The Subcontractor does not have to be working in the 'head contract' Working Areas for their cost to be treated as Defined Cost.
Depending upon which main option applies to the Subcontract also decides whether the Subcontract Working Areas is actually relevant to the payment assessment procedure under the Subcontract, as under a 'lump sum' form (A and B) it isn't,
The Working Areas under the 'head contract' applies to the Schedule of Cost Components under the head contract only. Although this includes Subcontractors under NEC4, the Working Areas test only applies to the Contractor's People and Equipment.
Depending upon which main option applies to the Subcontract also decides whether the Subcontract Working Areas is actually relevant to the payment assessment procedure under the Subcontract, as under a 'lump sum' form (A and B) it isn't,
The Working Areas under the 'head contract' applies to the Schedule of Cost Components under the head contract only. Although this includes Subcontractors under NEC4, the Working Areas test only applies to the Contractor's People and Equipment.