Answered: NEC3 ECC: Disallowed cost
Good question but no the second batch of five is NOT dependent upon one of the first three being achieved. The first three are "costs that the Project Manager decides", and the latter five are "costs...
View ArticleNEC3 SC: Design Liability under a Supply Contract?
Under a supply contract the purchaser has provided drawings to the supplier. Under the supply contract the purchaser has an obligation to review and 'approve' drawings. The supplier is disputing that...
View ArticleNEC3 ECC: Whats the significance of "Accept" versus "Approve" in an NEC...
I have inherited an Option C contract in which the Works Information is strewn with statements like "....shall submit to the Project Manager for approval" or "...the Contractor shall not proceed until...
View ArticleNEC3 Option B: Assesment of Bill of Quantities Item in order to assess extent...
The Contract Bill of Quantities in accordance with NRM2 had an Item for Structural Steelwork and listed a number of Structural Engineers drawings which the Contractor had to then insert his price...
View ArticleNEC3 ECC: T&S costs relative to the SCC
Under the SCC section 13 a) & b) the Contractor is now claiming just about everything and anything that appears as an "expense" within his accounting system against the contract. By this I mean...
View ArticleAnswered: NEC3 Framework Contract
I have seen ECSC used within a framework, though don't know how successful it has been. I would suggest that the question of inflation should be within the Framework Information, as it is the framework...
View ArticleNEC3: Option D; In Schedule of Cost Components (SoCC) 1.2 & 1.3, Is it a...
NEC3: Option D; In Schedule of Cost Components (SoCC) 1.2 & 1.3, Is it a requisite that these items should be included as entitlements in the Employment Contract or HR policies? If not included or...
View ArticleAnswered: NEC3 ECC: Early warning raised, event then becomes a problem,...
The way it should work is as follows: - An early warning is notified as soon as you become aware of the event that COULD affect either time/cost/quality (i.e. month 1) and you jointly try to...
View ArticleNEC3 TSC: Is there a standard approach to dealing with reactive repairs under...
Is there a standard approach to dealing with reactive repairs under the TSC? This would be high volume minor repair jobs that arise during the course of a month. I'm not sure as the whether it's better...
View ArticleAnswered: NEC3 ECC: Liability for defects
A very similar question was posted recently which we answered - and (unfortunately) I can only repeat the same answer here to the same question that has been posted a slightly different way. In an...
View ArticleAnswered: In NEC3 option D what is the correct treatment of Fringe Benefit...
I'm not familiar with the term fringe benefit tax however I believe in the UK this is what's called benefits in kind? If so then these are amounts deducted by the contractor from payments made to his...
View ArticleAnswered: NEC3 ECC: Whats the significance of "Accept" versus "Approve" in an...
If something is submitted to the PM for approval and the PM approves it then there is a risk that liability may have changed from Contractor to Employer. It may be unlikely though as it's clear from...
View ArticleNEC3 ECC: If the Employer takes over the Works, is it (subject to a defects...
We have an upcoming scenario in which the Works are going to be taken over by the Employer but there are outstanding works still to be performed. Under clause 35.3, the Project Manager is obliged to...
View ArticleAnswered: NEC3 ECC: Negative Risk in a Negative Compensation Event?
Not quite sure what you mean by "With additional works - as the client did not like the figures the risk register was showing - we have agreed a percentage uplift for risk". However, ignoring that, it...
View ArticleAnswered: NEC3 ECC: Proof of the Fee, does the Employer have the right to ask...
I will keep this brief - No!
View ArticleAnswered: NEC3 PSC: Under Option E, how is price assessed if actual cost...
Under option E the Consultant carries little risk. If the Consultant gave an estimate at tender stage then that does not contractually count for anything. I see no where in the cost reimbursable...
View ArticleWho is responsible for accepting/confirming close out of a defect
The contract has been written to omit the Supervisor and pass on his duties and responsibilities to the Project Manager. The Works Information states that the Contractor must follow his own quality...
View ArticleNEC3 Option B - The affect of Z-Clauses and Contractors Proposals on...
Clause 60.1(12), 60.2, 60.3, 60.4 and 60.5 have been removed from an Option B Contract via a Z-Clause. The Works Information requires on site testing of formation following excavation and a...
View ArticleCan I claim gain achieved whilst within a CE
I have a current project in which the groundworks activity was generous in the time allowed and I expected to finish this item in 10 days rather than the 22 contained in the accepted programme....
View ArticleNEC3 ECC: Rainfall - Weather CE
In a the following scenario, can someone provide guidance if indeed the PM was to make an assessment. Contractor notifies a CE due to rainfall exceeding one in ten year data. The weather centre issues...
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