References

Context

In the context of a program to increase train capacity (from 26 m to 52 m) and modernize a metro line, a company was entrusted with the ventilation and smoke extraction works for 17 stations and 12 inter-station shafts, under an initial contract supplemented by an additional contract, for a total amount of €7.0 M excl. VAT.

The execution of the contract was severely disrupted by events beyond the contractor's control, including in particular the discovery of asbestos in stations and shafts, changes to safety standards imposed by State authorities, and multiple instances of late handovers. These disruptions resulted in a fundamental upset to the project's economics and significant delays to both partial and overall completion milestones.
Argos Construction acted as expert in support of Colas Rail in connection with its claim for additional compensation.

Mission

Claim Management

Objectives

• Analyse and quantify the external disruptions and their consequences on the contractor's schedule and costs;
• Demonstrate the fundamental upset to the project's economics, justifying the claim for additional compensation;
• Assess and value the additional costs arising from the disruptions and the acceleration measures proposed at the Client's request.

Stakes

• Total contract value: € 7.0 M excl. VAT (initial contract € 4.9 M + amendment no. 1 € 0.5 M + additional contract €1.6M)
• Initial overall completion period: 54 months;
• Delays justified by disruptions: 47.6 months on the overall completion period;
• Main disruptive events: discovery of asbestos in shafts and stations, modification of the system's safety level, late handovers (AGI cabinets, cable trays, electrical supplies), requests from the Quality Assurance Inspector (unit-by-unit commissioning, shaft throttling), additional works via 15 Variation Orders (€ 1.2M excl. VAT, representing 17% of the total contract value).

Context

The project involves the design and construction of railway equipment (track, overhead line equipment and construction base) for a High-Speed Rail Line, entrusted to a joint venture under a lump-sum contract.
The construction site, spanning 106 km divided into 14 distinct zones, was disrupted by numerous events beyond the Joint Venture's control (defective input data, hold points, sleeper rejection rates, acts of vandalism), forcing the Joint Venture to continuously adapt its plant and labour resources.
Despite these disruptions, the line energisation date was met.
Argos Construction acted as expert in support of the Joint Venture in connection with its claim for additional compensation for fundamental upset to the contract's economics.

Mission

Claim Management

Objectives

• Analyse and quantify the external disruptions suffered by the Joint Venture during contract execution;
• Demonstrate the fundamental upset to the project's economics and the undermining of the conditions under which the tender was prepared;
• Compile and value the Joint Venture's claim submission for additional compensation.

Stakes

• Contract value: €179.6M (excl. VAT) (lump sum) for 106 km of line;
• Overall contract period: 52 months, with partial milestone no. 1 (Track and Overhead Line) of 46 months;
• Critical schedule constraint: compliance with the line energisation date, a critical milestone conditioning the works of the Signalling package (outside the contract);
• Main disruptive events: late and erroneous transmission of input data, definition and release of Z-50 and Z-20 hold points, unsubstantiated variation and anomaly notices, increase in sleeper rejection rates, acts of vandalism, remedial works following an accident.

Context

As part of the construction of Rennes' second automated metro line (Line B, 13.6 km), the Client entrusted a joint venture with the execution of Package No. 4, comprising a 2,395 m prestressed concrete viaduct with precast segmental construction.
The contract was severely disrupted by the continuous modification of input data (operational loads, Siemens rolling stock).
These modifications gave rise to an entitlement to a 25-month extension of time and a fundamental upset to the contract's economics.
Argos Construction acted as expert in support of the Joint Venture to carry out an independent review of the Explanatory Dossiers and the Technical and Financial Acceleration Proposal in the context of amicable negotiations with the Client.

Mission

Claim Management

Objectives

• Carry out a limited and independent review of the 7 Explanatory Dossiers submitted by the Joint Venture (additional design, methodology and construction costs);
• Analyse and validate the Technical and Financial Proposal for acceleration of the works;
• Identify financial impacts not presented by the Joint Venture and assess a realistic amount that could form the basis of a prompt amicable settlement.

