“TILE ITALIA GALLERY AT KORMANGALA BANGALORE”

LETTER OF AWARD
ELECTRICAL WORK

CLIENT

Mr. Shashidhar patil,

CONTRACTOR

MEGATRON SOLUTION PVT LTD,

I. LETTER OF AWARD

II. PRICED BILL OF QUANTITIES

III. DRAWINGS
TI/BLR/COM/2017-2018/001
Wednesday, 21 March 2018

To,
MEGATRON SOLUTIONS PVT LTD,
# 3/A, 1st ‘A’ Main, Binny Mills Road,
Ganganagar Extension, Bangalore - 560032.
.
Kind Attn: Mr. Mahesh Hegde.

Project: Proposed Tile Italia Gallery For Shashidhar Patil at Koramangala, Bangalore.

Subject: LETTER OF AWARD FOR ELECTRICAL WORKS

Dear Sir,

With reference to the above subject, references & the subsequent negotiations held along with Mr.
Shashidhar Patil& M/s Matrix PMC Consortium Pvt. Ltd. (PMC), we are pleased to express our interest
to award the subject work and accept your offer with total contract sum of Rs.31,50,432/-(Rupees
Thirty One Lakhs Fifty Thousand Four Hundred and Thirty Two Only) exclusive of GST & inclusive
of Duties and all other applicable taxes on item rate basis for the scope of work as shown below
subject to the following terms & Conditions and as per the detailed Bill of Quantities.

Scope of Works:

Your scope of works shall include Electrical Works for the above said Project as contained in the Bill
of Quantities and / or any other items as decided by the PMC/CLIENT during the course of the
execution.

If Contractor is required to do any further work for the project, which is not specified in this Contract,
the same rates quoted by him in this Contract for all the items holds good and no extra claims will be
accepted till the virtual completion of the project.

Type of Contract and Contract Sum:

This Contract is on item rate basis and the Contract Sum has been derived based on the final rates
accepted by you i.e, The total Contract Sum of Rs.31,50,432/-(Rupees Thirty One Lakhs Fifty
Thousand Four Hundred and Thirty Two Only) exclusive of GST & inclusive of Duties and all other
applicable taxes which is derived based on item rates and shall consist of Main electrical works as
specified in the Bill of Quantities. This Contract Sum is indicative only and the final value depends
upon the actual quantity of work done and certified by the PMC/CLIENT.
QUANTUM OF WORK:

A schedule of probable quantities in respect of each work and specifications accompany these
Conditions. The schedule of probable items & its quantities is liable to alterations, omissions,
deductions or additions, is at the sole discretion of the CLIENT/PMC. CLIENT/PMC reserves the right
not to operate any of the items listed in the schedule of quantities or add any new item, reduce the
scope of the work, re-allot the same to any other contractor of CLIENT/PMC choice. The schedule of
probable quantities may vary on the higher or lower side. Each item of work is entered in a separate
column. All items should be totalled in order to show the aggregate value of the entire tender. Variation
in quantities shall not be deemed to be a breach of contract by CLIENT/PMC.

Correspondence and Qualifications:

You have withdrawn all qualifications made in the course of your various offers and discussions held
with us, and your final offer is based upon the contents of this Letter of Award and the related
Annexure and terms & Conditions which shall form part of the LOA.

TERMS OF CONTRACT

Terms of Contract shall holds good for the entire duration of the project and even for extended period if
any what so ever reason.

ADDRESS FOR COMMUNICATION:

You hereby agree, for the proper and effective administration of the Contract, all notices, instructions,
payments etc. under the contract shall be addressed to your Office at # 3/A, 1st ‘A’ Main, Binny Mills
Road, Ganganagar Extension, Bangalore - 560032.but with an option of handover to your authorized
representative at the site office for the works. Such notices and instructions shall be deemed as duly
served on you pursuant to the conditions of the contact.

TIME FOR COMMENCEMENT AND COMPLETION:

Time is deemed to be the essence of this Contract. The entire work with in the scope of the contract,
including any additional works, NT items required to finish the work in whole shall be completed in all
respects and handed over to CLIENT/PMC with in 120 days from the date of issue of Letter of Award
and as per the schedule below,

The contractor shall request Architect for virtual completion certificate in writing, Architect shall
ensure Design compliances, compliances of agreed specifications & workmanship and issue virtual
completion certificate. Base on the Virtual completion certificate, client shall issue acceptance
certificate.

Commencement of the work shall be within 7days of receipt of Letter of Award. The contractor shall
draw a detailed schedule of programme in the form of BAR / PERT CHART of the whole work, and
submit to Project Manager within 7 days from the date of acceptance of Letter of Award, for their
approval.
ADDITIONAL WORKS

If Contractor is required to do any further work for the project, which is not specified in this contract,
the same rates quoted by him in this contract for all the items holds good and no extra claims will be
accepted till the virtual completion of the project.

