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Design/Build contracts in Japan - Key differences between the Nikkenren and FIDIC Yellow Book (1999) - PART ONE: Design Obligations

This newsletter series sets out key differences between Japanese standard form of a Design/Build contract (“D&B Contract”) so called “Nikkenren” and the FIDIC Yellow Book (1999) (“FIDIC YB(1999)”), and describes Nikkenren aspects with which non-Japanese parties may be unfamiliar. In this part one of the series, we will discuss design obligations of contractors. This newsletter also elaborates the relevancy of "fitness for purpose" obligations which are present under the FIDIC YB(1999), but not expressly defined in the Nikkenren. While D&B Contracts are not a recent invention, owners/employers are increasingly seeking to use this procurement method for construction projects. A D&B Contract benefits owners/employers by minimizing...To read the article, please see the PDF file

Authors

宇野 伸太郎

Shintaro specializes in international engineering and construction of infrastructure projects around the world, with a particular focus on Japan and Asia. He has extensive experience advising on a wide range of projects, including semiconductor plants, data centers, high-speed railways, motor highways, submarine cables, coal-mining process facilities, Mass Rapid Transit, high-rise buildings, lithium hydroxide plants, various types of power plants, tunnels, ports, dredging, offshore wind, and water treatment and supply facilities, with primary contracts based on the standard FIDIC contract forms (including Redbook, Yellowbook, Silverbook 1999 and 2017 version), Minkanrengo Building contract, Nikkenren Design Build and ENAA. 

He is one of Japan’s leading experts on FIDIC and other construction-industry contracts. 
On the contentious side, Shintaro has represented both employers and contractors in proceedings before Dispute Adjudication Boards, arbitral tribunals, and in the courts of various jurisdictions. 

村田 智美

Since joining N&A in 2011, Tomomi has been involved in a wide variety of M&A transactions and corporate matters. In recent years, she has focused on southeast Asia practice. She worked for N&A’s Hanoi office from 2016 to 2017, and has worked for N&A’s Singapore office from April 2019 until the present day. In that time, she has handled many M&A transactions and joint venture projects, and has provided advice on a variety of legal issues faced by investors in southeast Asia, such as labor, compliance, and regulatory matters.

She also regularly advises on international construction and infrastructure projects, including contract drafting and negotiation, addressing regulatory issues in an array of different jurisdictions, and handling dispute matters across southeast Asia, as well as Japan. In addition, she often holds seminars on the FIDIC’s standard contractual forms.