NEC3 Engineering and Construction Contract

 

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Engineering and Construction Contract This contract should be used for the appointment of a contractor for engineering and construction work, including any level of  design responsibility

An NEC document

April 2013

Construction Clients’ Board endorsement of NEC3 The Construction Clients’ Board recommends that public sector organisations use the NEC3 contracts when procuring construction. Standardising use of this comprehensive suite of contracts should help to deliver efficiencies efficiencies across the public sector and promot promote e behavio behaviours urs in line with the principles of   Achieving Excellence in Construction.

Cabinet Office UK

 

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NEC is a division of Thomas Telford Ltd, which is a wholly owned subsidiary of  the Institution of Civil Engineers (ICE), the owner and developer of the NEC. The NEC is a family of standard contracts, each of which has these characteristics: .

Its use stimulates good management of the relationship between the two parties to the contract and, hence, of the work included in the contract.

.

It can be used in a wide variety of commercial situations, for a wide

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variety of types of work and in any location. It is a clear and simple document document – using language language and a stru structure cture  which are straightforward and easily understood.

NEC3 Engineering and Construction Contract is one of the NEC family and is consistent with all other NEC3 documents. Also available are the Engineering and Construction Contract Guidance Notes, Flow Charts and Options A, B, C, D, E and F. ISBN (complete box set) 978 0 7277 5867 5 ISBN (this document) 978 0 7277 5865 1 ISBN (E (Engi nginee neeri ring ng and Co Const nstruc ructio tion n Co Contr ntract act Gu Guida idance nce Not Notes) es) 97 978 8 0 727 7277 7 59 5903 03 0 ISBN (Engineering and Construction Contract Flow Charts) 978 0 7277 5905 4 ISBN (Option A: Priced contract with activity schedule) 978 0 7277 5869 9 ISBN (Option B: Priced contract with bill of quantities) 978 0 7277 5871 2 ISBN (Option C: Target contract with activity schedule) 978 0 7277 5873 6 ISBN (Option D: Target contract contract with bill of quan quantitie tities) s) 978 0 7277 5875 0 ISBN (Option E: Cost reimbursable contract) 978 0 7277 5877 4 ISBN (Option F: Management contract) 978 0 7277 5879 8 ISBN (how to write the ECC Works Information) 978 0 7277 5907 8 ISBN (how to use the ECC communication forms) 978 0 7277 5909 2 Consultative edition 1991 First edition 1993 Second edition 1995 Reprinted November 1995 with amendments Reprinted with corrections May 1998 Third edition June 2005 Reprinted with amendments June 2006 Reprinted 2007 (twice), 2008, 2009, 2010 (thrice), 2011, 2012 Reprinted with amendments 2013

British Library Cataloguing in Publication Data for this publication is available from the British Library. # Copyright nec 2013

All rights, including translation, reserved. The owner of this document may reproduce the Contract Data and forms for the purpose of obtaining tenders, awarding and administering contracts. Except as permitted by the Copyright, Designs and Patents Act 1988, no part of this publication may be otherwise reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of the NEC Director, Thomas Telford Ltd, One Great George Street, Westminster, London SW1P 3AA.

Typeset by Academic + Technical, Bristol Printed and bound in Great Britain by Bell & Bain Limited, Glasgow, UK 

 

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CONTENTS

 

Foreword

v

Preface

 

vii

Acknowledgements

 

ix

Amendments

   

x 1

Schedule of Options Core clauses   1

2 3 4 5 6 7 8 9 Main Option clauses   A

B C D E F Dispute resolution   W

General The  Contractor ’s main responsibilities Time Testing and Defects Payment Compensation events Title Risks and insurance Termination

3 7 9 11 13 15 20 21 24

Priced contract with activity schedule Priced contract with bill of quantities Target contract with activity schedule Target contract with bill of quantities Cost reimbursable contract Co

27 29 31 34 38

Management contract Option W1 Option W2

40 42 45

Secondary Option clauses   X1

Price adjustment for inflation X2 Changes in the law X3 Multiple currencies X4 Parent company guarantee X5 Sectional Completion X6 Bonus for early Completion Bo X7 Delay damages X12 Partnering X13 Performance bond X14 X1 4 Adva Ad vanc nced ed pa paym ymen entt to th the e  Contractor    X15 X1 5 Lim imit itat atio ion n of th the e  Contractor ’s ’s liability for his design to reasonable skill and care X16 Retention X17 Low performance damages X18 Limitation of liability X20 Key Performance Indicators Y(UK)1 Project Bank Account Y(UK Y( UK)2 )2 Th The e Ho Hous usin ing g Gr Gran ants ts,, Co Cons nstr truc ucti tion on an and d Re Rege gene nera rati tion on Ac Actt 19 1996 96 Y(UK)3 Th The Contracts (Rights of Third Parties) Act 1999 Z   Additional conditions of contract  

Note

 

48 49 49 49 49 50 50 50 52 52 52 53 53 53 54 55 59 59 59

Options Optio ns X8 to X11 and X19 are not used

Schedule of Cost Components

60

Shorter Schedule of Cost Components

63

Contract Data

 

65

Index

 

78

 

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FOREWORD

I was delighted to be asked to write the Foreword for the NEC3 Contracts. I hav have e fol follow lowed ed the outstand outstanding ing rise and success success of NE NEC C con contra tracts cts for a number of years now, in particular during my tenure as the 146th President of the Institution of Civil Engineers, 2010/11. In my position as UK Government’s Chief Construction Adviser, I am working  with Government and industry to ensure Britain’s construction sector is equipped with the knowledge, skills and best practice it needs in its transition to a low carbon economy. I am promoting innovation in the sector, including in particular parti cular the use of Buil Building ding Information Information Modelling (BIM) in publi publicc secto sectorr constr con struct uction ion pro procur cureme ement; nt; and the syn synerg ergyy and fit wit with h the col collab labora orativ tive e nature of NEC contracts is obvious. The Government’s construction strategy is a very significant investment and NEC contracts will play an important role in sett se ttin ing g hi high gh st stan anda dards rds of co cont ntra ract ct pr prep epar arat atio ion, n, ma mana nage geme ment nt an and d th the e desirable behaviour of our industry. In the UK, we are faced with having to deliver a 15–20 per cent reduction in the th e co cost st to th the e pu publ blic ic se sect ctor or of co cons nstr truc ucti tion on du duri ring ng th the e li life feti time me of th this is Parliament. Shifting mind-set, attitude and behaviour into best practice NEC processes will go a considerable way to achieving this. Of cou course rse,, NEC contract contractss are use used d suc succes cessfu sfully lly aro around und the wor world ld in bot both h public pub lic and private private sec sector tor pro project jects; s; thi thiss tre trend nd see seems ms set to con contin tinue ue at an increasing pace. NEC contracts are, according to my good friend and NEC’s creator Dr Martin Barnes CBE, about better management of projects. This is quite achievable and I encourage you to understand NEC contracts to the best you can and exploit the potential this offers us all. Peter Hansford UK Government’s Chief Construction Adviser Cabinet Office

 

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PREFACE

The NEC con contra tracts cts are the only sui suite te of sta standa ndard rd con contra tracts cts des design igned ed to facilitate and encourage good management of the projects on which they are used. The experience of using NEC contracts around the world is that they really make a difference. Previously, standard contracts were written mainly as leg legal al doc docume uments nts best lef leftt in the desk dra drawer wer un until til costly costly and delaying delaying problems had occurred and there were lengthy arguments about who was to blame. The language of NEC contracts is clear and simple, and the procedures set outt ar ou are e al alll de desi sign gned ed to st stim imul ulat ate e go good od ma mana nage geme ment nt.. Fo Fore resi sigh ghte ted d collab col labora oration tion between between all the con contri tribut butors ors to the pro projec jectt is the aim aim.. The contracts set out how the interfaces between all the organisations involved  will be managed – from the client through the designers and main contractors to all the many subcontractors and suppliers. Versions of the NEC contract are specific to the work of professional service providers such as project managers and designers, to main contractors, to subcontractors and to suppliers. The wide range of situations covered by the contracts means that they do not need to be altered to suit any particular situation. The NE The NEC C co cont ntra racts cts ar are e th the e fir first st to de deal al sp spec ecifi ifica call llyy an and d ef effe fect ctiv ivel elyy wi with th management of the inevitable risks and uncertainties which are encountered to some extent all projects. Management thethe expected is easy, effective manage man agemen ment t ofonthe unexp un expect ected ed dra draws ws ful fully lyof on collab col labora orativ tive e app approa roach ch inherent in the NEC contracts. Most people working on projects using the NEC contracts for the first time are ar e hu huge gely ly im impr pres esse sed d by th the e di diff ffer eren ence ce be betw twee een n th the e co conf nfro ront ntat atio iona nall characteristics of traditional contracts and the teamwork engendered by the NEC. The NEC does not include specific provisions for dispute avoidance. They are not nec necess essary. ary. Col Collabo laborat rative ive man manage agemen mentt its itself elf is des design igned ed to avo avoid id disputes and it really works. It is common for the final account for the work on a project to be settled at the time tim e whe when n the wor workk is fin finish ished. ed. The tradition traditional al lon long g per period iod of exp expens ensive ive professional work after completion to settle final payments just is not needed. The NEC contracts are truly a massive change for the better for the industries in which they are used. Dr Martin Barnes CBE Originator of the NEC contracts

 

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ACKNOWLEDGEMENTS

The NE The NEC C fir first st ed edit itio ion n wa wass pr prod oduc uced ed by th the e In Inst stit itut utio ion n of Ci Civi vill En Engi gine neer erss through its NEC Working Group. The original original NEC was designed designed and dra drafte fted d by Dr Mar Martin tin Barnes Barnes the then n of  Coopers Lybrand withT.the of of Professor J. G. Perry then of the Universityand of Birmingham, W. assistance Weddell then Travers Morgan Management, T. H. Nic Nichol holson son,, Con Consul sultan tantt to the Ins Instit tituti ution on of Civ Civil il En Engin gineer eers, s, A. Nor Norman man then of the University of Manchester Institute of Science and Technology and P. A. Baird, then Corporate Contracts Consultant, Eskom, South Africa. The second edition of the NEC documents for engineering and construction contracts was produced by the Institution of Civil Engineers through its NEC Panel. The thi third rd edi editio tion n of the NEC Engine Engineeri ering ng and Con Constr struct uction ion Con Contra tract ct was produc pro duced ed by the Ins Instit tituti ution on of Civ Civil il Engin Engineer eerss thr throug ough h its NEC Panel. Panel. The Flow Flo w Cha Charts rts were pro produc duced ed by Joh John n S. Gilles Gillespie pie with ass assist istanc ance e fro from m Tom Nicholson. The members of the NEC Panel are: P. Higgins, BSc, CEng, FICE, FCIArb (Chairman) P. A. Baird, BSc, CEng, FICE, M(SA)ICE, MAPM M. Barnes, BSc(Eng), PhD, FREng, FICE, FCIOB, CCMI, ACIArb, MBCS, FInstCES, FAPM A. J. Bates, FRICS, MInstCES A. J. M. Blackler, BA, LLB(Cantab), MCIArb P. T. Cousins, BEng(Tech), DipArb, CEng, MICE, MCIArb, MCMI L. T. Eames, BSc, FRICS, FCIOB F. Forward, BA(Hons), DipArch, MSc(Const Law), RIBA, FCIArb Professor J. G. Perry, MEng, PhD, CEng, FICE, MAPM N. C. Shaw, FCIPS, CEng, MIMechE T. W. Weddell, BSc, CEng, DIC, FICE, FIStructE, ACIArb NEC Consultant: R. A. Gerrard, BSc(Hons), MRICS, FCIArb, FCInstCES Secretariat: A. Cole, LLB, LLM, BL  J. M. Hawkins, BA(Hons), MSc F. N. Vernon (Technical Adviser), BSc, CEng, MICE The Institution Civil other Engineers acknowledges edition given byofmany people, in particular,the by:help in preparing the third  J. C. Broome, BEng A. Else, BSc, CEng, FICE C. Flook, Esq. R. Lewendon, FICE, MIHT, MCIArb, MAPM T. H. Nicholson, BSc, FICE R. Patterson, BA, MA(Cantab), MBA, CEng, MICE C. Reed, CEng, MA, MSc, FICE D. Weeks, FRICS S. Zarka, FRICS

 

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AMENDMENTS JUNE 2006 The following amendments have been made to the June 2005 edition. Page

Clause

Line

10

32.1

4 deleted: ‘and of notified early warning matters’

61

Contract Data Part one, 1.

3 added, ‘(wit ‘(with h amendme amendments nts June June 2006)’

64

Contract Data Part one, 1.

23 deleted: deleted: ‘If there there are are additiona additionall compensati compensation on events’ and following 4 lines

AMENDMENTS APRIL 2013 The fo The foll llow owin ing g am amen endm dmen ents ts ha have ve be been en ma made de to th the e Ju June ne 20 2005 05 ed edit itio ion. n. Full details of all amendments are available on www.neccontract.com. Page

Clause

Line

11

40.1

1 replace: ‘The subclauses in this clause only apply’ with ‘This clause only applies’

16

61.1 61.3

1 te text xt re repl plac aced ed 1 te text xt re repl plac aced ed

17

61.4

1 text replaced

18

62.6 63.1

2 replace: replace: ‘to this effect effect’’ with ‘of ‘of his failu failure’ re’ 1 te text xt re repl plac aced ed replace final sentence: ‘In all other . . . the event.’  with ‘In all other cases, the date is the date of  the notification of the compensation event.’

19

64.4

2 replace: ‘to this effect’ with ‘of his failure’

25

91.4

1 text replaced

28

63.14

2 delete: ‘instead of Defined Cost’

29

63.13

33

63.14

1 insert new clause

37 39

63.13 63.14

last paragraph delete: ‘instead of Defined Cost’ 1 insert new clause

41

63.14

1 insert new clause

46

W2.3(7) W2.3(8) W2.3(12)

1 text text re repl plac aced ed added at end: new sentence text replaced

55

Y(UK)1

1 insert new clause: ‘Project Bank Account’

57

Y(UK)1

1 insert new clause: ‘Trust Deed’

58

Y(UK)1

1 insert new clause: ‘Joining Deed’

last paragraph delete: ‘instead of Defined Cost’

 

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Page

Clause

Line

59

Y2.1 (1) Y2.2 Y2.3

64

41

65

Contract Data

4 date repla replaced ced with ‘Apri ‘Aprill 2013’ 2013’

73

Part one, 1. Y(UK)3 Y(UK)1 and Y(UK)3

1 te text xt in inse sert rted ed 1 te text xt in inse sert rted ed

75

Y(UK)1

1 text inserted

1 text text re repl plac aced ed 1 par paragr agraph aph 3, text text rep replac laced ed 1 te text xt re repl plac aced ed 3rd bullet: text replaced

 

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SCHEDULE OPTIONS NS SCHEDULE OF OPTIO

The strategy for choosing the form of contract starts with a decision between six main Options, one of which must be chosen.

Opti Op tion on A

Pric Pr iced ed co cont ntra ract ct wi with th ac acti tivi vity ty sc sche hedu dule le

Opti Op tion on B

Pric Pr iced ed co cont ntra ract ct wi with th bi bill ll of qu quan anti titi ties es

Opti Op tion on C

Targ Ta rget et co cont ntra ract ct wi with th ac acti tivi vity ty sc sche hedu dule le

Opti Op tion on D

Targ Ta rget et co cont ntra ract ct wi with th bi bill ll of qu quan anti titi ties es

Opt ptiion E

Cos ostt reimburs rsa able cont ntra rac ct

Option F

Management contract One of the following dispute resolution Options must be selected to complete the chosen main Option.

Opti Op tion on W1

Disput Disp ute e re reso solu luti tion on pr proc oced edure ure (u (use sed d unl unles ess s th the e Uni Unite ted d Ki Kingd ngdom om Ho Hous usin ing g Grants, Construction and Regeneration Act 1996 applies).

Opti Op tion on W2

Disput Disp ute e re reso solu luti tion on pr proc oced edure ure (u (use sed d in th the e Uni Unite ted d Ki King ngdo dom m wh when en th the e Ho Hous usin ing g Grants, Construction and Regeneration Act 1996 applies). The following secondary Options should then be considered. It is not necessary to use any of them. Any combination other than those stated may be used.

Opti Op tion on X1

Pric Pr ice e adj adjus ustm tment ent fo forr in inflat flatio ion n (us (used ed on only ly wi with th Op Opti tion ons s A, B, C an and d D)

Option X2

Changes in the law

Opti Op tion on X3

Mult Mu ltip iple le cu curr rren enci cies es (u (use sed d on only ly wi with th Op Opti tion ons s A an and d B)

Option X4

Parent compan anyy guar ara antee

Option X5

Sectional Comp mplletion

Option X6

Bonus for early Completion

Option X7

Delay damages

Option X12

Partnering

Option X13

Performance bond

Option X14

Advanc nced ed pa payyment to the   Contractor 

Option X15

Limitation of the   Contractor ’s ’s liability for his design to reasonable skill and care

Opti Op tion on X1 X16 6

Rete Re tent ntio ion n (n (not ot us used ed wi with th Opt ptio ion n F)

Option X17

Low pe perrformanc nce e damag age es

Option X18

Limitat atiion of liability

Opti Op tion on X2 X20 0

Keyy Pe Ke Perf rfor orman mance ce In Indi dica cator tors s (no (nott us used ed wi with th Op Opti tion on X1 X12) 2) The following Options dealing with nationa nationall legisl legislation ation should be include included d if  required.

Option Y(UK UK))1

Project Bank Acco cou unt

Opti Op tion on Y( Y(UK) UK)2 2

The Th e Ho Hous usin ing g Gr Gran ants ts,, Co Cons nstr truct uctio ion n an and d Re Regen gener erat atio ion n Ac Actt 19 1996 96

Opti Op tion on Y( Y(UK) UK)3 3

The Th e Co Cont ntra ract cts s (R (Rig ights hts of Th Thir ird d Pa Part rtie ies) s) Ac Actt 19 1999 99

Option Z Notte No

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Additional Additio nal conditio conditions ns of contra contract ct

Opti Op tion ons s X8 to X1 X11 1 an and d X1 X19 9 ar are e no nott us use ed.

 

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Engineering and Construction Contract

CORE CLAUSES

1 General

Acti Ac tion ons s 10 1 0 .1

Identified and defined 11 terms 11. 11.1 1

11.2 11 .2

The   Employer , the   Contractor , the   Project Mana Manager  ger   and the   Supervisor   shall act as stated in this contract and in a spirit of mutual trust and co-operation.

In these these conditio conditions ns of contract contract,, terms identi identified fied in the Contrac Contractt Data are in italics and defined terms have capital initials. (1) Th (1) The e Ac Acce cepte pted d Pr Prog ogra ramme mme is th the e pr prog ogra ramme mme identi identifie fied d in th the e Co Cont ntra ract ct Data or is the latest programme accepted by the   Project Manager . The latest programme accepted by the  supersedes  supersede s previo previous us Accep Accepted ted  Project Mana Manager  ger  Programmes. (2) Completion is when the  Contractor  has  has .

.

done all the work which the Works Information states he is to do by the Completion Date and corrected notified Defects which would have prevented the  Employer  from   from using the  works  and Others from doing their work .

If the work which the  Contractor  is   is to do by the Completion Date is not stated in the Works Information, Completion is when the  Contractor  has done all the  work necessary for the   Employer   to use the   works  and for Others to do their  work. (3) Th (3) The e Co Compl mplet etio ion n Da Date te is th the e   completion completion date   unless unless lat later er cha changed nged in accordance with this contract.

      s       e      e       r       s       o      u       a       c       l       c

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

(4) The Contract Date is the date when this contract came into existence. (5) A Defect is .

.

a part of the  works  which is not in accordance with the Works Information or a part of the  works  designed by the  Contractor  which   which is not in accordance  with the applicable law or the   Contractor ’s ’ s de desi sign gn wh whic ich h th the e   Project Manager  has   has accepted.

(6) The Defects Certificate is either a list of Defects that the  Supervisor   has notified before the  defects date   which the   Contractor  has not corrected or, if  there are no such Defects, a statement that there are none. (7) Equipment is items provided by the  Contractor  and   and used by him to Provide the Works and which the Works Information does not require him to include in the  works. (8) The Fee is the sum of the amounts calculated by applying the   subcontracted tracte d fee perce percentage ntage   to the Defined Cost of sub subcon contra tracte cted d wor work k and the direct fee percentage  to the Defined Cost of other work.

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     t     c     a    a      t     r     a     n     t     o     d     c

 

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Engineering and Construction Contract (9) A Key Date is the date by which work is to meet the Condition stated. The Key Date is the  key date  stated in the Contract Data and the Condition is the condition  stated in the Contract Data unless later changed in accordance with this contract. (10) Others are people or organisations who are not the  Employer,  the  Project Manager , th the e   Supervisor , th the e   Adjudicator , th the e   Contractor   or any empl employe oyee, e, Subcontractor Subcont ractor or suppli supplier er of the  Contractor . (11) The Parties are the  Employer  and   and the  Contractor . (12) Plant and Materials are items intended to be included in the  works. (13) To Provide the Works means to do the work necessary to complete the works   in accordance with this contract and all incidental work, services and actions which this contract requires. (14) Th (14) The e Ri Risk sk Re Regi gist ster er is a re regi gist ster er of th the e ri risk sks s wh whic ich h ar are e li list sted ed in th the e Contract Data and the risks which the   Project Manager  or the  Contractor   has notified as an early warning matter. It includes a description of the risk and a description of the actions which are to be taken to avoid or reduce the risk.

      s       e      e       r       s       o      u       a       c       l       c

(15) The Site is the area within the   boundaries of the site   and the volumes above and below it which are affected by work included in this contract.

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o

(16) Site Infor Information mation is inform information ation which . .

describes the Site and its surroundings and is in the documents which the Contract Data states it is in.

(17) A Subcontractor is a person or organisation who has a contract with the Contractor  to  to construct or install part of the  works, provide a service necessary to Provide the Works or supply Plant and Materials which the person or organisation has wholly or partly designed specifically for the  works.

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

. . .

(18) The Working Areas are those parts of the  working areas  which are . .

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

necessary for Providing the Works and used only for work in this contract

unless later changed in accor accordance dance with this contract. contract. (19) Works Information Information is information which either . .

specifies and descri specifies describes bes the  works  or states any constraints on how the  Contractor  Provides   Provides the Works

and is either      t     c     a    a      t     r     a     n     t     o     d     c

. .

Interp Int erpret retati ation on and and the law law 12 12.1 12 .1

4

 

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in the documents which the Contract Data states it is in or in an instruction given in accordance with this contract.

In th this is co cont ntra ract ct,, ex exce cept pt wh wher ere e th the e co cont ntex extt sho shows ws ot othe herw rwis ise, e, wo word rds s in th the e singular also mean in the plural and the other way round and words in the masculine also mean in the feminine and neuter.

12.2 12. 2

This cont contrac ractt is is gove governe rned d by by the the  law of the contract.

12.3 12. 3

No change change to this this contr contract act,, unless unless provid provided ed for for by the  conditions of contract, has effect unless it has been agreed, confirmed in writing and signed by the Parties.

12.4

This contrac contractt is the entire entire agreeme agreement nt between between the the Parties Parties..

 

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Core Clauses Communi municat cation ions s 13 Com 13.1 13 .1

Each in Each inst stru ruct ctio ion, n, ce cert rtifi ifica cate te,, su subm bmis issi sion on,, pr prop opos osal al,, re reco cord rd,, ac acce cept ptanc ance, e, notific not ificati ation, on, rep reply ly and oth other er com communi municat cation ion whi which ch thi this s con contra tract ct req requir uires es is communicated in a form which can be read, copied and recorded. Writing is in the  language of this contract.

13.2 13. 2

A communica communicatio tion n has effect effect when it is receiv received ed at the last ad addre dress ss notifie notified d by the th e re reci cipi pien entt fo forr re rece ceiv ivin ing g co commu mmuni nica cati tions ons or or,, if non none e is no noti tifie fied, d, at th the e address of the recipient stated in the Contract Data.

13.3 13. 3

If thi this s cont contrac ractt requ require ires s the the   Project Manager , the  Supervisor  or the  Contractor  to rep reply ly to a com communi municat cation, ion, unless unless oth otherw erwise ise stated stated in thi this s con contra tract, ct, he replies within the  period for reply .

1 3 .4

The   Project Manager  replies to a communication submitted or resubmitted to him hi m by th the e   Contractor   for ac acce cepta ptanc nce. e. If hi his s re repl plyy is not ac acce cepta ptanc nce, e, th the e Project Manager  states   states his reasons and the  Contractor  resubmits   resubmits the communication within the  period for reply  taking   taking account of these reasons. A reason for withholdi withholding ng acc accept eptanc ance e is tha thatt mor more e inf inform ormati ation on is nee needed ded in ord order er to assess the  Contractor ’s ’s submission fully.

1 3 .5

The  Project Manager  may   may extend the  period for reply  to   to a communication if the Project Manager  and   and the  Contractor  agree   agree to the extension before the reply is due. The  Project Mana Manager  ger   notifies the   Contractor  of the extension which has been agreed.

1 3 .6

The  Project Manager  issues   issues his certificates to the   Employer   and the  Contractor . The   Supervisor   issues issues his cer certifi tificat cates es to the   Project Manag Manager  er   and th the e Contractor .

13.7 13. 7

A notificati notification on which this contrac contractt requires requires is com communi municat cated ed separate separately ly from other communications.

1 3 .8

The   Project Project Mana Manager  ger    may may wi with thho hold ld ac acce cept ptanc ance e of a sub submi miss ssio ion n by th the e Contractor . Withholding acceptance for a reason stated in this contract is not a compens compensation ation event.

 The Project  The  Project Manager  and  and 14 the Supervisor  the  Supervisor  14.1

The   Project Mana Manager  ger ’s ’ s or th the e   Supervisor ’s ’ s acc accepta eptance nce of a com communi municat cation ion from the  Contractor  or   or of his work does not change the  Contractor ’s ’s responsibility to Provide the Works or his liability for his design.

1 4 .2

Manager  ger   and the   Supervisor , after notifying the   Contractor , may The  Project Mana delegate any of their actions and may cancel any delegation. A reference to an action of the  Project Manager  or   or the  Supervisor  in   in this contract includes an action by action  by his delegate.

14.3

The   Project Manager  may   may give an instruction to the  Contractor  which   which changes the Works Information or a Key Date.

14.4

The  Employer  may   may replace the   Project Manager  or   or the  Supervisor  after   after he has notified the  Contractor  of   of the name of the replacement.

Adding to the Working 15 Areas 15.1

Early Ear ly war warning ning 16 1 6 .1

The   Contractor   may su subm bmit it a pr prop opos osal al fo forr ad addi ding ng an ar area ea to th the e Wo Work rkin ing g Areas to the   Project Mana Manager  ger   for acceptance. A reason for not accepting is that the proposed area is either not necessary for Providing the Works or used for work not in this contract.

The  Contractor  and   and the   Project Manager  give   give an early warning by notifying the other as soon as either becomes aware of any matter which could . . . .

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increase the total of the Prices, delay Completion, delay meeting a Key Date or impair the performance of the  works  in use.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract The  Contractor   may give an early warning by notifying the   Project Manager   of  any oth other er mat matter ter which could inc increa rease se his total cost. The   Project Mana Manager  ger  enters early warning matters in the Risk Register. Early warning of a matter for which a compensation event has previously been notified is not required. 16.2 16 .2

Either Eith er th the e  Project Manager  or   or the  Contractor  may   may instruct the other to attend a risk reduction meeting. Each may instruct other people to attend if the other agrees.

16.3

At a risk reduct reduction ion meeting, meeting, those who attend attend co-ope co-operate rate in .

.

.

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.

1 6 .4

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Ambiguities and 17 inconsistencies 17.1

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Illegall and impossi Illega impossible ble 18 requirements 18.1

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Preven Pre ventio tion n

19 19.1 19. 1

making and con making consid sideri ering ng pro propos posals als for how the eff effect ect of the reg regist istere ered d risks can be avoided or reduced, seek se ekin ing g so solu luti tion ons s th that at wi will ll br bring ing ad adva vant ntage age to al alll th thos ose e wh who o wi will ll be affected, deciding on the actions which will be taken and who, in accordance with this contract, will take them and deciding which risks have now been avoided or have passed and can be removed from the Risk Register. Register.

The  Project Manager  revises   revises the Risk Register to record the decisions made at each ea ch ri risk sk re reduc ducti tion on mee meeti ting ng and is issue sues s th the e re revi vise sed d Ri Risk sk Re Regi gist ster er to th the e Contractor . If a decision needs a change to the Works Information, the  Project Manager  instructs   instructs the change at the same time as he issues the revised Risk Register.

