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Channel: ReachBack by BuiltIntelligence - Recent questions and answers in NEC3 and NEC4 Contracts
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Answered: NEC ECC: Is there any status of exceptional acceptance of programme.

Imran, I would agree with Glenn - An accepted programme is just that, accepted. The 'exceptions' - or comments should only be minor issues. I too agree with accepting with comments to prevent minor...

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NEC ECC: Role of the Supervisor - How far are the 'testing requirements'...

How far do you go to define 'testing requirements' in the  Works Information? I'm referring here to the Supervisor's role in overseeing that all testing requirements have been carried out during the...

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Answered: NEC ECC: Paying for materials on site

Not sure what you mean by "MOS" but no reason why a Contractor can not break down their activity schedule to include an activity to allow payment for materials once they have arrived on to the site....

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NEC ECC: How do you deal with increase in subcontract rate due to termination...

We are operating under NEC 3 Option D Contract. The  Contractor’s subcontractor will be terminated to due to substantial defects in the subcontract works.  Under the subcontract agreement,  the...

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Answered: NEC ECC: Disallowed costs for standing around time due to a health...

Firstly, the circumstances described might lead to a compensation event. However, as it is likely that it "arose from the fault of the Contractor", the assessment is likely to be zero, so any extra...

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NEC ECS: The Contractor is paying 3 months late and not issuing a pay less...

Under option A we have £120K per week of CEs because the Contractor has not provided the design. The Contractor is paying 3 months late and not issueing a pay less notice. I want to get more...

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NEC ECC: Method of measurement and payment under Option A and C?

To clarify further, my inquiry is in regard to the testing of material, and specifically the timely receipt of test certificates. The item is clear when using Option B and D as the Method of...

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NEC ECC: Can Clients insist on Contractor's using NEC Contracts in their...

Food for thought.... Can Clients insist on Contractor's using NEC Contracts in their supply change? I often read about the benefits of the Contractor utilising back-to-back NEC Contracts with their...

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NEC Supply Contract: Who is a Subcontractor?

Under the Supply Contract the definition of a Subcontractor is “organisation who has a contract with the Supplier to 1) supply part of the goods and services or 2) provide plant and materials which the...

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NEC ECC: Can time bar principles be applied to accepted CE's?

The Contractor has notified a CE in May’17 and the PM has accepted the CE on the basis that it represented a change to the Works Information (not arising from the Project Manager or the Supervisor...

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Answered: NEC3 ECC: Supervisor - Roles and Responsibilities

In short - No! The role of the Supervisor is pretty much solely to monitor that the works are carried out in accordance with the Works Information, identify defects and get involved with tests and...

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Answered: NEC ECC: Use of CECA Rates for Standing Time in a CE Assessment

The percentage adjustment for listed Equipment is essentially a weighted guess'estimate for the Equipment that the Contractor thinks will be used for compensation events. As such sometimes he will gain...

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Answered: NEC3 ECC: Option E Fee on Fee

Yes you are indeed correct, the subcontractor's direct fee % covers their corporate overheads and profit, your 15% subcontract fee % covers your corporate overheads and profit.

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Answered: NEC ECC: Role of the Supervisor - How far are the 'testing...

To my mind 'best practice' is providing information which appropriately describes the Employer's (or Client's) requirements.  Remember that the Employer is responsible for providing the (his) Works...

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Answered: NEC ECC: Supervisor to confirm what's in the Works Information ONLY.

I guess the Supervisor could ask, but not instruct, and up to you whether you follow their advice or not. It is up to the Contractor to make sure they are compliant with the Works Information, and as...

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Answered: NEC ECS: Unaccepted Programme

In terms of contractual obligations, it is important to realise that the contracting party can change what ever they like in the Accepted Programme provided it still complies with the requirements of...

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Answered: NEC ECC: Can retention be held under NEC3 option X16 following...

I think the answer is No. Whatever procedure the Employer may have in place does not alter the way in which the contract obliges each Party to do, unless the contract was amended appropriately. If you...

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Answered: NEC ECC: Deleted 18.1

Taking your second question first, it is not so much a case of deleting X18, but not including it in the first place! The Employer chooses which secondary options to include and lists them in contract...

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Answered: NEC ECC: Option A - split payment of Compensation Events

There is nothing to stop you breaking a compensation event down into smaller elements so that it allows for individual elements to be paid as they are completed. There is nothing to say that a...

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Answered: NEC ECC: Can I change the price for an activity using a CE if a PMI...

Presumably the delay to the works would be a compensation event e.g. you were not given access to the works by the access date stated in contract data (clause 60.1(12)). If that is the case then you...

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