Answered: NEC ECS: Option B labour rates including and excluding...
Firstly, it is not clear, from what you have said, how these rates are incorporated in the subcontract and how they are to be applied. Â The fact that they are 'in the subcontract' doesn't mean they are...
View ArticleNEC TSC - should designer be engaged under a PSC?
Under a Term Services Contract,  if the Designer  is working directly for the Contractor and they are part of the same group company structure just a separate legal entity in their own right, should...
View ArticleNEC ECC: Labour mobilised in stoppage period
NEC3 ECC Option C, construction phase of the project. An event stopped all works for approximately 10 months before the works resumed. It was unclear for how long the stand down period would last when...
View ArticleAnswered: NEC ECC: Clause 32.2 submitting programme on PM instruction
No PMI is a compensation event unless there is a reason to notify it as one under clause 60.1. Several instructions will never give rise to a compensation event. Clause 32.2 allows the PM to instruct a...
View ArticleAnswered: NEC TSC - should designer be engaged under a PSC?
If the two companies are separate legal entities then they should enter into a formal contract with each other. You haven't said which main Option the TSC is under but there could be an impact on how...
View ArticleAnswered: NEC PSC Option C Time Charge
I'm unclear as to have you've listen your staff rates within your Contract Data. If you've listed your staff rates as say, John Smith - Engineer, then you could only apply that rate to John Smith's...
View ArticleAnswered: NEC ECC: Can there be "time bars" in the Works Information
I would disagree with Glenn here. I think Glenn may well be right that this is their intention and if there is amore obvious ambiguity or inconsistency that you miss in the first 30 days, then that...
View ArticleAnswered: NEC ECC: Delay costs and acceptance of defects
First of all, it is not the Employer who does this: it is the Project Manager who, in this instance, would be acting as an impartial administrator as per Costain v Bechtel. For your question 1: A...
View ArticleNEC ECC: What standing do Contractor tender qualifications or assumptions...
As a Contractor I included an assumption in our tender submission that we have NOT allowed for a certain element of the Works Information. That page of Contractor tender assumptions has been included...
View ArticleNEC PSC: Can the Employer ask to see salary information as a back up to Time...
We have an approved rate for 'Engineer' in the contract. We used Engineer's in UK and India. The PM does not feel it is 'appropriate' under the definition of Time Charge for the Engineer rate specified...
View ArticleAnswered: NEC ECS: Quotation for acceptance of Defect
Strange to have two separate contracts but I assume there must have been a reason for that at the time. Yes I would say the saving for a defect should be assessed as part of the fabrication contract. I...
View ArticleAnswered: NEC ECC: Contractor poor performance
I think an early warning would be a very good idea - mainly to make sure that this does not continue to happen in the future and decide what can be done to avoid it from being a problem going forward....
View ArticleAnswered: NEC ECS: Quotation for acceptance of Defect
I agree with Glenn's answer as a sensible commercial way forward. However, contractually, the Project Manager could agree to a reduction in the Prices which varies from a slap on the wrists to an...
View ArticleNEC3 TSC: Requesting contractor for sub-contractor payment information
I'm currently investigating, on behalf of the Client, how the contractor's final application for payment (submitted two months ago) included works which were demonstrably not undertaken and works item...
View ArticleAnswered: NEC ECS: Under Option B does clause 41 "Charges" prevent the...
Firstly, the Shorter Schedule of Cost Components (SSCC) may be used under Options C, D or E by agreement instead of using the (full) Schedule of Cost Components (SCC). This is effected by an additional...
View ArticleAnswered: 14.3 - Will the Works Information change without it
Clause 14.3 provides the Project Manager with the 'authority' to instruct a change to the Works Information (or a Key Date), which is a compensation event (although note the exceptions at clause 60.1...
View ArticleAnswered: NEC ECC: Rock found during excavation works
This all comes down to what would have been reasonable for you to have allowed for in relation to the Site Information you were aware of at tender stage. 60.1(12) states that it is a compensation event...
View ArticleAnswered: NEC3 TSC: Requesting contractor for sub-contractor payment information
Your question doesn't state which main Option is being used however I can answer for A or C/E. If it's Option A then your focus only needs to be on what work has been completed and there's no need to...
View ArticleNEC ECC: Can you raise an Early Warning Notice when the event has already...
Say you have a design submission at a certain agreed date and the date has passed can an EWN be raised or this will have to be communicated under a GC?
View ArticleNEC ECC: Defiinition of 'breach' or 'non performance'
Grateful if someone could clarify for me, from a legal perspective, would a Defect under NEC3 constitute an event of ‘breach, default or non-performance’ under the contract?
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