The   Project Mana Manager  ger   or th the e   Contractor   notifie notifies s the other as soo soon n as eit either her becomes aware of an ambiguity or inconsistency in or between the documents Manager  ger   gives an ins  which are part of this contract. The   Project Mana instru tructi ction on resolving the ambiguity or inconsistency.

The  Contractor  notifies the   Project Manager   as soon as he considers that the Works Information requires him to do anything which is illegal or impossible. If the  Project Manager   agrees, he gives an instruction to change the Works Information appropriately.

If an eve event nt occ occurs urs whi which ch . .

stops the  Contractor  completing   completing the  works  or stops sto ps the   Contractor   completing completing the   works   by th the e da date te sh show own n on th the e Accepted Programme,

and which      t     c     a    a      t     r     t     a     n     d     o     c

. .

neither Party could prevent and an exp experi erience enced d cont contrac ractor tor wou would ld have judged at the Contract Contract Dat Date e to have such a small chance of occurring that it would have been unreasonable for him to have allowed for it,

the  Project Manager  gives   gives an instruction to the  Contractor  stating   stating how he is to deal with the event.

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For use on projects associated with UK Shared Business Services Ltd  ® 

Core Clauses

2 The   Contractor ’s ’s main responsibilities

Provid Pro viding ing the Wor Works ks 20 2 0 .1  The Contractor   The  Contractor ’s ’ s de desi sign gn 21 2 1 .1

2 1 .2

The  Contractor  Provides  Provides the Works in accordance with the Works Information.

The   Contractor   designs the parts of the   works   which the Works Information Information states he is to design. The  Contractor  submits   submits the particulars of his design as the Works Information requires to the   Project Mana Manager  ger   for acc accept eptance ance.. A rea reason son for not acc accept epting ing the   Contractor ’s ’ s de desi sign gn is th that at it do does es no nott co compl mplyy wi with th ei eith ther er th the e Wo Work rks s Information Infor mation or the applicable law. The   Contractor   does does no nott pr proc ocee eed d wi with th th the e re rele leva vant nt wo work rk unt until il th the e   Project Manager  has  has accepted his design.

2 1 .3

Using the Contractor  the  Contractor ’s ’s 22 design 22.1

Design Des ign of Equi Equipme pment nt 23 2 3 .1

The  Contractor  may   may submit his design for acceptance in parts if the design of  each part can be assessed fully.

The   Employer   may may us use e an and d co copy py th the e   Contractor ’s ’ s de desi sign gn fo forr an anyy pur purpos pose e connected with construction, use, alteration or demolition of the  works  unless otherwise stated in the Works Information and for other purposes as stated in the Works Information.

The   Contractor  submits particulars of the design of an item of Equipment to the   Project Manager  for   for acceptance if the   Project Manager  instructs   instructs him to. A reason for not accepting is that the design of the item will not allow the   Contractor  to   to Provide the Works in accordance with . . .

Peop Pe ople le 24 2 4 .1

2 4 .2

Working with the Employer  the  Employer  25 and Others 25.1

25.2

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the Works Information, the  Contractor ’s ’s design which the  Project Manager  has   has accepted or the applicable law.

The  Contractor  either   either employs each key person named to do the job stated in the Contract Data or employs a replacement person who has been accepted by the   Project Manager . The  Contractor  submits the name, relevant qualifications ti ons an and d ex expe peri rienc ence e of a pr prop opos osed ed re repl plac aceme ement nt pe pers rson on to th the e   Project Manager   for acceptanc acceptance. e. A rea reason son for not accepting accepting the pers person on is tha thatt his relevant qualifications and experience are not as good as those of the person  who is to be replaced. The  Project Mana Manager  ger   may, having stated his reasons, instruct the   Contractor  to remove an employee. The  Contractor  then   then arranges that, after one day, the employee has no further connection with the work included in this contract.

The  Contractor  co-operates   co-operates with Others in obtaining and providing information  which they need in connection with the  works. He co-operates with Others and shares the Working Areas with them as stated in the Works Information. The  Employer   and the  Contractor  provide services and other things as stated in the Works Information. Any cost incurred by the  Employer  as   as a result of the Contractor  not   not providing the services and other things which he is to provide is assessed by the  Project Manager  and   and paid by the  Contractor.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract 2 5 .3

If the   Project Manag Manager  er   decide decides s tha thatt the work doe does s not mee meett the Condition Condition stated for a Key Date by the date stated and, as a result, the  Employer  incurs   incurs additional cost either . .

in carrying out work or by paying an additional amount to Others in carrying out work

on the same project, the additional cost which the   Employer  has paid or will incur is paid by the  Contractor . The   Project Manager  assesses the additional cost within four weeks of the date when the Condition for the Key Date is met. The   Employer ’s ’ s right to recover the additional cost is his only right in these circumstances. Subcon Sub contra tracti cting ng 26 2 6 .1       s       e      e       r       s       o      u       a       c       l       c

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If the Contractor  subcontracts   subcontracts work, he is responsible for Providing the Works as if he had not subcontracted. This contract applies as if a Subcontractor’s employees and equipment were the  Contractor ’s. ’s.

2 6 .2

The   Contractor   submit submits s the name of eac each h prop propose osed d Sub Subcon contra tracto ctorr to the Project Manager  for   for acceptance. A reason for not accepting the Subcontractor is that his appointment will not allow the  Contractor  to   to Provide the Works. The Contractor    does does not app appoi oint nt a pr propo opose sed d Su Subc bcont ontra ract ctor or un unti till th the e   Project Manager  has  has accepted him.

2 6 .3

The  Contractor  submits the proposed conditions of contract for each subcontract to the  Project Manager  for  for acceptance unless . .

an NEC contract is proposed or the  Project Manager  has  has agreed that no submission is required.

The  Contractor  does   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

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. .

Other respon responsibili sibilities ties 27 2 7 .1

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2 7 .2

The  Contractor  obtains  obtains approval of his design from Others where necessary. The  Contractor  provides   provides access to work being done and to Plant and Materials being stored for this contract for . . .

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they will not allow the  Contractor  to   to Provide the Works or they do not include a statement that the parties to the subcontract shall act in a spirit of mutual trust and co-operation.

the  Project Manager , the  Supervisor  and  and Others notified to him by the  Project Manager .

2 7 .3

The  Contractor  obeys an instruction which is in accordance with this contract

2 7 .4

and is given to him by the  Project Manager  or   or the  Supervisor . The   Contractor   acts in acc accord ordance ance with the hea health lth and saf safety ety req requir uireme ements nts stated in the Works Information. Information.

 

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Core Clauses

3 Time

Starting, Completion and 30 Key Dates 30.1

 The programme

The  Contractor  does not start work on the Site until the first  access date   and does the work so that Completion is on or before the Completion Date.

3 0 .2

Manager  ger   decides Manager  ger  The   Project Mana decides the dat date e of Comp Complet letion ion.. The   Project Mana certifies certi fies Completion within one week of Comple Completion. tion.

3 0 .3

The  Contractor   does the work so that the Condition stated for each Key Date is met by the Key Date.

31 31.1 31. 1

31.2

If a program programme me is not ident identifie ified d in the Contr Contract act Data, Data, the the  Contractor  submits a first programme to the   Project Mana Manager  ger   for acceptance acceptance withi within n the period stated in the Contract Data. The  Contractor  shows   shows on each programme which he submits for acceptance . . .

.

.

.

the  starting date,  access dates, Key Dates and Completion Date, planned Completion, the order and timing of the operations which the   Contractor  plans to do in order to Provide the Works, the th e or orde derr an and d ti timi ming ng of th the e wo work rk of the   Employer   and Others as las lastt agreed with them by the  Contractor  or,   or, if not so agreed, as stated in the Works Information, the dates when the   Contractor   plans to meet each Condition stated for the Key Dates and to complete other work needed to allow the  Employer  and Others to do their work, provisions for . . . .

.

. .

.

.

.

access to a part of the Site if later than its  access date, acceptances, Plant and Materials and other things to be provided by the   Employer  and information from Others,

for each operation, a statement of how the   Contractor   plans to do the  work identifying the principal Equipment and other resources which he plans to use and other information which the Works Information requires the  Contractor   to show on a programme submitted for acceptance.

Wit ithi hin n tw two o we wee eks of the the   Contractor    subm submitt ittin ing g a pr prog ogra ramme mme to him fo forr acceptance, the   Project Manager  either   either accepts the programme or notifies the Contractor   of his reasons for not accepting it. A reason for not accepting a programme is that . . . .

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float, time risk allowances, health and safet safetyy requir requirements ements and the procedures set out in this contract,

the dates when, in ord order er to Pro Provid vide e the Works in acc accord ordanc ance e wit with h his programme, program me, the  Contractor  will   will need .

31.3 31 .3

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the  Contractor ’s ’s plans which it shows are not practicable, it does not show the information which this contract requires, it does not represent the  Contractor ’s ’s plans realistically or it does not comply with the Works Information.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract Revisi ng the the progr programme amme 32 Revising 3 2 .1

The  Contractor  shows  shows on each revised programme .

. .

.

3 2 .2

Accepted Programme. The   Contractor    submi submits ts a re revi vise sed d pr prog ogram ramme me to th the e   Project Mana Manager  ger   for acceptance .

.

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Access to and use of 33 the Site 33.1     s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o

Instructions to stop or not to start work

34 3 4 .1

the actual progress achieved on each operation and its effect upon the timing of the remaining work, the effects of implemented compensation events, how the  Contractor  plans to deal with any delays and to correct notified Defects and any ot other her ch chang anges es wh whic ich h th the e   Contractor    prop propos oses es to ma make ke to th the e

 within the   period for reply   after the  Project Manager   has instructed him to,  when the  Contractor  chooses   chooses to and, in any case, at no longer interval than the interval stated in the Contract Data from the  starting date  until Completion of the whole of the  works.

The  Employer  allows   allows access to and use of each part of the Site to the  Contractor   which is necessary for the work included in this contract. Access and use is allowed on or before the later of its   access date   and the date for access shown on the Accepted Programme.

The  Project Manager   may instruct the   Contractor   to stop or not to start any  work and may later instruct him that he may re-start or start it.

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 Take over 35 3 5 .1

3 5 .2

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The  Employer  need   need not take over the  works  before the Completion Date if it is stat st ated ed in th the e Co Cont ntra ract ct Da Data ta th that at he is no nott wi will llin ing g to do so so.. Ot Othe herw rwis ise e th the e Employer  takes   takes over the  works  not later than two weeks after Completion. The   Employer   may use any part of the   works   before before Com Comple pletio tion n has bee been n certified. If he does so, he takes over the part of the  works  when he begins to use it except if the use is . .

3 5 .3

Accele Acc elerat ration ion 36 3 6 .1

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for a reason stated in the Works Information or to suit the  Contractor ’s ’s method of working.

The   Project Mana Manager  ger   certifies the date upon which the   Employer   takes over any part of the  works  and its extent within one week of the date. The   Project Manager  may   may instruct the  Contractor  to   to submit a quotation for an accele acceleratio ration n to achiev achieve e Complet Completion ion befor before e to the The   Project Manager    states  states changes to the Key Dates beCompletion included inDate. the quotation. A quotation for an acceleration comprises proposed changes to the Prices and a revised programme showing the earlier Completion Date and the changed Key Dates. The  Contractor  submits  submits details of his assessment with each quotation.

3 6 .2

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The   Contractor   submi submits ts a qu quot otat atio ion n or gi give ves s hi his s re reas ason ons s fo forr no nott do doin ing g so  within the  period for reply .

 

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Core Clauses

4 Testing and Defects

 Tests and inspections

40 40.1 40. 1

This clause This clause only applies applies to tests tests and inspect inspection ions s required required by the Works Works InforInformation or the applicable law.

4 0 .2

The  Contractor  and   and the  Employer  provide   provide materials, facilities and samples for tests and inspections as stated in the Works Information.

4 0 .3

The   Contractor   and th the e   Supervisor   each each no noti tifie fies s th the e ot othe herr of ea each ch of his tests and inspections before it starts and afterwards notifies the other of its results. The  Contractor  notifies the  Supervisor  in time for a test or inspection to be arranged and done before doing work which would obstruct the test or inspection. The  Supervisor  may   may watch any test done by the  Contractor .

40.4 40 .4

If a te test st or in insp spec ecti tion on shows shows that that an anyy wo work rk has a De Defe fect ct,, th the e   Contractor  corrects the Defect and the test or inspection is repeated.

40.5

The   Supervisor   does his tests and inspections without causing unnecessary delay to the work or to a payment which is conditional upon a test or inspection being successful. A payment which is conditional upon a  Supervisor ’s ’s test or inspection being successful becomes due at the later of the  defects date and the end of the last   defect correction period  if  . .

4 0 .6

 Testing and inspection 41 before delivery 41.1

Searching for and 42 notifying Defects 42 42.1 .1

The   Project Manager  assesses the cost incurred by the  Employer  in   in repeating a test or inspection after a Defect is found. The   Contractor   pays the amount assessed.

The  Contractor  does   does not bring to the Working Areas those Plant and Materials  which the Works Information states are to be tested or inspected before delivery until the  Supervisor  has   has notified the  Contractor  that   that they have passed the test or inspection.

Untill th Unti the e  defects date,  the  Supervisor  may   may instruct the  Contractor  to   to search for a Defect. He gives his reason for the search with his instruction. Searching may include . .

.

42.2 42 .2

Correc Cor rectin ting g Defe Defects cts 43 4 3 .1

4 3 .2

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the  Supervisor  has   has not done the test or inspection and the delay to the test or inspection is not the  Contractor ’s ’s fault.

uncovering, dismantling, re-covering and re-erecting work, providing providi ng facil facilities ities,, mater materials ials and samples for tests and inspections done by the  Supervisor  and  an d doin do ing g te test sts s an and d in inspe spect ctio ions ns wh whic ich h th the e Wo Work rks s In Info form rmat atio ion n do does es no nott require.

Untill th Unti the e  defects date, the  Supervisor  notifies   notifies the  Contractor  of   of each Defect as soon as he finds it and the  Contractor  notifies the  Supervisor   of each Defect as soon as he finds it.

The  Contractor  corrects   corrects a Defect whether or not the  Supervisor  notifies   notifies him of  it. The   Contractor    corr correc ects ts a no noti tifie fied d De Defe fect ct be befo fore re th the e end end of th the e   defect correction correc tion period. The   defect defect corr correcti ection on per period iod   begin begins s at Compl Complet etio ion n fo forr Defects notified before Completion and when the Defect is notified for other Defects.

 

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Engineering and Construction Contract

Accept Acc epting ing Def Defect ects s

4 3 .3

The  Supervisor   issues the Defects Certificate at the later of the  defects date and an d th the e en end d of th the e la last st   defect defect correct correction ion period. The   Employer’s ri righ ghts ts in respec res pectt of a Def Defect ect which the   Supervisor   has not found or notified are not affected by the issue of the Defects Certificate.

43.4

The   Project Manager  arranges   arranges for the  Employer  to   to allow the  Contractor  access   access to and use of a part of the  works  which he has taken over if they are needed for correcting a Defect. In this case the  defect correction period  begins when the necessary access and use have been provided.

44 44.1

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Uncorr Unc orrect ected ed Def Defect ects s

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45 4 5 .1

4 5 .2

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The  Contractor  and the  Project Manager  may each propose to the other that the Works Information should be changed so that a Defect does not have to be corrected. If the   Contractor    and th the e   Project Project Mana Manager  ger   are pr prep epar ared ed to co cons nsid ider er th the e change, the   Contractor  submits a quotation for reduced Prices or an earlier Completion Date or both to the   Project Manager  for acceptance. If the   Project Manager   accepts the quotation, he gives an instruction to change the Works Information, Informa tion, the Price Prices s and the Comple Completion tion Date accord accordingly. ingly.

If the   Contractor   is given access in order to correct a notified Defect but he has not corrected it within its   defect correction period, the   Project Mana Manager  ger  assesses the cost to the   Employer   of hav having ing the Def Defect ect correcte corrected d by oth other er people and the  Contractor  pays   pays this amount. The Works Information is treated as having been changed to accept the Defect. If the   Contractor   is no nott gi give ven n ac acce cess ss in or orde derr to co corr rrec ectt a no noti tified fied De Defe fect ct before the  defects date, the  Project Manager  assesses   assesses the cost to the  Contractor   of correcting the Defect and the   Contractor   pays this amount. The Works Information is treated as having been changed to accept the Defect.

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Core Clauses

5 Payment

Assessin Asse ssing g the the amount amount due 50 5 0 .1

The   Project Manager  assesses   assesses the amount due at each assessment date. The first fir st as asse sess ssme ment nt da date te is de deci cide ded d by th the e   Project Project Man Manage ager  r    to sui uitt th the e procedures of the Parties and is not later than the   assessment interval  after the  starting date. Later assessment assessment dates occur .

.

50.2 50 .2

at the end of each  assessment interval  until four weeks after the  Supervisor  issues the Defects Certificate and at Completion of the whole of the  works.

The Th e am amoun ountt du due e is . . .

the Price for Work Done to Date, plus other amounts to be paid to the  Contractor , less amounts to be paid by or retained from the  Contractor .

Any ta Any taxx wh whic ich h th the e la law w re requi quire res s th the e   Employer   to pa payy to th the e   Contractor   is included in the amount due. 50.3 50. 3

If no program programme me is identifi identified ed in the Contra Contract ct Data, Data, one quarter quarter of the Price Price for Work Done to Date is retained in assessments of the amount due until the   Contractor   has submitted a first programme to the   Project Mana Manager  ger   for acceptance accept ance showing the infor information mation which this contract requires.

50.4 50 .4

In apayment sses essi sing ngthe the Contractor  the amountt due, amoun due , the thsubmitted e  Project Manager    considers  considers any application forass  has on or before the assessment date. The   Project Manager  gives the  Contractor  details of how the amount due has been assessed.

50.5

The   Project Mana Manager  ger   correc corrects ts any wrongly wrongly ass assess essed ed amo amount unt due in a lat later er payment certificate.

Paym Pa yment ent 51 51.1

51.2

The   Project Manager  certifies a payment within one week of each assessment date. The first payment is the amount due. Other payments are the change in the amount due since the last payment certificate. A payment is made by the Contractor   to th the e   Employer   if th the e ch chang ange e re redu duce ces s th the e am amoun ountt due due.. Ot Othe herr payments are made by the   Employer   to the   Contractor . Payments are in the currency of this contract  unless otherwise stated in this contract. Each certified certified payment is made within three weeks weeks of of the assessme assessment nt date or, if a different period is stated in the Contract Data, within the period stated. If  a ce cert rtifi ified ed pa paym ymen entt is la late te,, or if a pa paym ymen entt is la late te be beca caus use e th the e   Project Manager  does   does not issue a certificate which he should issue, interest is paid on the late paym payment ent.. Int Intere erest st is ass assess essed ed fro from m the date by whi which ch the late payment pay ment should should have been made unt until il the date when the late payment is made, and is included in the first assessment after the late payment is made.

51.3 51. 3

If an amount amount due due is correc corrected ted in a later later certi certifica ficate te either either .

.

by the   Project Manager  in   in relation to a mistake or a compensation event or following a decision of the  Adjudicator  or   or the  tribunal,

interest on the correcting amount is paid. Interest is assessed from the date  when the incorrect amount was certified until the date when the correcting amount amo unt is cer certifi tified ed and is inc include luded d in the assessme assessment nt whi which ch inc includ ludes es the correcting amount. 51.4 51. 4

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Interest Intere st is calcu calculat lated ed on a daily daily basi basis s at the the  interest rate  and is compounded annually.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract Defin De fined ed Co Cost st 52 5 2 .1

All the   Contractor ’s All ’ s co cost sts s wh whic ich h ar are e not include included d in th the e De Define fined d Co Cost st ar are e treated as included in the Fee. Defined Cost includes only amounts calculated using rates and percentages stated in the Contract Data and other amounts at op open en ma mark rket et or co compe mpeti titi tive vely ly te tend ndere ered d pr pric ices es wi with th de deduc ducti tion ons s fo forr al alll discounts, rebates and taxes which can be recovered.

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#  copyright

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For use on projects associated with UK Shared Business Services Ltd  ® 

Core Clauses

6 Compensation events

Compens Com pensati ation on eve events nts 60 60.1 60. 1

The fol follow lowing ing are com compens pensati ation on even events. ts. (1) The   Project Manager  gives an instruction changing the Works Information except a change made in order to accept a Defect or a chan change ge to the Works Informat Information ion provided provided by the   Contractor   for his design which is made either at his request or to comply with other Works Information Informa tion provided by the  Employer . . .

(2) The  Employer  does   does not allow access to and use of a part of the Site by the later of its  access date  and the date shown on the Accepted Programme. (3) The   Employer   does not provide something which he is to provide by the date for providing it shown on the Accepted Programme. (4) The   Project Manager  gives an instruction to stop or not to start any work or to change a Key Date. (5) The  Employer  or   or Others . . .

do not work within the times shown on the Accepted Programme, do not work within the conditions stated in the Works Information or carry out work on the Site that is not stated in the Works Information.

(6) The   Project Manager  or   or the  Supervisor  does   does not reply to a communication from the  Contractor  within  within the period required by this contract. (7) The   Project Mana Manager  ger   gives gives an inst instruc ructio tion n for dealing dealing wit with h an obj object ect of  value or of historical or other interest found within the Site. (8) The   Project Manager  or the  Supervisor   changes a decision which he has previously previo usly communicated communicated to the  Contractor. (9) The  Project Manager  withholds   withholds an acceptance (other than acceptance of  a quotation for acceleration or for not correcting a Defect) for a reason not stated state d in this contract. (10) The   Supervisor   instructs instructs the   Contractor   to search for a Defect and no Defect is found unless the search is needed only because the  Contractor  gave   gave insufficient insuffi cient notice of doing work obstr obstructing ucting a requir required ed test or inspec inspection. tion.

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(11) A test or inspection done by the  Supervisor  causes   causes unnecessary delay.      t     c

(12) The  Contractor  encounters   encounters physical conditions which . . .

are within the Site, are not weather conditions and an exp experi erience enced d con contra tractor ctor would have judged at the Con Contra tract ct Dat Date e to have such a small chance of occurring that it would have been unreasonable for him to have allowed for them.

Only the differ difference ence between the physic physical al condit conditions ions encountered encountered and those for which it would have been reasonable to have allowed is taken into account in assessing a compens compensation ation event. (13) A  weather measurement  is recorded . . .

 within a calendar month, before the Completion Date for the whole of the  works  and at the place stated in the Contract Data

the value of which, by comparison with the  weather data, is shown to occur on average less frequently than once in ten years.

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract Only the difference between the  weather measurement  and the weather which the  weather data  show to occur on average less frequently than once in ten years is taken into account in assessing a compensation event. (14) An event which is an  Employer ’s ’s risk stated in this contract. (15) The   Project Mana (15) Manager  ger   certifies take over of a part of the   works   before both Completion and the Completion Date. (16) The  Employer  does  does not provide materials, facilities and samples for tests and inspections as stated in the Works Information. (17) The  Project Manager  notifies   notifies a correction to an assumption which he has stated state d about a compens compensation ation event. (18) A br (18) brea each ch of co cont ntra ract ct by th the e   Employer   whic which h is not one of th the e ot othe herr compensation compens ation events in this contract. (19) An event which

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. .

stops the  Contractor  completing   completing the  works  or stops sto ps the   Contractor   completing completing the   works   by th the e da date te sh show own n on th the e Accepted Programme,

and which

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. .

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60.2 60. 2

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In judging judging the physical physical conditi conditions ons for the purpos purpose e of ass assess essing ing a compensacompensation event, the  Contractor  is   is assumed to have taken into account . . . .

60.3

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Notifying compensation 61 events 61. 61.1 1

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neither Party could prevent, an exp experi erience enced d cont contrac ractor tor wou would ld have judged at the Contract Contract Dat Date e to have such a small chance of occurring that it would have been unreasonable for him to have allowed for it and is not one of the other compensation events stated in this contract.

the Site Information, publiclyy availa publicl available ble information referred referred to in the Site Infor Information, mation, information obtainable from a visual inspection of the Site and other information information which an experi experienced enced contractor contractor could reasonably reasonably be expected to have or to obtain.

If there there is an ambigui ambiguity ty or inconsi inconsistency stency within the Site Site Informatio Information n (including (including the information referred to in it), the  Contractor  is   is assumed to have taken into account the physical conditions more favourable to doing the work.

For compe compensat nsation ion even events ts which which aris arise e from from the  Project Manager  or   or the  Supervi sor  giving   giving an instruction, issuing a certificate, changing an earlier decision or correcting an assumption, the  Project Manager  notifies the   Contractor   of the compensation event at the time of that communication. He also instructs the Contractor  quotations, unless the arises from a fault of  puts the Contractor  to   or submit quotat quo tations ions have alr alread eadyy bee been n event submit sub mitted ted.. The   Contractor  the instruction instruction or changed decis decision ion into effec effect. t.

6 1 .2

The  Project Mana Manager  ger   may instruct the   Contractor   to submit quotations for a proposed instruction or a proposed changed decision. The  Contractor  does   does not put a proposed instruction or a proposed changed decision into effect.

6 1 .3

The  Contractor  notifies the   Project Manager  of an event which has happened or which he expects to happen as a compensation event if  . .

the  Contractor  believes   believes that the event is a compensation event and the  Project Manager  has   has not notified the event to the  Contractor .

If the  Contractor   does not notify a compensation event within eight weeks of  becoming aware of the event, he is not entitled to a change in the Prices, the Completion Date or a Key Date unless the event arises from the  Project Manager  or   or the  Supervisor  giving   giving an instruction, issuing a certificate, changing an earlier decision or correcting an assumption.

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Core Clauses 6 1 .4

If the Project Manager  decides   decides that an event notified by the  Contractor  . . . .

arises from a fault of the  Contractor , has not happened and is not expected to happen, has no effect upon Defined Cost, Completion or meeting a Key Date or is not one of the compensation events stated in this contract

he notifies the  Contractor  of   of his decision that the Prices, the Completion Date and an d th the e Ke Keyy Da Date tes s ar are e no nott to be ch chang anged ed.. If the   Project Manag Manager  er   decides otherwise, he notifies the   Contractor   accordingly and instructs him to submit quotations. The   Project Manager  notifies   notifies his decision to the  Contractor  and,   and, if his decision is that the Prices, the Completion Date or the Key Dates are to be changed, instructs him to submit quotations before the end of either . .

one week after the  Contractor ’s ’s notification or a longer period to which the  Contractor  has   has agreed.

If the   Project Manager  does not notify his decision, the  Contractor  may notify the  Project Mana Manager  ger   of his failure. A failure by the  Project Manag Manager  er  to   to reply  within two weeks of this notification is treated as acceptance by the   Project Manager  that   that the event is a compensation event and an instruction to submit quotations. 6 1 .5

If the   Project Mana Manager  ger   decide decides s tha thatt the   Contractor   did did no nott giv give e an ea earl rlyy  warning of the event which an experienced contractor could have given, he noti no tifie fies s th this is de deci cisi sion on to th the e   Contractor    when when he in inst stru ruct cts s hi him m to su subm bmit it quotations.

6 1 .6

If the  Project Manager   decides that the effects of a compensation event are too unce uncerta rtain in to be for foreca ecast st rea reason sonably ably,, he sta states tes ass assumpt umption ions s abo about ut the event in his instruction to the  Contractor  to   to submit quotations. Assessment of  the event is based on these assumptions. If any of them is later found to have been wrong, the  Project Manager  notifies   notifies a correction.

61.7 61. 7 Quotations for 62 compensation events 62 62.1 .1

62.2

6 2 .3

A compens compensati ation on event event is is not noti notified fied afte afterr the defects date.

Afterr disc Afte discus ussi sing ng with with the the   Contractor  different ways of dealing with the compensation event which are practicable, the  Project Mana Manager  ger   may instruct the Contractor    to sub submit mit alt altern ernati ative ve quot quotati ations. ons. The   Contractor    submit submits s the required requir ed quotati quotations ons to the   Project Mana Manager  ger   and may sub submit mit quot quotati ations ons for other oth er met method hods s of dea dealin ling g wit with h the com compens pensati ation on eve event nt whi which ch he con consid siders ers practicable. Quotations for Quotations for compensatio compensation n events events comprise comprise proposed proposed changes changes to the Prices Prices and an d any de dela layy to th the e Co Compl mplet etio ion n Da Date te an and d Ke Keyy Da Date tes s as asse sess ssed ed by th the e Contractor . Th The e   Contractor    submi submits ts de deta tail ils s of his as asse sess ssmen mentt wi with th ea each ch quotation. If the programme for remaining work is altered by the compensation event, the  Contractor  includes   includes the alterations to the Accepted Programme in his quotat quotation. ion. The   Contractor   submits quotations within three weeks of being instructed to do so by the  Project Manager . The  Project Manager  replies   replies within two weeks of  the submission. His reply is . . .

