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Channel: ReachBack by BuiltIntelligence - Recent questions and answers in NEC3 and NEC4 Contracts
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NEC3 ECC: Is Damage to Existing Infrastructure a Disallowed Cost?

A Contractor, working on a maintenance scheme, has damaged existing infrastructure, which was not part of the works. Is the repair to the damaged infrastructure disallowed cost?

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Answered: NEC3 ECC: Uplift in claimed principal contractor sub-contractor...

Depends if the reason for the reason for "actual delay" is a compensation event or not. If it is a compensation event then potentially yes (as long as they can prove it is an element of Defined Cost),...

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Answered: NEC3 ECC: Can an adjudicator decide to use rates to assess a CE if...

I would agree that the Adjudicator did not have the power to decide to use rates. The Adjudicator's job is to answer the question put forward in accordance with the contract that has been signed up to...

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Answered: NEC3 ECC Option B - Is the Contractor entitled to 100% of the value...

The amount due at each assessment date is determined with reference to Core Clause 50.2, and Option B Clause 11.2(28). At each assessment date the Price of Work Done to Date is the total of : 1. The...

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Answered: NEC3 ECC: Before implementation and after instructing the...

This is not a straight forward one, both contractually and practically. Whilst putting it in writing I kind of went full circle as to what I believe my answer is. Firstly, there is no where obviously...

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NEC3 ECC: What does clause 60.1(8) cover?

What is clause 60.1(8) specifically intended to pick up that clause 60.1(1) would already cover? If the Project Manager changes a decision that changes the Works Information then this would be covered...

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Answered: Adding Working Areas overhead percentage to defined costs within an...

You apply the percentage for Working Area overheads to the people costs listed in section 1 of the Schedule of Cost Components. People 11, 12 & 13 are cost headings for people directly employed by...

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Answered: NEC3 ECC: As a client do I have to pay a finders fee passed on by...

The amount due under an Option C contract is Defined Cost plus the Fee (Refer clause 50.2, 11.2(29) and 11.2(23)). The Defined Cost for People is determined with reference to the Schedule of Cost...

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Answered: NEC3 ECSC: Lack of 61.1 in the Short contract?

The answer to the first part of your question "where is the equivalent ... ?" is that there is not a direct equivalent, although the second bullet point implies that they can. Why ? Having been lead on...

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NEC3 ECC: What is the outcome if Clause 60.1(12) has been deleted from the...

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ECC NEC3 Option E - Can the Employer offset/deduct Contractor costs due to...

The scenario is; Option E reactive/emergency project. Contractor employs a sub-contractor to carry out a specialist piece of work. The breakdwon of a sub-contractor piece of equipment causes the...

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NEC3: Can a main Contractor make a claim against an architect regarding...

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Answered: NEC3 ECC: changes to the Contract Data - what is in the power of...

What the contract is correctly saying is that there can not be an instruction issued to change anything in Contract Data - like you say change Delay Damages form £10/day to £1000/day. When it comes to...

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Answered: NEC3 ECC: Can non-implemented compensation events be included on a...

A common question to this platform so you can ave a search on answers already given, but in summary: Yes the Contractor shows effects of non-implemented compensation events - how can they not? If the...

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NEC3 ECC Option C - Is damage to crew transport a disallowable cost?

The Contractor has submitted costs for the repairs and replacement to hire vehicles following damage and theft. The vehicles were for the transport of personnel from their base location to site and not...

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NEC3: How can I forecast defined cost of a compenation event if rates are not...

Thanks for the answer to my original question. Continuing along the same line I understand compensation events are assessed based up the actual defined cost, the forecast defined cost and the...

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Answered: ECC NEC3 Option E - Can the Employer offset/deduct Contractor costs...

Under options C to E a Defined Cost is what the Contractor pays the Subcontractor in accordance with the subcontract, subject to some deductions in clause 11.2 (23). So the first port of call is to...

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Answered: NEC3: Can a main Contractor make a claim against an architect...

You would have to look at the contract and obviously in particular the novation terms. In addition, whether those errors were caused by the architect NOT exercising reasonable skill and care (as...

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NEC3 PM DISAGREES WITH CE EVALUATION/QUOTATION

Assuming the correct process has been followed by the PM requesting a quotation and a revised quotation; and the contractor has responded accordingly, what redress has the PM got should he/she disagree...

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NEC3 ECC: If the Employer reduces the scope of the works to be completed,...

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