Answered: NEC ECC: Retention in Option F
Retention is withheld from a Contractor if X16 retention has been chosen by the Employer. The clause you highlight in option F is talking about Defined Cost being any payment to Subcontractors, without...
View ArticleAnswered: NEC ECC: Should QS and PM Time be applied to Compensation events in...
Correct - the contract intends that only additional cost for any QS and PM time would be recoverable. If they are full time on the job anyway, and were able to price this whilst doing the day job then...
View ArticleAnswered: NEC ECC: Missing item in Accepted Programme
Absolutely - exactly what that clause is there for. The Contractor then has to submit a revised programme within the period of reply for acceptance correcting the known mistake, otherwise that...
View ArticleAnswered: NEC ECC: Timing of Instructions that have potential impacts
Not sure what was actually instructed when but not sure how why  CE2 was instructed at the same time, unless it was a proposed instruction under 61.2. You don't know if you need to reline as it is...
View ArticleNEC ECC: X18 - Indirect or Consequential Losses - What is a suitable level to...
We are being employed on a labour only basis to carry out 4 phases of work. Under X18 we asked that the Contractors Liability to the Client for indirect or consequential loss to be capped at 10% of the...
View ArticleAnswered: NEC ECC: X18 - Indirect or Consequential Losses - What is a...
This is a commercial decision for your client and you to negotiate in conjunction with your insurers. There are no hard and fast rules and what is reasonable will depend on a number of factors such as...
View ArticleAnswered: NEC ECC: Can a Contractor claim loss of bonus/incentive...
Assuming you're talking about a subcontractor who is employed by a contractor using the ECS and the contractor in turn is employed by a client under the ECC ... Clause 25.3 provides a three point test...
View ArticleAnswered: NEC ECC: Can the PM request the Contractor to split a CE quotation,...
At clause 62.1 the contract does permit the PM to instruct the contractor to submit alternative quotations. Before doing so though the PM is required to discuss different ways of dealing with the CE...
View ArticleAnswered: NEC ECC: SSCC Amounts for Equipment (hrs)
Item 23 in SSCC states the time required is consistent with the published list, therefore check the published list that applies to your contract and you should find some guidance as to what unit of...
View ArticleAnswered: NEC ECC: Termination of NEC 4 Contract (Option A)
Yes the Client can used Plant and Materials if title has passed to them in accordance with the contract. Clause 70 states that title passes If the Plant and Materials are within Working Areas or are...
View ArticleAnswered: NEC ECS: Completion Date for a Subcontract which includes Maintenance
The subcontract is administered independently from the main contract and stands alone from it, in fact there are few references in the subcontract to the main contract. It is therefore possible to have...
View ArticleNEC3 ECS: Does the S/C get on with works based on previously accepted...
If the programme isn't accepted does the S/C get on with works based on previously accepted programme or the latest proposed programme?
View ArticleAnswered: NEC ECC: What is the procedure for dealing with proposed...
Just read the clauses within section 26 of the contract and they should be pretty self explanatory. In simple terms the Contractor has to put forward for acceptance any subcontractor they wish to...
View ArticleAnswered: NEC ECC: Uncertainties in a compensation event - better to go...
Clause 63.14 is not actually saying resort to actual cost. It is saying where both parties agree then you can use activity schedule rates to assess a compensation event - but that could still be on a...
View ArticleAnswered: NEC ECC: Actual cost used for a CE
Again not really. 62.1 is about alternative quotes for dealing with something a different way and then deciding which one they want, not giving a quote for forecast and one for actual. If both Parties...
View ArticleAnswered: NEC3 ECS: Does the S/C get on with works based on previously...
The requirement to "get on with it" exists whether you have an Accepted Programme or not! Clause 30.1 requires the Subcontractor to do work "so that Completion is on or before the Subcontract...
View ArticleAnswered: NEC ECC: Clause 61.2 - can the contractor revisit their quote after...
Nothing to stop them doing it. If they have realised the quote was wrong they can submit a new one. The Project Manager can not exactly ignore it as if they can see the first quote was wrong they...
View ArticleAnswered: NEC ECC: Re. What is the procedure for dealing with proposed...
There is an obligation to issue Subcontractors for acceptance and the contract states they should not be appointed (never mind be on site!) until they have been accepted. If the PM ever realises this,...
View ArticleAnswered: NEC ECC: For an Option A contract, when measuring a CE should you...
In your Option E ECC compensation events are assessed using Defined Cost plus Fee with Defined Cost being a defined term at clause 11.2(23). So for Subcontractors, Defined Cost is "the amount of...
View ArticleNEC ECC: Under an Option A, where there is X1 present, do you apply inflation...
We are currently operating on a main option A with X1 in the options, the contractor has been applying for inflation within the completed activities but has not been applying inflation to agreed CE's,...
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