.

6 2 .4

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an instruction to submit a revised quotation, an acceptance of a quotation, a notification that a proposed instruction will not be given or a proposed changed decision will not be made or a notification that he will be making his own assessment.

The   Project Manag Manager  er   instructs instructs the   Contractor   to submit a revised quotation only after explaining his reasons for doing so to the  Contractor . The  Contractor  submits the revised quotation within three weeks of being instructed to do so.

 

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Engineering and Construction Contract 6 2 .5

The  Project Manager  extends  extends the time allowed for . .

the  Contractor  to   to submit quotations for a compensation event and the  Project Manager  to   to reply to a quotation

if the  Project Mana Manager  ger   and the   Contractor   agree to the extension before the submission or reply is due. The   Project Manag Manager  er   notifies notifies the extens extension ion that has been agreed to the  Contractor . 6 2 .6

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If the  Project Manager   does not reply to a quotation within the time allowed,   Projectfor Manager  the  Contractor   may notify   of his failure. If the submitted more than one the quotation the compensation event, he Contractor  states in his notification which quotation he proposes is to be accepted. If the   Project Manager  does not reply to the notification within two weeks, and unless the quota quo tati tion on is fo forr a pr propo opose sed d in inst struc ructi tion on or a pr propo opose sed d ch chan anged ged de deci cisi sion on,, the  Contractor ’s ’s notification is treated as acceptance of the quotation by the Project Manager .

Assessing compensation 63 events 63. 63.1 1

The changes changes to the Prices Prices are assess assessed ed as the effect effect of the compensat compensation ion event upon .

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. .

the actual Defined Cost of the work already done, the forecast Defined Cost of the work not yet done and the resulting Fee.

If the compensation event arose from the  Project Mana Manager  ger   or the  Supervisor  giving an instruction, issuing a certificate, changing an earlier decision or correcting an assumption, the date which divides the work already done from the  work not yet done is the date of that communication. In all other cases, the date is the date of the notification of the compensation event.

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63.2 63. 2

If the effec effectt of a compensat compensation ion event event is to reduce reduce the total total Defined Defined Cost, Cost, the Prices are not reduced except as stated in this contract.

63.3 63. 3

A delay delay to the Comple Completio tion n Date is asse assesse ssed d as the length length of time time that, that, due to the compensation compensation event, planned Completion Completion is later than planned Completion as shown on the Accepted Programme. A delay to a Key Date is assessed as the length length of time tha that, t, due to the compensa compensatio tion n eve event, nt, the pla planned nned date  when the Condition stated for a Key Date will be met is later than the date shown on the Accepted Programme.

63.4 63 .4

The rig The right hts s of of the the   Employer   and the   Contractor  to changes to the Prices, the Comp Co mple leti tion on Da Date te an and d th the e Ke Keyy Da Date tes s ar are e th thei eirr on only ly ri righ ghts ts in re resp spec ectt of a compensation event.

6 3 .5

If the   Project Mana Manager  ger   has not notifie ified d the   Contractor   of his decision decision tha thatt the Contractor   did not give an early warning of a compensation event which an experi exp erienc enced ed con contra tracto ctorr cou could ld have given, the eve event nt is ass assess essed ed as if the

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63.6 63. 6

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Contractor  had  had given early warning. Assess Ass essment ment of the effect effect of a com compens pensatio ation n event include includes s risk allowanc allowances es for cost and time for matters which have a significant chance of occurring and are at the  Contractor ’s ’s risk under this contract.

63.7 63 .7

Assess Asse ssme ments nts are based based upon the as assu sumpt mptio ions ns that the   Contractor   reacts competently and promptly to the compensation event, that any Defined Cost and time due to the event are rea reason sonably ably incurred incurred and tha thatt the Accepted Accepted Programme can be changed.

63.8

A compensatio compensation n event which is is an instruc instruction tion to change the Works Works Informati Information on in order to resolve an ambiguity or inconsistency is assessed as if the Prices, the Completio Completion n Dat Date e and the Key Dat Dates es wer were e for the int interp erpret retati ation on mos mostt favourable to the Party which did not provide the Works Information.

63.9 63. 9

If a change change to the Works Infor Informat mation ion makes makes the descri descripti ption on of the Conditi Condition on for a Key Date incorrect, the   Project Mana Manager  ger   corrects corrects the descr description. iption. This correction is taken into account in assessing the compensation event for the change to the Works Inform Information. ation.

 

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Core Clauses  The Project  The  Project Manager ’s ’s assessments

64 64.1

The  Project Manager  assesses   assesses a compensation event .

.

.

.

6 4 .2

has not submitted submit ted a him progra pro gramme mme ororalt altera eratio tions ns to a pro progra gramme mme whi which ch this contract requires to submit if, when the  Contractor  submits   submits quotations for a compensation event, the Project Manager  has   has not accepted the  Contractor ’s ’s latest programme for one of the reasons stated in this contract.

The  Project Manag Manager  er   assesses a compensation event using his own assessment of the programme for the remaining work if  . .

Implementing compensation events

if the  Contractor  has   has not submitted a quotation and details of his assessment within the time allowed, if the   Project Manager  decides that the  Contractor  has not assessed the compensation event correctly in a quotation and he does not instruct the Contractor  to  to submit a revised quotation, if, when the  Contractor  submits   submits quotations for a compensation event, he

there is no Accepted Programme or the   Contractor    has has no nott su subm bmit itte ted d a pr progr ogramm amme e or al alte tera rati tion ons s to a programme for acceptance as required by this contract.

6 4 .3

The  Project Mana Manager  ger  notifies   notifies the   Contractor  of his assessment of a compensati sa tion on ev event ent an and d giv gives es him de deta tail ils s of it wi with thin in th the e pe peri riod od al allo lowe wed d fo forr th the e Contractor ’s ’ s su submi bmiss ssio ion n of hi his s qu quot otat atio ion n fo forr th the e sa same me ev even ent. t. Th This is pe peri riod od Project Mana Manager  ger ’s star st arts ts wh when en th the e ne need ed fo forr th the e   Project ’ s ass assess essment ment bec become omes s apparent.

6 4 .4

If the   Project Manager  does   does not assess a compensation event within the time Manager  ger   of his failure. If the allowed, the   Contractor   may notify the   Project Mana Contractor   submitt submitted ed mor more e tha than n one quo quotat tation ion for the com compens pensati ation on eve event, nt, he states in his notification which quotation he proposes is to be accepted. If  the  Project Mana Manager  ger   does not reply within two weeks of this notification the notific not ificati ation on is tre treate ated d as acc accepta eptance nce of the   Contractor’s   quotat quotation ion by the Project Manager .

65 65.1 65. 1

A compen compensat sation ion even eventt is imp implem lemente ented d when when .

. .

65.2 65 .2

the   Project Project Ma Manag nager  er    noti notifie fies s hi his s ac acce cept ptan ance ce of th the e   Contractor ’s ’s quotation, the  Project Manager  notifies   notifies the  Contractor  of   of his own assessment or a   Contractor ’s ’ s quo quota tati tion on is tr trea eated ted as hav havin ing g be been en ac acce cept pted ed by th the e Project Manager .

The Th e as asse sess ssmen mentt of a co compe mpensa nsati tion on event event is not revise revised d if a fo fore reca cast st upon  which it is based is shown by later recorded information to have been wrong.

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Engineering and Construction Contract

7 Title

 The  Employer ’s  The Employer  ’s title to 70 70.1 .1 Plant and Mater Materials ials 70

70.2 70 .2

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Marking Equipment, 71 Plant and Mater Materials ials 71.1 outside outsid e the Working Areas

Whateve Whate verr ti titl tle e th the e  Contractor   has to Plant and Materials which is outside the Working Areas passes to the  Employer  if the  Supervisor  has marked it as for this contract. Whatev What ever er titl title e the   Contractor    has has to Pl Plan antt and Ma Mate teri rial als s pas passe ses s to th the e Employer   if it has been brought within the Working Areas. The title to Plant and Materials passes back to the  Contractor  if   if it is removed from the Working Areas with the  Project Manager ’s ’s permission.

The  Supervisor   marks Equipment, Plant and Materials which are outside the Working Worki ng Areas if  . .

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Removi Rem oving ng Equi Equipme pment nt 72 7 2 .1

Objects and materials within the Site

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this contract identifies them for payment and the   Contractor   has prepared them for marking as the Works Information requires.

The  Contractor  removes Equipment from the Site when it is no longer needed unless the  Project Manager  allows   allows it to be left in the  works.

73 7 3 .1

The   Contractor   has no ti titl tle e to an ob obje ject ct of va valu lue e or of hi hist stor oric ical al or ot othe herr interest within the Site. The  Contractor  notifies   notifies the  Project Manager  when   when such Manager  ger   instructs an object is found and the   Project Mana instructs the   Contractor   how to deal with it. The  Contractor  does  does not move the object without instructions.

7 3 .2

The   Contractor   has title to materials from excavation and demolition only as stated state d in the Works Information.

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Core Clauses

8 Risks and insurance

Employer ’s ’ s ri risk sks s

80 80.1 80 .1

The Th e fo foll llow owin ing g ar are e  Employer ’s ’s risks. .

Claims, proceedings, compensation and costs payable which are due to .

.

.

.

.

use or occupation of the Site by the   works   or for the purpose of the works  which is the unavoidable result of the  works, negligence, breach of statutory duty or interference with any legal right by the   Employer   or by any person employed by or contracted to him except the  Contractor  or  or a fault of the  Employer  or   or a fault in his design.

Loss of or damage to Plant and Materials supplied to the   Contractor   by the  Employer , or by Others on the  Employer ’s ’s behalf, until the  Contractor  has received and accepted them. Loss of or damage to the  works, Plant and Materials due to .

.

.

 war, civil war, rebellion, revolution, insurrection, military or usurped power, stri st rike kes, s, ri riot ots s an and d ci civi vill co commo mmoti tion on no nott co confin nfined ed to th the e   Contractor ’s ’s employees or radioactive contamination.

.

Loss of or wear orloss, damage to damage the partsoccurring of the   works   taken over by the Employer  , except wear or before the issue of the Defects Certificate which is due to . .

.

.

.

 The Contractor   The  Contractor ’s ’ s ri risk sks s 81 81.1 81 .1

a Defect which existed at take over, an event occurring before take over which was not itself an  Employer ’s ’s risk or the activities of the  Contractor  on   on the Site after take over.

Loss of or wear or damage to the   works  and any Equipment, Plant and Mater Mat eria ials ls re reta tain ined ed on th the e Si Site te by th the e   Employer    after after a ter termina minatio tion, n, except loss, wear or damage due to the activities of the  Contractor  on   on the Site after the termination. Additional  Employer ’s ’s risks stated in the Contract Data.

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From Fr om th the e   starting date  until the Defects Certificate has been issued, the risks  which are not carried by the  Employer  are   are carried by the  Contractor .      t     c

Repai Re pairs rs 82 82.1

Inde In demn mnit ityy

83 83.1 83. 1

83.2 83. 2

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Until the the Defects Defects Certifica Certificate te has been been issued issued and unless unless otherwise otherwise instru instructed cted by the  Project Manager,   the  Contractor   promptly replaces loss of and repairs damage to the  works, Plant and Materials.

Each Par Each Party ty indemnifie indemnifies s the oth other er against against claims, claims, pro procee ceedin dings, gs, compens compensatio ation n and costs due to an event which is at his risk. The liabi liabilit lityy of each Party Party to indemnif indemnifyy the other other is reduced reduced if events events at the other Party’s risk contributed contributed to the claims claims,, procee proceedings, dings, compensation compensation and costs. The reduction is in proportion to the extent that events which were at the other Party’s risk contr contributed, ibuted, taking into account each Party Party’s ’s respo responsibil nsibilities ities under this contract.

 

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Engineering and Construction Contract Insuran rance ce cov cover er 84 Insu 8 4 .1

84.2 84 .2

The  Contractor   provides the insurances stated in the Insurance Table except any insurance which the  Employer  is   is to provide as stated in the Contract Data. The  Contractor  provides  provides additional additional insura insurances nces as stated in the Contract Data. The insur insuran ance ces s ar are e in the joint joint nam names es of th the e Pa Part rtie ies s and provi provide de cover cover fo forr event ev ents s wh whic ich h ar are e at th the e   Contractor ’s ’ s ri risk sk fr from om th the e   starting starting date   until until the Defects Defect s Certifi Certificate cate or a termi termination nation certificate certificate has been issued. INSURANCE TABLE

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Insuran Insu rance ce pol polici icies es 85 85.1 85 .1

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Loss of or damage to the  works, Plant and Materials

The replacement cost, including the amount stated in the Contract Data for the replacement of any Plant and Materials provided by the Employer 

Loss Lo ss of or da dama mage ge to Eq Equi uipm pmen entt

The Th e re repl plac acem emen entt co cost st

Liability for loss of or damage to propertyy (excep propert (exceptt the  works, Plant and Materials Materi als and Equipmen Equipment) t) and liability for bodily injury to or death of  a person (not an employee of the Contractor ) caused by activity in connection with this contract

The amount stated in the Contract Data for any one event with cross liability liabil ity so that the insura insurance nce applies applie s to the Parties separately separately

Liability for death of or bodily injury to employees of the  Contractor  arising   arising out of and in the course of their employment in connection with this contract

The greater of the amount required by the applicable law and the amount stated in the Contract Data for any one event

Before Befo re the  starting date  and on each renewal of the insurance policy until the defects date, the   Contractor   submits submits to the   Project Manage Manager  r   for acceptanc acceptance e certificates which state that the insurance required by this contract is in force. The certificates are signed by the   Contractor ’s ’s insurer or insurance broker. A reason for not accepting the certificates is that they do not comply with this contract. Ins Insuran urance ce policiesand policies include include waiver wai ver by the insure insurers rs of their subrwhere subrogat ogation ion rights rights against directors othera employees of every insured except there is fraud.

85.3

The Parties Parties comply with the the terms terms and conditi conditions ons of the insurance insurance polici policies. es.

85.4 85. 4

Any amount amount not recov recovere ered d from from an insure insurerr is borne borne by by the  Employer  for   for events  which are at his risk and by the  Contractor  for   for events which are at his risk.

Insurance by the Employer  the  Employer    87 8 7 .1

 

Minimum amount of cover or minimum limit of indemnity

85.2 85. 2

If the Contractor  the  Contractor  86 does not insure 86.1

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Insurance against

The  Employer  may insure a risk which this contract requires the  Contractor   to insure if the  Contractor  does   does not submit a required certificate. The cost of this insurance to the  Employer  is   is paid by the  Contractor .

The   Project Manager  submits policies and certificates for insurances provided by the  Employer  to   to the  Contractor  for   for acceptance before the   starting date  an  and d afterw aft erward ards s as the   Contractor   instructs. instructs. The   Contractor   accepts accepts the polic policies ies and certificates if they comply with this contract.

 

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Core Clauses 8 7 .2

The   Contractor ’s ’s acceptance of an insurance policy or certificate provided by the   Employer   does not cha change nge the responsib responsibili ility ty of the   Employer   to provide the insurances stated in the Contract Data.

8 7 .3

The  Contractor  may   may insure a risk which this contract requires the  Employer   to insure if the   Employer   does does not submit a req requir uired ed pol policy icy or cer certifi tificat cate. e. The cost of this insurance to the  Contractor  is   is paid by the  Employer .

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Engineering and Construction Contract

9 Termination

 Termination 90 90.1 90 .1

90.2

The   Contractor   may ter termina minate te only for a reas reason on iden identifie tified d in the Terminatio Termination n Table. The  Employer  may   may terminate for any reason. The procedures followed and the amounts due on termination are in accordance with the Termination Table.  TERMINATION TABLE

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 Terminating Party

Reason

Procedure

Amount due

The  Employer 

A reason other than R1–R21

P1 and P2

A1, A2 and A4

R1–R15 or R18

P1, P2 and P3

A1 and A3

R17 or R20

P1 and P3

A1 and A2

R21

P1 and P4

A1 and A2

R1–R10, R16 or R19

P1 and P4

A1, A2 and A4

R17 or R20

P1 and P4

A1 and A2

The  Contractor 

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If eithe eitherr Party Party wish wishes es to termi terminat nate e the   Contractor ’s ’s obligation to Provide the Works he notifies the   Project Manager  and   and the other Party giving details of his reason for termin terminating. ating. The  Project Manager  issues  issues a termination certificate to both Parties promptly if the reason complies with this contract.

The procedure procedures s for termin termination ation are are implement implemented ed immediatel immediatelyy after the  Project Manager  has  has issue issued d a termi termination nation certificate. certificate.

90.4 90 .4

Within With in thirte thirteen en weeks weeks of termin terminat atio ion, n, the   Project Mana Manager  ger   certifi certifies es a fina finall payment to or from the  Contractor  which   which is the   Project Manager ’s ’s assessment of th the e amo amount unt due on te termi rmina nati tion on le less ss th the e to tota tall of pr prev evio ious us pa payme yment nts. s. Payment is made within three weeks of the  Project Manager ’s ’s certificate.

90.5 90. 5

After a termina After terminatio tion n certific certificate ate has has been issue issued, d, the Contractor  does   does no further  work necessary to Provide the Works.

Either Party Either Party may termina terminate te if the other other Party Party has done one of the follow following ing or its equivalent. .

If the other Party is an individual and has . . . .

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presented his petition for bankruptcy (R1), had a bankruptcy order made against him (R2), had a receiver appointed over his assets (R3) or made an arrangement with his creditors (R4).

If the other Party is a company or partnership and has .

 

 

90.3

Reason Rea sons s for ter termin minati ation on 91 91.1 91. 1

24

 

had a winding-up order made against it (R5), had a provisional liquidator appointed to it (R6), passed a resolution for winding-up (other than in order to amalgamate or reconstruct) (R7), had an administration order made against it (R8), had ha d a re rece ceiv iver er,, re rece ceiv iver er and ma mana nager ger,, or ad admi mini nist stra rati tive ve re rece ceiv iver er appoin app ointed ted over the whole or a sub substa stanti ntial al par partt of its undertak undertaking ing or assets (R9) or made an arrange arrangement ment with its creditors (R10).

 

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Core Clauses 9 1 .2

The   Employer   may te term rmin inat ate e if th the e   Project Mana Manager  ger   has notified notified tha thatt the Contractor  has   has defaulted in one of the following ways and not put the default right within four weeks of the notification. . . .

91.3

The   Employer   may te term rmin inat ate e if th the e   Project Mana Manager  ger   has notified notified that that the Contractor    has has de defa faul ulte ted d in on one e of th the e fo foll llowi owing ng wa ways ys and not st stop oppe ped d defaulting defaul ting within four weeks of the notification. notification. . .

9 1 .4

Substantiallyy failed to comply with his obliga Substantiall obligations tions (R11). Not provided a bond or guarantee which this contract requires (R12). Appoi App oint nted ed a Su Subc bcon ontr trac acto torr fo forr su subs bsta tanti ntial al wo work rk be befo fore re th the e   Project Manager  has   has accepted the Subcontractor (R13).

Substantially hindered the  Employer  or   or Others (R14). Substantiall Substa ntiallyy broken a health or safety regulation regulation (R15).

The   Contractor   may terminate if the   Employer   has not paid an amount due under the contract within eleven weeks of the date that it should have been paid (R16).

91.5 91. 5

Either Party Either Party may termina terminate te if the Parties Parties have have been releas released ed under under the law from further performance of the whole of this contract (R17).

91.6

If the Project Manager  has  has instructed the  Contractor  to   to stop or not to start any substantial work or all work and an instruction allowing the work to re-start or start has not been given within thirteen weeks, .

.

.

9 1 .7

the  Employer  may   may terminate if the instruction was due to a default by the Contractor  (R18),   (R18), the  Contractor  may terminate if the instruction was due to a default by the  Employer  (R19)   (R19) and either Party may terminate if the instruction was due to any other reason (R20).

The  Employer  may   may terminate if an event occurs which . .

stops the  Contractor  completing   completing the  works  or stops sto ps the   Contractor   completing completing the   works   by th the e da date te shown shown on th the e Accepted Programme and is forecast to delay Completion by more than 13 weeks,

and which . .

Procedures Proce dures on termin termination ation 92 92.1 92 .1

92.2 92. 2

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neither Party could prevent and an exp experi erience enced d con contra tractor ctor would have judged at the Con Contra tract ct Dat Date e to have such a small chance of occurring that it would have been unreasonable for him to have allowed for it (R21).

On te term rmin inat atio ion, n, th the e  Employer  may   may complete the  works  and may use any Plant and Materials to which he has title (P1). The proced procedure ure on termina terminatio tion n also include includes s one or more of the follow following ing as set out in the Termination Table. P2

The   Employer   may instruct the   Contractor  to leave the Site, remove any Equipment, Plant and Materials from the Site and assign the benefit of  any subcontract or other contract related to performance of this contract to the  Employer .

P3

The  Employer  may   may use any Equipment to which the  Contractor  has   has title to complete complet e the   works. Th The e   Contractor   promptly promptly rem remove oves s the Equ Equipme ipment nt from fro m Sit Site e whe when n the   Project Mana Manager  ger   notifies notifies him tha thatt the   Employer   no longer requires it to complete the  works.

P4

The  Contractor  leaves  leaves the Working Areas and removes the Equipment.

 

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     t     c     a     t     r     a      t     a     n     d     o     c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract Paymen mentt on term termina inatio tion n 93 Pay 93.1 93. 1

The amoun amountt due on termi terminat nation ion incl include udes s (A1) (A1) . .

an amount due assessed as for normal payments, the Defined Cost for Plant and Materials . .

.

. .

93.2 93. 2       s       e      e       r       s       o      u       a       c       l       c

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o

 within the Working Areas or to which the   Employer   has title title and of wh whic ich h th the e   Contractor   has to accept delivery,

other Defined Cost reasonably incurred in expectation of completing the  whole of the  works, any amounts retained by the  Employer  and  and a deduction of any un-repaid balance of an advanced payment.

The amount amount due on termin terminati ation on also inclu includes des one one or more of the follo followin wing g as set out in the Termination Table. A2

The forecas forecastt Defined Defined Cost of removing removing the the Equipment. Equipment.

A3

A deduction deduction of the forec forecast ast of the additi additional onal cost cost to the Employer  of   of com works pleting the whole of the .

A4

The  direct fee percentage  applied to

.

.

for Options A, B, C and D, any excess of the total of the Prices at the Contract Date over the Price for Work Done to Date or for Options E and F, any excess of the first forecast of the Defined Cost for the  works  over the Price for Work Done to Date less the Fee.

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

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For use on projects associated with UK Shared Business Services Ltd

MAIN OPTION CLAUSES

Option A: Priced contract with activity schedule

Identified and defined 11 terms 11 11.2 .2

(20) The (20) The Activ Activit ityy Sched Schedul ule e is the   activity sched schedule ule   unless unless lat later er chan changed ged in accordance with this contract. (22) Defined Cost is the cost of the components in the Shorter Schedule of  Cost Components whether work is subcontracted or not excluding the cost of  preparing quotations for compensation events. (27) The Price for Work Done to Date is the total of the Prices for . .

each group of completed activities and each completed activity which is not in a group.

A completed activity is one which is without Defects which would either delay or be covered by immediately following work. (30) The Prices (30) Prices ar are e th the e lu lump mp su sum m pr pric ices es fo forr ea each ch of th the e ac acti tivi viti ties es on th the e Activity Activ ity Schedule unless later changed in accord accordance ance with this contract. contract.  The programme 31

3 1 .4

The   Contractor   provide provides s inf inform ormati ation on whi which ch sho shows ws how eac each h act activi ivity ty on the Activi Act ivity ty Sch Schedu edule le rel relate ates s to the ope operat ration ions s on eac each h prog program ramme me whi which ch he submits for acceptance.

Accele Acc elerat ration ion 36

3 6 .3

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quota quotati tion on fo forr an ac acce cele lerat ratio ion, n, he changes the Prices, the Completion Date and the Key Dates accordingly and accepts the revised programme.

 The Activity Schedule 54

54.1

Information Informat ion in the Activity Activity Schedule is not Works Informat Information ion or Site Informati Information. on.

5 4 .2

If the   Contractor   changes a planned method of working at his discretion so that the activities on the Activity Schedule do not relate to the operations on the Accepted Programme, he submits a revision of the Activity Schedule to the Project Manager  for   for acceptance.

54.3

A reason reason for not accepting accepting a revision revision of of the Activi Activity ty Schedule Schedule is is that . .

.

Assessing compensation events

it does not comply with the Accepted Programme, any changed Prices are not reasonably distributed between the activities or the total of the Prices is changed.

63

63.10 63. 10 If the effect effect of a compensat compensation ion event event is to red reduce uce the total total Defined Cost Cost and the event is . .

a change to the Works Information or a correction of an assumption stated by the  Project Manager  for  for assessing an earlier compensation event,

the Prices are reduced. 63.12 63. 12 Assess Assessment ments s for changed changed Pri Prices ces for com compens pensati ation on eve events nts are in the form of  changes to the Activity Schedule.

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     t     c     a     t     r     a      t     a     n     d     o     c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract 63.1 .14 4 If th the e  Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be 63 used to assess a compensation event. Implementing 65 65.4 .4 compensation events 65

Payment Paym ent on termi terminatio nation n

The ch The chan ange ges s to th the e Pr Pric ices es,, th the e Co Comp mple leti tion on Da Date te an and d th the e Ke Keyy Da Date tes s ar are e included include d in the notification implementing implementing a compens compensation ation event.

93

93.3 93 .3

The amount amount due on te term rmin inat ation ion is as asse sess ssed ed wi witho thout ut ta taki king ng gr grou oupi ping ng of  activities into account.

    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

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For use on projects associated with UK Shared Business Services Ltd  ® 

Main Option Clauses

Option B: Priced contract with bill of quantities

Identified and defined 11 11.2 .2 terms 11

(21) (2 1) The The Bill Bill of of Quant Quantit itie ies s is the the  bill of quantities   as changed in accordance  with this contract to accommodate implemented compensation events and for accepted quotations for acceleration. (22) Defined Cost is the cost of the components in the Shorter Schedule of  Cost Components whether work is subcontracted or not excluding the cost of  preparing quotations for compensation events. (28) The Price for Work Done to Date is the total of  .

.

the quantity quantity of the work which the   Contractor   has com comple pleted ted for eac each h item in the Bill of Quantities multiplied by the rate and a pr prop oport ortio ion n of ea each ch lu lump mp su sum m wh whic ich h is th the e pr prop oport ortio ion n of th the e wo work rk covered by the item which the  Contractor  has   has completed.

Complet Compl eted ed wo work rk is wo work rk wi with thou outt De Defe fect cts s wh whic ich h wo woul uld d ei eith ther er de dela layy or be covered by immediately following work. (31) The Prices are the lump sums and the amounts obtained by multiplying the rates by the quantities for the items in the Bill of Quantities. Accele Acc elerat ration ion 36

3 6 .3

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quota quotati tion on fo forr an ac acce cele lerat ratio ion, n, he changes the Prices, the Completion Date and the Key Dates accordingly and accepts the revised programme.

 The Bill of Quantities 55

55.1 Compensa Com pensation tion event events s

Information Informat ion in the Bill Bill of Quantitie Quantities s is not Works Works Information Information or Site Informati Information. on.

60

60.4 60. 4

A differenc difference e between between the final final total quanti quantity ty of work done done and the quantity quantity stated for an item in the Bill of Quantities is a compensation event if  . .

.

the difference does not result from a change to the Works Information, the difference causes the Defined Cost per unit of quantity to change and the rate in the Bill of Quantities for the item multiplied by the final total quantity of work done is more than 0.5% of the total of the Prices at the Contract Date.

If th the e De Defin fined ed Co Cost st per un unit it of qu quant antit ityy is re reduc duced ed,, th the e af affe fect cted ed ra rate te is reduced.

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60.5 60. 5

A differe difference nce betwee between n the final total total quanti quantity ty of work work done and the the quantity quantity for for an item stated in the Bill of Quantities which delays Completion or the meeting of the Condition stated for a Key Date is a compensation event.

6 0 .6

The   Project Mana Manager  ger   correc corrects ts mis mistak takes es in the Bil Billl of Qua Quanti ntitie ties s whi which ch are departures from the rules for item descriptions and for division of the work into in to it items ems in th the e   method are e du due e to am ambi bigu guit itie ies s or method of measu measuremen rementt   or ar incons inc onsist istenc encies ies.. Each suc such h cor correc rectio tion n is a com compens pensati ation on eve event nt whi which ch may lead to reduce reduced d Price Prices. s.

