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Channel: ReachBack by BuiltIntelligence - Recent questions and answers in NEC3 and NEC4 Contracts
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Are Working Area Overhead and / or People Overhead included in NEC4 contracts?

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Answered: NEC ECC: Working Area Overhead Percentages - Inclusions/ exclusions

The WAO leads to many an argument. Thankfully in ECC4 it will be no more. Coming back to ECC3. The opening statement to the SCC states "...An amount is included in only one cost component and only if...

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How does NEC4 improve on NEC3 in terms of auditing Defined Cost?

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Answered: NEC ECC: Can I claim for prelims on omitted work on short form...

Activity schedule rates or as in your case here bill of quantity rates are not used to assess the value of compensation events UNLESS by agreement (and I have to remind people that this means both...

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Answered: NEC ECC: Is a change to the Working Area a compensation Event

This could be a compensation event under at least two headings : - 60.1 (1) where the reduced WAs are a new 'contraint' so a change to the Works Information; &/or - 60.1 (2) where you are not...

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Answered: NEC ECC: Model Tender Assessment

The reason is because there are some differences in how / what the percentages are applied between the options I.e. : - Under options A & B, you use the Shorter Schedule of Cost Components for...

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Answered: NEC ECC: Is it incumbent on the PM to correct mathematical errors...

There is a view, backed by comments from a judge, that the PM is an 'impartial administrator' of the contract "in matters of certification (of payments) and assessment" of CEs. Consequently, if the PM...

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Answered: NEC ECC: Is there a way to set two defect dates when there is a...

Who are you? Now please note, I don't mean that rudely! I mean are you the Contractor or the Employer? This is a current gap that exists within the ECC contract, as the Defect Date only hangs off the...

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NEC ECC: Tender Technical submission

NEC 3 Options A,B,C & Short - When we submit a technical submission with our tender, which is scored, does the information that we provide form part of the contract or is it just for information...

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NEC ECC: New ECI Clauses: How is change managed during Stage 1?

Looking to adopt the new NEC3 ECI clauses for a major highways scheme using Option C,  and would like to know how 'Change' to the Stage 1 Prices is managed during Stage 1. I'm am not clear if change is...

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Answered: NEC ECC: The Contract is late and LDs may be levied - the PM has...

No! If there is a new compensation event - you see if this affects planned Completion further, and if so you move Completion date by the same amount. If this fencing does not change planned Completion,...

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Answered: NEC ECC: Clause 31.2 Programme - items to be shown on the programme

Dave has answered half of your question. You also asked about "acceptances". This would be for items such as design acceptance, where by the Contractor submits a design for acceptance and you need to...

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How does NEC4 provide for Building Information Modelling (BIM)?

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How does NEC4 improve on NEC3 in terms of auditing Defined Cost?

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Answered: NEC ECC: New ECI Clauses: How is change managed during Stage 1?

In Stage 1 using option C, the contract is effectively a cost reimbursable contract so while there are compensation events, they only adjust forecasts of out turn and should match up to the forecast of...

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Answered: NEC ECC: Tender Technical submission

It depends on whether it is is incorporated into the contract by reference from the Contract Data. If it is, then there can be no doubt. If it isn't, then there might  be arguments about intentions of...

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Answered: NEC ECC: Compensation Event without an accepted programme

Here is an area of the contract that NEC3 contracts don't prescribe too well what should happen. Contract is clear you use the last Accepted Programme to assess compensation events, but what is less...

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Answered: NEC ECC: Compensation Event without an accepted first programme of...

With difficulty ! The first thing to say is that the financial assessment is not directly linked to having an Accepted Programme as it is not mentioned in the key clause of 63.1. So in assessing the...

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Answered: NEC ECC: Is Radiodection Equipment classed as Survey Equipment?

My view would be that they are covered by the WAO as they are used to survey the ground, the purpose is irrelevant really. Whilst there is a health and safety reason for doing this there is also a...

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Can you summarise the key differences between NEC3 and NEC4?

We are considering moving to NEC4 but would welcome your thoughts on what the key differences are.

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