On an Option E Contract, the Employer has disallowed cost from our Subcontractor for working outside of the working area stated within the head contract. The Subcontractor has listed their premises as working area within the subcontract they have with us.
Am I right in saying these costs cannot be disallowed as it is a cost that should have been paid to a Subcontractor? We could not have listed all subcontractors premises in the head contract as many of them were not known at the time, although I appreciate some people just state "Subcontractor premises" as a working area.
Am I right in saying these costs cannot be disallowed as it is a cost that should have been paid to a Subcontractor? We could not have listed all subcontractors premises in the head contract as many of them were not known at the time, although I appreciate some people just state "Subcontractor premises" as a working area.