60.7 60 .7

In as asse sess ssin ing g a co comp mpen ensat satio ion n ev even entt wh whic ich h re resu sult lts s fr from om a co corr rrec ecti tion on of an incons inc onsist istenc encyy bet betwee ween n the Bil Billl of Qua Quantit ntities ies and ano anothe therr doc documen ument, t, the Contractor  is   is assumed to have taken the Bill of Quantities as correct.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract Assessing compensation 63 63.10 10 If the effect effect of a compensati compensation on event is to red reduce uce the total Defined Defined Cost and events 63.

the event is . .

a change to the Works Information or a correction of an assumption stated by the  Project Manager  for  for assessing an earlier compensation event,

the Prices are reduc reduced. ed. 63.13 63. 13 Assess Assessment ments s for changed changed Pri Prices ces for com compens pensati ation on eve events nts are in the form of  changes to the Bill of Quantities. .

For the whole or a part of a compensation event for work not yet done and for which there is an item in the Bill of Quantities, the changes are . .

    s     e     e     r     s     o    u     c     l     a     c

.

.

    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p     o

.

a changed rate, a changed quantity or a changed lump sum.

For the whole or a part of a compensation event for work not yet done and for which there is no item in the Bill of Quantities, the change is a new pri priced ced ite item m whi which, ch, unle unless ss the   Project Manag Manager  er   and the   Contractor  agree otherwise ,  is compiled in accordance with the  method of measurement. For the whole or a part of a compensation event for work already done, the change is a new lump sum item.

If the  Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be used to assess a compensation event. Implementing 65 compensation events 65 65.4 .4

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The ch The chan ange ges s to th the e Pr Pric ices es,, th the e Co Comp mple leti tion on Da Date te an and d th the e Ke Keyy Da Date tes s ar are e included include d in the notification implementing implementing a compens compensation ation event.

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

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For use on projects associated with UK Shared Business Services Ltd  ® 

Main Option Clauses

Option C: Target contract with activity schedule

Identified and defined 11 terms 11 11.2 .2

(20) The (20) The Activ Activit ityy Sched Schedul ule e is the   activity sched schedule ule   unless unless lat later er chan changed ged in accordance with this contract. (23) Defined Cost is .

the amount of payments due to Subcontractors for work which is subcontracted without taking account of amounts deducted for . .

. . .

retention, payment pay ment to the   Employer   as a res result ult of the Sub Subcon contrac tractor tor failing failing to meet a Key Date, the correction of Defects after Completion, payments to Others and the supply of equipment, supplies and services included in the charge for overhead cost within the Working Areas in this contract

and .

the cost of components in the Schedule of Cost Components for other  work

less Disallowed Cost. (25) Disallowed Cost is cost which the  Project Manager  decides   decides is not justified by the  Contractor ’s ’s accounts and record records, s, should not have been paid to a Subcontractor or supplier in accordance  with his contract,  was incurred only because the  Contractor  did   did not . .

.

.

.

follow an acc follow accept eptance ance or pro procur cureme ement nt pro proced cedure ure sta stated ted in the Wor Works ks Information or give an early warning which this contract required him to give

and the cost of  . .

.

.

.

correcting Defects after Completion, corre cor recti cting ng Def Defect ects s cau cause sed d by th the e   Contractor    not not co comp mply lyin ing g wi with th a cons co nstr trai aint nt on ho how w he is to Pr Prov ovid ide e th the e Wo Work rks s st stat ated ed in th the e Wo Work rks s Information, Plant Pla nt and Mate Materia rials ls not used to Pro Provid vide e the Works (after allowing allowing for reas re ason onabl able e wa wast stage age)) unl unles ess s re resu sult ltin ing g fr from om a ch chang ange e to th the e Wo Work rks s Information, resources not used to Provide the Works (after allowing for reasonable availab ava ilabili ility ty and uti utilis lisati ation) on) or not tak taken en awa awayy fro from m the Wor Workin king g Are Areas as  when the  Project Manager  requested   requested and prepara prep aratio tion n for and con conduc ductt of an adj adjudi udicat cation ion or pro procee ceedin dings gs of the tribunal.

(29) Th (29) The e Pr Pric ice e fo forr Wo Work rk Do Done ne to Da Date te is th the e to tota tall De Define fined d Co Cost st wh whic ich h th the e Projectt Mana Projec Manager  ger   forecasts will have been paid by the   Contractor   before before the next assessment date plus the Fee. (30) The Prices (30) Prices ar are e th the e lu lump mp su sum m pr pric ices es fo forr ea each ch of th the e ac acti tivi viti ties es on th the e Activity Activ ity Schedule unless later changed in accord accordance ance with this contract. contract. Provid Pro viding ing the Wor Works ks 20

20.3

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The   Contractor   advises the   Project Mana Manager  ger   on the practical implications of  the design of the  works   and on subcontracting arrangements.

 

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     t     c     a     t     r     a      t     a     n     d     o     c

 

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Engineering and Construction Contract 2 0 .4

The   Contractor  prepares forecasts of the total Defined Cost for the whole of  the   works   in con consul sultat tation ion wit with h the   Project Mana Manager  ger   and su subm bmit its s th them em to the   Project Mana Manager  ger . For Foreca ecasts sts are pre prepar pared ed at the interval intervals s sta stated ted in the Contrac Cont ractt Dat Data a fro from m the   starting starting date   until until Com Comple pletio tion n of the whole of the works. An expl explanat anation ion of the changes changes mad made e sin since ce the previous previous for foreca ecast st is submitted with each forecast.

Subcontra Subc ontracting cting 26

2 6 .4

The   Contractor   submits the proposed contract data for each subcontract for acceptance accept ance to the  Project Manager  if   if  . .

an NEC contract is proposed and the  Project Manager  instructs   instructs the  Contractor  to  to make the submission.

A reason for not accepting the proposed contract data is that its use will not allow the  Contractor  to  to Provide the Works.     s     e     e     r     s     o    u     c     l     a     c

 The programme 31

3 1 .4

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Accele Acc elerat ration ion 36

3 6 .3

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quota quotati tion on fo forr an acc accel eler erat atio ion, n, he changes the Prices, the Completion Date and the Key Dates accordingly and accepts the revised programme.

 Tests and inspections 40

40. 0.7 7

    o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

The   Contractor   provide provides s inf inform ormati ation on whi which ch sho shows ws how eac each h act activi ivity ty on the Activi Act ivity ty Sch Schedul edule e rel relate ates s to the ope operat ration ions s on eac each h pro program gramme me whi which ch he submits for acceptance.

Manager  ger   assess Whe hen n th the e   Project Mana assesses es the cos costt incu incurre rred d by the   Employer   in repeating a test or inspection after a Defect is found, the   Project Mana Manager  ger  does do es no nott in incl clude ude th the e   Contractor ’s ’ s co cost st of ca carr rryi ying ng out the re repe peat at te test st or inspection.

Assessing Asse ssing the amou amount nt due due 50

50.6 50. 6

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

Defined Defi ned Cos Costt

Payments Payment s of Defi Defined ned Cos Costt made made by by the the  Contractor  in   in a currency other than the currency of this contract   are included in the amount due as payments to be made ma de to hi him m in th the e sa same me cu curr rren ency cy.. Su Such ch pa payme yment nts s ar are e co conve nvert rted ed to th the e currency curren cy of this contra contract ct   in order to calculate the Fee and any   Contractor ’s ’s share using the  exchange rates.

52

52.2

The  Contractor  keeps   keeps these records . .

     t     c     a     t     r     a      t     a     n     d     o     c

.

.

5 2 .3

 The  Contractor ’s ’ s sh shar are e

32

 

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accounts of payments of Defined Cost, proof that the payments have been made, communi com municat cations ions abo about ut and ass assess essment ments s of com compens pensati ation on eve events nts for Subcontractors and other records as stated in the Works Information.

The   Contractor   allows allows the   Project Manag Manager  er   to insp inspec ectt at any ti time me wi with thin in  working hours the accounts and records which he is required to keep.

53

5 3 .1

The   Project Project Mana Manager  ger    assesse assesses s the   Contractor ’s ’ s sh shar are e of th the e di diff ffer eren ence ce between the total of the Prices and the Price for Work Done to Date. The difference is divided into increments falling within each of the   share range ranges s. The limits of a   share range   are the Price for Work Done to Date divided by the total of the Prices, expressed as a percentage. The  Contractor ’s ’s share equals the sum of the products of the increment within each   share range   and the corresponding  Contractor’s share percentage.

53.2 53 .2

If the Price Price for Work Work Done to Date Date is le less ss than than th the e total total of th the e Prices Prices,, the Contractor  is   is paid his share of the saving. If the Price for Work Done to Date is greater grea ter than the tot total al of the Pri Prices ces,, the   Contractor   pays pays hi his s sh shar are e of th the e excess.

 

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Main Option Clauses 5 3 .3

The   Project Mana Manager  ger   makes makes a pre prelim limina inary ry ass assess essmen mentt of the   Contractor ’s ’s share at Completion of the whole of the  works  using his forecasts of the final Price for Work Done to Date and the final total of the Prices. This share is included in the amount due following Completion of the whole of the  works.

5 3 .4

The   Project Mana Manager  ger   makes makes a fina finall as asse sess ssme ment nt of th the e   Contractor ’s ’ s sha share re using the final Price for Work Done to Date and the final total of the Prices. This share is included in the final amount due.

 The Activity Schedule 54

54.1

Information Informat ion in the Activity Activity Schedule is not Works Informat Information ion or Site Informati Information. on.

5 4 .2

If the   Contractor   changes a planned method of working at his discretion so that the activities on the Activity Schedule do not relate to the operations on the Accepted Programme, he submits a revision of the Activity Schedule to the Project Manager  for   for acceptance.

54.3

A reason reason for not accepting accepting a revision revision of the Activity Activity Schedul Schedule e is that that . .

.

Assessing compensation events

it does not comply with the Accepted Programme, any changed Prices are not reasonably distributed between the activities or the total of the Prices is changed.

63

63.11 63. 11 If the effect effect of a compensat compensation ion event event is to red reduce uce the total total Defined Cost Cost and the event is .

.

a change to the Works Information, other than a change to the Works Information provided by the  Employer  which   which the  Contractor  proposed   proposed and the  Project Manager  has   has accepted or a correction of an assumption stated by the  Project Manager  for assessing an earlie earlierr compen compensation sation event,

the Prices are reduc reduced. ed. 63.12 63. 12 Assess Assessment ments s for changed changed Pri Prices ces for com compens pensati ation on eve events nts are in the form of  changes to the Activity Schedule. 63.14 63. 14 If the Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be used to assess a compensation event. 63.1 63 .15 5 If the the  Project Manag Manager  er   and the   Contractor   agree, the   Contractor   assesses a compens com pensati ation on eve event nt usi using ng the Sho Shorte rterr Sch Schedu edule le of Cos Costt Com Compone ponents nts.. The Project Manager  may   may make his own assessments using the Shorter Schedule of Cost Components. Implementing 65 compensation events 65 65.4 .4

The ch The chan ange ges s to th the e Pr Pric ices es,, th the e Co Comp mple leti tion on Da Date te an and d th the e Ke Keyy Da Date tes s ar are e included includ ed in the notific notification ation implementing implementing a compens compensation ation event.

Payment Paym ent on term terminat ination ion 93

93.4 93. 4

If the there re is a termi terminat nation ion,, the the   Project Manager  assesses   assesses the  Contractor ’s ’s share after he has certified termination. His assessment uses, as the Price for Work Done to Date, the total of the Defined Cost which the  Contractor  has   has paid and  which he is committed to pay for work done before termination. The assessment uses as the total of the Prices . .

9 3 .6

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the lump sum price for each activity which has been completed and a proportion of the lump sum price for each incomplete activity which is the proportion of the work in the activity which has been completed.

The   Project Manager ’s ’s assessment of the   Contractor ’s ’ s share is added to the amount due to the   Contractor   on termination if there has been a saving or deducted if there has been an excess.

 

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    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     a     t     r     a      t     a     n     d     o     c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract

Option D: Target contract with bill of quantities

Identified and defined 11 11.2 .2 terms 11

(21) The Bil (21) Billl of Quan Quanti titi ties es is the the   bill of quantities   as changed in accordance  with this contract to accommodate implemented compensation events and for accepted quotations for acceleration. (23) Defined Cost is .

the amount of payments due to Subcontractors for work which is subcontracted without taking account of amounts deducted for . .

    s     e     e     r     s     o    u     c     l     a     c

. . .

    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p

retention, payment pay ment to the   Employer   as a res result ult of the Subcontra Subcontracto ctorr fai failin ling g to meet a Key Date, the correction of Defects after Completion, payments to Others and the supply of equipment, supplies and services included in the charge for overhead cost within the Working Areas in this contract

and .

the cost of components in the Schedule of Cost Components for other  work

less Disallowed Cost. (25) Disallowed Cost is cost which the  Project Manager  decides   decides is not justified by the  Contractor ’s ’s accounts and records, should not have been paid to a Subcontractor or supplier in accordance  with his contract,  was incurred only because the  Contractor  did   did not

    o     s     y     e     s     r     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

. .

.

.

.

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

follow an acc follow accept eptance ance or pro procur cureme ement nt pro proced cedure ure sta stated ted in the Wor Works ks Information or give an early warning which this contract required him to give

and the cost of  . .

.

     t     c     a     t     r     a      t     a     n     d     o     c

.

.

correcting Defects after Completion, correcting corre cting Defects caused by the   Contractor   not complying with a constraint on how he is to Provide the Works stated in the Works Information, Plant Pla nt and Mat Materi erials als not use used d to Pro Provid vide e the Works (after allowing allowing for reasonable wastage) unless resulting from a change to the Works Information, resources not used to Provide the Works (after allowing for reasonable availa ava ilabil bility ity and uti utilis lisati ation) on) or not tak taken en awa awayy fro from m the Wor Working king Are Areas as  when the  Project Manager  requested   requested and prepara prep aratio tion n for and con conduc ductt of an adj adjudi udicat cation ion or pro procee ceedin dings gs of the tribunal.

(29) Th (29) The e Pr Pric ice e fo forr Wo Work rk Do Done ne to Da Date te is th the e to tota tall De Define fined d Co Cost st wh whic ich h th the e Project Manager  forecasts   forecasts will have been paid by the  Contractor  before   before the next assessment date plus the Fee. (31) The Prices are the lump sums and the amounts obtained by multiplying the rates by the quantities for the items in the Bill of Quantities . (33) The Total of the Prices is the total of  .

.

the quantity of the work which the   Contractor   has com comple pleted ted for eac each h item in the Bill of Quantities multiplied by the rate and a pr prop oport ortio ion n of ea each ch lu lump mp su sum m wh whic ich h is th the e pr prop opor orti tion on of th the e wo work rk covered by the item which the  Contractor  has   has completed.

Complet Compl eted ed wo work rk is wo work rk wi witho thout ut De Defe fect cts s wh whic ich h wo woul uld d ei eith ther er de dela layy or be covered by immediately following work.

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For use on projects associated with UK Shared Business Services Ltd  ® 

Main Option Clauses Provid viding ing the Wor Works ks 20 Pro

2 0 .3

The   Contractor   advises the   Project Mana Manager  ger   on the practical implications of  the design of the  works   and on subcontracting arrangements.

2 0 .4

The   Contractor  prepares forecasts of the total Defined Cost for the whole of  the  works   in consultation with the   Project Manager  and submits them to the Projectt Mana Projec Manager  ger . Fo Fore reca cast sts s are pr prepa epare red d at th the e in inte terv rval als s st stat ated ed in th the e Contra Con tract ct Dat Data a fro from m the   starting starting date   until until Com Comple pletio tion n of the whole of the works. An exp explan lanati ation on of the changes changes mad made e sin since ce the previous previous for foreca ecast st is submitted with each forecast.

Subcontra Subco ntracting cting 26

2 6 .4

The   Contractor   submits the proposed contract data for each subcontract for acceptance accept ance to the  Project Manager  if   if  . .

an NEC contract is proposed and the  Project Manager  instructs   instructs the  Contractor  to  to make the submission.

A reason for not accepting the proposed contract data is that its use will not allow the  Contractor  to  to Provide the Works.

    s     e     e     r     s     o    u     c     l     a     c

Accele Acc elerat ration ion 36

3 6 .3

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quota quotati tion on fo forr an ac acce cele lerat ratio ion, n, he changes the Prices, the Completion Date and the Key Dates accordingly and accepts the revised programme.

 Tests and inspections 40

40.7 40 .7

Whe hen n th the e   Project Mana Manager  ger   assess assesses es the cos costt incu incurre rred d by the   Employer   in Manager  ger  repeating a test or inspection after a Defect is found, the   Project Mana does do es not inc inclu lude de th the e   Contractor ’s ’ s co cost st of ca carr rryi ying ng ou outt th the e re repea peatt te test st or inspection.

Assessing Asse ssing the amou amount nt due due 50

50.6 50. 6

Defined Defi ned Cos Costt

Payments Payment s of Defi Defined ned Cos Costt made made by by the the  Contractor  in   in a currency other than the currency curre ncy of this contract   are included in the amount due as payments to be made ma de to hi him m in th the e sa same me cu curr rren ency. cy. Su Such ch pa payme yments nts ar are e co conv nvert erted ed to th the e ’s currency curre ncy of this contract   in order to calculate the Fee and any   Contractor ’s share using the  exchange rates.

52

5 2 .2

The  Contractor  keeps   keeps these records . . .

accounts of payments of Defined Cost, proof that the payments have been made, communi com municat cations ions abo about ut and ass assess essment ments s of com compens pensati ation on eve events nts for Subcontractors and

other records as stated in the Works Information. The   Contractor    allows allows the   Project Manag Manager  er   to in insp spec ectt at any ti time me wi with thin in  working hours the accounts and records which he is required to keep. .

5 2 .3

 The  Contractor ’s ’ s sh shar are e

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53

5 3 .5

The   Project Project Mana Manager  ger    assesse assesses s the   Contractor ’s ’ s sh shar are e of th the e di diff ffer eren ence ce betw be twee een n th the e To Tota tall of th the e Pr Pric ices es an and d th the e Pr Pric ice e fo forr Wo Work rk Do Done ne to Da Date te.. Th The e difference is divided into increments falling within each of the  share ranges. The limits of a  share range  are the Price for Work Done to Date divided by the Total of the Prices, expressed as a percentage. The  Contractor ’s ’s share equals the sum of the products of the increment within each   share range   and the corresponding  Contractor’s share percentage.

53.6 53 .6

If the Pric Price e for Work Done Done to Date is less less than the Total Total of the Price Prices, s, the Contractor  is   is paid his share of the saving. If the Price for Work Done to Date is greate gre aterr tha than n the Total of the Prices, Prices, the   Contractor   pays pays his share share of th the e excess.

 

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    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     a     t     r     a      t     a     n     d     o     c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract 5 3 .7

The   Project Project Manag Manager  er   makes makes a pre prelim limina inary ry ass assess essmen mentt of the   Contractor ’s ’s share at Completion of the whole of the  works  using his forecasts of the final Price for Work Done to Date and the final Total of the Prices. This share is included in the amount due following Completion of the whole of the  works.

5 3 .8

The   Project Mana Manager  ger   makes makes a fina finall as asse sess ssme ment nt of th the e   Contractor ’s ’ s sha share re using the final Price for Work Done to Date and the final Total of the Prices. This share is included in the final amount due.

 The Bill of Quantities 55

55.1 55. 1

Compensa Com pensation tion event events s

Informatio Informa tion n in the Bill Bill of Qua Quanti ntitie ties s is not Wor Works ks Informat Information ion or Site Inform Informaation.

60

60.4 60. 4     s     e     e     r     s     o    u     c     l     a     c

A differen difference ce between between the final final total quanti quantity ty of work done done and the quantity quantity stated for an item in the Bill of Quantities is a compensation event if  . .

.

    s     e     s     u     a     n     l      i     a    c     n     m     o      i     t     p

If th the e De Define fined d Co Cost st pe perr un unit it of qu quant antit ityy is re reduc duced ed,, th the e af affe fecte cted d ra rate te is reduced. 60.5 60. 5

A differe difference nce betwee between n the final total total quantit quantityy of work done done and the quantit quantityy for an in the Bill offor Quantities which delays Completion ing item of thestated Condition stated a Key Date is a compensation event.or the meet-

    o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

the difference does not result from a change to the Works Information, the difference causes the Defined Cost per unit of quantity to change and the rate in the Bill of Quantities for the item multiplied by the final total quantity of work done is more than 0.5% of the total of the Prices at the Contract Date.

6 0 .6

The   Project Mana Manager  ger   correc corrects ts mis mistak takes es in the Bil Billl of Qua Quanti ntitie ties s whi which ch are departures from the rules for item descriptions and for division of the work into in to it items ems in th the e   method method of mea measur sureme ement nt   or ar are e du due e to am ambi bigu guit itie ies s or incons inc onsist istenc encies ies.. Eac Each h suc such h cor correc rectio tion n is a com compen pensat sation ion eve event nt whi which ch may lead to reduce reduced d Price Prices. s.

60.7 60 .7

In as asse sess ssin ing g a co comp mpen ensa sati tion on ev even entt wh whic ich h re resu sult lts s fr from om a co corr rrec ecti tion on of an incons inc onsist istenc encyy bet betwee ween n the Bil Billl of Qua Quanti ntitie ties s and anot another her doc documen ument, t, the Contractor  is   is assumed to have taken the Bill of Quantities as correct.

Assessing compensation 63 events 63. 63.11 11 If the effect effect of a compensat compensation ion event event is to red reduce uce the total Defined Defined Cost and

the event is .

     t     c     a     t     r     a      t     a     n     d     o     c

.

a cha change nge to the Works Informa Informatio tion, n, oth other er than a chan change ge to the Wor Works ks Information provided by the  Employer  which   which the  Contractor  proposed   proposed and  Project Manager  the   has accepted  has or by the  Project Manager  for assesa correction of an assumption stated sing an earli earlier er compensation event,

the Prices are reduc reduced. ed. 63.13 Assessments Assessments for changed Prices Prices for compensation compensation events are in the form of  changes to the Bill of Quantities. .

For the whole or a part of a compensation event for work not yet done and for which there is an item in the Bill of Quantities, the changes are . . .

.

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a changed rate, a changed quantity or a changed lump sum.

For the whole or a part of a compensation event for work not yet done and for which there is no item in the Bill of Quantities, the change is a new priced item which, unless the   Project Manager  and the  Contractor  agree otherwise ,  is compiled in accordance with the  method of measurement.

 

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Main Option Clauses .

For the whole or a part of a compensation event for work already done, the change is a new lump sum item.

If the  Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be used to assess a compensation event. 63.1 63 .15 5 If the the  Project Manag assesses a Manager  er   and the   Contractor   agree, the   Contractor   assesses compens com pensati ation on eve event nt usi using ng the Sho Shorte rterr Sch Schedu edule le of Cos Costt Com Compone ponents nts.. The Project Manager  may make his own assessments using the Shorter Schedule of Cost Components. Implementing 65 65.4 .4 compensation events 65

The ch The chan ange ges s to th the e Pr Pric ices es,, th the e Co Comp mple leti tion on Da Date te an and d th the e Ke Keyy Da Date tes s ar are e included includ ed in the notific notification ation implementing implementing a compens compensation ation event.

Payment Paym ent on termi terminati nation on 93

93.5 93. 5

If the there re is a termi terminat nation, ion, the  Project Manager  assesses   assesses the  Contractor ’s ’s share after he has certified termination. His assessment uses, as the Price for Work Done to Date, the total of the Defined Cost which the  Contractor  has   has paid and  which he is committed to pay for work done before termination.

9 3 .6

The   Project Manager ’s ’s assessment of the   Contractor ’s ’ s share is added to the amounts due to the   Contractor  on termination if there has been a saving or deducted if there has been an excess.

    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n     l      i     a    c     n     m     o      i     t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     a     t     r     a      t     a     n     d     o     c

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract

Option E: Cost reimbursable contract

Identified and defined 11 terms 11 11.2 .2

(23)) De (23 Defin fined ed Co Cost st is .

the amount of payments due toof Subcontractors for work tracted without taking account amounts deducted for which is subcon. .

. .

    s     e     e     r     s     o    u     c     l     a     c

.

retention, payment pay ment to the   Employer   as a res result ult of the Subcontra Subcontracto ctorr fai failin ling g to meet a Key Date, the correction of Defects after Completion, payments to Others and the supply of equipment, supplies and services included in the charge for overhead cost within the Working Areas in this contract

and .

    s     e     s     u     a     n     l      i     a    c     n     m     o      i     t     p

the cost of components in the Schedule of Cost Components for other  work

less Disallowed Cost. (25) Disallowed Cost is cost which the  Project Manager  decides   decides . .

    o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

.

is not justified by the  Contractor ’s ’s accounts and records, should not have been paid to a Subcontractor or supplier in accordance  with his contract,  was incurred only because the  Contractor  did   did not .

.

follow an acc follow accept eptance ance or pro procur cureme ement nt pro proced cedure ure sta stated ted in the Wor Works ks Information or give an early warning which this contract required him to give

and the cost of  .

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

.

.

.

     t     c     a     t     r     a      t     a     n     d     o     c

correcting Defects after Completion, correcting Defects caused by the  Contractor   not complying with a constraint on how he is to Provide the Works stated in the Works Information, Plant Pla nt and Mat Materi erials als not use used d to Pro Provid vide e the Works (after allowing allowing for reasonable wastage) unless resulting from a change to the Works Information, resources not used to Provide the Works (after allowing for reasonable availa ava ilabil bility ity and uti utilis lisati ation) on) or not tak taken en awa awayy fro from m the Wor Working king Are Areas as  when the  Project Manager  requested   requested and

.

prepara prep aratio n for and con conduc ductt of an adj adjudi udicat cation ion or pro procee ceedin dings gs of the tribunal .tion (29) Th (29) The e Pr Pric ice e fo forr Wo Work rk Do Done ne to Da Date te is th the e to tota tall De Define fined d Co Cost st wh whic ich h th the e Projectt Mana Projec Manager  ger   forecasts will have been paid by the   Contractor   before the next assessment date plus the Fee. (32) The Prices are the Defined Cost plus the Fee. Provid Pro viding ing the Wor Works ks 20

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2 0 .3

The   Contractor   advises the   Project Mana Manager  ger   on the practical implications of  the design of the  works   and on subcontracting arrangements.

2 0 .4

The   Contractor  prepares forecasts of the total Defined Cost for the whole of  the   works   in consultation with the   Project Manager  and submits them to the Fore reca cast sts s ar are e pr prep epar ared ed at th the e in inte terv rval als s st stat ated ed in th the e Project Manag Manager  er . Fo Contrac Cont ractt Dat Data a fro from m the   starting starting date   until until Com Comple pletio tion n of the whole of the works. An expl explanat anation ion of the changes changes mad made e sin since ce the previous previous forecast forecast is submitted with each forecast.

 

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Main Option Clauses Subcontra Subco ntracting cting 26

2 6 .4

The   Contractor   submits the proposed contract data for each subcontract for acceptance accept ance to the  Project Manager  if   if  . .

an NEC contract is proposed and the  Project Manager  instructs   instructs the  Contractor  to  to make the submission.

A reason for not accepting the proposed contract data is that its use will not allow the  Contractor  to  to Provide the Works. Accele Acc elerat ration ion 36

3 6 .4

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quo quota tati tion on fo forr an ac acce cele lerat ratio ion, n, he changes cha nges the Com Comple pletio tion n Dat Date, e, the Key Dates and the forecast forecast of the total Defined Cost of the whole of the   works   accordingly and accepts the revised programme.

 Tests and inspections 40

40.7 40 .7

Whe hen n the   Project Mana Manager  ger   assess assesses es the cos costt incu incurre rred d by the   Employer   in repeating a test or inspection after a Defect is found, the   Project Mana Manager  ger  does do es no nott in incl clud ude e th the e   Contractor ’s ’ s co cost st of ca carr rryi ying ng ou outt th the e re repea peatt te test st or inspection.

Assessing Asse ssing the amou amount nt due due 50

50.7 50. 7

Payments Paymen ts of of Define Defined d Cost Cost mad made e by the Contractor  in   in a currency other than the currency curren cy of this contract   are included in the amount due as payments to be made ma de to hi him m in th the e sa same me cu curr rren ency. cy. Su Such ch pa payme yments nts ar are e co conve nvert rted ed to th the e curren cur rency cy of thi this s con contrac tractt   in or orde derr to ca calc lcul ulat ate e th the e Fe Fee e us usin ing g th the e   exchange rates.

Defined Defi ned Cos Costt

The  Contractor  keeps   keeps these records . . .

.

5 2 .3

    s     e     s     u     a     n      i     l     a    c     n     m     o      i     t     p     o

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5 2 .2

    s     e     e     r     s     o    u     c     l     a     c

accounts of payments of Defined Cost, proof that the payments have been made, communi com municat cations ions abo about ut and ass assess essment ments s of com compens pensati ation on eve events nts for Subcontractors and other records as stated in the Works Information.