NON TENDERED ITEMS:

a. Cost of materials supplied by the Contractor, at prevailing market rates, actually incorporated in
the work. (Contractor shall attach invoices to provide proof for cost of materials procured for
such works including all taxes and discounts.)
b. Cost of labour actually used at Site on the Works at prevailing rates of labour.(Contractor shall
attach muster rolls / labour bills incurred for such works to provide proof for cost labour
incurred)
c. Cost allocation toward the work for the use of any plant and machinery at site, on actual basis.
(Contractor shall attach relevant vouchers / invoices to provide sufficient proof for cost incurred
on plant & machineries to execute the work.)
d. 15% of the actual costs in respect of (a), (b), and (c) above, towards Contractor's establishment,
including distributing water & power charges, and all other costs, all applicable taxes, duties
and overhead & profit. Excluding GST which shall be paid separately as applicable.

LABOUR CAMPS:
No hutments for labour colony shall be allowed to be set up inside and around the vicinity of the
project premises. No place shall be provided by Client for the same. It is the sole responsibility of the
contractor to arrange for proper labour accommodation outside and away from project site premises.

POWER:

Client shall provide power at one point at suitable location on the basis of distribution among other
contractors working in the project and the location will be decided by CLIENT. Contractor shall tap the
power from this location and run the cables at his cost wherever necessary and shall be exclusively
used for his work. The contractor shall not have any claim, for inadequate power supply or failure for
any reason.

Mobilization Advance

Mobilisation Advance of 10% of the total Contract Value shall be payable to the Contractor,
recoverable in prorate basis from the subsequent Running Account bill of the Contractor.

Retention money
Deduction towards Retention Money would be made in every Running Bill starting from 1st running
bill at 5% of the value of work certified. Retention money shall be refunded against completion of
defects liability period of 12 months of handing over the works, provided the work is free from defects
and the contractor has rectified all defects identified by Architects/CLIENT/PMC. All manufacturer’s
warranty should be passed on to CLIENT. The retention money shall not carry any interest.
Payment Terms:

As per the tender payment terms & conditions. For the purpose of billing, the following part payments
of BOQ item rates will be considered:

For Internal Electrification Works:

Laying of Conduits with GI wire during roof 10% of the BOQ rates on prorata
concreting. basis

Laying of Conduits in wall and pulling the 15% Of the BOQ rates on prorata
GI wires including box fixing basis

Wiring Works 25% Of the BOQ rates on prorata

Electrical Switches, sockets & plates 20% Of the BOQ rates on prorata
basis

Localized Testing (Meggering for the 15% Of the BOQ rates on prorata
individual circuit/submains, testing of all basis
light points, power points, telephone, TV,
Data points et., including numbering of
individual circuits with Feruls etc.,)

Submission & Approval of "As Built 15% Of the BOQ rates on prorata
Drawings", Submission of all O&M manuals, basis
Service connections, Final commissioning
and Handing Over

For External Electrification Works:

After installation 70% of the BOQ rates

Localized Testing 15% Of the BOQ rates

Submission & Approval of "As Built Drawings", 15% Of the BOQ rates
Submission of all O&M manuals, Final
commissioning and Handing Over

The running bills shall be submitted once in 15 days, After submission of RA Bill, deducting
mobilization advance and retention amount paid within 15working days from the date of submission of
RA Bill along with all the relevant documents, measurement sheets and after subjecting the bill to
detail scrutiny. All payments will be subject to certification by CLIENT/PMC.
Part payment will be released on value of material received to site deducting mobilization advance in
prorate basis and same amount will be adjusted in subsequent running bill.

Final Bill Certification : Within 60days from the submission of the bill.

TAXES AND DUTIES

Contract rates shall include all duties, other levies, local and municipal taxes and levies, octroi,
royalties, travelling expenses to and from the site, allowances, living expenses, wages, salaries,
overtime, benefits and all compensations for his skilled and unskilled workmen, supervisors, engineers,
clerical staff, watch and ward staff, storekeepers, etc. insurance carried by the Contractor for his
workers, workmen's compensation, ESI, PF, third party liability and any other insurance required by the
specification, cost of all licenses and permits, cost of procurement, loading, transport and unloading of
all his material and/or , tools and tackles, instruments and construction aids to and from the site,
multiple handling of all materials both contractor’s & client supply materials, cost of providing
adequate and reasonable site office, tool room, quarters, canteen, workshops and all facilities at site as
may be required, cost of supply of all material and/or equipment required under this Contract,
performance of all services as required under this Contract and satisfactorily executing the complete
work under this Contract. If any fees are to be paid to any statutory authorities for testing, inspection or
calibration, these shall be paid by the Contractor and included in his cost. The consumption charges of
electricity and water for construction has to be paid by Client. Any new tax imposed by the
Government of India / Government of Karnataka, or any other local body, which will have direct
impact on construction cost shall be reimbursed.

