Hopefully the CE was 'notified' by the Contractor and the matter 'time barred' by the Project Manager (not the Employer). Consequently, the matter has been formally closed under the CE procedure .
The next step is either for the Contractor to accept that decision or to exercise the right to refer the matter to dispute resolution in accordance with the provisions under Option W2.
The general communication requesting a response on the matter does not align with any particular, relevant procedure under the contract. The Contractor could also just respond by saying something like 'content noted'.
It looks like the Employer is keen to protect their commercial interests, although as part of the PM's response to the CE appropriate documentary records to evidence that the 'matter was 'time barred' should have been included. As the contract is being administered through CEMAR then such records will be retained for any possible future reference.
Often discussions between the Employer and Contractor 'off the record' lead to some form of 'commercial agreement' to 'wrap up historic issues', although that is a decision for the Employer to make, possibly for the 'wider business interests', and implemented accordingly (possible Supplemental Agreement).
The PM, however, should continue to administer the contract as stated, regardless of any such discussions.
The next step is either for the Contractor to accept that decision or to exercise the right to refer the matter to dispute resolution in accordance with the provisions under Option W2.
The general communication requesting a response on the matter does not align with any particular, relevant procedure under the contract. The Contractor could also just respond by saying something like 'content noted'.
It looks like the Employer is keen to protect their commercial interests, although as part of the PM's response to the CE appropriate documentary records to evidence that the 'matter was 'time barred' should have been included. As the contract is being administered through CEMAR then such records will be retained for any possible future reference.
Often discussions between the Employer and Contractor 'off the record' lead to some form of 'commercial agreement' to 'wrap up historic issues', although that is a decision for the Employer to make, possibly for the 'wider business interests', and implemented accordingly (possible Supplemental Agreement).
The PM, however, should continue to administer the contract as stated, regardless of any such discussions.