The   Contractor    allows allows the   Project Manag Manager  er   to insp inspec ectt at any ti time me wi with thin in  working hours the accounts and records which he is required to keep.

Assessing compensation 63 events 63 63.1 .14 4 If th the e  Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

used to assess a compensation event. 63.1 63 .15 5 If the the  Project Manag Manager  er   and the   Contractor   agree, the   Contractor   assesses assesses a compens com pensati ation on eve event nt usi using ng his theown Shorte Sho rterr Sch Schedu edule leusing of Cos Cost t Com Compone ponents nts.. The Project Manager   may make assessments the Shorter Schedule of Cost Components. Implementing 65 65.3 3 compensation events 65.

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The change changes s to the forecast forecast amount amount of the Price Prices, s, the Comple Completio tion n Date and the Key Dates are included in the notification implementing a compensation event.

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract

Option F: Management contract

Identified and defined 11 terms 11 11.2 .2

(24)) De (24 Defin fined ed Co Cost st is .

the amount of payments due toof Subcontractors for work tracted without taking account amounts deducted for which is subcon. .

. .

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retention, payment pay ment to the   Employer   as a res result ult of the Subcontra Subcontracto ctorr fai failin ling g to meet a Key Date, the correction of Defects after Completion, payments to Others, the supply of equipment, supplies and services included in the charge for overhead cost within the Working Areas in this contract

and .

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the  prices  for work done by the  Contractor  himself    himself 

less Disallowed Cost. (26) Disallowed Cost is cost which the  Project Manager  decides   decides . .

.

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is not justified by the accounts and records provided by the  Contractor , should not have been paid to a Subcontractor or supplier in accordance  with his contract,  was incurred only because the  Contractor  did   did not .

.

.

is a payment to a Subcontractor for .

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follow an acc follow accept eptance ance or pro procur cureme ement nt pro proced cedure ure sta stated ted in the Wor Works ks Information or give an early warning which this contract required him to give or

.

 work which the Contract Data states that the  Contractor  will   will do himself  or the  Contractor ’s ’s manageme management. nt.

(29) Th (29) The e Pr Pric ice e fo forr Wo Work rk Do Done ne to Da Date te is th the e to tota tall De Define fined d Co Cost st wh whic ich h th the e Project Mana Manager  ger   forecasts will have been paid by the   Contractor   before the next assessment date plus the Fee. (32) The Prices are the Defined Cost plus the Fee. Provid Pro viding ing the Wor Works ks 20

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2 0 .2

 Contractor ’s T he  Contractor   manages  manages theinst s design, the.provision of Site  services and the con constr struct uction ion and install allati ation on ’of the   works The   Contractor  subcontrac tr acts ts th the e   Contractor ’s ’ s de desi sign gn,, th the e pr prov ovis isio ion n of Si Site te se serv rvic ices es an and d th the e constru cons tructi ction on and ins instal tallat lation ion of the   works   except except wor work k whi which ch the Con Contra tract ct Data states that he will do himself.

2 0 .3

The   Contractor   advises the   Project Mana Manager  ger   on the practical implications of  the design of the  works   and on subcontracting arrangements.

2 0 .4

The   Contractor  prepares forecasts of the total Defined Cost for the whole of  the   works   in consultation with the   Project Manager  and submits them to the Project Manag Manager  er . Fo Fore reca cast sts s ar are e pr prep epar ared ed at th the e in inte terv rval als s st stat ated ed in th the e Contrac Cont ractt Dat Data a fro from m the   starting starting date   until until Com Comple pletio tion n of the whole of the works. An expl explanat anation ion of the changes changes mad made e sin since ce the previous previous forecast forecast is submitted with each forecast.

 

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Main Option Clauses 20.5 20.5

If wo work rk wh whic ich h the the   Contractor   is to do himself is affected by a compensation event, the   Project Manager   and the  Contractor  agree the change to the price for the work and any change to the Completion Date and Key Dates. If they cannot agree, the  Project Manager  decides  decides the change.

Subcontra Subco ntracting cting 26

2 6 .4

The   Contractor   submits the proposed contract data for each subcontract for acceptance accept ance to the  Project Manager  if   if  . .

an NEC contract is proposed and the  Project Manager  instructs   instructs the  Contractor  to  to make the submission.

A reason for not accepting the proposed contract data is that its use will not allow the  Contractor  to  to Provide the Works. Accele Acc elerat ration ion 36

3 6 .4

Whe hen n th the   Project Project Manag Manager  er    accep accepts ts a quo quota tati tion on fo forr an ac acce cele lerat ratio ion, n, he changes cha nges the Com Comple pletio tion n Dat Date, e, the Key Dates and the forecast forecast of the total Defined Cost of the whole of the   works   accordingly and accepts the revised programme.

Assessing Asse ssing the amou amount nt due due 50

50.7 50. 7

Defined Defi ned Cos Costt

Payments Paymen ts of of Define Defined d Cost Cost mad made e by the Contractor  in   in a currency other than the currency curren cy of this contract   are included in the amount due as payments to be made ma de to hi him m in th the e sa same me cu curr rren ency. cy. Su Such ch pa payme yments nts ar are e co conve nvert rted ed to th the e orde derr to ca calc lcul ulat ate e th the e Fe Fee e us usin ing g th the e   exchange curren cur rency cy of thi this s con contrac tractt   in or rates.

52

5 2 .2

The  Contractor  keeps   keeps these records . . .

.

5 2 .3

accounts of payments of Defined Cost, proof that the payments have been made, communi com municat cations ions abo about ut and ass assess essment ments s of com compens pensati ation on eve events nts for Subcontractors and other records as stated in the Works Information.

The   Contractor    allows allows the   Project Manag Manager  er   to insp inspec ectt at any ti time me wi with thin in  working hours the accounts and records which he is required to keep.

Assessing compensation 63 events 63 63.1 .14 4 If th the e  Project Manager  and   and the  Contractor  agree,   agree, rates and lump sums may be

used to assess a compensation event. Implementing 65 compensation events 65. 65.3 3

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The change changes s to the forecast forecast amount amount of the Price Prices, s, the Comple Completio tion n Date and the Key Dates are included in the notification implementing a compensation event.

 

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For use on projects associated with UK Shared Business Services Ltd

DISPUTE RESOLUTION

Option W1

Dispute resolution procedure (used unless the United Kingdom Housing Grants, Construction and Regeneration Act 1996 applie applies). s). Disput Dis pute e reso resolut lution ion W1 W1.1 W1. 1

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 The  Adjudicator    W1. W1.2 2

A dispute dispute arising arising under or in connecti connection on with this this contract contract is referr referred ed to and decided by the  Adjudicator . (1) The Par Partie ties s appoi appoint nt the  Adjudicator  under the NEC Adjudicator’s Contract current at the  starting date. (2) The   Adjudicator   acts impartially and decides the dispute as an independent adjudicator and not as an arbitrator.

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(3) If the  Adjudicator  is   is not identified in the Contract Data or if the  Adjudicator  resigns or is unable to act, the Parties choose a new adjudicator jointly. If the Parties have not chosen an adjudicator, either Party may ask the  Adjudicator  nominating body  to choose one. The   Adjudicator nominating body  chooses an adjudicator within four days of the request. The chosen adjudicator becomes the  Adjudicator .

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(4) A replacement  Adjudicator  has the power to decide a dispute referred to his predecessor but not decided at the time when the predecessor resigned or became unable to act. He deals with an undecided dispute as if it had been referred to him on the date he was appointed. (5) The   Adjudicator , his employees and agents are not liable to the Parties for any action or failure to take action in an adjudication unless the action or failure to take action was in bad faith.

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 The adjudication   W1. W1.3 3

(1) Dispu Disputes tes are are notifie notified d and refer referred red to to the   Adjudicator   in accordance with the Adjudication Table.

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Dispute Resolution ADJUDICATION TABLE Dispute about

Which Party may refer it to the  Adjudicator ?

An action of the Project Manager  or  or

The  Contractor 

When may it be referred to the  Adjudicator ?

 

the  Supervisor 

Between two and four weeks Between after the  Contractor ’s ’s notification of the the Project dispute to the Employer  and   and Manager , the notification notification itself  being made not more than four  weeks after the  Contractor  becomes aware of the action

The  Project Manager  or  Supervisor  not  not having taken an action

A quotation for a

The  Contractor 

The  Employer 

 

Between two and four weeks Between after the  Contractor ’s ’s notification of the dispute to the Employer  and   and the  Project Manager , the notification notification itself  being made not more than four  weeks after the  Contractor  becomes aware that the action  was not taken Between Betwee n two and four weeks after the  Project Manager ’s ’s notification of the dispute to the Employer  and   and the  Contractor, the notification itself being made not more than four weeks after the quotat quotation ion was treat treated ed as accepted

compensation event  which is treated as having been accepted

Any other matt tte er

 

Either Party

Between two an and d four weeks after notification notification of the dispute to the other Party and the Project Manager 

(2) The times for notifying and referring a dispute may be extended by the Project Manager  if   if the  Contractor  and   and the   Project Manager  agree   agree to the extension sio n bef before ore the not notice ice or ref referr erral al is due due.. The   Project Mana Manager  ger   notifies notifies the extension that has been agreed to the  Contractor.   If a disputed matter is not notified and referred within the times set out in this contract, neither Party may subsequently refer it to the  Adjudicator  or   or the  tribunal. (3) The Party referring the dispute to the  Adjudicator  includes   includes with his referral information to be considered by the  Adjudicator . Any more information from a Party to be considered by the  Adjudicator  is provided within four weeks of the referral. This period may be extended if the  Adjudicator  and  and the Parties agree. under or in co conne nnect ctio ion n wi with th a (4) If a ma (4) matt tter er di disp spute uted d by th the e   Contractor   under subcontract subcont ract is also a matter disputed under or in connection with this contract and if the subcontract allows, the   Contractor   may refer the subcontract dispute to the   Adjudicator   at the same time as the main contract referral. The  Adjudicator   then decides the disputes together and references to the Parties for the purposes of the dispute are interpreted as including the Subcontractor.

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract (5) The  Adjudicator  may  may .

.

.

.

review revi ew and re revi vise se any act actio ion n or in inac acti tion on of th the e   Project Project Mana Manager  ger   or Supervisor  related   related to the dispute and alter a quotation which has been treated treate d as having been accepted, take tak e the initiati initiative ve in asc ascert ertain aining ing the facts and the law rel related ated to the dispute, instru ins truct ct a Par Party ty to pro provid vide e fur furthe therr inf inform ormati ation on rel relate ated d to the dis dispute pute  within a stated time and instruct a Party to take any other action which he considers necessary to reach his decision and to do so within a stated time.

(6) A communication between a Party and the  Adjudicator  is  is communicated to the other Party at the same time. (7) If the   Adjudicator ’s ’ s dec decisi ision on inc include ludes s ass assess essmen mentt of add additi itiona onall cos costt or delay caused to the  Contractor , he makes his assessment in the same way as a compens compensation ation event is asses assessed. sed.

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(8) Th The e   Adjudicator   decid decides es the dispute dispute and not notifie ifies s the Parties Parties and the Project Manager  of   of his decision and his reasons within four weeks of the end of the period for receiving information. This four week period may be extended if the Parties agree.

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(9) Unless and until the   Adjudicator   has notified the Parties of his decision, the Parties, the   Project Manager   and the  Supervisor   proceed as if the matter disputed disput ed was not disputed. (10)) The   Adjudicator ’s (10 ’ s dec decisi ision on is bin binding ding on the Parties Parties unle unless ss and until revised by the  tribunal  and is enforceable as a matter of contractual obligation between the Parties and not as an arbitral award. The  Adjudicator ’s ’s decision is final and bin bindin ding g if nei neither ther Party Party has notified notified the other within within the times required by this contract that he is dissatisfied with a decision of the  Adjudicator  and   and intends to refer the matter to the  tribunal.

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(11) The   Adjudicator   may, (11) may, wi with thin in tw two o we week eks s of gi givi ving ng hi his s de deci cisi sion on to th the e Parties, Partie s, corre correct ct any cleri clerical cal mista mistake ke or ambigu ambiguity. ity. W1.4 .4 Review by the  tribunal   W1

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(1) A Pa (1) Part rtyy do does es no nott re refe ferr an anyy di disp sput ute e un unde derr or in co conn nnec ecti tion on wi with th th this is contract to the  tribunal  unless it has first been referred to the  Adjudicator   in accordance accord ance with this contra contract. ct. (2) If, after the  Adjudicator  notifies   notifies his decision a Party is dissatisfied, he may notify the other Party that he intends to refer it to the  tribunal.  A Party may not refe re ferr a di disp sput ute e to the   tribunal   unless unless thi this s not notifica ificatio tion n is giv given en wit within hin fou fourr  weeks of notification of the  Adjudicator ’s ’s decision. (3) If the  Adjudicator   does not notify his decision within the time provided by

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this contract, a Party .may notify thenot other Party that hetointends to refer the dispute to the  tribunal A Party may refer a dispute the  tribunal  unless this notification is given within four weeks of the date by which the  Adjudicator  should have notifie notified d his decision. (4) The  tribunal  settles the dispute referred to it. The  tribunal  has the powers to reconsider any decision of the  Adjudicator  and   and review and revise any action or inaction of the  Project Manager  or   or the  Supervisor   related to the dispute. A Party is not limited in the  tribunal  proceedings to the information, evidence or arguments put to the  Adjudicator . (5) If the  tribunal  is arbitration, the   arbitration procedure,  the place where the arbitration is to be held and the method of choosing the arbitrator are those stated in the Contract Data. (6) A Party does not call the  Adjudicator  as   as a witness in  tribunal  proceedings.

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Dispute Resolution

Option W2

Dispute resolution procedure (used in the United Kingdom when the Housing Grants, Construction and Regeneration Act 1996 applies). Disput Dis pute e resol resoluti ution on W2 W2.1 W2. 1

(1) A dispute dispute arising arising under or in connectio connection n with this contrac contractt is ref referr erred ed to and decided by the  Adjudicator . A Party may refer a dispute to the  Adjudicator  at any time. (2) In this Option, time periods stated in days exclude Christmas Day, Good Friday and bank holidays.

W2.2 2  The  Adjudicator    W2.

(1) The Par Partie ties s appoi appoint nt the  Adjudicator  under the NEC Adjudicator’s Contract current at the  starting date. (2) The  Adjudicator   acts impartially and decides the dispute as an independent adjudicator and not as an arbitrator. (3) If the  Adjudicator  is   is not identified in the Contract Data or if the  Adjudicator  resigns or becomes unable to act . .

the Parties may choose an adjudicator jointly or a Party may ask the  Adjudicator nominating body  to   to choose an adjudicator.

 Adjudicator  Adjudica tor nomin nominating ating body  The request.   chooses an the adjudicator within four days of  the The chosen adjudic adjudicator ator becomes  Adjudicator.

(4) A replacement  Adjudicator  has the power to decide a dispute referred to his predecessor but not decided at the time when his predecessor resigned or became unable to act. He deals with an undecided dispute as if it had been referred to him on the date he was appointed. (5) The  Adjudicator,  his employees and agents are not liable to the Parties for any action action or failure failure to take act action ion in an adj adjudic udicati ation on unle unless ss the act action ion or failure to take action was in bad faith. W2.3 .3  The adjudication   W2

(1) Befor (1) Before e a Pa Part rtyy refer refers s a di disp sput ute e to the   Adjudicator , he gives a notice of  adjudication to the other Party with a brief description of the dispute and the decision which he wishes the  Adjudicator  to   to make. If the  Adjudicator  is   is named in the Contract Data, the Party sends a copy of the notice of adjudication to the  Adjudicator  when   when it is issued. Within three days of the receipt of the notice of adjudication, the  Adjudicator  notifies   notifies the Parties . .

that he is able to decide the dispute in accordance with the contract or that he is unable to decide the dispute and has resigned.

If th the e   Adjudicator   does does not so not notif ifyy wi with thin in th thre ree e da days ys of th the e is issu sue e of th the e notice of adjudication, either Party may act as if he has resigned. (2) Within seven days of a Party giving a notice of adjudication he . .

.

refers the dispute to the  Adjudicator , provides the  Adjudicator  with  with the information on which he relies, including any supporting documents and provides a copy of the information and supporting documents he has provided to the  Adjudicator  to   to the other Party.

Any further information from a Party to be considered by the   Adjudicator   is provided within fourteen days of the referral. This period may be extended if  the  Adjudicator  and  and the Parties agree.

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     t     c     a     t     a     r      t     a     n     d     o     c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract (3) If a ma matt tter er di disp sput uted ed by th the e   Contractor   under under or in co conne nnect ctio ion n wi with th a subco sub cont ntra ract ct is al also so a mat matte terr di disp sput uted ed un unde derr or in co conn nnect ectio ion n wi with th th this is contract, the  Contractor  may,   may, with the consent of the Subcontractor, refer the subcontract dispute to the  Adjudicator  at   at the same time as the main contract referral. The  Adjudicator  then   then decides the disputes together and references to the Parties for the purposes of the dispute are interpreted as including the Subcontractor. (4) The  Adjudicator  may  may .

.

.

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review revi ew and re revi vise se any act actio ion n or in inac acti tion on of th the e   Project Project Mana Manager  ger   or Supervisor  related   related to the dispute and alter a quotation which has been treated treate d as having been accepted, take tak e the initiati initiative ve in asc ascert ertain aining ing the facts and the law rel related ated to the dispute, instru ins truct ct a Par Party ty to pro provid vide e fur furthe therr inf inform ormati ation on rel relate ated d to the dis dispute pute  within a stated time and instruct a Party to take any other action which he considers necessary to reach his decision and to do so within a stated time.

(5) If a Party does not comply with any instruction within the time stated by the   Adjudicator , the   Adjudicator   may continue the adjudication and make his decision based upon the information and evidence he has received.

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(6) A communication between a Party and the  Adjudicator  is  is communicated to the other Party at the same time. (7) If the   Adjudicator’s   decision decision includes assessment assessment of addit additional ional cost or delay caused to the  Contractor,  he makes his assessment in the same way as a compensation event is assessed. If the   Adjudicator ’s ’s decision changes an amount notified as due, payment of the sum decided by the  Adjudicator  is   is due not later than seven days from the date of the decision or the final date for payment of the notified amount, whichever is the later.

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(8) Th (8) The e   Adjudicator   decid decides es th the e di disp spute ute an and d no noti tifie fies s th the e Pa Part rtie ies s and th the e Projectt Mana Projec Manager  ger  of   of his decision and his reasons within twenty-eight days of  the dispute being referred to him. This period may be extended by up to fourteen days with the consent of the referring Party or by any other period agreed by the Parties. Parties. The   Adjudicator   may in his de deci cisi sion on al allo loca cate te hi his s fe fees es and expenses between the Parties.

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(9) Unless and until the   Adjudicator   has notified the Parties of his decision, the Parties, the   Project Manager  and the  Supervisor   proceed as if the matter disputed disput ed was not disputed. (10) If the  Adjudicator  does   does not make his decision and notify it to the Parties  within the time provided by this contract, the Parties and the  Adjudicator   may agree to extend the period for making his decision. If they do not agree to an extension, either Party may act as if the  Adjudicator  has   has resigned. (11)) The   Adjudicator ’s (11 ’ s dec decisi ision on is bind binding ing on the Parties Parties unl unless ess and unti untill revised by the  tribunal  and is enforceable as a matter of contractual obligation between the Parties and not as an arbitral award. The  Adjudicator ’s ’s decision is fina finall and binding binding if nei neithe therr Par Party ty has notified notified the other within within the times required by this contract that he is dissatisfied with a matter decided by the  Adjudicator  and   and intends to refer the matter to the  tribunal.

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(12) The  Adjudicator  may,   may, within five days of giving his decision to the Parties, correct the decision to remove a clerical or typographical error arising by accident or omiss omission. ion. Review by the  tribunal   W2 W2.4 .4

(1) A Pa (1) Part rtyy do does es no nott re refe ferr an anyy di disp sput ute e un unde derr or in co conn nnec ecti tion on wi with th th this is contract to the  tribunal  unless it has first been decided by the  Adjudicator   in accordance with this contract. (2) If, after the   Adjudicator   notifies his decision a Party is dissatisfied, that Party may notify the other Party of the matter which he disputes and state

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Dispute Resolution that he intends to refer it to the  tribunal. The dispute may not be referred to the   tribunal   unless this notification is given within four weeks of the notification of the  Adjudicator’s  decision. (3) The  tribunal  settles the dispute referred to it. The  tribunal  has the powers to rec recons onside iderr any dec decisi ision on of the   Adjudicator   and to rev review iew and rev revise ise any action act ion or inac inactio tion n of the   Project Mana Manager  ger   or th the e   Supervisor   relate related d to the dispute. A Party is not limited in   tribunal   proceedings proceedings to the information or evidence put to the  Adjudicator . (4) If the  tribunal  is arbitration, the   arbitration procedure,  the place where the arbitration is to be held and the method of choosing the arbitrator are those stated in the Contract Data. (5) A Party does not call the  Adjudicator  as   as a witness in  tribunal  proceedings.     s     e     e     r     s     o    u     c     l     a     c

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SECONDARY OPTION CLAUSES

Option X1: Price adjustment for inflation (used only with Options A, B, C and D)

Defin De fined ed te term rms s X1

X1.1 X1. 1

(b) Th The e La Late test st In Inde dexx (L (L)) is th the e la late test st av avai aila labl ble e in inde dexx be befo fore re th the e da date te of  assessment of an amount due.

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(c) The Price Adjustment Factor is the total of the products of each of the proportions stated in the Contract Data multiplied by (L – B)/B for the index linked to it. Price Adjustment Factor   X1.2

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If an index is changed changed after it has has been been used used in calcul calculating ating a Price Price Adjust Adjustment ment Facto Fac tor, r, th the e ca calc lcul ulat atio ion n is re repe peat ated ed an and d a co corr rrec ecti tion on in incl clud uded ed in th the e ne next xt assessment of the amount due. The Price Adjustment Factor calculated at the Completion Date for the whole of the  works  is used for calculating price adjustment after this date.

Compensation events   X1.3

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(a) The Base Base Date Date Index Index (B) is the the latest latest avail availabl able e index index before before the base date.

The Defined Cost for compens compensation ation events is asses assessed sed using the .

.

Price adjustment Options X1. X1.4 4 A and B

Each amount amount due due include includes s an amount amount for price price adjust adjustment ment which which is the the sum of  .

.

.

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Price adjustment Options X1 X1.5 .5 C and D

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the change in the Price for Work Done to Date since the last assessment of the amount due multiplied by the Price Adjustment Factor for the date of the current assessment, the amount for price adjustmen adjustmentt inc includ luded ed in the previous previous amou amount nt due and correcting amounts, not included elsewhere, which arise from changes to indices indice s used for asses assessing sing previous amounts for price adjustment. adjustment.

Each time the amount Each amount due is assess assessed ed,, an amount amount for price price ad adju just stme ment nt is added to the total of the Prices which is the sum of  .

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Defined Cost current at the time of assessing the compensation event adjust adj usted ed to   base base dat date e   by di divi vidi ding ng by one pl plus us th the e Pr Pric ice e Ad Adju just stmen mentt Factor for the last assessment of the amount due and Defin De fined ed Co Cost st at   base base dat date e   levels levels for amou amounts nts cal calcul culate ated d fro from m rat rates es stated in the Contract Data for employees and Equipment.

the change in the Price for Work Done to Date since the last assessment of the amount due multiplied by (PAF/(1 þ PAF)) where PAF is the Price Adjustment Factor for the date of the current assessment and correcting amounts, not included elsewhere, which arise from changes to indices indice s used for asses assessing sing previous amounts for price adjustment. adjustment.

 

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Secondary Option Clauses

Option X2: Changes in the law Change Cha nges s in th the e law law X2

X2.1 X2. 1

A change change in the the law of the the countr countryy in which which the Site Site is is located located is a compe compensa nsa-tion event if it occurs after the Contract Date. The   Project Manager  may   may notify the   Contractor  of a compensation event for a change in the law and instruct him to submit quotations. If the effect of a compensation event which is a change in the law is to reduce the total Defined Cost, the Prices are reduced.

Option X3: Multiple currencies (used only with Options A and B)

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Multip Mul tiple le curr currenc encies ies X3

X3.1

X3.2 X3 .2

The  Contractor  is   is paid in currencies other than the  currency of this contract  for exchange rates   are the items or act activi ivitie ties s lis listed ted in the Con Contra tract ct Dat Data. a. The   exchange used to convert from the  currency of this contract  to other currencies. Pay ayme ment nts s to the the   Contractor   in cur currenc rencies ies oth other er tha than n the   curren currency cy of thi this s contract   do not exceed the maximum amounts stated in the Contract Data. Any excess is paid in the  currency of this contract .

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Option X4: Parent company guarantee Parent company guarantee

X4

X4.1 X4 .1

If a par parent ent co compa mpany ny ow owns ns th the e  Contractor , the  Contractor  gives   gives to the  Employer  a guarantee by the parent company of the   Contractor ’s ’ s per perfor formanc mance e in the form set out in the Works Information. If the guarantee was not given by the Contract Date, it is given to the   Employer  within four weeks of the Contract Date.

Sectional Secti onal Compl Completion etion X5

In the hes se   conditions of contract, unless stated as the whole of the  works, each reference refer ence and clause relevant to . . .

the  works, Completion Complet ion and Completion Date

applies, as the case may be, to either the whole of the  works  or any  section  of  the  works.

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Option X5: Sectional Completion X5.1 X5 .1

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Engineering and Construction Contract

Option X6: Bonus for early Completion Bonus Bon us for for early early Compl Completi etion on X6

X6.1

The   Contractor  is paid a bonus calculated at the rate stated in the Contract Data for each day from the earlier of  .

Completion Complet ion and

.

the date on which the  Employer  takes   takes over the  works until the Complet Completion ion Date.

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Option X7: Delay damages Delay Del ay dama damages ges X7

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. .

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The   Contractor   pays delay damages at the rate stated in the Contract Data from the Completion Date for each day until the earlier of  Completion and Completion the date on which the  Employer  takes   takes over the  works.

X7.2 X7. 2

If the Comple Completio tion n Date is change changed d to a later date date after after delay delay damages damages have have been paid, the   Employer   repays repays the overpayment of damages with interest. Interest is assessed from the date of payment to the date of repayment and the date of repayment is an assessment date.

X7.3

If the   Employer   takes over a part of the   works   before Completion, the delay dama da mage ges s ar are e re redu duce ced d fr from om th the e dat date e on wh whic ich h th the e par partt is ta take ken n ov over er.. Th The e Project Manager assesses the benefit to the  Employer   of taking over the part of the  works  as a proportion of the benefit to the  Employer  of taking over the  whole of the  works  not previously taken over. The delay damages are reduced in this proportion.

Option X12: Partnering Identified and defined X12 terms X12.1 (1) The Partners Partners are those those named in the Schedule Schedule of Partners. Partners. The Client  is a

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Partner.

(2) An Own Contract is a contract between two Partners which includes this Option. (3) The Core Gro Group up com compri prises ses the Par Partne tners rs lis listed ted in the Schedule Schedule of Cor Core e Group Members. (4) Par Partne tnerin ring g Inf Inform ormati ation on is inf informa ormatio tion n whi which ch spe specifi cifies es how the Par Partner tners s  work together and is either in the documents which the Contract Data states it is in or in an instruction given in accordance with this contract. (5) A Key Performan Performance ce Indicator Indicator is an asp aspect ect of per perfor formanc mance e for which a target is stated in the Schedule of Partners.

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Secondary Option Clauses Partner works works with with the other other Partners Partners to achieve achieve the Client’s objective Actions   X12.2 (1) Each Partner stated in the Contract Data and the objectives of every other Partner stated in the Schedule of Partn Partners. ers. (2) Each Par Partne tnerr nomi nominat nates es a rep repres resent entati ative ve to act for it in dea dealing lings s wit with h other Partners. (3) The Core Group acts and takes decisions on behalf of the Partners on those matters stated in the Partn Partnering ering Information. Information. (4) Th (4) The e Pa Part rtne ners rs se sele lect ct th the e mem membe bers rs of th the e Co Core re Gr Grou oup. p. Th The e Co Core re Gr Group oup decides how they will work and decides the dates when each member joins and leaves the Core Group. The   Client’s representative leads the Core Group unless stated otherwise in the Partnering Information. (5) Th (5) The e Co Core re Gr Grou oup p ke keep eps s th the e Sc Sche hedu dule le of Co Core re Gr Grou oup p Me Membe mbers rs and th the e Schedule of Partners up to date and issues copies of them to the Partners each time either is revised. (6) This Option does not create a legal partnership between Partners who are not one of the Parties in this contract.

