NEC ECC: Can the shorter schedule of cost component be omitted from NEC3...
We are currently operating as a subcontractor on NEC3 Option B. I have just started on the contract and have observed there is no shorter schedule of cost components included within contract data part...
View ArticleNEC ECSC: PM's responsibilities with regards to insurance disputes
I am currently the PM on a commercial project using the NEC3 Short Form. This project comprised the construction of an extension to and minor refurbishment of an existing office building. During the...
View ArticleAnswered: NEC ECC: Is acceptance of a revised programme relating to a CE...
NO (written in capital letters to emphasise the point). The acceptance of the programme does not mean they have agreed the principle of the CE or the duration of the CE by accepting it. That will come...
View ArticleAnswered: NEC ECS: Take over before Completion Date and Sectional Completion
You say "The Contractor insists that his Data Part 1 statement leaves the liability for the system with the subcontractor until Completion of the whole of the Works." To answer the question, I need to...
View ArticleAnswered: NEC ECC: Provision of Contractor Invoice
You're right that the NEC does not mention invoices therefore if the Employer / Client requires the Contractor to submit invoices they should include this in the contract in either the Works...
View ArticleAnswered: NEC ECC: Own Equipment
If the item of Equipment is neither in the published list nor listed in Contract Data then your proposal sounds entirely reasonable and yes whatever market rate you establish you apply the direct fee...
View ArticleAnswered: NEC ECC: Can subcontractors quotations or invoices be used in...
Clause 11.2(22) basically means that rather than just pass on the subcontract cost as a lump sum plus the subcontract fee percentage, the cost needs to be broken down into people, Equipment, Plant and...
View ArticleAnswered: NEC PSC: Under NEC3, does the Employer's Agent have to be a named...
It's always best if they are a named individual however it's not uncommon to see a company being referred to instead. Pay close attention to what authority is conferred on the Employer's Agent in the...
View ArticleAnswered: NEC ECC: Acceleration quotation
Whilst your quotation for acceleration will take account of the impact of it on your works and programme, from a commercial point of view it's treated separately, like a compensation event. If the PM...
View ArticleAnswered: NEC ECC: If there will only be one contractor on a project, but...
It's usual for the Client to appoint a Principal Designer to prepare the pre-construction information as they can't go out to tender without issuing this to bidders. The Client will also need...
View ArticleAnswered: NEC ECSC: PM's responsibilities with regards to insurance disputes
Strictly speaking it's for the Employer or Contractor to notify the insurer, usually the Employer would tell the Contractor to do this however as the insurance is in joint names the Employer could...
View ArticleAnswered: NEC ECC: Change to the Scope
You are entitled to an extension of time for the additional work that delays planned Completion as shown on the Accepted Programme current at the dividing date (clause 63.5). The PM could have used...
View ArticleAnswered: NEC ECC: Disruption & Complexity
The simple answer is that you have to assess the prospective disruption at the time of the original compensation event. I am not saying this will be easy, but there is no other way of claiming it. You...
View ArticleAnswered: NEC ECS: Interest charges on subcontract payments
The Contractor would be in breach of contract if interest that the Subcontractor was entitled to wasn't paid. You'd then run the risk of an adjudication and possibly end up owing interest on the interest.
View ArticleAnswered: NEC ECC: Am I obliged to carry out works under instruction if the...
Not sure you are obliged to, but if you don't proceed and you are late it may be your liability if you are then late. There would probably need to be more information needed to answer this question...
View ArticleNEC ECC: Is the Contractor obliged to notify sub-subcontractors to the...
Contractor has to issue subcontractor for acceptance under an ECC contract and Project Manager accepts. Few weeks later the accepted Subcontractor notified the Contractor under their ECS contract that...
View ArticleNEC ECC: Medical Suspension - Disallowed Costs?
Under a NEC framework the contractor has applied for costs for staff who has been medically suspended. The staff member is contracted under a cost reimbursable PSC contract and not a project delivery...
View ArticleNEC ECS: Subcontractor withholding important information and demanding payment
NEC3 - ECS Option A. We are a Contractor and have a Subcontractor who has been employed to install a specialist distribution machine. Without it the clients warehouse doesn't perform properly. We have...
View ArticleAnswered: NEC ECC: Can an accepted programme under NEC be retracted for a...
No the accepted programme can not be "revoked" or unaccepted. However, the Project Manager can instruct a new programme to be issued for acceptance showing the correct contractual Completion Date and...
View ArticleNEC ECC: Temporary propping of bracing - is this a Defect?
I have a Consultant PM employed under the NEC3 PSC. My Consultant PM is managing the construction of a new building and I oversee his part in that process. The main Contract is an NEC3 ECC option B...
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