I am the PM on a project using an NEC3 ECC Option A contract. The Works Information specifies particular items such as testing, witnessing, record information and labelling etc.. The Contractor is asking for payment for "completed" lump sum activities such as "ventilation" when it is clear that components of the "activity' are incomplete, not started or defective in other ways which does not prevent the Employer from using the works.
Having looked into this subject further it would appear that ECC Option A allows "completion" of an activity for payment under clause 11.2(27)? Following this through to its natural end, monthly assessment of Prices for Work Done to Date, the PM is duty bound to assess the works as complete for payment even though the works are not as per the Works Information?
There is no retention monies/ X16 clause to incentivise the Contractor to complete the defects or pay for correction by others.
Options include:
a) Say the works are incomplete (defective) and with hold payment until complete?
b) Certify "completion" and allow the defect correction period to start and force the Contractor to fix the defects or the PM will instruct others to do so at the Contractors cost?
The Option A contract appears to allow full payment for defective works and put the Employer at a disadvantage? Or am I missing something here?
Having looked into this subject further it would appear that ECC Option A allows "completion" of an activity for payment under clause 11.2(27)? Following this through to its natural end, monthly assessment of Prices for Work Done to Date, the PM is duty bound to assess the works as complete for payment even though the works are not as per the Works Information?
There is no retention monies/ X16 clause to incentivise the Contractor to complete the defects or pay for correction by others.
Options include:
a) Say the works are incomplete (defective) and with hold payment until complete?
b) Certify "completion" and allow the defect correction period to start and force the Contractor to fix the defects or the PM will instruct others to do so at the Contractors cost?
The Option A contract appears to allow full payment for defective works and put the Employer at a disadvantage? Or am I missing something here?