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Working together   X12.3 (1) The Partners Partners work together together as stated stated in the Partnerin Partnering g Information Information and in

a spirit of mutual trust and co-operation. (2) A Partner may ask another Partner to provide information which he needs to carry out the work in his Own Contract and the other Partner provides it. (3) Ea (3) Each ch Pa Part rtne nerr giv gives es an ea earl rlyy wa warni rning ng to th the e ot othe herr Pa Part rtne ners rs wh when en he becomes aware of any matter that could affect the achievement of another Partner’s objectives stated in the Schedule of Partners. (4) The Partners use common information systems as set out in the Partnering Information. (5) A Partner implements a decision of the Core Group by issuing instructions in accor accordance dance with its Own Contra Contracts. cts. (6) The Cor Core e Gro Group up may give an ins instru tructi ction on to the Par Partne tners rs to cha change nge the Partnering Information. Each such change to the Partnering Information is a compensation event which may lead to reduced Prices. (7) The Core Group prepares and maintains a timetable showing the proposed timing of the contributions of the Partners. The Core Group issues a copy of  the timetable to the Partners each time it is revised. The  Contractor  changes his programme if it is necessary to do so in order to comply with the revised timeta tim etable. ble. Each suc such h cha change nge is a comp compens ensati ation on eve event nt whi which ch may lea lead d to reduced Prices. (8) A Partner gives advice, information and opinion to the Core Group and to other Partners when asked to do so by the Core Group. This advice, information and opinion relates to work that another Partner is to carry out under its Own Con Contra tract ct and is give given n ful fully, ly, ope openly nly and obj object ective ively. ly. The Par Partne tners rs sho show w contingency and risk allowances in information about costs, prices and timing for future work. (9) A Partner notifies the Core Group before subcontracting any work. Incentives   X12 X12.4 .4 (1) A Partner Partner is paid the amount amount stated stated in the Schedul Schedule e of Par Partner tners s if the

target stated for a Key Performance Indicator is improved upon or achieved. Payment of the amount is due when the target has been improved upon or achi ac hiev eved ed an and d is ma made de as pa part rt of th the e am amou ount nt du due e in th the e Pa Part rtne ner’ r’s s Ow Own n Contract. (2) The  Client  may add a Key Performance Indicator and associated payment to the Schedule of Partners but may not delete or reduce a payment stated in the Schedule of Partn Partners. ers.

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Engineering and Construction Contract

Option X13: Performance bond Perfor Per formanc mance e bon bond d X13

X13. X1 3.1 1 The Contractor  gives   gives the  Employer  a   a performance bond, provided by a bank or insurer which the   Project Manager  has accepted, for the amount stated in the Contract Data and in the form set out in the Works Information. A reason for not accepting the bank or insurer is that its commercial position is not strong enough to carry the bond. If the bond was not given by the Contract Date, it is given to the  Employer  within  within four weeks of the Contract Date.

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Option X14: Advanced payment to the   Contractor  Advance Adv anced d paym payment ent X14

X14. X1 4.1 1 The   Employer  makes an advanced payment to the   Contractor  of the amount stated in the Contract Data.

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X14.2 The advanced advanced payment is made either either within four weeks weeks of the Contract Contract Date or, if an advanced payment bond is required, within four weeks of the later of  .

the Contract Date and

.

 Employer 

the date when the  receives the advance advanced d paymen paymentt bond. The advanced payment bond is issued by a bank or insurer which the   Project Manager   has accepted accepted.. A rea reason son for not accepting accepting the proposed proposed bank or insurer is that its commercial position is not strong enough to carry the bond. The bond is for the amount of the advanced payment which the   Contractor  has not repaid and is in the form set out in the Works Information. Delay in making the advanced payment is a compensation event.

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X14.3 X14 .3 The advanc advanced ed payment payment is repaid repaid to the   Employer   by the   Contractor  in instalments of the amount stated in the Contract Data. An instalment is included in each amount due assessed after the period stated in the Contract Data has passed until the advanced payment has been repaid.

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Option X15: Limitation of the   Contractor ’s ’s liability for his design to      t

reasonable skill and care

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 The  Contractor ’s ’ s de desi sign gn X1 X15 5

X15. X1 5.1 1 The  Contractor   is not liable for Defects in the  works  due to his design so far as he proves that he used reasonable skill and care to ensure that his design complied complie d with the Works Information. Information. X15. X1 5.2 2 If th the e  Contractor  corrects   corrects a Defect for which he is not liable under this contract it is a compensation event.

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Secondary Option Clauses

Option X16: Retention (not used with Option F) Retenti Ret ention on X16

X16.1 X16 .1 After After the Price for Work Work Done to Dat Date e has rea reache ched d the  retention free amount , an amount is retained in each amount due. Until the earlier of  .

Completion of the whole of the  works  and

.

the date on which the  Employer  takes   takes over the whole of the  works the amount retained is the   retention percentage  applied to the excess of the Price for Work Done to Date above the  retention free amount. X16.2 The amount amount retain retained ed is halved . .

in the assessment made at Completion of the whole of the  works  or in the next assessment after the   Employer  has taken over the whole of  the  works  if this is before Completion of the whole of the  works.

The amount retained remains at this amount until the Defects Certificate is issued iss ued.. No amo amount unt is ret retaine ained d in the ass assess essmen ments ts made after the Defects Defects Certificate has been issued.

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Option X17: Low performance damages Low performance damages

X17

X17.1 X17 .1 If a Def Defect ect included included in the Defects Defects Certificat Certificate e sho shows ws low performan performance ce with respec res pectt to a per perfor formanc mance e lev level el sta stated ted in the Contract Contract Data, the   Contractor  pays the amount of low performance damages stated in the Contract Data.

Option X18: Limitation of liability Limitation Limitat ion of liabil liability ity X18

X18. X1 8.1 1 The The  Contractor ’s ’s liability to the  Employer  for   for the  Employer ’s ’s indirect or consequential loss is limited to the amount stated in the Contract Data. X18.2 X18 .2 For any one event event,, the liabili liability ty of the  Contractor  to   to the  Employer  for   for loss of or damage dam age to the   Employer ’s ’ s pr prope opert rtyy is li limi mite ted d to th the e amount amount stated stated in th the e Contract Data. X18. X1 8.3 3 The The  Contractor ’s ’s liability to the   Employer   for Defects due to his design which are not listed on the Defects Certificate is limited to the amount stated in the Contract Data. X18. X1 8.4 4 The The  Contractor ’s ’s total liability to the  Employer  for   for all matters arising under or in connection with this contract, other than the excluded matters, is limited to the amount stated in the Contract Data and applies in contract, tort or delict and otherwise to the extent allowed under the  law of the contract. The excluded matters are amounts payable by the  Contractor  as   as stated in this contract for . . . .

loss of or damage to the  Employer ’s ’s property, delay damages if Option X7 applies, low performance damages if Option X17 applies and Contractor ’s ’s share if Option C or Option D applies.

X18. X1 8.5 5 The The  Contractor  is   is not liable to the  Employer  for   for a matter unless it is notified to the  Contractor  before  before the  end of liability date .

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Engineering and Construction Contract

Option X20: Key Performance Indicators (not used with Option X12) Incentives   X20.1 A Key Performance Performance Indicat Indicator or is an aspect aspect of performanc performance e by the Contractor  for  for

 which a target is stated in the Incentive Schedule. The Incentive Schedule is the  incentive schedule  unless later changed in accordance with this contract. X20. X2 0.2 2 Fr From om the   starting starting date   until until the Def Defect ects s Cer Certifi tificat cate e has bee been n iss issued ued,, the Contractor  reports   reports to the  Project Manager  his   his performance against each of the

Key Per Perfor formanc mance e Ind Indica icator tors. s. Rep Report orts s are pro provid vided ed at the int interv ervals als sta stated ted in the Contract Data and include the forecast final measurement against each indicator. X20. X2 0.3 3 If the the   Contractor’s   forecast forecast fina finall meas measure urement ment aga agains instt a Key Per Perfor formanc mance e Indica Ind icator tor will not ach achiev ieve e the tar target get sta stated ted in the Inc Incent entive ive Sch Schedu edule, le, he submits to the  Project Manager   his proposals for improving performance.

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X20. X2 0.4 4 The The   Contractor   is paid the amount stated stated in the Incentiv Incentive e Sch Schedu edule le if the target stated for a Key Performance Indicator is improved upon or achieved. Payment of the amount is due when the target has been improved upon or achieved.

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X20. X2 0.5 5 The The  Employer  may add a Key Performance Indicator and associated payment to the Incentive Schedule but may not delete or reduce a payment stated in the Incentive Schedule.

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    s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     a     a     r     t      t     a     n     d     o     c

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Secondary Option Clauses

OPTION Y 

Option Y(UK)1: Project Bank Account Definit Defi nition ions s Y(UK Y(UK)1 )1

Y1.1 Y1 .1

(1) Th (1) The e Aut Author horis isat atio ion n is a do docu cumen mentt au auth thor oris isin ing g th the e   project project bank   to mak make e payments to the  Contractor  and   and Named Suppliers. (2) Nam Named ed Supp Supplie liers rs are   named supp suppliers liers   and other Sup Suppli pliers ers who hav have e signed the Joining Deed. (3) Project Bank Account is the account used to receive payments from the Employer    and and th the e   Contractor    and and mak make e pay payme ments nts to th the e   Contractor    and Named Suppliers. (4) A Supplier is a person or organisation who has a contract to . . .

construct or install part of the  works, provide a service necessary to Provide the Works or supply Plant and Materials for the  works.

(5) Trust Deed is an agreement in the form set out in the contract which contains provisions provisions for admini administeri stering ng the Proje Project ct Bank Account. (6) Joining Deed is an agreement in the form set out in the contract under  which the Supplier joins the Trust Deed. Project Bank Account   Y1.2

project bank  The   Contractor   establi establishe shes s the Pro Projec jectt Ban Bank k Acc Account ount wit with h the   project  within three weeks of the Contract Date.

Y1.3 Y1. 3

Unless stat Unless stated ed other otherwis wise e in the the Contra Contract ct Data, Data, the the  Contractor  pays   pays any charges made and is paid any interest paid by the  project bank . The charges and interest by the  project bank  are   are not included in Defined Cost.

Y1.4

The   Contractor   submits to the   Project Manager   for acceptance details of the banking arrangements for the Project Bank Account. A reason for not accepting the banking arrangements is that they do not provide for payments to be made in accordance with this contract. The  Contractor  provides to the   Project Manager   copies of communications with the   project bank   in connection with the Project Bank Account.

Named Suppliers   Y1.5

The   Contractor   includes in his contracts with Named Suppliers the arrangements in this contract for the operation of the Project Bank Account and Trust Deed. The  Contractor    notifies  notifies the Named ofamounts the details ofunder the Project Bank Account and the arrangements for Suppliers payment of due their contracts.

Y1.6

The   Contractor    subm submit its s pr propo oposa sals ls fo forr ad addi ding ng a Su Suppl pplie ierr to th the e Nam Named ed Suppliers to the  Project Manager  for   for acceptance. A reason for not accepting is that the addition of the Supplier does not comply with the Works Information. The   Employer,   the   Contractor   and the Supp Supplie lierr sig sign n the Joining Joining Dee Deed d aft after er acceptance.

Payments   Y1 Y1.7 .7

On or b bef efor ore e each each asses assessm smen entt date, date, the the   Contractor   submits submits to the   Project Manager    an ap appl plic icat ation ion fo forr pay payme ment nt,, and sh show ows s in th the e app appli lica cati tion on th the e amounts due to Named Suppliers in accordance with their contracts.

Y1.8 Y1. 8

Within the Within the time set set out in in the banki banking ng arrange arrangemen ments ts to allow allow the the   project bank  to make payment to the  Contractor  and Named Suppliers in accordance with the contract, .

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the  Employer  makes   makes payment to the Project Bank Account of the amount  which is due to be paid under the contract and

 

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    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o       s       e      y       s       r      u       a       a        d       l       n      c       o      n       c       o       e       i       s       t       p       o

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

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Engineering and Construction Contract .

Y1.9

the   Contractor    make makes s pa payme yment nt to th the e Pr Proj ojec ectt Ba Bank nk Ac Acco count unt of any amount amou nt whi which ch the   Employer   has not notifie ified d the   Contractor   he int intend ends s to  withhold from the certified amount and which is required to make payment to Named Suppliers.

The   Contractor    prepa prepare res s th the e Au Auth thor oris isat atio ion, n, se sett ttin ing g ou outt th the e su sums ms du due e to Named Suppliers as assessed by the  Contractor  and   and to the  Contractor  for   for the balance of the payment due under the contract. After signing the Authorisation, the  Contractor  submits it to the   Project Manager   no later than four days before the final date for payment. The   Employer   signs the Authorisation and submits it to the  project bank  no   no later than one day before the final date for payment.

Y1.1 Y1 .10 0 The The   Contractor   and Named Suppliers receive payment from the Project Bank Account of the sums set out in the Authorisation as soon as practicable after the Project Bank Account receives receives payment.     s     e     e     r     s     o    u     c     l     a     c

Y1.1 Y1 .11 1 A pa paym yment ent which which is due from from th the e   Contractor   to th the e   Employer   is not made through the Proje Project ct Bank Accoun Account. t. Effect of payment   Y1.12 Payments Payments made from the the Project Bank Bank Account Account are treated treated as payments payments from the   Employer   to the   Contractor   in accordance with this contract or from the Contractor  or  or  Subcontractor  to   to Named Suppliers in accordance with their contracts as applicable. A delay in payment due to a failure of the  Contractor   to

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comply with the requirements of this clause is not treated as late payment under this contract.  Trust Deed   Y1.  Employer,  Contractor  Y1.13 13 Th The  the  an d   named suppliers  sign the Trust Deed before thee first assessment asses sment date.  and

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 Termination   Y1 Y1.1 .14 4 If the   Project Manager  issues a termination certificate, no further payment is

made into the Project Bank Account.

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     a     a     r     t      t     a     n     d     o     c

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Secondary Option Clauses  Trust Deed This ag This agre reem ement ent is mad made e be betw twee een n th the e   Employer,   the   Contractor    and and th the e Nam Named ed Suppliers. Terms Term s in th this is de deed ed ha have ve th the e me mean aning ings s gi give ven n to th them em in th the e cont contrac ractt be betw twee een n . . . . . . . . . . . . . . . . . . . . . and . . . . . . . . . . . . . . . . . . . . . . . . for . . . . . . . . . . . . . . . . . . (t ( the  works). Background

The  Employer  and   and the  Contractor  have   have entered into a contract for the  works. The Named Suppliers have entered into contracts with the  Contractor  or   or a Subcontractor in connection with the  works. The  Contractor  has   has established a Project Bank Account to make provision for payment to the  Contractor  and  and the Named Suppliers.     s     e     e     r     s     o    u     c     l     a     c

Agreement

The parties to this deed agree that .

.

sums due to the  Contractor  and Named Suppliers and set out in the Authorisation are held in trust in the Project Bank Account by the   Contractor   for distribution to the  Contractor  and   and Named Suppliers in accordance with the banking arrangements applicable applica ble to the Project Bank Account Account,, further Named Suppliers may be added as parties to this deed with the agreement of the   Employer   and   Contractor.   The agreement of the   Employer   and  Contractor   is treated as agreement by the Named Suppliers who are parties to this deed,

. .

thisbenefits deed is subject to the law of the for the  works, the under this deed may not contract be assigned.

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Executed as a deed on . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . by

. . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . (Employer ) . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . (Contractor )

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

............................................ ............................................ ............................................

     t

............................................

    c     a     a     r     t      t     a     n     d     o     c

(Named Suppliers)

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Engineering and Construction Contract  Joining Deed This agreement is made between the  Employer,  the  Contractor  an   and . . . . . . . . . . . . . . (the Additional Supplier). Terms Term s in th this is de deed ed ha have ve th the e me mean anin ings gs gi give ven n to th them em in th the e cont contra ract ct be betw twee een n . . . . . . . . . . . . . . . . . . . . . and . . . . . . . . . . . . . . . . . . . . . . . . for . . . . . . . . . . . . . . . . . . (t ( the  works). Background

The  Employer  and   and the  Contractor  have   have entered into a contract for the  works. The Named Suppliers have entered into contracts with the  Contractor  or   or a Subcontractor in connection with the  works. The  Contractor  has   has established a Project Bank Account to make provision for payment to the  Contractor  and  and the Named Suppliers.     s     e     e     r     s     o    u     c     l     a     c

The   Employer,   the   Contractor  and the Named Suppliers have entered into a deed as set out in Annex 1 (the Trust Deed), and have agreed that the Additional Supplier may  join that deed. Agreement

The Parties to this deed agree that

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.

. .

the Additional Supplier becomes a party to the Trust Deed from the date set out below, this deed is subject to the law of the contract for the  works, the benefits under this deed may not be assigned.

Executed as a deed on . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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by

. . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . (Employer ) . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . (Contractor ) ............................................ (Additional Supplier)

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     t     c     t     a     a     r      t     a     n     d     o     c

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Secondary Option Clauses

Option Y(UK)2: The Housing Grants, Construction and Regeneration Act 1996 Definit Defi nition ions s Y(UK Y(UK)2 )2

Y2.1 Y2. 1

(1) The Act Act is the Housing Housing Grants Grants,, Constru Constructi ction on and Regener Regenerati ation on Act 1996 1996 as amended by the Local Democracy, Economic Development and Construction Act 2009. (2) A period of time stated in days is a period calculated in accordance with Section 116 of the Act.

Dates for payment   Y2. Y2.2 2

The date date on which which a payment payment becom becomes es due is seve seven n days after after the the assessassessment date. The final date for payment is fourteen days or a different period for payment if  stated in the Contract Data after the date on which payment becomes due. The  Project Mana Manager  ger ’s ’ s certificate is the notice of payment to the   Contractor  specifying the amount due at the payment due date (the notified sum) and stating the basis on which the amount was calculated.

Notice of intention to pay less

Y2.3 Y2. 3

If either either Party Party inten intends ds to pay less less than than the notified notified sum, sum, he notifies notifies the the other other Party not later than seven days (the prescribed period) before the final date for payment by stating the amount considered to be due and the basis on  which that sum is calculated. A Party does not withhold payment of an amount due under this contract unless he has notified his intention to pay less than the notified sum as required by this contract.

Suspension of performance

Y2.4

If the Contractor  exercises   exercises his right under the Act to suspend performance, it is a compensation event.

Option Y(UK)3: The Contracts (Rights of Third Parties) Act 1999  Third party rights Y(UK)3

Y3.1 Y3. 1

A person person or organis organisati ation on who is not one one of the Parti Parties es may enfor enforce ce a term of  this contract under the Contracts (Rights of Third Parties) Act 1999 only if  the term and the person or organisation are stated in the Contract Data.

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    s      t     n      t     e     s    n     o    o     c    p     m     o     c

     t     c     t     a     a     r      t     a     n     d     o     c

Additional condit conditions ions of contra contract  ct  Option Z:   Additional

 Additional conditions of  contract 

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Z1

Z1.1

The   additional additional cond conditions itions of contra contract ct   stated in the Contract Data are part of  this contract.

 

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SCHEDULE OF COST COMPONENTS

This schedule is part of the  conditions of contract  only when Option C, D or E is use used. d. In thi this s sch schedu edule le the   Contractor   means means the   Contractor   and not his Subcontractors. An amount is included only in one cost component and only if  it is incurred in order to Provide the Works. Peop Pe ople le 1

 

The follo following wing compone components nts of the cost of  .

.

    s     e     e     r     s     o    u     c     l     a     c

people who are directly employed by the   Contractor   and whose normal place of working is within the Working Areas and people who are directly employed by the   Contractor   and whose normal place of working is not within the Working Areas but who are working in the Working Areas.

11

Wages,, sa Wages sala lari ries es an and d am amou ounts nts pai paid d by th the e  Contractor  for  for people paid according to the time worked while they are within the Working Areas.

12

Paym Pa ymen ents ts to pe peop ople le fo forr

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(a) (b) (c) (d) (e) (f) 13

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bonuses and and incentives incentives overtime overti me working worki ng in special circumsta circumstances nces speciall allowances specia allowances absence absenc e due to sickness sickness and holidays holidays severance sever ance related related to work work on this contract. contract.

Payme Pa yment nts s ma made de in re rela lati tion on to pe peopl ople e fo forr (a) tra travel vel (b) subsis subsistence tence and lodging lodging (c) reloc relocation ation (d) medical examina examinations tions (e) passpor passports ts and visas visas (f) tra travel vel ins insura urance nce (g) items (a) (a) to (f) for dependants dependants (h) protec protective tive clothing clothing (i) meeting the requireme requirements nts of the law (j) pension pensions s and and life life assuranc assurance e (k) dea death th benefit benefit (l) occupat occupational ional accide accident nt benefits (m) medical aid (n) a vehicl vehicle e (o) safety traini training. ng.

    s     t     n     t     e     s    n     o    o     c    p     m     o     c

     t     c     a     a     r     t      t     a     n     d     o     c

14

The fol follow lowing ing com compone ponents nts of the the cost cost of peop people le who who are are not not dire directl ctlyy employ employed ed by the  Contractor  but are paid for by him according to the time worked while they are within the Working Areas. Amounts paid by the  Contractor .

Equip Eq uipmen mentt

2

21

 

The follo following wing compo componen nents ts of the cost cost of Equipm Equipment ent which which is used used within within the the Working Areas (including the cost of accommodation but excluding Equipment cost covered by the percentage for Working Areas overheads). Payme Pa yment nts s for for th the e hire hire or or ren rentt of of Equi Equipme pment nt not not ow owned ned by . . .

the  Contractor , his parent company or by a company with the same parent company

at the hire or rental rate multiplied by the time for which the Equipment is required.

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Schedule of Cost Components 22

Paymen Pay ments ts for Equi Equipmen pmentt whic which h is not lis listed ted in the the Con Contra tract ct Dat Data a but but is . .

.

owned by the  Contractor , purchased by the   Contractor   under a hire purchase or lease agreement or hired by the   Contractor   from the  Contractor ’s ’ s parent company or from a company with the same parent company

at op open en ma mark rket et ra rate tes, s, mul multi tipl plie ied d by th the e ti time me fo forr wh whic ich h th the e Equ Equipm ipment ent is required. Payme Pa yment nts s for Equip Equipme ment nt purch purchas ased ed for work work incl include uded d in this cont contrac ractt liste listed d  with a time-related on cost charge, in the Contract Data, of 

23

.

.

the change in value over the period for which the Equipment is required and the th e ti time me-r -rel elat ated ed on co cost st ch char arge ge st stat ated ed in th the e Co Cont ntra ract ct Da Data ta fo forr th the e period for which the Equipment is required.

The change in value is the difference between the purchase price and either the sale price or the open market sale price at the end of the period for which the Equipment is required. Interim payments of the change in value are made at each assessment date. A final payment is made in the next assessment after the change in value has been determined. If th the e   Project Project Mana Manager  ger   agree agrees, s, an ad addi diti tion onal al it item em of Equ Equipm ipmen entt may be assessed as if it had been listed in the Contract Data. 24

Paymen Pay ments ts for for spec special ial Equi Equipmen pmentt liste listed d in the Con Contra tract ct Data Data.. These These amo amount unts s are the rates stated in the Contract Data multiplied by the time for which the Equipment is required. Manager  ger   agrees, an additional item of special Equipment may If the  Project Mana be assessed as if it had been listed in the Contract Data.

25

Paymen Pay ments ts for the pur purchas chase e pric price e of of Equi Equipmen pmentt whic which h is is cons consumed umed..

26

Unless Unl ess inc include luded d in in the the hir hire e or rent rental al rat rates, es, pay payment ments s for .

. .

27

Paymen Pay ments ts for for purc purchas hase e of mate materia rials ls used used to cons constru truct ct or or fabri fabricat cate e Equipme Equipment. nt.

28

Unless inc Unless include luded d in the the hire hire rate rates, s, the the cost cost of of operat operative ives s is inc include luded d in the the cost cost of people.

Plant Pla nt and and Mat Materi erials als 3

 

31

. . .

32

4

41

The follow following ing compone components nts of the cost of charges paid by the the  Contractor. Paymen Pay ments ts for pro provis vision ion and use in the Wor Workin king g Are Areas as of  . . .

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purchasing Plant and Materials, delivery to and removal from the Working Areas, providing providi ng and removing packaging and samples and tests.

Cost is cred Cost credit ited ed with with payme payment nts s recei receive ved d for disp dispos osal al of Plan Plantt and Mater Materia ials ls unless the cost is disal disallowed. lowed.  

 water, gas and electricity.

 

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    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

    s     t     n     t     e     s    n     o    o     c    p     m     o     c

     t     c     a     a     r     t      t     a     n     d     o     c

The follow following ing compone components nts of the cost of Plant and Materi Materials. als. Payments for .

Char Ch arge ges s

transporti transpo rting ng Equi Equipmen pmentt to and fro from m the Wor Workin king g Are Areas as oth other er tha than n for repair and mainten maintenance, ance, erecting erecti ng and dismantling Equipment and cons co nstr truc ucti ting ng,, fa fabr bric icat atin ing g or mo modi dify fyin ing g Eq Equi uipme pment nt as a re resu sult lt of a compensation event.

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Engineering and Construction Contract 42

Payments Payment s to publi public c author authoriti ities es and and other other prop properl erlyy consti constitut tuted ed autho authorit rities ies of  of  charges which they are authorised to make in respect of the  works.

43

Payments for

44

    s     e     e     r     s     o    u     c     l     a     c

Manufacture and 5 fabrication

cancellation charges cancellation charges arising from a compensation compensation event buying or leasi leasing ng land compensation compens ation for loss loss of crops or buildings buildings royalties royalt ies

(e) (f) (g) (h) (i)

inspec inspection tion cert charges forcertificate accificates access ess tos the the Working Working Areas Areas facilities facil ities for visits visits to the Working Areas Areas by Others specialist specia list services services consumables consuma bles and equipmen equipmentt provided provided by the Contractor  for   for the  Project Manager ’s ’s and  Supervisor ’s ’s offices.

A charge charge for ove overhe rhead ad costs costs inc incurr urred ed with within in the the Worki Working ng Areas Areas cal calcul culate ated d by applying the percentage for Working Areas overheads stated in the Contract Data to the total of people items 11, 12, 13 and 14. The charge includes provision and use of equipment, supplies and services, but excludes accommodation, for

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

(a) (b) (c) (d)

 

(a) (b) (c) (d) (e) (f)

catering catering medical facilit facilities ies and first aid recreation recrea tion sanitation sanita tion security securi ty copying cop ying

(g) (h) (i) (j)

telephone, telex, fax, telephone, fax, radio and CCTV surveying surveyi ng and setting setting out computi com puting ng hand tools tools not powered powered by compres compressed sed air. air.

The followi following ng components components of the the cost cost of manufac manufacture ture and fabrica fabrication tion of Plant Plant and Materials which are . .

    s     t     n     t     e     s    n     o    o     c    p     m     o     c

51

The tota totall of the hour hours s worke worked d by emplo employee yees s multi multipl plie ied d by the hour hourly ly rate rates s stated in the Contract Data for the categories of employees listed.

52

An amount amount for for over overhe head ads s calcu calcula late ted d by multi multipl plyi ying ng this this tota totall by the perc percen en-tage tag e for man manufac ufactur turing ing and fab fabric ricati ation on ove overhe rheads ads sta stated ted in the Con Contra tract ct Data.

Desi De sign gn 6

     t     c     a     a     r     t      t     a     n     d     o     c

 

The foll followi owing ng compon component ents s of the cos costt of desi design gn of the   works  and Equipment done outside the Working Areas. The tota totall of the hour hours s worke worked d by emplo employee yees s multi multipli plied ed by the the hourly hourly rate rates s stated in the Contract Data for the categories of employees listed.

61

Insura Ins uranc nce e

62

An amount amount for for over overhea heads ds calc calcul ulat ated ed by mult multipl iplyi ying ng this this tota totall by the perc percen en-tage for design overheads stated in the Contract Data.

63

The cost cost of trav travel el to to and fro from m the Wor Workin king g Areas Areas for for the the cate categor gories ies of desig design n employees employe es listed in the Contr Contract act Data.

7

 

The follo following wing are deduct deducted ed from cost .

.

62

 

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 wholly or partly designed specifically for the  works  and manufactured manufac tured or fabric fabricated ated outside the Worki Working ng Areas Areas..

the co the cost st of ev event ents s fo forr wh whic ich h th this is co cont ntra ract ct re requ quir ires es th the e   Contractor   to insure and other costs paid to the  Contractor  by   by insurers.