Stakes

• Contract value: €39M (excl. VAT) (final and revisable unit prices);
• Contractual duration: 39 months;
• Total entitlement to extension of time: 25.0 months (i.e. 64% of the initial duration);
• Main disruptive events: late transmission and continuous modification of input data over 20 months, modification of the launching girder, geometric modifications to piers and segments, modification of the prestressing scheme (+4.3 months on segment installation), disruptions at the CROUS site;
• Total claim by the Joint Venture: €26.9M (excl. VAT) (Explanatory Dossiers + acceleration);
• Amount partially accepted by the Client during negotiations: €4.8M (excl. VAT) (Explanatory Dossiers) + €3.4M (excl. VAT) (acceleration), totalling €8.3M (excl. VAT).

Context

As part of an all-trade (TCE) fit-out contract for a railway station, with a value of €80 million and a duration of 47 months, the contractor experienced major events during both the detailed design phase and the construction works, resulting in a 33-month delay to the project completion.

Mission

Argos Construction was appointed by the contractor to (i) prepare a claim report to support its request for an extension of time and additional compensation, and (ii) assist in defending the claim throughout the negotiation phase.

Objectives

• Analysis of contractual, technical, and administrative documents
• Review of contemporaneous project records
• Preparation of a claim report analyzing the causes of delays and their financial consequences
• Analysis of opposing arguments and preparation of technical notes/reports in response
• Participation in technical review and negotiation meetings to support our work

Stakes

• €35 million in additional costs and damages claimed by the contractor

Result

Execution of a contract amendment granting the contractor a 33-month extension of time and additional compensation of approximately €20 million

Context

As part of an all-trade (TCE) fit-out contract for a railway station, with a value of €53 million and a duration of 50 months, the contractor experienced major events during both the detailed design phase and the construction works, resulting in a 9-month delay to the project completion.

Mission

Argos Construction was appointed by the contractor to carry out an analysis of the causes of delay.

Objectives

• Analysis of contractual, technical, and administrative documents
• Review of contemporaneous project records
• Preparation of a report analyzing the causes of delays (method used: Time Impact Analysis)

Stakes

• €10 million in additional costs and damages claimed by the contractor (including a proposed acceleration plan)
• €2 million in delay penalties incurred

Context

Engaged to audit the contractual management database of a tramway project already showing 18% cost overruns and delays threatening penalties, Argos Construction exposed process and methodology weaknesses. By demonstrating that the contractor was not solely responsible for the delays, penalties were avoided and a claim for additional compensation could even be presented.

Mission

Audit of the contract information system

Objectives

• Analysis of contract documents and information sources
• Review of pricing and claim topics
• Status report with recommendations

Stakes

• Justification of cost overruns of €6M on a €34M contract

Result

Team awareness raised; tools improved and rolled out for tracking disruptions, enabling a claim for additional compensation

Context

Despite significant disruptions, the joint venture in charge of track-laying and overhead-line works (€200M) completed the project without jeopardising the train commissioning date. Argos Construction's analysis brought to light critical disruptions previously unidentified, allowing more than €10M in delay penalties to be challenged.

Mission

Claim for additional compensation relating to disruptions

Objectives

• Delay analysis and substantiation of entitlements
• Review and complement of cost-overrun pricing
• Drafting of the memorandum to be attached to the draft final account

Stakes

• 6 months of time extension to be substantiated
• €10M of delay penalties
• €30M of cost overruns

Result

Under discussion

Context

Faced with non-compliant geological conditions and changes imposed from the start of excavation, the joint venture had presented two memoranda totalling €20M, accepted at only 10% by the Owner. Argos Construction's independent review, establishing €10.1M as the negotiated baseline, led to a signed amendment for €9.6M.

Mission

Preparation of an Argos-headed report

Objectives

• Review of claims as part of the negotiation of an amendment

Stakes

• €20M presented by the joint venture, reassessed at €10M by Argos Construction

Result

€9.6M

Context

With the works completed but acceptance refused due to leaks, the joint venture had presented a €9M claim covering 17 months of delay. Argos Construction's analysis distinguished 11 compensable months, 3 excusable but non-compensable months and 3 months attributable to the contractor, leading to partial admissibility of around €500k.

Mission

Report in response to the joint venture's claim memorandum