Firstly, if work hadn't been completed then the Contractor should not have been paid for it. Under Option A the PM should only have included completed activities in his assessments of the amount due. If the PM has not done this and certified 100% complete for incomplete activities he should correct this in his next assessment of the amount due, even if this results in a negative amount due i.e. the Contractor owes the Employer money.
The incomplete work is a Defect, however you need to be careful with this as technically the entire works are then defective until Completion. However, if the Contractor has no intention on completing certain works then the only way to move forward is for the Supervisor to notify them as Defects.
The situation is no different If for example the Works Information states that the skirting boards needed 3 coats of paint and they've only had two coats, or if the skirting boards needed replacing and they have not been. Both are Defects which the Contractor has an obligation to correct, if he refuses to do so then Employer has two potential remedies - either accept the Defects (clause 44) or notify uncorrected Defects (clause 45). In this situation it's more likely that clause 45 would be used, so the PM would have to make an assessment of the cost to the Employer of having the Defects corrected by other people. This amount would then be deducted from the Contractor in the next assessment of the amount due which should continue after Completion up until 4 weeks after the Defect Certificate (clause 50.1)
Remember the NEC ethos is to absolutely avoid the situation where the project is left incomplete indefinitely! The PM is contractually obliged to take action, be proactive and manage the project to a conclusion.
The incomplete work is a Defect, however you need to be careful with this as technically the entire works are then defective until Completion. However, if the Contractor has no intention on completing certain works then the only way to move forward is for the Supervisor to notify them as Defects.
The situation is no different If for example the Works Information states that the skirting boards needed 3 coats of paint and they've only had two coats, or if the skirting boards needed replacing and they have not been. Both are Defects which the Contractor has an obligation to correct, if he refuses to do so then Employer has two potential remedies - either accept the Defects (clause 44) or notify uncorrected Defects (clause 45). In this situation it's more likely that clause 45 would be used, so the PM would have to make an assessment of the cost to the Employer of having the Defects corrected by other people. This amount would then be deducted from the Contractor in the next assessment of the amount due which should continue after Completion up until 4 weeks after the Defect Certificate (clause 50.1)
Remember the NEC ethos is to absolutely avoid the situation where the project is left incomplete indefinitely! The PM is contractually obliged to take action, be proactive and manage the project to a conclusion.