Answered: NEC ECC: Option A - Activity Schedule not updated
Once a compensation event is implemented then it can be added to the activity schedule and if completed that item will become payable that period. However, it is not necessary to revise and issue for...
View ArticleAnswered: NEC ECS: Option A - Work areas unavailable. Is this a CE under...
See clauses 61.1 and 61.3 for who should notify. In essence, if it is a compensation event under 60.1 (1) or (4), then the Contractor should notify and there is no time bar on the Subcontractor...
View ArticleNEC ECC: Request Termination of Contract
We received a Purchase Order from our clients for an agreed scope of works. This was duly signed and returned. Clients have without any formal notice offered another sub-contractor part of our supply....
View ArticleNEC ECC: Subcontracting - clause 26.3
What is meant by: The Contractor does not appoint a Subcontractor on the proposed subcontract conditions submitted until the Project Manager has accepted them. A reason for not accepting them is that•...
View ArticleNEC ECC: Responding to Compensation Events
We are Contractors on a project in which we have entered into an NEC3 contract with our customer. The customer has received some CEs from another sub-contractor. The customer has decided that these...
View ArticleNEC ECC: Amount paid under option C CE's
So in short, under option C, the effect of any CE is to increase the total of the Prices (target) and then the actual cost of the CE is just assessed/forecast as with all other defined cost, whether it...
View ArticleAnswered: NEC ECC: Can a Project Manager carry out an assessment in 64.1 for...
It shouldn't just be that they don't like it or cant afford it, but at the end of the day the Project Manager can always make their own assessment under the second bullet of clause 64.1. Not correctly...
View ArticleAnswered: NEC3 ECC: 11.2 (22) - Inclusions of preparing a quotation
The literal reading of clause 11.2(22) is the former sentence and I have seen legal texts which conform this. Additional procurement, setting out are part of the compensation event and therefore part...
View ArticleAnswered: NEC3 PSC Expenses - Target Cost
The PSC does this a little bizarrely in that : - neither the Prices or the Price for Services Done to Date (PSDD) include for expenses, so the pain /gain is not affected by how much expenses the...
View ArticleAnswered: NEC ECC: Can One Event Result in Two Compensation Events?
Firstly, any assessment of time is made based on the affect on the planned Completion date (Contractor's forecast finish date) rather than the Completion Date (contract stated date). If the planned...
View ArticleNEC ECC: Can I accept a programme submitted by the contractor that does not...
There is a possibility that the key dates are not possible to meet due to the possible lead in times for Statutory Undertakers work stated in Appendix 1/16
View ArticleChange to the Works Information
On an option C contract , we have received numerous drawings via PMI whereby the revision has been amended however the Project Manager has provided no indication of where the changes are on the...
View ArticleNEC ECC: Option B - CE Quotation inclusion of People Time for EWN and CEN
I have an Option B contract and the Contractor has started including time associated with raising the Early Warning notification and notify a Compensation Event within their quotation for the...
View ArticleNEC ECC: Contractor Revision of PM Asssessed CE
I have a scenario on a project carried out under NEC3 ECC Option B. See below: 1- Contractor carries out additional work instructed under PMI and did not issue a CE until the work was completed, due to...
View ArticleAnswered: NEC ECC Option C - Does the Contractors 'Risk Allowance' reduce the...
No - the Prices are not reduced except for situations in the contract that it says that it can, the obvious ones being change in Works Information instructed by the Project Manager and when accepting a...
View ArticleAnswered: NEC ECC: Cancelling Compensation Events
You do not state which Main Option you are using, although you should treat the scope of works as a 'configuration control' exercise, using the Contract Date as the baseline and incrementally adjusting...
View ArticleAnswered: NEC ECC: Option A - Assessment of delay costs - People
People 1 of the Shorter SCC (because it is option A) states :"The following components of the cost of - .... - people who are directly employed by the Contractor" (which the contract manager is) "and...
View ArticleNEC3 ECSS Defect Rectification when the Sub-Contractor doesn't believe it is...
We have notified our tarmac surfacing sub-contractor, who were employed under an NEC3 ECSS 2005 with 2013 Amendments incorporated, of a defect in their works that needs to be rectified. Multiple...
View ArticleNEC ECS: Sub-subcontractor costs
When valuing CE's which include a sub sub contractors costs, should the sub sub contractors costs be exclusive of their overhead & profit and deemed to be included in the sub contracted fee in the...
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