A Study Of Impact Upon Contract Payment And Adjustment Of Discrepancy In BQ Quantity Based On State Compensation Theory

Under the mode of bills of quantities and valuation, due to the finiteness of theinformation obtained by an employer at the time of compiling a bill of quantity for tender andthe complexity of construction work, discrepancy in BQ quantity is ubiquitous in the processof project construction, and larger discrepancies in BQ quantity will cause constructionpayment to be adjusted. In engineering practice, there exist a large amount of disputes in thebenefit distribution caused by both employer and contractor when they make adjustments onconstruction payment, and the disputes increase transaction costs to both employer andcontractor at the same time of making the contract performed with difficulty. The reason forthis is that the existing model contract or valuation standard only presents a basic principle forthe adjustment of construction payment under discrepancy in BQ quantity, not in possessionof maneuverability.It follows that the influence mechanism of an analysis on discrepancy in BQ quantity onconstruction payment as well as the scientific and accurate calculation of constructionpayment modifier is the key to resolving the disputes between employer and contractor. Basedon this, this paper, from the perspective of the state of construction payment, reveals theinfluence mechanism of discrepancy in BQ quantity on the adjustment of constructionpayment and introduces state compensation theory for construction payment with divisioncomponent projects and measurement items as the research object and through an analysis onthe impact of discrepancy in BQ quantity on the state of construction payment. In addition,this paper determines the adjustment value of construction payment under discrepancy in BQquantity by means of different state compensation modes of construction payment. The maincontents in this papers are as follows:First, this paper makes a study on the influence mechanism of discrepancy in BQquantity on construction payment from the perspective of the state of construction payment.Based on the state of contract, this paper reasons through the state of construction paymentand makes an analysis on it, on which basis it confirms the state factors of constructionpayment by means of textual analysis and analyzes the impact of discrepancy in BQ quantityon it. In the meantime, use is made of price breakdown structure to deconstruct constructionpayment according to the adjustment object of the construction payment in this paper, toobtain a cardinality for construction payment, and the impact of changes in the state ofconstruction payment on construction payment is, in essence, the impact of changes in thestate factors of construction payment on the cardinality for construction payment, so it’sfeasible to build a mapping relation between the state factors of construction payment and thecardinality for construction payment, thereby to form the influence mechanism of discrepancyin BQ quantity on construction payment. Second, the paper confirms the adjusted value of construction payment based on statecompensation theory for construction payment. After a discrepancy in BQ quantity, notcaused by the contractor, occurs, the state of the original construction payment will be broken.The state compensation mode of construction payment will vary with states. To confirm aproper compensation mode is a premise for the adjustment of the state of constructionpayment. This paper selects to compensate for the imbalanced state of the originalconstruction payment by admitting variance in quantity, adjusting unit price and adjustingtotal price, and confirms a computing method for the adjustment of construction paymentaccording to the pricing features of different projects, to finally determine an adjustment valuefor construction payment and make verification with cases.Based upon the analysis on the state of construction payment, this paper makes anin-depth analysis on the adjustment of construction payment caused by discrepancy in BQquantity on the basis of state compensation theory. With the analysis on the impact ofdiscrepancy in BQ quantity on the state of construction payment and the structure of thecardinality for construction payment as the point of penetration, this paper reveals its intrinsicinfluence mechanism, thus offering an important way for the knowledge of the theoriesrelated to the adjustment of construction payment. As a result, the adjusted value of theconstruction payments under different types of projects can be calculated more scientificallyand rationally, thus perfecting the pricing terms related to the adjustment of the constructionpayment in division component projects and measurement items under discrepancy in BQquantity in the valuation standard published in2013, improving the adjustment efficiency ofconstruction payment under discrepancy in BQ quantity, and reducing the transaction costs toemployer and contractor in the process of contract performance.