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Channel: ReachBack by BuiltIntelligence - Recent questions and answers in NEC3 and NEC4 Contracts
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Answered: NEC ECC: Option A contract non payment of prelims

You need to submit a revised activity schedule as it no longer reflects how you plan to do the works. These two months worth of costs should be allocated across other activities so that the total of...

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NEC3 ECC: When Substantiating CE's are Site diary’s sufficient for backing up...

I have several CE’s on a project where I have used the site diary to substantiate the Labour being used and time taken for the task, I’m being told that because this has not been signed by our client...

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NEC3 ECC: Option A - Activity Schedule

If an item of work is included within the Contractors Activity schedule but that item has not been carried out on site; how do we deal with the financial side of this issue: a. Presumably it cannot be...

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Answered: NEC ECC: Can a Project Manager "unaccept" an Accepted Programme?

Bad news is that you can't withdraw acceptance of the last programme. The good news is that they HAVE to submit a revised programme at the interval stated in contract data part 1 (normally every 4...

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Answered: NEC ECC: Revising the programme

It is not clear from your comments as to whether or not there was a clause 31 programme. Based on the statement of “a revised clause 31” it would seem that a clause 31 had been submitted. If that is...

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Answered: NEC ECC: Option B - issue with measurement of bill item

The sections of wall where the spacing is 1.75m are technically a Defect ie a part of the works which is not in accordance with the Works Information. There are therefore 2 issues to address. Firstly...

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Answered: NEC ECC: If a reason for a CE is deleted can the Contractor claim...

I doubt you'd have success with this approach. By deleting the express provision of the contract that deals with physical conditions the intent of the Employer was clearly to transfer this risk to the...

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NEC ECC: Is there any compensation to the Contractor for early takeover by...

Lets create a scenario that has been bothering me for a while on Core clause 35. The Contractor is ahead of schedule and has completed the project 3 months in advance the client now wants to take over...

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NEC3 ECC: Can a CE be raised for abortive costs?

If a PMI is raised to a Contractor asking for a design proposal and quote for a new external door, can the Contractor apply for abortive costs under a Compensation Event (e.g. time spent, architects...

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Answered: NEC ECC: Is there any compensation to the Contractor for early...

The fact that the Contractor achieves Completion early should not reduce his payment on an Option B. Depending upon the Method of Measurement that is used, the principal preliminary items are generally...

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Answered: NEC ECC: Are you time bared to raise compensation events if you...

Yes! These are separate processes. You are time barred if you have not notified a compensation event within 8 weeks (if it is one you are responsible to notify). The time bar commences from when you...

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Answered: NEC ECC: Delay does not move out planned Completion

I assume you mean your own internal Contractors "PM". Yes you are correct. If there is no effect on planned Completion there is no entitlement to price "prelim" type costs or to move Completion date as...

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NEC3 ECC: Option B - Remeasurement

When the main item on the BoQ is remeasured at the end of the job,  and it is found to significantly reduce the value of the project (in our case by 40 - 50 percent )  can a compensation event be made...

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NEC3 ECC: Option A - Remeasurable?

We are working on an Option A Contract and the priced Activity Schedule provided by the client details quantities. Following commencement we have completed a section of works but not completed the full...

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Answered: NEC ECC: Option A contract expiratoin

It's difficult to answer your question without a greater understanding of the circumstances you find yourself in. The reasons for termination are stated under clause 91, if you can satisfy yourself...

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Answered: NEC ECC: Undervalued BofQ items

In short no. Once a CE is implemented that is full and final. An under estimated rate does not constitute a new compensation event (and equally nor can the Employer have money back if rate was way over...

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Answered: NEC ECC: Could the PM while making his own assessment have made...

Not really, but he could evaluate what he believes the compensation event should have been in accordance with the contract. These are not subject to a revisit after implemented - only through...

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Answered: NEC ECS: Are there specified reasons in the contract for removing a...

The Contractor can instruct this, but it is intended to be for matters such as health and safety breaches, security or disorderly behavior. If it was for any other reason then the Subcontractor could...

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Answered: NEC ECC: PM assumptions

Yes, the PM could not contractually do anything else! They can make their own assessment of the assumptions, and practically speaking should present these in a detailed format so the Contractor can...

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NEC3 ECC: Applying of Clause 51.2

We have recently issued the required notice that will be applying for interest on late payment under Clause 51.2,  as we not received payment in over the 4 weeks from the assessment date, the contract...

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