NEC 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...
View ArticleNEC ECC: Reduce Quantity of Works in Option B
If the Project Manager gives an instruction to reduce the quantity of works, is it a compensation event? If yes, how can we assess the reduced price using define cost when we can remeasure the amount...
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 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: Contractor Revision of PM Asssessed CE
Unfortunately this is quite a common situation in practice, which highlights the need to follow the procedures in the contract to avoid such 'problems' from arising. From what you have said, if the...
View ArticleAnswered: NEC3 ECC: Can the Employer terminate for budget cuts?
Yes, the Employer could terminate for budget cuts. This though is not a reason listed in clause 92. Consequently, it is for 'A reason other than R1 - R21' as per the table in clause 90.2. As a result,...
View ArticleAnswered: NEC ECC: Project Manager instructs a change to the Works Information
a. If the PM has accepted the quotation of £27K, the CE has been implemented, so the Contractor is paid £27K - Clause 65.2 is the relevant clause. b. The situation is the same under all main options A...
View ArticleAnswered: NEC ECC: Option A - Assessment of delay costs - People
Can I add a slightly different perspective... The assessment of the cost incurred as a result of the delay has little, if anything, to do with what normally happens. It can be quite dangerous to start...
View ArticleNEC ECC: what happens if an activity is missed from the Contractors programme.
The contract is ECC Option A with secondary Options X15 and Y(UK)2 being incorporated. The Contractor submitted his first programme for acceptance in accordance with the contract timescales but now...
View ArticleNEC ECC: A small area of new pavement construction has settled and is...
A small area of new pavement construction has settled and is beginning to crack. This occurs before Completion of the works in an ECC Option A Employer-designed contract. a. What do the Supervisor and...
View ArticleNEC ECC: Project Manager instructs the Contractor to stop work on a part of...
On an ECC Option C Employer-designed contract, the Project Manager instructs the Contractor to stop work on a part of the works as, following instructions from the Employer, the Employer's designer is...
View ArticleNEC ECC: Can a contractor recover prelims in their CE quotation as well as...
I have a contractor who is looking to recover prelim % in his CE Quotation, my understanding was that his fee % would cover profit and any head-office overheads, is he entitled to recover prelims % as...
View ArticleNEC ECC: 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...
View ArticleNEC ECC: PM's refusal to accept CE that is clearly one of the CE's in this...
In the Sub Contract T's and C's we have been tasked with installing our works using "Industry Best Practice". In order for us to do that the Client/Contractor needs to supply us with water and dust...
View ArticleNEC ECSC: Short form price list - what happens if item omitted?
On a short form ECSC contract, our subcontractor has submitted a price list with 8 items on it for carrying out the scope. Each item has x price against each item. We have changed the WI resulting in...
View ArticleAnswered: NEC ECC: what happens if an activity is missed from the Contractors...
a. Given that it is an Option A the cost of the fencing is deemed included in the total of the Prices therefore there should be no extra payment (provided it was shown in the Works Information at...
View ArticleAnswered: NEC ECC: A small area of new pavement construction has settled and...
a. The Supervisor, PM and Contractor should discuss the situation to see if they can agreed what the cause of the issue is. If it is unclear the Supervisor should instruct the Contractor to search for...
View ArticleAnswered: NEC ECC: Project Manager instructs the Contractor to stop work on a...
The instruction from the Project Manager is a compensation event under clause 60.1 (4), so this should have been notified by the PM at the time of giving his instruction. If the PM did not notify,...
View ArticleAnswered: NEC ECC: Disallowed, Option A, SSCC for a compensation event
The pure contractual solution would be for the contracts manager (CM) to do the same work inside the Working Areas (WAs) if possible. This could include adding to the WAs by, for instance, making a...
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