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Medical Professional Certified Case Manager Certification Exam (CCM) Sample Questions (Q20-Q25):
NEW QUESTION # 20
Which two of the following statements are correct regarding Dispute under the FIDIC Red, Yellow, and Silver Books (edition 2017)?
Choose all of the correct answers (multiple possibilities)
- A. In case the Engineer refuses to issue a Performance Certificate or to issue one with a correct date under Sub-Clause 11.9, and the Contractor has disagreed with the requested entitlement or relief in connection with this refusal, Dispute shall be deemed to have arisen.
- B. Both 'Disagreement' and 'Dispute' are defined terms under the Conditions of Contract.
- C. The Dispute must be submitted to the Dispute Avoidance and Adjudication Board (DAAB) within 42 days, otherwise the NOD is deemed to have lapsed and is no longer valid.
- D. If a Party is dissatisfied with the determination and has given Notice of Dissatisfaction (NOD) to the other party within a strict 28-day time limit, a Dispute arises and either Party may proceed under Sub- Clause 21.4 to obtain a DAAB decision on it.
Answer: A,D
Explanation:
Option A is correct. Under Sub-Clause 11.9 (Performance Certificate) refusal or incorrect issuance by the Engineer, combined with disagreement by the Contractor, may cause a Dispute to arise.
Option B is correct. If a Party is dissatisfied with a determination, it must give a Notice of Dissatisfaction (NOD) within 28 days to escalate the matter to a Dispute, allowing either Party to refer it to the DAAB as per Sub-Clause 21.4.
Option C is incorrect. The contract does not specify a 42-day time limit for submission to DAAB after NOD; timelines vary by contract and stage.
Option D is incorrect. 'Disagreement' is not a formally defined term in FIDIC contracts, whereas 'Dispute' is.
References:
FIDIC Red, Yellow, Silver Books 2017 Edition, Sub-Clause 11.9 and Clause 21 - Claims, Disputes, and Adjudication FIDIC Contract Manager Study Guide, Module on Dispute Resolution
NEW QUESTION # 21
Which one of the following statements is NOT correct in respect of FIDIC Red Book (both editions)?
- A. The General Conditions allocate the risks between the parties on a fair and equitable basis.
- B. The Letter of Tender may be worded by the Contractor (at its discretion) so as to allow for the alternative of the Contract to become effective when the Employer issues a Letter of Acceptance.
- C. The Contract is administered by the Engineer who is appointed by the Employer. If disputes arise, they are referred to a Dispute Adjudication Board (DAB) for its decisions.
- D. The Contract typically becomes legally effective when the Employer issues the Letter of Acceptance to the Contractor.
Answer: B
Explanation:
Comprehensive and Detailed Explanation:
Option A is NOT correct because the wording of the Letter of Tender is usually governed by the tender documents and contract terms; it is not solely at the Contractor's discretion to dictate when the Contract becomes effective. The standard process is that the Contract becomes effective upon the Employer's issuance of the Letter of Acceptance.
Options B, C, and D correctly describe standard FIDIC practices.
References:
FIDIC Red Book 1999 & 2017 Editions - Contract Formation and Tendering
FIDIC Contract Manager Study Guide, Module on Contract Formation
NEW QUESTION # 22
Regarding the FIDIC Silver Book (both editions), if a part of the Works is to be paid according to quantity supplied or work done, appropriate provisions must be included in the Particular Conditions. Is this statement true or false?
- A. True
- B. False
Answer: A
Explanation:
This statement is true. The Silver Book (EPC/Turnkey contracts) usually involves lump-sum payment, but if part payment is based on quantity or work done, this must be explicitly provided for in the Particular Conditions to avoid ambiguity.
Such provisions ensure clarity on payment terms in line with project specifics.
References:
FIDIC Silver Book 1999 & 2017 Editions, Sub-Clause 14 - Payment Provisions FIDIC Contract Manager Study Guide, Module on Payment Procedures
NEW QUESTION # 23
Which of the following form a Contractor's entitlement, in case the Contractor does not receive an interim payment within the allocated contractual deadline for payment? (2 correct answers apply) Choose all of the correct answers (multiple possibilities).
- A. Right after the expiry of the payment deadline, the Contractor may terminate the contract.
- B. In case the Employer paid the Contractor late, the Contractor becomes entitled to receive financing charges applying the % included in the Contract Data (if this is not stated, then applying the percentage as included under the corresponding Sub-Clause).
- C. If the payment is not made within the time period required, after the expiry of such period, from the next day onwards, the Contractor is entitled to suspend all his/her activities on Site.
- D. Beyond receiving the financing charges, the Contractor has no further entitlements in such a case.
- E. The Contractor is entitled to suspend the works or reduce the rate of progress of the work, after giving a due Notice (21 days) about this intention.
Answer: B,E
Explanation:
Option C is correct: The Contractor is entitled to financing charges (interest) on late payments, calculated as per the percentage specified in the Contract Data or corresponding Sub-Clause.
Option D is correct: The Contractor can suspend works or reduce progress after giving due notice, usually 21 days, if payments are not made on time.
Option A is incorrect; termination is not automatic right after the payment deadline expires.
Option B is incorrect; suspension requires prior notice rather than immediate action.
Option E is incorrect because the Contractor has additional remedies such as suspension, beyond just financing charges.
References:
FIDIC Red, Yellow, Silver Books 1999 & 2017 Editions, Sub-Clause 14.8 - Payment of Retention Money and Financing Charges FIDIC Contract Manager Study Guide, Module on Payment Procedures and Remedies
NEW QUESTION # 24
For the FIDIC Red Book (both editions), the Contractor is required to submit a progress report monthly.
When does the Contractor's reporting requirement end?
- A. Until all outstanding works as stated in the Taking-Over Certificate are completed.
- B. After issuance of the Taking-Over Certificate.
- C. After issuance of the Performance Certificate.
- D. At the Date of Completion of the Works (irrespective of whether there is minor outstanding work to be performed).
Answer: A
Explanation:
The Contractor's obligation to submit progress reports continues until all outstanding work identified in the Taking-Over Certificate has been completed. The Taking-Over Certificate signals substantial completion but may allow for outstanding minor works. Reporting is essential to monitor progress on these outstanding works.
The Performance Certificate relates to final contract completion but reporting usually ends earlier only after all works are completed.
Therefore, Option D is correct.
References:
FIDIC Red Book 1999 & 2017 Editions, Sub-Clause 4.21 - Progress Reports FIDIC Contract Manager Study Guide, Module on Communication and Reporting
NEW QUESTION # 25
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