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Medical Professional Certified Case Manager Certification Exam (CCM) Sample Questions:

1. You are the Contract Manager of the Engineer and person Y is the Contract Manager of the Employer in a construction project under FIDIC 2017 Red Book. The project is late in schedule and Y has issued Employer's claim on Delay Damages. You have asked Y to consider whether the Contractor's delay to completion is a reflection of cash-flow shortfall from interim payments before making deductions to the Contractor's payment. Y replied that even if the Contractor pays Delay Damages to the Employer, the Contractor is still obliged to complete the Works and is not relieved from its duties and obligations. You warned Y of the risks of further reduction of cash-flow by the deduction of Delay Damages from payments. As this could worsen the situation of the Contractor, leading to further delays to the completion of the Works. Who is right?

A) You are wrong, Y is correct.
B) Both you and Y are both correct.
C) You are correct, Y is wrong.
D) Both you and Y are wrong.

2. Under the FIDIC Red Book (edition 1999), if the Contractor as per Sub-Clause 14.2 has to ensure the Employer receives an Advance Payment Guarantee as per the standard model, what type of instrument should this be?

A) A declaration of joint and several liability
B) A bank guarantee
C) A parent company guarantee
D) A surety bond

3. FIDIC Red, Yellow, and Silver Books (both editions) contain a provision for the Engineer or Employer to instruct the Contractor to employ a subcontractor, thereby also permitting the Contractor to refuse to employ such proposed subcontractor on the basis of a reasonable objection by a notice. Is this statement true or false?

A) True
B) False

4. When does discharge become effective under the FIDIC Red Book (edition 1999)? (1 correct answer applies)

A) When the Contractor receives full payment certified through the Final Payment Certificate.
B) When the Employer counter signs a discharge notice as issued by the Contractor, following full payment and return of the Performance Security.
C) When the Contractor receives its Performance Security from the Employer.
D) When the Contractor receives full payment certified through the Final Payment Certificate and return of the Performance Security.

5. Under the FIDIC Red, Yellow, and Silver Books (both editions), the Contractor has a contractual obligation to submit a Value Engineering Proposal. Such proposal shall be prepared at the cost of the Employer. Are both these statements true or false?

A) True
B) False

Solutions: