Particular attention is given to the revised compensation event procedures, as well as:
the role of the project manager
the liabilities and obligations of the parties
the revised dispute resolution procedures

Publisher:

John Wiley & Sons

ISBN:

9780632053865

Publication date:

October 2006

Length:

248mm

Width:

181mm

Thickness:

26mm

Weight:

980g

Edition:

2nd Edition, Revised

Pages:

378

Illustrations:

0

Readership:

Undergraduate

• Preface 1 Introduction 1.1 Development of NEC contracts 1.2 Characteristics of NEC 3 1.3 Structure of NEC 3 1.4 Feedback from ECC 2 1.5 Changes from ECC 2 1.6 Points of interest in NEC 3 2 Main options 2.1 Introduction 2.2 Contract strategy 2.3 Option A - priced contract with activity schedule 2.4 Option B - priced contract with bill of quantities 2.5 Target contracts generally 2.6 Options C and D - target contracts 2.7 Option E - cost reimbursable contract 2.8 Option F - management contract 2.9 Option W1 - dispute resolution 2.10 Option W2 - dispute resolution 3 Secondary options 3.1 Introduction 3.2 Option X1 - price adjustment for inflation 3.3 Option X2 - changes in the law 3.4 Option X3 - multiple currencies 3.5 Option X4 - parent company guarantee 3.6 Option X5 - sectional completion 3.7 Option X6 - bonus for early completion 3.8 Option X7 - delay damages 3.9 Option X12 - partnering 3.10 Option X13 - performance bond 3.11 Option X14 - advanced payment to the contractor 3.12 Option X15 - limitation of contractor's liability for design 3.13 Option X16 - retention 3.14 Option X17 - low performance damages 3.15 Option X18 - limitation of liability 3.16 Option X20 - key performance indicators 3.17 Option Y(UK)2 - Housing Grants, Construction and Regeneration Act 1996 3.18 Option Y(UK)3 - Contracts (Rights of Third Parties) Act 1999 3.19 Option Z - additional conditions 4 Contract documents 4.1 Introduction 4.2 Entire agreements 4.3 Clause 12.4 of NEC 3 4.4 Construction of contracts generally 4.5 NEC 3 documentation 4.6 Essential contract documents 4.7 Identified and defined terms 4.8 The contract date 4.9 Works information 4.10 Site Information 4.11 Contract data 4.12 Schedules of cost components 4.13 Ambiguities and inconsistencies in the contract documents 4.14 Schedule of clauses referring to the works information 5 Key players 5.1 Introduction 5.2 Others 5.3 Actions 5.4 The employer 5.5 Express obligations of the employer 5.6 The project manager 5.7 Express duties of the project manager 5.8 The supervisor 5.9 Express duties of the supervisor 5.10 Communications 5.11 The project manager and the supervisor 6 General core clauses 6.1 Introduction 6.2 Actions 6.3 Identified and defined terms 6.4 Interpretation and the law 6.5 Communications etc. 6.6 Instructions 6.7 Adding to the working areas 6.8 Early warning 6.9 Ambiguities and inconsistencies 6.10 Illegal and impossible requirements 6.11 Prevention 7 Obligations and responsibilities of the contractor 7.1 Introduction 7.2 Design obligations, responsibilities and liabilities 7.3 Providing the works 7.4 The contractor's design 7.5 Using the contractor's design 7.6 Design of equipment 7.7 People 7.8 Working with the employer and others 7.9 Subcontracting 7.10 Other responsibilities 7.11 Express obligations of the contractor 7.12 Express prohibitions on the contractor 8 Time (and related matters) 8.1 Introduction 8.2 Starting and completion 8.3 Programmes 8.4 Revision of programmes 8.5 Shortened programmes 8.6 Access to and use of the site 8.7 Instructions to stop or not to start work 8.8 Take over 8.9 Acceleration 9 Testing and defects 9.1 Introduction 9.2 Definitions and certificates 9.3 Tests and inspections 9.4 Testing and inspection before delivery 9.5 Searching and notifying defects 9.6 Correcting defects 9.7 Accepting defects 9.8 Uncorrected defects 10 Payments 10.1 Introduction 10.2 Assessing the amount due 10.3 Payments 10.4 Defined cost 10.5 Payments - main option A 10.6 Payments - main option B 10.7 Payments - main options 10.8 Payments - main option D 10.9 Payments - main option E 10.10 Payments - main option F 11 NEC 3 compensation event schemes 11.1 Introduction 11.2 Changes in NEC 3 11.3 Outline of procedures 11.4 Defining a compensation event 11.5 Compensation events as exclusive remedies 11.6 Fairness of the compensation event procedures 11.7 Unusual features of the compensation event procedures 12 Listed compensation events 12.1 Introduction 12.2 Omissions from the list 12.3 Works information related events 12.4 Employer's default events 12.5 Employer's risk events 12.6 Project Manager / supervisor related events 12.7 Physical conditions 12.8 Adverse weather 12.9 Prevention 12.10 Measurement related events 12.11 Secondary option clause events 13 Notifying compensation events 13.1 Introduction 13.2 Notifications by the project manager 13.3 Notifications by the contractor 13.4 Project manager's response to notifications 13.5 Last date for notifications 14 Quotations for compensation events 14.1 Introduction 14.2 Instructions to submit quotations 14.3 Instructions for alternative quotations 14.4 Submission of quotations 14.5 Status of the contractor's quotations 15 Assessment of compensation events 15.1 Introduction 15.2 Changes from ECC 2 15.3 General assessment rules 15.4 Particular assessment rules 15.5 Project manager's assessments 15.6 Implementing compensation events 15.7 Other financial remedies 16 Title 16.1 Introduction 16.2 Employer's title to equipment, plant and materials 16.3 Marking equipment, plant and materials 16.4 Removing equipment 16.5 Objects and materials within the site 17 Risks and insurances 17.1 Introduction 17.2 Employer's risks 17.3 Contractor's risks 17.4 Repairs 17.5 Indemnity 17.6 Insurance cover 17.7 Insurance policies 17.8 Contractor's failure to insure 17.9 Insurance by the employer 18 Termination 18.1 Introduction 18.2 Summary of NEC 3 termination provisions 18.3 Termination for any reason 18.4 Termination under section 9 of NEC 3 18.5 Reasons for termination under NEC 3 18.6 Procedures on termination under NEC 3 18.7 Amounts due on termination under NEC 3 19 Dispute resolution 19.1 Introduction 19.2 Developments in dispute resolution 19.3 Meaning of dispute 19.4 Adjudication under option W1 19.5 Adjudication under option W2 19.6 Review by the tribunal 19.7 NEC 3 Adjudicator's Contract 20 NEC 3 engineering and construction subcontract 20.1 Introduction 20.2 Core clauses - general 20.3 Core clauses - the subcontractor's main responsibilities 20.4 Core clauses - time 20.5 Core clauses - testing and defects 20.6 Core clauses - payment 20.7 Core clauses - compensation events 20.8 Core clauses - title 20.9 Core clauses - risks and insurance 20.10 Core clauses - termination 20.11 Dispute resolution 21 NEC 3 family of contracts 21.1 The contracts 21.2 Engineering and construction short contracts 21.3 Term service contract 21.4 Framework contract 21.5 Professional services contract 21.6 Adjudicator's contract 21.7 Concluding comment