 

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SHORTER SCHEDULE OF COST COMPONENTS

This schedule is part of the   conditions of contract  only when Option A, B, C, D or E is used. When Option C, D or E is used, this schedule is used by agreement for assessing compensation events. When Option C, D or E is used, in this schedule the   Contractor   means the   Contractor  and not his Subcon Subcontrac trac-tors to rs.. An am amoun ountt is in incl clude uded d on only ly in on one e co cost st co comp mpone onent nt an and d onl onlyy if it is incurred in order to Provide the Works. Peop Pe ople le 1

 

The follow following ing compone components nts of the cost of  .

.

.

11

Equipm Equ ipment ent 2

Amoun untts paid by the Contractor  including   including those for meeting the requirements of the law and for pension provision.  

The follo followin wing g componen components ts of the cost cost of Equip Equipment ment whic which h is used withi within n the Working Areas (including the cost of accommodation but excluding Equipment cost covered by the percentage for people overheads).

21

Amounts Amoun ts for for Equipm Equipment ent whi which ch is in the the publ publis ishe hed d list list state stated d in the Cont Contra ract ct Data. These amounts are calculated by applying the percentage adjustment for listed Equipment stated in the Contract Data to the rates in the published list and by multiplying the resulting rate by the time for which the Equipment is required.

22

Amount Amou nts s fo forr Eq Equi uipm pmen entt li list ste ed in the the Co Cont ntra ract ct Data Data whic which h is not not in the the publ pu blis ishe hed d li list st st stat ated ed in th the e Co Cont ntra ract ct Da Data ta.. Th Thes ese e amo amount unts s ar are e th the e ra rate tes s stated in the Contract Data multiplied by the time for which the Equipment is required.

23

The tim time e requir required ed is is expre expresse ssed d in hour hours, s, days days,, weeks weeks or month months s consis consisten tently tly  with the list of items of Equipment in the Contract Data or with the published list stated in the Contract Data.

24

Unless the ite Unless item m is in the the publ publish ished ed list list and the the rate rate inc include ludes s the the cost cost compo compo-nent, payments for .

. .

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people who are directly employed by the   Contractor   and whose normal place of working is within the Working Areas, people who are directly employed by the   Contractor   and whose normal place of working is not within the Working Areas but who are working in the Working Areas and people who are not directly employed by the   Contractor  but are paid for by him according to the time worked while they are within the Working Areas.

transporti transpo rting ng Equi Equipmen pmentt to and fro from m the Wor Workin king g Are Areas as oth other er tha than n for repair and mainten maintenance, ance, erecting erecti ng and dismantling Equipment and cons co nstr truc ucti ting ng,, fa fabr bric icat atin ing g or mo modi dify fyin ing g Eq Equi uipme pment nt as a re resu sult lt of a compensation event.

25

Unless the ite Unless item m is in the the publ publish ished ed list list and the the rate rate inc include ludes s the the cost cost compo compo-nent, the purchase price of Equipment which is consumed.

26

Unless Unle ss incl include uded d in the rate rate in the the publ publis ishe hed d list, list, the the cost cost of opera operati tive ves s is included in the cost of people.

27

Amounts Amoun ts for for Equip Equipme ment nt whic which h is neith neither er in the the publi publish shed ed list list stat stated ed in the the Contra Con tract ct Dat Data a nor lis listed ted in the Contract Contract Dat Data, a, at com competi petitiv tively ely ten tender dered ed or open market rates, multiplied by the time for which the Equipment is required.

 

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    s     t     n     t     e     s    n     o    o     c    p     m     o     c

     t     c     a     a     r     t      t     a     n     d     o     c

 

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Engineering and Construction Contract Plant nt and and Mat Materi erials als 3 Pla

 

31

The follo following wing compone components nts of the cost of Plant Plant and Materi Materials. als. Payments for . . . .

32

Char Ch arge ges s

4

Cost is cred Cost credit ited ed with with paymen payments ts rece receiv ived ed for for dispo disposa sall of Plant Plant and Mate Materi rial als s unless the cost is disal disallowed. lowed.  

41

The follo following wing compone components nts of the cost of charges charges paid by the the  Contractor. A charg charge e calcul calculate ated d by app applyi lying ng the the perc percent entage age for peop people le over overhea heads ds stat stated ed in the Contract Data to people item 11 to cover the costs of  .

    s     e     e     r     s     o    u     c     l     a     c

.

.

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

Payment Pay ments s for for can cancel cellat lation ion cha charge rges s aris arising ing fro from m a com compens pensati ation on even event. t.

43

Payments Payment s to publi public c author authoriti ities es and and other other prope properly rly cons constit titute uted d author authoriti ities es of  charges which they are authorised to make in respect of the  works.

44

Consuma Cons umabl bles es and eq equi uipme pment nt pr prov ovid ided ed by th the e   Contractor   for the  Project Manager ’s ’s and  Supervisor ’s ’s office.

45

Spec Sp ecia iali list st se serv rvic ices es..  

The followi following ng components components of the the cost cost of manufac manufacture ture and fabrica fabrication tion of Plant Plant and Materials, which are . .

51 Desi De sign gn 6

     t     c     a     a     r     t      t     a     n     d     o     c

Insura Ins uranc nce e

 

The foll followi owing ng compon component ents s of the cos costt of desi design gn of the   works  and Equipment done outside the Working Areas.

61

The tota totall of the hour hours s worke worked d by emplo employee yees s multi multipli plied ed by the the hourly hourly rate rates s stated in the Contract Data for the categories of employees listed.

62

An amount amount for for over overhea heads ds calc calcul ulat ated ed by mult multipl iplyi ying ng this this tota totall by the perc percen en-tage for design overheads stated in the Contract Data.

63

The cost cost of trav travel el to to and fro from m the Wor Workin king g Areas Areas for for the the cate categor gories ies of desig design n employees employe es listed in the Contr Contract act Data.

7

 

The follo following wing are deduct deducted ed from cost .

 

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 wholly or partly designed specifically for the  works  and manufactured manufac tured or fabric fabricated ated outside the Worki Working ng Areas Areas..

Amou Am ount nts s pa paid id by the Contractor.

.

64

payments for the provision and use in the Working Areas of water, gas and electricity, payments for buying or leasing land, compensation for loss of crops or buildi bui ldings, ngs, roy royalt alties ies,, ins inspec pectio tion n cer certifi tificat cates, es, char charges ges for acc access ess to the Working Areas, facilities for visits to the Working Areas by Others and payments for the provision and use of equipment,supplies and services (excluding accommodation) for catering, medical facilities and first aid, recrea rec reatio tion, n, san sanita itatio tion, n, sec securit urity, y, copy copying ing,, tel teleph ephones ones,, tel telex, ex, fax fax,, rad radio, io, CCTV, surveying, setting out, computing and hand tools not powered by compressed air.

42

Manufacture and 5 fabrication

    s     t     n     t     e     s    n     o    o     c    p     m     o     c

purchasing Plant and Materials, delivery to and removal from the Working Areas, providing providi ng and removing packaging and samples and tests.

costs against which this contra contract ct required the  Contractor  to   to insure and other costs paid to the  Contractor  by   by insurers.

 

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CONTRACT DATA

Part one – Data provided by the Employer  the  Employer 

Completion of the data in full, according to the Options chosen, is essential to create a complete contract. Statements given in all contracts

1 General

 

.

.

The   conditions conditions of contra contract ct   are the core clauses and the clauses for main Option  . . . . , dispute dispute resolu resolution tion Optio Option n . . . and seconda secondary ry Options Options . . . of the the NEC3 Engineering and Constr Constructio uction n Contra Contract ct April 2013. The  works  are ..............................................................

.

The  Employer  is  is Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

.

The  Project Manager  is  is Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

.

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

The  Supervisor  is  is Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

.

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The  Adjudicator  is  is

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        t

Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .............................................................. .

The Works Information is in .............................................................. .............................................................. ..............................................................

.

The Site Information is in .............................................................. .............................................................. ..............................................................

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      c       a      a       r        t        t       a       n         d       o       c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract .

The  boundaries of the site  are . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  language of this contract  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  law of the contract  is the law of  .  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  period for reply  is  is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . we week eks. s.

.

The  Adjudicator nominating body  is  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  tribunal  is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

.

The following matters will be included in the Risk Register ..................................... ......................... ..................................... .........................

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..................................... .........................

3 Time

 

.

The  starting date  is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  access dates  are

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.

    s     y     e     s     r     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

Part of the Site

Date

1  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

2  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

3  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

The   Contractor   submits submits rev revise ised d pro progra grammes mmes at inte interva rvals ls no lon longer ger tha than n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . we week eks. s.

4 Testing and Defects

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5 Paymen Paymentt

 

 

.

The  defects date  is   . . . . . weeks after after Completi Completion on of the whole of the works.

.

The   defect correction period  is   . . . . . . . . . . . . . . . . . . . . . . weeks weeks exce except pt that that .

The   defect correction period  for   . . . . . . . . . . . . . is . . . . . . . . . . . . we week eks s

.

The   defect correction period  for   . . . . . . . . . . . . is . . . . . . . . . . . . . we week eks. s.

.

The  currency of this contract  is the . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  assessment interval  is   . . . . . . . . . . . . . . . . . wee weeks ks (not (not more more than than five). five).

.

The  interest rate  is   . . . . . % per per annum annum (not (not less less than than 2) 2) above above the the . . . . . . rate of the  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba bank nk..

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Contract Data Part 1 6 Compensation events

 

.

The place where weather is to be recorded is ..............................................................

.

The  weather measurements  to be recorded for each calendar month are . . .

. .

the cumulative rainfall (mm) the number of days with rainfall more than 5 mm the number of days with minimum air temperature less than 0 degrees Celsius the number of days with snow lying at   . . . . . . . . . . . . . . . . . . ho hour urs s GMT GMT and these measurements: ..................................... ............. ......... ..................................... ............. ......... ..................................... ............. .........

.

The  weather measurements  are supplied by   . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  weather data  are the records of past   weather measurements   for each calendar month which were recorded at   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . and which are available from  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

Where no recorded data are available .

Assume Ass umed d val values ues for the ten yea yearr ret return urn   weather weather data   for eac each h   weather  measurement for each calendar month are .............................................................. .............................................................. .............................................................. ..............................................................

8 Risks and insurance

 

.

The mi The mini nimum mum li limi mitt of in inde demni mnity ty fo forr in insu sura rance nce in re resp spec ectt of lo loss ss of or damage to property (except the  works, Plant and Materials and Equipment) and liability for bodily injury to or death of a person (not an employee of the Contractor ) caused by activity in connection with this contract for any one event is ..............................................................

.

The mi The mini nimum mum li limi mitt of in inde demni mnity ty fo forr in insu sura ranc nce e in re resp spec ectt of de deat ath h of or bodily injury to employees of the  Contractor  arising   arising out of and in the course of their employment in connection with this contract for any one event is ..............................................................

Optional statements

 tribunal is If the  tribunal  is arbitration .

The  arbitration procedure  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The place where arbitration is to be held is ..............................................................

.

The person or organisation who will choose an arbitrator .

if the Parties cannot agree a choice or

.

if the  arbitration procedure  does not state who selects an arbitrator is

..............................................................

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract If the Employer    has decided the completion the  completion date for date  for the whole of the  works the  Employer  has .

The  completion date  for the whole of the  works  is  . . . . . . . . . . . . . . . . . . . . . .

If the   Employer   Employer   is not wil willin ling g to take over the   works   before the Comp Completion letion Date .

The   Employer   is not willing to take over the   works   before the Comple Completion tion Date.

If no programme is identified in part two of the Contract Data .

The  Contractor  is   is to submit a first programme for acceptance within . . . . . . .  weeks of the Contract Date.

If the  Employer   Employer    has identified work which is to meet a stated  condition   by a key date

    s     e     e     r     s     o    u     c     l     a     c

.

The  key dates  and  conditions  to be met are condition  to be met

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t

 

key date

1  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

2  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

3  . . . . . . . . . . . . . . . . . . . . . . . . .

...........................

If the period in which payments are made is not three weeks and Y(UK)2 is not used

    p     o

.

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

The period within which payments are made is  . . . . . . . . . . . . . . . . . . . . . . . .

If Y(UK)2 is used and the final date for payment is not 14 days after the date when payment is due .

The period for payment is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If there are additional Employer  additional  Employer ’s ’s risks .

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

These are additional  Employer ’s ’s risks 1  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If the Employer  the  Employer   is to provide Plant and Materials .

       t       c       a      a       r        t        t       a       n         d       o       c

The insurance against loss of or damage to the  works, Plant and Materials is to include cover for Plant and Materials provided by the  Employer  for an amount of  ..................................... .........................

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Contract Data Part 1 Employer   is to pro provid vide e any of the insuranc insurances es sta stated ted in the Insuranc Insurance e If the   Employer    Table .

The  Employer  provides   provides these insurances from the Insurance Table 1. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If additional insurances are to be provided .

The  Employer  provides   provides these additional insurances 1. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The deductibles are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

    s     e     e     r     s     o    u     c     l     a     c

The  Contractor  provides   provides these additional insurances 1. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

3. Insurance against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        t

Cover/indemnity is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . If Option B or D is used .

The  method of measurement  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . amended as follow follows s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ............................... ............. ............. ..... ............................... ............. ............. .....

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      c       a      a       r        t        t       a       n         d       o       c

 

For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract If Option C or D is used .

The  Contractor ’s  share percentages  and the  share ranges  are  share range

Contractor ’s ’s  share percentage

less than  . . . . . . . . . . . . . . . . . %

. .. .. .. .. .. .. .. .. .. .. .. .. .. %

from   . . . . . . . .% to to . . . . . . . . %

. .. .. .. .. .. .. .. .. .. .. .. .. .. %

from   . . . . . . . .% to to . . . . . . . . %

. .. .. .. .. .. .. .. .. .. .. .. .. .. %

greater than . . . . . . . . . . . . . . . %

. . . . . . . . . . . . . . . . . . . . . . . . . . . %.

If Option C, D, E or F is used .

The  Contractor  prepares   prepares forecasts of Defined Cost for the  works  at intervals no longer than . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . we week eks. s.

    s     e     e     r     s     o    u     c     l     a     c

.

The  exchange rates  are those published in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . on   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (d (dat ate) e)..

If Option X1 is used     s     e     s     u     a     n      i      l     a    c     m    n     o      i      t

.

The proportions used to calculate the Price Adjustment Factor are 0. . . . . . . . . . . linked to the index for  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0. . . . . . . . . . .

 

................................

0. . . . . . . . . . .

 

................................

    p     o

0. . . . . . . . . . .

 

................................

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

0. . . . . . . . . . .

 

................................

0. . . . . . . . . . .

 

................................

0. . . . . . . . . . . non-adjustable  ——————— 1.00

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

.

The  base date  for indices is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The indices are those prepared by . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option X3 is used .

       t       c       a      a       r        t        t       a       n         d       o       c

.

The   Employer  will   will pay for the items or activities listed below in the currencies stated items and activities

other cur urrrenc ncyy

total maximu mum m pay aym ment in the currency

. . .. . .. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . .. .

. . .. . .. . .. . . .. . . .. . .

. . .. . .. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . .. .

. . .. . .. . .. . . .. . . .. . .

. . .. . .. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . .. .

. . .. . .. . .. . . .. . . .. . .

. . .. . .. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . .. .

. . .. . .. . .. . . .. . . .. . .

The  exchange rates  are those published in   . . . . . . . . . . . . . . . . . . . . . . . . . . . on   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (d (dat ate) e)..

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Contract Data Part 1 If Option X5 is used .

The  completion date  for each  section  of the  works  is  section   description

 

completion date

1

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

2

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

3

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

4

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

If Options X5 and X6 are used together .

The bonus for each  section  of the  works  is  section   description

amount per day

1

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

2

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

3

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

4

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

Remainder of the  works   .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Options X5 and X7 are used together .

1

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

2

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

3

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

4

 

. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option X6 is used (but not if Option X5 is also used) .

The bonus for the whole of the  works  is  . . . . . . . . . . . . . . . . . . . . . . . per day.

If Option X7 is used (but not if Option X5 is also used) .

The  Client  is Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

The  Client’s objective  is .............................................................. .............................................................. .............................................................. .............................................................. .............................................................. ..............................................................

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    s      t     n      t     e     s    n     o    o     c    p     m     o     c

       t       c       a      a       r        t        t       a       n         d       o       c

Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

Delay damages for Completion of the whole of the  works  are . . . . . . per day.

If Option X12 is used .

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o

Delay damages for each  section  of the  works  are amount per day

 section   description

Remainder of the  works   .

    s     e     e     r     s     o    u     c     l     a     c

 

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For use on projects associated with UK Shared Business Services Ltd  ® 

Engineering and Construction Contract .

The Partnering Information Information is in ..................................... ......................... ..................................... ......................... ..................................... ......................... ..................................... .........................

If Option X13 is used .

The amount of the performance bond is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option X14 is used .

.

    s     e     e     r     s     o    u     c     l     a     c

.

The amount of the advanced payment is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The   Contractor   repays repays the ins instal talment ments s in ass assess essmen ments ts sta starti rting ng not les less s than  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . wee weeks ks after after the the Contra Contract ct Date. Date. The instalments are . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

(either an amount or a percentage of the payment otherwise due)

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t

.

An advanced payment bond is/is not required.

If Option X16 is used

    p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

.

The  retention free amount  is . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The  retention percentage  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . %.

If Option X17 is used .

The amounts for low performance damages are amount

performance level

. . . . . . . . . . . . .   for  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   for  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

. . . . . . . . . . . . .   for  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   for  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . If Option X18 is used .

       t       c       a      a       r        t        t       a       n         d       o       c

.

.

.

.

The  Contractor ’s ’s liability to the  Employer  for  for indirect or consequential loss is limi li mite ted d to . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   Employer  For any one event, the   Contractor  ’ sisliability damage to the  Employer ’s ’ s property’s limitedto to.the . . . . . . . . . . .  .for . . .loss . . . . of . . .or

The   Contractor ’s ’s liability for Defects due to his design which are not listed on the Defects Certificate is limited to . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The   Contractor ’s ’ s to tota tall li liab abil ilit ityy to th the e   Employer    for al alll ma matt tter ers s ar aris isin ing g underr or in con unde connect nection ion wit with h thi this s cont contrac ract, t, oth other er tha than n exc exclud luded ed mat matter ters, s, is li limi mite ted d to. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The   end of lia liabil bility ity dat date e   is . . . . . . . . . . . .years after the Completion of the  whole of the   works.

If Option X20 is used (but not if Option X12 is also used) .

.

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The  incentive schedule  for Key Performance Indicators is in  . . . . . . . . . . . . . . A report of performance against each Key Performance Indicator is provided at intervals of   . . . . . . . . . . mon months ths..

 

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Contract Data Part 1  Employer    is to pay any charges made and is If Option Y(UK)1 is used and the  Employer  paid any interest paid by the  project bank .

The  Employer  is to pay any charges made and is paid any interest paid by the  project bank .

If Option Y(UK)3 is used .

term

person or organisation

. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. ..

. .. .. .. .. .. .. .. .. .. .. .. .. .. ..

If Options Y(UK)1 and Y(UK)3 are both used .

term

person or organisation

The Th e pr prov ovis isio ions ns of Op Opti tion on Y( Y(UK UK)1 )1

Name Na med d Su Supp ppli lier ers s

If Option Z is used .

The  additional conditions of contract  are   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..............................................................

    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

       t       c       a      a       r        t        t       a       n         d       o       c

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nec   2013   73

 

For use on projects associated with UK Shared Business Services Ltd

Part two – Data provided by the  Contractor 

Completion of the data in full, according to the Options chosen, is essential to create a complete contract. Statements given in all contracts

.

The  Contractor  is  is Name   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Address   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

    s     e     e     r     s     o    u     c     l     a     c

.

The  direct fee percentage  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . %.

.

The  subcontracted fee percentage  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . %.

.

The  working areas  are the Site and   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

The key people are (1) Name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t

 Job . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

    p     o

Qualifications   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

Experience . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

(2) Name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  Job . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... .........................

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

Qualifications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Experience . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..................................... ......................... .

The following matters will be included in the Risk Register ..................................... .........................

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..................................... ......................... ..................................... ......................... ..................................... ......................... Optional statements

If the  Contractor   is to provide Works Information for his design .

The Works Information for the  Contractor ’s ’s design is in ..................................... ......................... ..................................... ......................... ..................................... ......................... ..................................... ......................... ..................................... ......................... ..................................... .........................

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Contract Data Part 2 If a programme is to be identified in the Contract Data .

The programme identified in the Contract Data is  . . . . . . . . . . . . . . . . . . . . . .

If the Contractor  the  Contractor  is   is to decide the completion the  completion date for date  for the whole of the  works .

The  completion date  for the whole of the  works  is  . . . . . . . . . . . . . . . . . . . . . .

If Option A or C is used .

The  activity schedule  is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option B or D is used .

The  bill of quantities  is . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option A, B, C or D is used .

The tendered total of the Prices is  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option F is used .

Work which the  Contractor  will   will do himself is activity

price  (lump sum or unit rate)

 

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . .

. . . . . .. . . . . .. . . . . .. . . . . . .. .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . .

. . . . . .. . . . . .. . . . . .. . . . . . .. .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . .

. . . . . .. . . . . .. . . . . .. . . . . . .. .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . .

. . . . . .. . . . . .. . . . . .. . . . . . .. .

If Option Y(UK)1 is used .

The  project bank  is  is   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.

named suppliers  are   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

If Option A or B is used Data for the Shorter Schedule of Cost Components

.

The percentage for people overheads is . . . . . . . . . . . . . . . . . . . . . . . . . . . . %. %.

.

The published list of Equipment is the last edition of the list published by ..............................................................

.

The percentage for adjustment for Equipment in the published list is . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % (sta (state te plu plus s or minu minus) s)..

.

.

.

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    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n     l      i     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

The rates for other Equipment are Equipment . . .. . .. . .. . .. . .. . .. . .. . .. . .. .

size or capacity . . .. . .. . .. . .. . .. . ..

rate . . .. . .. . . .

. . .. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . .. . .. . . .

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. . .. . .. . .. . .. . .. . ..

. . .. . .. . . .

. . .. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . .. . .. . . .

The hourly rates for Defined Cost of design outside the Working Areas are category of employee

hourly rate

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . .

. . . . . .. . . . . .. . . . . . .. . . . .. .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . .

. . . . . .. . . . . .. . . . . . .. . . . .. .

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. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . .

. . . . . .. . . . . .. . . . . . .. . . . .. .

The percentage for design overheads is . . . . . . . . . . . . . . . . . . . . . . . . . . . . %. %.

 

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Engineering and Construction Contract .

The categories of design employees whose travelling expenses to and from the Working Areas are included in Defined Cost are ..................................... ......................... ..................................... ......................... ..................................... ......................... ..................................... .........................

If Option C, D or E is used Data for Schedule of Cost Components

.

    s     e     e     r     s     o    u     c     l     a     c

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t

.

The listed items of Equipment purchased for work on this contract, with an on cost charge, are Equipment

time-related charge

per time period

. . . . . .. . . . . .. . . . . .. . . . . .. .

. . . . . . . . . . . . . . . . . . .   per   . . . . . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. .

. . . . . . . . . . . . . . . . . . .   per   . . . . . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. .

. . . . . . . . . . . . . . . . . . .   per   . . . . . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. .

. . . . . . . . . . . . . . . . . . .   per   . . . . . . . . .

The rates for special Equipment are Equipment

size or capacity

rate

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . .. . .. . .

    p     o

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . .. . .. . .

    s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . .. . .. . .

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . .. . .. . .

.

.

    s      t     n      t     e     s    n     o    o     c    p     m     o     c

.

       t       c       a      a       r        t        t       a       n         d       o       c

The percentage for Working Areas overheads is   . . . . . . . . . . . . . . . . . . . . . %. %. The hour hourly ly rat rates es for Defi Defined ned Cos Costt of manu manufac factur ture e and fab fabric ricati ation on out outsid side e the Working Areas are category of employee

hourly rate

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

The percentage for manufac manufacture ture and fabric fabrication ation overheads is  . . . . . . . . . . %.

If Option C, D or E is used Data for both schedules of cost components

.

.

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The hourly rates for Defined Cost of design outside the Working Areas are category of employee

hourly rate

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .. . . . . .

. . . . . .. . . . . .. . . . . .. . . . . .

The percentage for design overheads is . . . . . . . . . . . . . . . . . . . . . . . . . . . . %. %.

 

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Contract Data Part 2 .

The cat catego egorie ries s of des design ign empl employe oyees es who whose se tra travell velling ing exp expens enses es to and from the Working Areas are included as a cost of design of the   works   and Equipment done outside of the Working Areas are .............................................................. .............................................................. .............................................................. ..............................................................

If Option C, D or E is used Data for the Shorter Schedule of Cost Components

.

The percentage for people overheads is . . . . . . . . . . . . . . . . . . . . . . . . . . . . %. %.

.

The published list of Equipment is the last edition of the list published by ..............................................................

.

The Th e pe perc rcen enta tage ge fo forr ad adju just stmen mentt fo forr Equ Equip ipme ment nt in th the e pu publ blis ishe hed d li list st is . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % (sta (state te plu plus s or minu minus) s)..

.

    s     e     e     r     s     o    u     c     l     a     c

The rates for other Equipment are Equipment

size or capacity

rate

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . . ..

. . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . ..

. . . .. . . .. . . ..

. . .. . .. . .. . .. . .. . .. . .. . .. . . . .. . .. . .. . .. . .. . .. . .. . .. .

. . .. . .. . .. . .. . .. . .. . . .. . .. . .. . .. . .. . ..