COMPLIANCE OF LABOUR REGULATIONS

You shall observe and comply with all laws applicable to workmen employed by you or any sub-
contractor employed on the works. In the event of any default by way of non-observance or non-
compliance of the said laws/ rules on your part or the sub-contractors, you shall indemnify the
Employer against any liabilities and costs/ expenses arising out of or in connection therewith.

The contractor should be registered under ESI / PF Act, Contract Labour (Regulation and Abolishment)
Act and other Labour Laws as are applicable from time to time.

You shall at your expenses comply with all the labour laws and keep CLIENT indemnified against all
suits, claims and demands arising out of non-compliance with statutory requirements / obligations,
inclusive of obligations under the Contract Labour Act regulation and Policies Act 1970 (if applicable),
the Employees State Insurance Act 1948, and Employees Provident Fund Act.

You shall bear the full and exclusive liability for the compliance with all obligations imposed by
Employee Status Insurance Act, 1948 and Employees Provident Fund and Miscellaneous Provisions
Act, 1952.

The Contractor is required to make all statutory deductions and remit the same to the Government and
file all monthly, Quarterly and annual Returns. The contractor is also required to submit Xerox copies
of Muster Rolls attendance and Challans paid under relevant Act, once in a month as proof of
deductions and payments made. The Contractor will be wholly responsible and liable for non-
compliance of above statutory requirements and any claims made by the concerned agencies for non-
compliance shall be recovered from the Contractor’s Bills. The Contractor shall maintain all statutory
books and records and the same shall be made available for inspection by the authorities. The
contractor should undertake to indemnify CLIENT from any liability that may arise due to his failure to
fulfil any of the statutory obligations under any law.

COORDINATION WITH OTHER AGENCIES OR CONTRACTORS

The contractor shall co-ordinate with the work of other agencies or contractors that may be employed
or engaged by CLIENT/PMC. The sequence of the work shall be so arranged that the work of other
agencies are able to start their- scope as per the agreed bar chart for implementation and all the required
pre-requisite site condition are arranged well before the start of their work.

Proper security, systematic operation and co-ordination of work force of different trades including
Contractors balance scope of works will have to be handled by contractor and inter co-ordination
should appear seamless to CLIENT.

Meeting

Contractor shall attend all Progress / Safety Review Meetings at site without fail.

Safety of Materials

The Contractor shall post necessary watchman to guard his site, materials and equipment’s. He shall
take all precautions necessary and shall be responsible for the safety of the work to be performed by
him and no claim shall be made to CLIENT against loss/theft/damage of materials and equipment’s
what so ever reason till handing over to CLIENT. Contractor shall take CAR policy against the above
& indemnify CLIENT from the risk.

Safety

Contractor has to follow strictly all safety regulations like wearing helmets, safety goggles, gloves,
Safety Shoes, safety net, barricading etc. while working on site without fail. Failing which labourer
shall be sent out and the contractor shall not be allowed to continue the work without fulfilling the
safety requirements.

House keeping

Contractor shall maintain a clean and safe site by good rubbish/Debris control.
All rubbish/Debris is to be removed from site within 24 hours of it being created. As a Contractor you
are required to make necessary arrangements & plans to remove rubbish/Debris to the waste containers
/ skips & agree these with CLIENT

Contractor defaulting on rubbish/Debris removal arrangements will be charged with the cost of any
alternative arrangements CLIENT make for the removal of the rubbish/Debris.
The contractor should ensure that housekeeping standards are the highest attainable, they should have
established detailed housekeeping procedures and trained. The cleaning crew in the use of the cleaning
equipment and the frequency of cleaning and extent of cleanliness required. Despite this training,
continual soot checks will be conducted to make sure that the procedures are being adhered to.
Housekeeping personnel shall wear the same type of clothing work by other workmen in the area.
Housekeeping personnel shall be present during all hours the other workmen are working in the area.

Workmanship

The work shall be carried out under the direction and supervision of the PMC/CLIENT or their
representative at site. On acceptance of the contract, the contractor shall intimate the name of his
accredited representative who would be supervising the work / construction and would be responsible
for taking instructions for carrying out the work. All commitments made by such representative shall be
binding upon the contract, and such representative shall be deemed to be the duly authorized
representative of the contractor.

