Answered: NEC3 TSC: Reallocaton of labour
Yes, as they are (a) giving an instruction to stop or to start any work which is a CE under clause 60.1 (4) and (b) introducing an additional constraint to the Service Information e.g. don't do this...
View ArticleAnswered: NEC3 ECC: KPI on secondary option X1
The short answer is probably not. The slightly longer answer is it would depend on how the KPI is described and whether there is an index referenced under X1 which links to that description. For a...
View ArticleAnswered: X5 &7- Contractor cost incurred
The Employer cant claim twice for the same thing, but 25.3 and X7 are independent of each other. You could have a Key Date that whilst very important to the Employer for a follow on 3rd Party activity,...
View ArticleAnswered: NEC3 ECC: Contract period extended past Christmas holiday week
This should have already been taken into account when the CE's were progressively being quoted/assessed. Each CE that affects the remaining works needs a programme to go with it. The CE that took it...
View ArticleAnswered: NEC3 ECC: Key date vs x7
Both can be applied but not for the same costs. A Key Date may be missed which means the Employer incurs additional cost from a 3rd Party who has to now do their work a different way. That cost is...
View ArticleAnswered: NEC3 ECS: Where does the Schedule of Cost Components sit?
An unamended contract does not have a standard "schedule of rates". This could have been done at tender stage and incorporated into the contract, but if not then all compensation events will be...
View ArticleAnswered: NEC3 ECC: Clause 17 Ambiguitites & Inconsistencies: Do information...
In short - no. Clause 17 is about conflicting information, not missing information. If you knew it was missing you could have raised an early warning, Unless it states otherwise it may be your...
View ArticleAnswered: NEC3 ECC: Can Contractor claim back liquidated damages (X5 & 7)...
You seem to be referring to different mechanism. X7 provides for delay damages and is not related to clause 25.3 which provides for the recovery of additional cost should the Subcontractor fail to...
View ArticleNEC3 ECC: Where there is ambiguity in the contract drawings
Type of Contract: Option C We have received via a PMI the issue for construction drawings. We are subsequently required to carry out an add and omit exercise with the tender drawings. Upon review of...
View ArticleNEC3 ECC: Is the Contractor required to procure Professional Indemnity...
We are engaged in an ECC Option D Contract. The Contractor procured and maintains a Professional Indemnity Insurance which also covers his design Subcontractors and consultants. The cost of premium was...
View ArticleAnswered: NEC3 ECC: Where there is ambiguity in the contract drawings
There are two separate issues here: 1) ambiguity between Employer Works Information provided during tender stage. Once you become aware of such an ambiguity or inconsistency you let the Project Manager...
View ArticleNEC3 ECC: Employer's risks - Risks and insurance and Indemnity
What is the key difference in respect of commercial liability of an Employer managing such through a Z Clause as opposed to stating this risk within Contract data part 1 (applicable link to 60.1.(14)...
View ArticleNEC3 ECC: What happens if the Employer has terminated the contract but does...
When should the Contractor leave? What payment will be due to the Contractor if he remains on site?
View ArticleAnswered: NEC3 ECC: The Employer has run out of money on an ECC Option A...
I guess the short answer is "Yes". The Employer can terminate for any reason at any point, and then you would follow the termination clauses within section 9 of the contract. This is likely to be for...
View ArticleAnswered: NEC3 ECC: Reducing Target Cost for Works not carried out
Just to add a bit of detail / clarification on top of Glenn's answer. You say that the Contractor had an activity in their activity schedule which they didn't do and in answering your question I agree...
View ArticleAnswered: NEC3 ECC: Would the allocation of a sum of money to cover a...
Not at all, this should be allowed under Cost Component 12 'Bonuses and Incentives'.
View ArticleNEC3 ECC: Construction Act Payment Notice & Payless Notice
Under the amended Act / Scheme if a contractor fails to give a Payment Notice can the Contractor rely upon being able to issue a Pay Less Notice (after the date at which the Payment Notice should have...
View ArticleNEC3 ECC: Percentage of People Overheads applied to Subcontractor's People
When assessing a CE on Defined Cost, is it correct to apply the percentage of people overheads, as defined in the contract data, to the cost of the subcontractor's people? For example, if a...
View ArticleAnswered: NEC3 ECC: Percentage of People Overheads applied to Subcontractor's...
The percentage for people overheads applies to the Shorter Schedule of Cost Components. Under the SSCC the People cost is assessed as if the people were employed by the Contractor to determine the...
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