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Bernstein Shur
Practices | Energy Law
Engineering, Procurement, & Construction Contracts
Over the last twenty-five years, EPG lawyers have negotiated and drafted numerous engineering, procurement, and construction (EPC) contracts with respect to power plants and individual systems. With their depth of knowledge of what an owner needs for plant attributes, these EPC contracts are extremely detailed and deal with numerous issues not commonly included in typical construction contracts.
The EPG lawyers were asked to draft a model contract for an advanced gas turbine co-generation project where the contract needed to be in French and English. Working from its model document, the EPG lawyers customized the document and, working with local French-speaking counsel, prepared the required contract.
Long-term Parts & Service Contracts
The EPG also has special experience in negotiating and drafting long-term parts and service (LPT/LPS) contracts for power plants. For example, a member of the practice group recently spent eight weeks in Brazil negotiating a contract for a power plant client to assure parts and service for both scheduled and unscheduled outages over a 15-year period. The turbines involved were a discontinued model and no secondary market was likely to materialize, leaving the plant at the mercy of the original equipment manufacturer. The resulting contracts were dubbed by the original equipment manufacturer’s legal team the most sophisticated LTP/LTS’s they had ever signed.