The PMC/CLIENT decision with regard to the quality of the workmanship will be final and binding.
Any work rejected by the PMC/CLIENT shall be immediately removed by the Contractor and rectified
to the acceptable and specified quality standards at his own cost & risk and in case, the defects are not
rectified by the Contractor, PMC/CLIENT or their representative shall get the work done by an suitable
Contractor at the risk and cost of the Contractor.

OCCUPATION IN PART:

If CLIENT notifies its intention to occupy any portion of the floor, the contractor shall complete all
work in such areas in consultation with CLIENT/PMC to enable CLIENT to occupy the same and none
of the clauses of this Contract shall be deemed to have been varied or altered.

The contractor must co-operate and co-ordinate with other contractors involved in other works on the
site. The contractor should also note that they should have to clear the site of vegetation, debris, etc.,
before the commencement of the work and that no extra payment is permissible on this account. All
work connected with preparation of site for construction shall be the responsibility of the contractor and
no additional payment therefore shall be made by CLIENT.

CONTRACTOR'S STORE, SITE OFFICES & OTHER FACILITIES:

Suitable area within the site of work shall be allocated to the contractor free of cost for storing his tools
and plants, materials and for his site office. Site offices shall be built by the contractor at the
contractor's cost. At the end of the project the contractor is to demolish and clear the site and handover
the area in the same condition as it was at the time of handing over.

A site order book shall be maintained by the contractor wherein all instructions given to him at the site
shall be entered and signed.

All workers will come in and go out through the special gate provided. The Security will have the right
to check each worker.
DEFECTS LIABILITY PERIOD:

Defects liability period shall start from the date of virtual completion of total works with in the scope of
the contract and also any other additional/Extra works added from time to time duly certified by Project
Manager, Architect & acceptance of the same by CLIENT/PMC. Any defect developed with in Defects
Liability Period of twelve months will have to be rectified by the Contractor at his own cost & risk and
in case the defects are not rectified by the Contractor with in stipulated period, Project Managers /
CLIENT/PMC or their representative shall get the work done by an suitable Contractor at the risk and
cost of the contractor and such cost shall include for supervision and other consultants charges.

CERTIFICATE OF VIRTUAL COMPLETION:

The work shall not be considered as completed until the Architect have issued in writing the
'CERTIFICATE OF VIRTUAL COMPLETION' stating that the work has been virtually completed &
on acceptance of the same by CLIENT/PMC. 'DEFECTS LIABILITY PERIOD' shall commence from
the date of acceptance by CLIENT/PMC.

ESCALATION:

The quoted rates are firm and no escalation will be allowed throughout construction period including
extended period if any for whatsoever reasons. Even in case of any delay in the completion of the
Project resulting in delay of the works, the total contract sum agreed upon in this contract shall be firm
and no escalation shall be entertained for what so ever reason.

PENALTY CLAUSE:

Any delay, reckoned on the basis of the BAR / PERT CHART shall attract a Penalty of 0.5% of Total
Value of Works for every Week delay up to a maximum of 5 % on the portion of the works delayed. If
the delay is such that the penalty exceeds 5%, the contractor will be terminated. The decision of the
Project Manager /CLIENT/PMC on this subject shall be final and binding on all other parties to this
contract.

Termination

If in the opinion of the CLIENT/PMC, the work is found unsatisfactory or the progress being slow and
the contractors shall not be able to complete the work in the scheduled date, the client shall have the
right to terminate the contract at the Contractors risk by giving a notice in writing and client take
possession of site to that effect. The client shall then have the right to award the contract to such other
agencies it may deem fit and any loss or expense incurred by client on this account as certified by the
Consultants will be deducted from the amount due to the Contractor, without assigning any reason
thereof.
Please signify your acceptance of this letter of Award by signing copy of this letter of award and return
to us immediately, second copy is for your reference.

In the mean time, please submit the following in accordance with the requirements of the project, to
CLIENT office for the approval.

 Insurance Policies
 Detailed Construction programme for the works
 Labour Licence
 Site organization chart
 Site establishment layout

Yours faithfully

Shashidhar Patil

Copy to : 1. Matrix PMC Consortium Pvt. Ltd. (PMC).

ACKNOWLEDGMENT

I hereby agree to execute the works referred to in the aforesaid document upon the terms and conditions
contained or referred to there in and in accordance, in all respect with specifications, designs, drawings
and other relevant details at the rates contained in the schedule of quantities and with in the specified
period of completion.

We also confirm that we have studied all the specifications and conditions as well as visited the site and
understood all the site conditions / situations and have accordingly accepted this Letter of Award to
cover entire scope of the work envisaged herein.

I Mr. Mahesh Hegde duly authorized to sign for and on behalf of M/s. MEGATRON SOLUTION
PVT LTD, hereby acknowledge receipt of the Letter of Award and confirm acceptance of the terms
and conditions stated therein.

Signature & Stamp of Contractor Date: _____________________