offer. Once deposited, the funds are typically held in an escrow account until closing, at which time the deposit is applied to the buyer’s down payment and closing costs.

5.13 Security Deposit

A security deposit is any money a landlord takes from a tenant other than the advance payment of rent. The security deposit serves to protect the landlord if the tenant breaks or violates the terms of the lease or rental agreement. It may be used to cover damage to the property, cleaning, key replacement, or back rent.

5.14 Retention money

payment for a service or product that is withheld pending the completion of some specified condition. For example, when a manufacturing business purchases production machinery from a supplier, they might withhold some percentage of payment due as retention money until the machines are successfully installed and operational

5.15 Differences Between Security And Retention Money

1 Security Money

Unit-6

6.1 Sample tender document

Preparations of tender document for the construction of a small house.,

6.2 Introduction to specification

A specification language and its logic are the tools we need in order to give a clear specification of the intended behaviour and functionality of a program, and to design and prove correct a plan for its implementation. The language is used to express decisions about the behaviour and functionality of a program; the logic is a collection of rules which govern the way in which we can construct mathematical proofs of its properties

6.3 Definition of Specifications

A detailed description of work to be done or materials to be used in a project : an instruction that says exactly how to do or make something

6.4 Types of specifications

The specifications are broadly classified as follows:

1. Brief specifications2. Detailed specifications

1 Brief specification (General specification)

This type of specification do not describe any particular item of work but refer to a complete work. The general specification is mainly suitable for estimating the project but do not from part of contract document.

It states in brief description of various items of the work specifying materials, proportions, qualities etc. General specification justdraw the outline of nature and class of work.

2 Detailed specification

This type of specification describe particular item of work in detail.

They form a part of contract document.

On reading these specifications, a reader will get clear cut idea regarding the quality or material, workmanship and mode of payment.

The detailed specification for various items of work are prepared separately.

.6.6 General Specification of a First Class Buildings

1. Foundation and Plinth:Foundation and plinth will be of first-class brickwork in a lime mortar or 1:6 cement mortar over lime concrete 1:4:8 cement concrete.

2. Dam Proof Course:D.P.C will be 2.5 cm thick cement concrete 1:1.5:3, mixed with one kg of impermo per bag of cement or other standard waterproofing materials as specified and painted with two coats of bitumens.

3 Superstructure: Structure shall be of the first class with lime mortar or 1:6 cement mortar. Lintels over door and windows Shall be of R.C.C.

3. Roof:Roofs shall be of R.C.C slab with an insulation layer and lime concrete terracing above, supported over R.S joists or R.C.C beams as required. The height of the rooms shall not be less than 3.7 m.

5.Flooring:Drawing room and dining room floors shall be of mosaic. Both room and W.C floors and dado shall be of mosaic. Floors of bed rooms shall be coloured and polished of 2.5 cm cement concrete over 7.5 cm lime concrete. Floors of others shall be of 2.5 cm cement concrete over 7.5 cm lime concrete polished.

6. Finishing:Inside and outside shall be of 12 mm cement lime plastered 1 : 1 : 6 Drawing, dining and bed rooms inside shall be distempered, and others inside white washed 3 coats. Outside shall be coloured snowcem washed two two coats over one coat of white wash.

7.  Door and Windows:Chaukhats shall be seasoned teak wood. shutters shall be teak, wood 4.3 cm thick penelled glazed or partly penelled and partly glazed as required, with additional wire gauge shutters. all fittings shall be of brass. Doors and windows shall be varnished or painted two coats with high class enamel paints over one coat of priming. windows shall be provided with iron gratins or grills.

8. For Other materials:

Rain water pipes of cast iron or of asbestos cement shall be provided and finished painted. Building shall be provided with 1st class sanitary and water fittings and electrical installation. one meter wide 7.5 cm thick C.C 1 : 3 : 6 apron shall be provided

6.7 General Specification of a Second Class Buildings

1. Foundation and Plinth:Foundation and plinth shall be of first-class brickwork lime mortar over lime concrete.

2. Dam Proof Course:D.P.C. shall be 2 cm thick cement concrete 1:2, mixed with one kg of impermo per bag of cement or other standard waterproofing materials.

3. Superstructure:Superstructure shall be of 2nd class brickwork in lime mortar. Lintels over doors and windows shall be of R.B

4. Roofing:Roofs shall be of R.B slab with a 7.5 cm lime concrete terracing above( or flat terraced roof supported over wooden battens and beams, or jack arch roof), verandah roof shall be of A.C sheet or Allahabad tiles.

5. Flooring:Floors shall be of 2.5 cm cement concrete over 7.5 cm lime concrete. Verandah floor shall be of brick tile or flagstone over lime concrete finished cement pointed.

6. Finishing:Inside and outside shall be of 12 mm cement mortar plastered 1 : 6 ceiling shall be cement plastered 1 : 3. Inside shall be whitewashed 3 coats, Outside shall be coloured washed two coats over one coat of whitewash.

7. Door and Windows:Chaukhats shall be R.C.C or well-seasoned sal wood. shutters shall be shisham wood or deodar wood 4 cm thick, panelled,   glazed or partly panelled and partly glazed as required, fitted with iron fittings. Doors and windows shall be painted two coats over one coat of priming.

8. For Other materials:

Rainwater pipes shall be of cast iron finished painted. Electrification, sanitary and water fittings may be provided if required.

6.8 General Specification of a Third Class Buildings

1. Foundation and Plinth:Foundation and plinth shall be of 2nd class brick work lime mortar over lime concrete.

2. Dam Proof Course:D.P.C. shall be 2 cm thick cement mortar 1:2, mixed with standard water proofing materials.

3. Superstructure:Superstructure shall be of 2nd class brickwork in mud mortar. Door and Windows opening shall be provided with arches of 2nd class brickwork in the lime mortar or with wooden planks.

4. Roofing:Roofs shall be of mud over tiles or bricks or planks over wooden beams or of tiles or G.I sheets sloping roof.

5. Flooring:Floors shall be of brick on edge floor over well-rammed earth.

6. Finishing:Inside and outside shall be plastered with lime mortar and white washed three coats.

7. Door and Windows:Chaukhats shall be of sal wood. shutters shall be chir mango or other country wood. Doors and windows shall be painted two coats with ordinary paint over one coat of priming.

6.9 General Specification of a Fourth Class Buildings

1. Foundation and Superstructure:Foundation and superstructure shall be of sun-dried or kutcha bricks in mud mortar. door and windows openings shall be provided with arches of 2nd class brickwork in the lime mortar or with wooden planks. inside and outside shall be water proof mud plastered.

2. Roofing:Roofs shall be of tiles roof over bamboo and wooden support.

3. Flooring:Floors shall be kutcha or earthen floor finished with gobri washing (cowdung lepping).

4. Door and Windows:Chaukhats shall be of chir or mango wood, or country wood.