Answered: NEC3 Contract Programme - Half the scope
There is no such thing as deemed acceptance of the programme in NEC3, it simply doesn't exist. There is only deemed acceptance of compensation event notifications and quotations and only then when this...
View ArticleAnswered: Is it critical for Z clauses to be noted in CDP1 S1 General fist...
If it is not listed in first line of contract data (although it should be) you still cant say they don't exist if they are part of the bound signed contract.n It is a bit like if they dont list X7, but...
View ArticleNEC ECC: Option E, can the fee be changed if turnover is not what was expected?
On an option E contract our client has a clause that entitles them to audit the agreed rates, if the effect of the audit results in the rates being reduced this would then reduce the company turnover,...
View ArticleAnswered: NEC ECC: When is the Contractor entitled to a direct fee and when...
Just to add to QS007's comment above, As well as including for P&G type costs, the direct fee also includes head office overheads and any other cost not included in the Schedules of Cost Components.
View ArticleAnswered: NEC ECC: Option E, can the fee be changed if turnover is not what...
If the Client has the right to audit any rates and they are found to not be compliant with the contract, presumably the Schedule of Cost Components, then they may also have the right to 'change' them,...
View ArticleAnswered: NEC ECC: BoQ items doubled up?
Two ways of looking at it.... (i) 11.2(30) defines the PWDD as the quantity of work completed for each item in the Bill multiplied by the rate. So using your example of sub-base for backfill of...
View ArticleAnswered: NEC ECC - payment inspection
The Project Manager has the right to inspect accounts and records as provided by clause 52.3 of the cost reimbursable main options C, D and E, although the PM may also delegate this right under the...
View ArticleAnswered: NEC ECC: Option B. is Contractor entitled to direct fee on...
You price the change on the basis of deducting the defined cost of the omitted work, plus fee, and then adding back the defined cost of the additional work, plus fee. If the sliding gate costs more...
View ArticleNEC ECC: Data for Both Schedules of Cost Components Option C
If you include rates in CDP2 for both schedules of cost components under: Category of employee and hourly rate. Can these rates be used to calculate the Defined Cost when assessing a compensation event...
View ArticleAnswered: NEC ECC: Can the contractors share ranges be changed after contract...
There is no reason why the terms of a contract cannot be changed by agreement between the parties, subject to clause 12.3 which requires any changes to be in writing and signed by the parties. So to...
View ArticleAnswered: NEC ECC: People 1.13 - Travel
Firstly it must be a travel cost that is paid for by the Contractor and secondly it must also be incurred in order to Provide the Works. I would suggest that it would be a cost if it does not form part...
View ArticleAnswered: NEC ECC: Application of WAO when assessing the effect of a...
Under Option C a CE would usually be assed using the Schedule of Cost Components unless the PM and Contractor agree otherwise. Using the standard contract and the SCC the WAO% would be applied to the...
View ArticleAnswered: NEC Option A - Contractor's Risk Register
The Works Information has been changed and as such the matter is a compensation event (I have assumed that the Contractor did not instigate the change). The financial assessment of the compensation...
View ArticleAnswered: NEC ECS: Option A - Reactive works carried on inefficiently
Yes there is something that protects the Contractor - it is called the contract! 63.1 states that if the instruction changes the Works Information then it should be based upon forecast defined cost (it...
View ArticleAnswered: NEC ECC - Payment on consumables
The simple answer is what is stated in the Works Information or Scope? If it says 'coffee' then you would be obliged to provide just that, presumably a product that complies with the description which...
View ArticleAnswered: NEC ECSC: What forms the Works Information
No, it is a separate contract document which is used in the administration of the financial procedures under the contract, see contract clauses 11.2 (9), 11.2 (10), 50.3 and 62.1.
View ArticleNEC PSC: Should a forecast of expenses be included within the tendered Prices...
Under option A, a Consultant gets paid expenses incurred at the rates identified within contract data. However, should they have included a forecast of likely expenses within their tendered Price, or...
View ArticleAnswered: NEC PSC: What relevance are Employer expenses in CD1?
It is a mechanism which allows the Employer to state what expenses they wish the Consultant to be responsible for (that is to pay on behalf of the Employer) and also to define what will be reimbursed,...
View ArticleAnswered: NEC ECC: Is it possible to use ECI with same Contractor moving onto...
Your question refers to NEC3 but I believe this must be a typo in that you mean NEC4 and the use of X22. In principle yes you would be able to use the intention of X22 but not X22 itself. I would...
View ArticleAnswered: NEC ECC: Can PM designate certain brand of consumables in PM...
If the Works Information at tender stated that the Contractor was to provide 50 No. 900g cans of spray paint and the Project Manager now requires the Contractor to provide 50 No. 900g cans of Brand X...
View Article