Iraq Ministry of Planning – Regulation No. (23) on Work Withdrawal

Iraq Ministry of Planning – Regulation No. (23) on Work Withdrawal The Ministry of Planning issued Regulation No. (23) concerning the withdrawal of work, supplementing the Instructions for Implementing Government Contracts No. (2) of 2014, with the aim of regulating work withdrawal procedures and ensuring the protection of public funds and the proper execution of projects. The regulations clarify the circumstances under which work may be withdrawn from a contractor or subcontractor, and the legal procedures to be followed, including warnings, processing periods, the responsibilities of the parties, and the effects of work withdrawal on guarantees and contractual obligations. The regulations also address the status of consultancy and non-consultancy contracts, and the mechanisms for completing or re-tendering work within the applicable legal frameworks. These regulations represent an important step towards strengthening governance, contractual discipline, and reducing risks in the implementation of government projects, thereby achieving efficiency and transparency in contract management. Aim to organize work withdrawal procedures within the framework of the Instructions for Implementing Government Contracts No. (2) of 2014. Specify the circumstances under which work may be withdrawn from a contractor or subcontractor in the event of a breach of contractual obligations. Formal warnings and timeframes for addressing shortcomings must be granted before a decision is made to withdraw the work, except in serious cases. Technical and legal committees are formed to assess the reasons for and consequences of work withdrawal. Clarify the responsibilities of the contracting authority and the contractor in the event of work withdrawal. A mechanism is established for confiscating or liquidating guarantees based on the type of violation and the percentage of completion. Define Procedures and outlined for completing the work, either at the expense of the defaulting contractor or by assigning it to another contractor. Define procedures for handling and evaluating completed and uncompleted work, both financially and technically. Consultancy and non-consultancy contracts are included under the provisions for work withdrawal. Regulate the legal implications of work withdrawal on claims, fines, and compensation Enhance governance and transparency and reduce the risk of project delays in government projects. Protect public funds and ensure the proper execution of contracts within the applicable legal frameworks. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Amend Government Contracts Instructions

Amend Government Contracts Instructions Ministry of Planning issued the amendments of the instructions of Government Contracts No. (2) of 2014 by adding a new provision to Clause (4) which is as follows: Under this amendment, the final acceptance certificate issued by the Head of the Contracting Authority is considered conclusive evidence that the contractor or company has properly completed the contract in full compliance with contractual terms and applicable laws. This update reinforces legal certainty in government contracting and aligns contract execution with Article 870(1) of the Iraqi Civil Code No. (40) of 1951 (as amended). Such developments play an important role in strengthening governance, compliance, and dispute prevention in public sector projects. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.