Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project

A contract is incomplete when it did not clearly spell out among others the parties’ responsibilities and duties for all realized contingency and it contain loophole, some provisions being left out, and the wording used contain element of vagueness. Incomplete contract is said to be inevitable espec...

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Main Authors:	Mansor, Syaimasyaza, Abdul Rashid, Khairuddin, Ayob, Mohd Fairullazi, Hasan, Sharina Farihah
Format:	Article
Language:	English
Published:	Future Academy 2019
Subjects:	TH Building construction TH4021 Buildings. Construction with reference to use. TX Home economics
Online Access:	http://irep.iium.edu.my/78180/ http://irep.iium.edu.my/78180/ http://irep.iium.edu.my/78180/1/Full%20paper%20FINAL%20%28published%29.pdf

id	iium-78180
recordtype	eprints
spelling	iium-781802020-02-03T07:14:24Z http://irep.iium.edu.my/78180/ Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project Mansor, Syaimasyaza Abdul Rashid, Khairuddin Ayob, Mohd Fairullazi Hasan, Sharina Farihah TH Building construction TH4021 Buildings. Construction with reference to use. TX Home economics A contract is incomplete when it did not clearly spell out among others the parties’ responsibilities and duties for all realized contingency and it contain loophole, some provisions being left out, and the wording used contain element of vagueness. Incomplete contract is said to be inevitable especially for projects with lengthy contract period, a lot of risk and/or uncertainty, such as Private Finance Initiative (PFI) projects. IC has both its PROs (positive) and CONs (negative) implications. Flexibility to deal with uncertainty when it arises is the PROs of IC while the CONs are inefficiencies and costs, contract amendment and others. PFI is among the key alternative procurement used in Malaysia. However, there has been criticism about PFI e.g. lopsided contractual agreement, absence of robust and transparent agreement, and vagueness in terms of sustainable element. Based on the issues mentioned, it is therefore,significant to carry out this research to assess the PROs and CONs implications of IC in PFI projects. Research method begin with literature review and followed by two rounds of Modified Delphi method. 18 and 13 panellists involved in the MD. The results from the research have identified eight (8) PROs and six (6) CONs. Findings of the research are significant for the improvement of future PFI project whereby PFI stakeholders can come out with proper action to deal with implications of IC. Future Academy 2019-12-26 Article PeerReviewed application/pdf en http://irep.iium.edu.my/78180/1/Full%20paper%20FINAL%20%28published%29.pdf Mansor, Syaimasyaza and Abdul Rashid, Khairuddin and Ayob, Mohd Fairullazi and Hasan, Sharina Farihah (2019) Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project. The European Proceedings of Multidisciplinary Sciences, LXXIII. pp. 1-882. ISSN 2421-826X E-ISSN 2421-826X https://www.futureacademy.org.uk/publication/EpMS/ICRP2019UniversitiSainsMalaysia/
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	TH Building construction TH4021 Buildings. Construction with reference to use. TX Home economics
spellingShingle	TH Building construction TH4021 Buildings. Construction with reference to use. TX Home economics Mansor, Syaimasyaza Abdul Rashid, Khairuddin Ayob, Mohd Fairullazi Hasan, Sharina Farihah Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
description	A contract is incomplete when it did not clearly spell out among others the parties’ responsibilities and duties for all realized contingency and it contain loophole, some provisions being left out, and the wording used contain element of vagueness. Incomplete contract is said to be inevitable especially for projects with lengthy contract period, a lot of risk and/or uncertainty, such as Private Finance Initiative (PFI) projects. IC has both its PROs (positive) and CONs (negative) implications. Flexibility to deal with uncertainty when it arises is the PROs of IC while the CONs are inefficiencies and costs, contract amendment and others. PFI is among the key alternative procurement used in Malaysia. However, there has been criticism about PFI e.g. lopsided contractual agreement, absence of robust and transparent agreement, and vagueness in terms of sustainable element. Based on the issues mentioned, it is therefore,significant to carry out this research to assess the PROs and CONs implications of IC in PFI projects. Research method begin with literature review and followed by two rounds of Modified Delphi method. 18 and 13 panellists involved in the MD. The results from the research have identified eight (8) PROs and six (6) CONs. Findings of the research are significant for the improvement of future PFI project whereby PFI stakeholders can come out with proper action to deal with implications of IC.
format	Article
author	Mansor, Syaimasyaza Abdul Rashid, Khairuddin Ayob, Mohd Fairullazi Hasan, Sharina Farihah
author_facet	Mansor, Syaimasyaza Abdul Rashid, Khairuddin Ayob, Mohd Fairullazi Hasan, Sharina Farihah
author_sort	Mansor, Syaimasyaza
title	Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
title_short	Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
title_full	Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
title_fullStr	Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
title_full_unstemmed	Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project
title_sort	pros and cons of incomplete contract in private finance initiative (pfi) project
publisher	Future Academy
publishDate	2019
url	http://irep.iium.edu.my/78180/ http://irep.iium.edu.my/78180/ http://irep.iium.edu.my/78180/1/Full%20paper%20FINAL%20%28published%29.pdf
first_indexed	2023-09-18T21:50:11Z
last_indexed	2023-09-18T21:50:11Z
_version_	1777413716909752320

Pros and cons of incomplete contract in Private Finance Initiative (PFI) Project

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