. . . .. . . .. . . .. . . . .. . . .. . . ..

    s     e     s     u     a     n      i      l     a    c     m    n     o      i      t     p     o     s     e     y     r     s     a    u     a      d     l     n    c     o    n     c    o     e     i     s     t     p     o     s      t     n      t     e     s    n     o    o     c    p     m     o     c

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Engineering and Construction Contract Index by clause numbers (Option clauses indicated by their letters, main clause heads by bold numbers).  Terms in   italics  are identified in Contract Data, and defined terms have capital initial letters.

acceleration  36 , A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 compensation events 60.1(9) Key Date 36.1 quotations 36.1, B11.2(21), D11.2(21) acceptance addition to Working Areas 15.1 conditions of subcontract 26.3 contract data for subcontract C26.4, D26.4, E26.4, F26.4 Contractor ’s ’s communication 13.4, 13.8, 14.1 Contractor ’s ’s design 21.2, 21.3 Defects  44 , 60.1(1)(9) Equipmentt design 23.1 Equipmen form of communic communication ation 13.1 insurance policies/certificates 85.1, 87.1, 87.2 programme (first/revised) 31.3, 32.2, 50.3, 64.12, A31.4, A36.3, B36.3, C31.4, C36.3, D36.3 quotations 44.2, 60.1(9), 62.3, 65.1, A36.3, A65.4, B36.3, C36.3, D36.3, E36.4, F36.4 reasons reaso ns for withholding withholding 13.4, 13.8, 15.1, 21.2, 23.1, 24.1, 26.23, 31.3, 60.1(9), 85.1, 87.1, A54.3, C26.4, D26.4, E26.4, F26.4, X13.1 replacement  Contractor ’s ’s employee 24.1 subcontract conditions 26.3 Subcontractor 26.2, 91.2 acceptance procedure C11.2(25), D11.2(25), E11.2(25) Works Information F11.2(26) Accepted Programme 62.2 absence 64.2 and Activity Schedule A54.2, A54.3, C54.2, C54.3 changes 32.1, 63.7 dates/times 33.1, 60.1(2)(3)(5), 63.3 definition 11.2(1) prevention 19.1, 60.1(19) termination 91.7  see also  programme access 27.2, 43.4 to Site 31.2 and use of Site  33 access date  30.1, 31.2 Site 33.1 accounts and records,  Contractor ’s ’s C11.2(25), C52.2, C52.3, D11.2(25), D52.23, E11.2(25), E52.2, E52.3, F11.2(26), F52.2, F52.3 actions  10 , 11.2(13,14), 14.2, 16.3, X12.2 activity schedule  A11.2(20), C11.2(20) Activity Schedule A11.2(20,30), A31.4, A54.1 3, A63.12, C11.2(20)(30), C31.4, C54.13, C63.12

Acts Contracts (Rights of Third Parties) (1999)  Y(UK)3 Housing Grants, Construction and Regeneration (1996) as amended by the Local Democracy, Economic Development and Construction Act 2009  W1 ,  W2 ,  Y(UK)2 additional conditions of contract  Z1

adjudication dispute resolution W1.3(111), W2.3(112) timings W1.3(8), W1.3(11), W2.3(2)(8)(1112) Adjudication Table W1.3(1)  Adjudicator 

decisions 51.3 dispute resolution W1.2(1-5), W2.2(1 5) nominating body  W1.2(3),   W1.2(3), W2.2(3) not arbitrator W1.2(2), W2.2(2) replacement W1.2(4), W2.2(4) resignation of W1.2(3) tribunal  W1.3(2)(10), W2.3(11) tribunal  reviews W1.4(14)(6), W2.4(13) administration order 91.1 advanced advance d payment 93.1, X14.13 repayment X14.3 advanced advance d payment bond X14.2 advanced payment(s) 93.1, X14.1 3 agents of  Adjudicator    Adjudicator  W1.2(5),   W1.2(5), W2.2(5) agreement, Parties/Party 12.4 ambiguities  17 , 60.3, 63.8, B60.6, D60.6 amount due adjustment adjus tment for inflati inflation on X1.1(b X1.1(b), ), X1.2, X1.4, X1.5 and advanced payment repayme repayment nt 93.1, X14.3 assessing  50 , 51.1, 51.3, 90.4, 93.1, C50.6,  C53.3 X1.4 4, D50.6, E50.7, F50.7, X1.1(b), X1.2, Contractor ’s ’s share D53.78 correction of assessment 50.5, 51.3, X1.2 definition 50.2 payment 51.1, 51.3 retention in 93.1, X16.1 on termi termination nation 90.2, 90.4, 93.1, 93.2, A93.3 amount retained 50.3, X16.1, X16.2 applicable applica ble law 11.2 11.2(5), (5), 21.2, 23.1, 84.2 tests and inspections 40.1 approval from Others,  Contractor ’s ’s design 27.1 arbitration procedure  W1.4(5), W2.4(4) arrangement with creditors 91.1 assessment  Adjudicator  W1.3(7),   W1.3(7), W2.3(7) amount due  50 , 51.1, 51.3, 90.4, 93.1, C50.6, C53.3, C53.4, D50.6, D53.7, D53.8, E50.7,

revised A54.2, A54.3, C54.2, C54.3

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Index compensation events 62.23,  63 ,  64 , 65.12, A63.10, A63.12, A65.4, B63.1013, C52.2, C63.1112, C63.15, D11.2(25), D52.2, D63.13, D63.15, E11.2(25), E52.2, E63.15, F52.2, X1.3 Contractor ’s ’s share C53.1, C53.34, C93.4, C93.6, D53.5, D53.78, D93.56 Defect(s) correction cost 45.2

indemnity against 83.1, 83.2 co-operation at risk reduction meeting 16.3 co-operation with Others 25.13 co-operation and trust 10.1, 26.3, X12.3(1) communications  13 and acceptance of submis submission sion 13.4, 13.8, 14.1 address to which sent 13.2  Adjudicator  W1.3(6),   W1.3(6), W2.3(6)

interest 51.2, 51.3 tests/inspections cost 40.6 assessment date 50.1, 50.4, 51.1 2, C11.2(29), D11.2(29), E11.2(29), F11.2(29), X7.2, Y2.2 assessment interval  50.1 assignment assign ment of benefit 92.2 Authorisation Projectt Bank Account Y1.1(1), Y1.9, Y1.10 Projec availability of resources C11.2(25), D11.2(25), E11.2(25)

calculations, assessment of compensation events for Subcontractors C52.2, D52.2, E52.2, F52.2 certificate(s)/certification communication communic ation of 13.1, 13.6 Completion 30.2, 35.2 Defects 43.3, 50.1 payment 50.5, 51.13, 90.4, 91.4 take-over date 35.3, 60.1(15)

assessment of compens assessment compensation ation events for Subcontractors C52.2, D52.2, E52.2, F52.2 certificate(s) 13.6 form defined 13.1 language languag e for 13.1 notification(s) 13.7 period for reply  13.3,   13.3, 13.5 receipt of 13.2 time allowed for reply 13.3, 13.5, 31.3, 32.2, 60.1(6) time when effec effective tive 13.2 compensation Employer ’s ’s risk 80.1  see also  indemnity compensation events  60 amount due affected by 51.3 assessing assess ing 62.23,  63,  64, 65.12, A63.10, A63.12, A65.4, B63.1013, C52.2, C63.1112, C63.15, D11.2(25), D52.2, D63.13, D63.15, E11.2(25), E11.2(25 ), E52.2, E63.15, F52.2, X1.3 assumptions made 60.1(17), 61.6, 63.7, 65.2 Completion Date affected by 62.2, A65.4, B65.4, C65.4, D65.4 Completion Date notification 61.3 Contractor  60.1(1)(8)(10)(12)(19),   60.1(1)(8)(10)(12)(19), 60.2, 60.3, 61.16, F20.5 and Defined Cost 61.4 definitions 13.8, 60.1, B60.4 7, D60.4D60.7, X2.1, X14.2 implementing 32.1,  65 , A65.4, B65.4, C65.4, D65.4, E65.3, F65.3 Key Dates affec affected ted by 60.1(4 60.1(4), ), 61.3, 62.2, A65.4, B60.5, B65.4, C65.4, D60.5, D65.4 notifying  61 , X2.1 payment to Subcontractor D11.2(25), C11.2(25),

termination 90.1, 90.5, C93.4, D93.5 changed Completi Completion on90.3, Date X7.2 changed decision(s) 60.1(8), 61.13 change(s) in Activity Schedule A54.2, A63.12, C54.2, C63.12 change(s) change( s) in forecast Prices, Completion Completion Date and Key Dates due to compensation events E65.3, F65.3 change(s) in the law  X2 change(s) of Prices, Completion Date and Key Dates due to compens compensation ation events A65.4, B65.4, C65.4, D65.4 change(s) of Prices due to compensation events 62.2, 63.1, A63.12, B60.6, B63.13, C63.11, D60.6, D63.13 change(s) change( s) in Works Infor Information mation 14.3, 18.1, 44.1, 44.2, 60.1(1), 63.89 civil commotion/war risks 80.1 claims

E11.2(25), F11.2(26) performance suspension Y2.4 Prices Price s affec affected ted by 62.2, 63.1, A63.10, A65.4, B60.6, B63.10, B65.4, C65.4, D60.4, D60.6, D63.13, D65.4, X2.1 Prices not affected by 61.4 Project Manager ’s ’s assessments  64 , A63.10, A65.4, B63.10, C63.15, D63.15, E63.15 quotations 61.4, 61.5,  62 , 64.1, 64.34, 65.1, A11.2(22), B11.2(22), C11.2(25), D11.2(25), E11.2(25), F11.2(26), X2.1 completed activities A11.2(27) completed work, definition B11.2(28) Completion  30 acceleration of 36.1 bonus paid if early X6.1 certification of 30.2, 35.2 and compensation compensation events 61.4, B60.5, D60.5

bank bonds X13.1, X14.2 bankruptcy 91.1 base date  X1.1(a), X1.3 Base Date Index X1.1(a) bill of quan quantities tities B11.2(21), D11.2(21) Bill of Quantities B11.2(21)(28)(31), B55.1, B60.47, B63.13, D11.2(21)(31)(33), D55.1, D60.47, D63.13 binding decisions,  Adjudicator  W1.3(10),   W1.3(10), W2.3(11) bodily injury 84.2 bond(s) 91.2, X13.1, X14.2 bonus for early Completion Completion  X6 boundaries of the site  11.2(15) breach of contract 60.1(18) breach of statutory duty 80.1

Employer ’s ’s risk 80.1

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Engineering and Construction Contract Completion (continued) definition 11.2(2) early warning of possible delay 16.1 Key Date 16.1 and programme 31.2, 32.2  section  of the  works  X5.1 and take over of  works   works  35.12, 35.3, 60.1(15), X16.1, X16.2

terms identified 11.1 third party rights Y3.1 time allowances 13.4, 31.1 weather data/weather measurement  60.1(13) Contract Date 11.2(4), B60.4, D60.4, X2.1, X4.1, X13.1, X14.2 Accepted Programme 60.1(19) compensation events 60.1(12)(19)

  works  32.2, 50.1, 60.1(13), 92.1, 93.2,  whole of  works C20.4, C53.3, D20.4, D53.7, E20.4, F20.4, X1.2, X16.1  work necessary 11.2(2)(13) Completion Comple tion Date (completion date) accelerated programme 36.1, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 change to later date X7.2 and compensation events 60.1(13)(15), 61.4, 62.2, 63.3, A65.4, B65.4, C65.4, D65.4, E65.3, F65.3 definition 11.2(3) if Defect(s) accepted 44.2 notification notific ation of compen compensation sation events 61.3 Price Adjustment Factor calculation X1.2 in programme (first/revised) 31.2, 36.1, A36.3, B36.3, C36.3, D36.3 rights to change 63.4  section  of the  works  X5.1 and take over of  works   works  35.12, 60.1(15) and  weather measurement  60.1(13)  work to be done by 11.2(2), 30.1 Condition 11.2(9), 25.3, 30.3, 31.2, 63.3, 63.9, B60.5, D60.5 conditions, identified and defined terms 11.2(9) conditions of contract identified and defined terms 11.1 for Subcontract 26.3

prevention 19.1 termination 91.7 Contract Contra ct Date, Proje Project ct Bank Accoun Accountt Y1.2 Contractor 

conditions of conditions of contract contract Z1.1 11.1 currencies curren cies for payment X3.1, X3.2 delay damages X7.1 documents referred to in 11.2(16)(19) early Completion Completion bonus X6.1 Employer ’s ’s risks 80.1 forecasts of Defined Cost C20.4, D20.4, E20.4, F20.4 insurance 84.1, 87.2 low performance damages X17.1 named key person 24.1 payment 51.2, X14.1, X14.3 performance bond X13.1 performance level X17.1 price adjustment adjustment for inflation X1.1(c), X1.3 programme 11.2(1), 31.1, 50.3 start-to-Completion interval 32.2 for subcontract C26.4, D26.4, E26.4, F26.4

acceleration 36.1, 36.2 acceptance of communication/proposal/submission 13.4, 13.8, 14.1, 15.1, 21.2, 87.2 access 27.2, 43.4 access and use of Site 33.1 accounts and records C11.2(25), C52.2 3, D11.2(25), D52.23, E11.2(25), E52.2, E52.3, F11.2(26), F52.2, F52.3 actions 10.1 Activity Schedule A31.4, A54.2, C31.4, C54.2 adding to  working areas  15.1 adjudication W1.3(12)(4), W2.3(3)(7) advanced advance d payment X14.1, X14.3 advice to  Project Manager  C20.3,   C20.3, D20.3, E20.3, F20.3 and ambiguities/inconsistencies 17.1 amount due to be paid to 50.2, 50.4, 51.1 assessment of compensation events 62.2, 64.1, A63.14, B63.13, C63.14, C63.15, D63.13, D63.15, E63.14, E63.15, F63.14 Bill of Quantities B11.2(28), B63.13, D63.13 certificates certi ficates issued to 13.6 co-operation 10.1, 25.13 compensation events 60.1(1)(8)(10)(12)(19), 60.2, 60.3, 61.16, F20.5 costs 52.1, C40.7, D40.7 decisions communicated to 30.2, 50.1, 60.1(8) default(s) 91.2, 91.3, 91.6 Defect(s) 11.2(5), 42.2 Defect(s) acceptance/non-correction 44.1, 44.2 Defect(s) correction 11.2(2)(6), 43.1 2, 43.4,  2, C11.2(25), D11.2(25), E11.2(25) delay45.1 damages X7.1 delivery of Plant and Materials 41.1, 93.1 early Completion bonus X6.1 early warning 16.1, 16.2, 16.4, 61.5, 63.5 Equipment 11.2(7), 23.1, 31.2, 92.2 facilities and services provided/paid for by 40.2 fault 61.1, 61.4, C11.2(25), D11.2(25), E11.2(25), F11.2(26) health and safety 27.4 illegal/impossible requirements 18.1 implementing compensation events 32.1, 65.1, E65.3, F65.3 indemnity 83.1 instruction(s) 14.3, 24.2, 27.3, 34.1, 36.1, 60.1(10), 61.2, 61.46, 62.1, 62.34, 82.1, 87.1, 91.6, C26.4, D26.4, E26.4, F26.4, X2.1 insurance 84.12, 85.1, 85.34, 86.1, 87.13

  works  35.1 take over of  works

Key Date 14.3, 30.3

conditions of contract additional Z1.1

interpretation 12.3 and sectional Completion X5.1 Contract Data/contract data addresses for communications 13.2  Adjudicator  identified   identified W1.2(3), W2.2(3)

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Index leaving Site/Working Areas 92.2 liabilities 14.1, 61.4, X15.1 liability limitation X18.15 low-performance damages X17.1 management responsibility F20.2 marking of Equipment, Plant and Materials 71.1 method of working 35.3, A54.2, C54.2 non-corrected Defects 45.12

part submission 21.3 submission to  Project Manager  21.2   21.2 use by  Employer  22.1   22.1 and Works Information 21.1, 21.2, 60.1(1) Contractor ’s ’s employees 24.1 insurance 84.1 removing 24.2 Contractor ’s ’s share C50.6, C53, C53.1C53.4, C93.4,

notification of compens notification compensation ation events 61.16, X2.1 notified of delegate for  Project Manager /Supervisor  14.2 notified notifie d of repla replacement cement for  Project Manager / Supervisor  14.4   14.4 objects of value/historical-interest 73.1 obligations 91.2 parent company guarantee X4.1 as Party to contract 11.2(11) payment(s) 40.6, 45.12, 51.1, 86.1, C50.6, C52.2, D50.6, D52.2, E50.7, E52.2, F50.7, F52.2, X3.1, X3.2 performance bond X13.1 period for reply  13.3   13.35, 32.2 physical conditions 60.1(12), 60.2, 60.3 Plant and Materials 27.2, 41.1, 80.1, 92.2, 93.1 prevention 19.1 programme (first/revised) 11.2(1), 31.13, 32.12, 50.3, 62.2, 64.1, 64.2 Project Bank Account  Y(UK)1 proposed instruction/changed-decision 61.2 quotations 36.1, 36.2, 44.2, 62.1 5, 64.1 reaction react ion to compensation compensation event 63.7 repairs/replacements 82.1 reply to communic communication ation 13.35, 31.3, 32.2, 60.1(6), 62.36 responsibilities 14.1,  20 7, C20.3, C20.4, C26.4, D20.34, D26.4, E20.34, E26.4, F20.24, F26.4 Risk Register revision 16.4 risks 63.6, 81.1, 84.2, 85.4 searching (for Defects) 42.1 starting/stopping work 30.1, 34.1, 91.6 subcontract contract data C26.4, D26.4, E26.4, F26.4

C93.6, D50.6, D53, D93.56 Contractor ’s ’s  share percentage  C53.1, D53.5 Contracts (Rights of Third Parties) Contracts Parties) Act (1999)  Y(UK)3 Core Group X12.2(3-5) composition X12.1(3) correcting assessment of amount due 50.5, 51.3, X1.2 assumptions about compensation events 60.1(17), 61.6 Bill of Quantities mistakes B60.6, D60.6 Defects 11.2(2), 32.1, 40.4,  43 , 45.12, C11.2(25), D11.2(25), E11.2(25) cost components data A11.2(22 A11.2(22), ), C11.2(2 C11.2(23), 3), C63.15, D11.2(23), D11.2(2 3), D63.15, E11.2(27), E63.15 costs additional costs 25.3 Contractor  52.1,   52.1, C40.7, D40.7 Defect(s) correction 45.12 due to  Adjudicator ’s/ ’s/tribunal’s decision 51.3 Employer ’s ’s risk 80.1 indemnity against 83.1, 83.2 insurance 86.1, 87.3 test/inspection repeat 40.6  see also  excess costs creditors, arrangement made with 91.1 currency curre ncy of this contract 51.1, C50.6, D50.6, E50.7, F50.7, X3.1, X3.2 damage(s) delay X7.1, X7.2 Employer ’s ’s risk 80.1 insurance against 84.1 low performance X17.1 repair by  Contractor  82.1   82.1 death insurance 84.1

subcontracted work C20.3, D20.3, E20.3, F20.2, F20.3 Subcontractor 11.2(17), 26.13 take over of  works   works  35.3, 43.4, 80.1 termination 80.1, 90.2, 90.4 5, 91.2, 91.4, 91.67 tests and inspections 40.2, 40.3, 40.5, 40.6, 41.1, C40.7, D40.7 title to objects and materials within Site 73.1, 73.2 title to Plant and Materials 70.1, 70.2 Works Information 11.2(19), 14.3, 63.8 9 Contractor ’s ’s design  21 acceptance 21.2, 21.3 approvall from Others 27.1 approva and Defec Defects ts 11.2(5 11.2(5)) and Equipment design 23.1 liability of  Contractor    Contractor  14.1   14.1 limitation of  Contractor    Contractor ’s ’s liability X15.1 management manageme nt by  Contractor  F20.2   F20.2

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decision(s)  Adjudicator  or  or  tribunal  51.3 assessment date 50.1 and compens compensation ation events 60.1(8), 61.1, 61.46 date of Complet Completion ion 30.2 Project Manager  30.2,   30.2, 50.1, 60.1(8), 61.1 2, 61.46, 63.5, 64.1, C11.2(25), D11.2(25), E11.2(25), F11.2(26) risk reduction meeting 16.4 default(s) Contractor ’s ’s 91.2, 91.3, 91.6 Employer ’s ’s 91.6 defect correction period  40.5, 43.24, 45.1 Defect(s) accepting  44 , 60.1(1)(9) Contractor ’s ’s compensation X15.2 Contractor ’s ’s liability 11.2(5), X15.1, X18.3 correcting 11.2(2)(6), 32.1, 40.4,  43 , 45.2, C11.2(25), D11.2(25), E11.2(25)

 

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Engineering and Construction Contract Defect(s) (continued) correction after Completion C11.2(23) defect correction period  40.5, 43.24, 45.1 definition 11.2(5) liability limitation X18.3 loss/damage/wear due to 80.1 low perfo performance rmance damages X17.1 notifying 11.2(6), 42.2, 43.12 and priced contract(s) A11.2(27), B11.2(28) searching (for) 42.1, 60.1(10) and tests/inspections 40.4, 40.6 uncorrected  45 , 60.1(9 60.1(9)) Defects Certificate 11.2(6), 43.3 and assessment of amount due 50.1 and  Contractor ’s ’s risks 81.1 2 and  Employer ’s ’s risks 80.1 and insurance cover 84.2 Key Performance Indicators X20.2 liability limitation X18.3 low perfo performance rmance damages X17.1 and retent retention ion X16.2 defects date  11.2(6), 40.5 and compens compensation ation events 61.7 searching/notifying Defects 42.12 testing 42.12 Defined Cost  52 , C11.2(29), D11.2(29), E11.2(29)(32), F11.2(29)(32) in amount due on termination 93.1, 93.2 and compensation events 61.4, 63.12, 63.7, A63.10, B60.4, B63.10, B63.13, C63.11, D60.4, D63.11, X1.3, X2.1 definition(s) A11.2(22), B11.2(22), C11.2(23), D11.2(23), E11.2(23), F11.2(24) and Fee calculation 11.2(8), 63.1, C11.2(29), D11.2(29), E11.2(29) forecast C20.4, D20.4, E20.4, F20.4 payment on termina termination tion D93.5 payments made by  Contractor  C50.6,   C50.6, C52.2, C52.3, D50.6, D52.2, D52.3, E50.7, E52.2, E52.3, F50.7, F52.2, F52.3 defined terms  11 , X1.1 Delay/delay and compensation events 62.2, 63.3, B60.5, D60.5

discounts, deduction from prices 52.1 dismantling (during searching) 42.1 dispute resolution unless United Kingdom Housing Grants, Construction and Regeneration Act (1996) as amended by the Local Democracy, Economic Development Develo pment and Constr Constructio uction n Act 2009 applies  W1  when United Kingdom Housing Grants, Construction and Regeneration Act (1996) as amended by the Local Democracy, Economic Development and Construction Construction Act 2009 applie applies s  W2 early Completion bonus X6.1 early warning  16 effects 16.1 Key Date 16.1 responsibility 16.1, 61.5, 63.5, C11.2(25), D11.2(25), E11.2(25), F11.2(26) Risk Register 16.1, 16.34 Effect of payment, Project Bank Account Y1.12 employees, of  Adjudicator    Adjudicator  W1.2(5),   W1.2(5), W2.2(5) Employer 

access 43.4 access and use of Site 33.1, 60.1(2) actions 10.1 adjudication W1.3(1) advanced payment by X14.13 amount due to be paid by 50.2, 51.1 breach of contr contract act by 60.1(1 60.1(18) 8) certificates certi ficates issued to 13.6 co-operation 25.2, 25.3 compensation events 60.1(1-3)(5)(14)(16)(18) Completion of  works   works  on termination 93.1, 93.2 Contractor ’s ’s design 22.1 Contractor ’s ’s parent company guarantee X4.1 dates 31.2, 33.1, 60.1(2)(3)(5) default 91.6 Defects Certificate 43.3 facilities and services provided by 40.2, 60.1(16) fault 80.1 hindered hinder ed by  Contractor  91.3   91.3 indemnity 83.1 insurance 85.4, 86.1,  87 as Party to84.1, contract 11.2(11) payments by 51.1 payments to C11.2(23), D11.2(23), E11.2(23), F11.2(23) performance bond X13.1 Plant and Materials 31.2, 80.1 Project Proje ct Bank Account Y1.1(3), Y1.1(3), Y1.6, Y1.8, Y1.9, Y1.11, Y1.13 programme 31.2, 60.1(5) repayment of delay damages X7.1 replacement of  Project   Project Manager /Supervisor  14.4   14.4 responsibilities 83.2, 87.2 rights to change 63.4 risks 60.1(14),  80 , 81.1, 83.2, 85.4 take over of  works   works  35.13, 43.4, 80.1, X6.1, X7.1, X16.1, X16.2 termination 80.1, 90.2, 91.2 3, 91.67, 92.12,

damages X7.1, early warning toX7.2 be given 16.1 plans to deal with 32.1 and priced contract(s) A11.2(27), B11.2(28) and tests/inspections 40.5, 60.1(11) delegation by  Project Manager /Supervisor  14.2   14.2 delivery, testing and inspection before  41 demolition 22.1, 73.2 design Contractor ’s ’s 11.2(5),  21 , 22.1, 23.1, 27.1 Employer ’s ’s 80.1 of Equipme Equipment nt  23 of  works   works  C20.3, D20.3, E20.3, F20.3  see also Contractor ’s ’s design direct fee percentage  11.2(8), 93.2 Disallowed Cost C11.2(23), D11.2(23), E11.2(23), F11.2(24) definition(s) C11.2(25), D11.2(25), E11.2(25), F11.2(26)

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Index tests and inspections 40.2, 40.6, 60.1(16), C40.7, D40.7 title to Equipment, Plant and Materials 93.1 title to Plant and Materials  70 , 93.1 use of  works   works  by 11.2(2), 35.3  working with  see  co-operation Works Information 22.1, 60.1(1)(5)(16) Employer ’s ’s design 80.1

Housing Grants, Construction and Regeneration Act (1996) as amended by the Local Democracy, Economic Economi c Develo Development pment and Constr Constructio uction n Act 2009  W1 ,  W2 ,  Y(UK)2

Equipment definition 11.2(7) design of  23  23 left on Site 72.1, 80.1 loss or damage 84.2 loss, damage or wear 80.1 marking of 70.1 70.1,,  71 and programme 31.2 rates in Contract Data X1.3 removal of  72  72 , 92.2, 93.2 termination 92.2 title 70.1, 70.2, 92.2 use by  Employer  92.2   92.2  see also  Plant and Materi Materials als errors,  Adjudicator  W1.3(11)   W1.3(11) excavation materials 73.2 excess costs,  Contractor ’s ’s share C53.2 exchange rates  C50.6, D50.6, E50.7, F50.7, X3.1 experienced contractor and compensation events 60.1(12), 60.2, 61.5, 63.5 and physical conditions on Site 60.1(12), 60.1(12), 60.2 and prevention 19.1, 60.1(19), 91.7 extension of time for decision/quotation/reply 13.5, 62.5

B65.4, C65.4, D65.4, E65.3, F65.3 impossible requirements  18 Incentive Schedule X20.1, X20.3 5 incentive schedule  X20.1 incentives, Partnering X12.4 inconsistencies  17 , 60.3, 63.8, B60.6, D60.6 indemnity  83 information in Activity Schedule A54.1, C54.1 in Bill of Quantities B55.1, D55.1 later recorded 65.2 in programme 31.2, 31.3, 50.3 provided to Others 25.1 publicly available 60.2  see also  Site Information; Works Information injury insurance 84.1 inspection(s)  40 , 60.1(10)(11) before delivery  41 Contractor ’s ’s cost C40.7, D40.7 instalment insta lment repayment of advanc advanced ed payment X14.3 instruction(s) compensation events resulting 60.1(1)(4)(7), 61.1 to  Contractor  27.3   27.3 form of communi communication cation 13.1 insurance 87.1 objects of value/interest 60.1(7) quotation(s) quotat ion(s) to be submitted 36.1, 61.12, 61.56, 62.1, 62.34, 64.1, X2.1 to remove  Contractor ’s ’s employee 24.2 on resolution of ambiguities and inconsistencies 17.1 to search (for Defects) 42.1 to stop/not start work  34 , 60.1(4), 91.6 and termination 91.6, 92.2 that change Key Date 14.3

facilities and services for tests/inspections 40.2, 42.1, 60.1(16)  see also  services failure to pay in time, actions to be taken 91.4 fault of  Contractor    Contractor  61.1,   61.1, 61.4, C11.2(25), D11.2(25), E11.2(25), F11.2(26) fault of  Employer    Employer  or   or his design 80.1 Fee C11.2(29), D11.2(29), E11.2(29)(32), F11.2(29,32) calculation(s) 11.2(8), 63.1, 93.2, C50.6, D50.6, E50.7, F50.7  see also  payment(s) fee percentage percentage see direct fee percentage percentage

that 60.1(1), change Works 14.3, 18.1, 44.2, 63.8Information 9 insurance certificates 85.1, 86.1, 87.13 cover  84 by  Employer  84.1,   84.1, 85.4, 86.1,  87 policies  85 , 86.1, 87.13 signatories 85.1 Insurance Table 84.2 insurer(s) 85.2, 85.4, X13.1 bonds X13.1, X14.2 insurrection insurr ection,, risks due to 80.1 interest assessment of 51.2, 51.3 compound calculation 51.4 on late payment 51.2 and payment certificate(s) 51.3 repaid delay damages X7.1

float, provision provision in progra programme mme 31.2 forecasts 61.6, 63.1, 65.2, 93.2, C20.4, C53.3, D20.4, D53.7, E20.4, E65.3, F20.4, F65.3 form of communi communication cations s 13.1 fraud, and insura insurance nce 85.2 grouping of activities A11.2(27) guarantee(s) 91.2, X4.1 health and safety Contractor  27.4   27.4 regulation(s) 91.3 requirements 31.2 Works Information 27.4 historical-interest objects found within Site 60.1(7),

interest rate  51.4

73.1

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Engineering and Construction Contract interpretation compensation event 63.8 conditions of contract  12.3 legal  12  Joining Deed Project Bank Account Y1.1(2), Y1.1(6), Y1.6 Key Date  30 acceleration 36.1, A36.3, C36.3, D36.3 assessment of compensation events 63.89 and compensation events 60.1(4), 61.3, 62.2, A65.4, B60.5, B65.4, C65.4, D60.5, D65.4 Condition 25.3 Contractor  14.3,   14.3, 30.3 definition 11.2(9) early warning 16.1 notification of compensation events 61.3, 61.4 and programme 31.2 Project Manager  14.3,   14.3, 60.1(4) rights to change 63.4 Subcontractor failing to meet C11.2(23), D11.2(23), E11.2(23), F11.2(23) Key Performance Indicators  X20 aspect of perfor performance mance X20.1 performance reports X20.2 key person 24.1 language of communications 13.1 language of this contract  13.1 late payment(s) 51.23, X14.2 later recorded information 65.2 Latest Index X1.1(b) law changes in  X2 , X2.1 and Defect(s) 11.2(5) interpretation  12 national legislation  Y  release of Party from contract 91.5 tax(es) 50.2 tests and inspec inspections tions 40.1  see also  Acts law of the contract  12.2 legal rights,national interference with 80.1 legislation,  Y  liability Contractor ’s ’s design 14.1, X15.1 and insurance 84.2 limitation  X18 reduction 83.2 liquidator for company/partnership 91.1 loss risks 80.1, 84.1 low performance damages  X17  see also  performance impairment lump sum(s) A11.2(30), A63.14, B11.2(28), B63.13, C11.2(30), C63.14, C93.4, D11.2(31), D63.13, E63.14, F63.14, marking of Equipme Equipment, nt, Plant and Materials 71 materials access to 27.2

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dates when needed 31.2 testing/inspection 40.2, 41.1, 42.1, 60.1(16) title to 73.2  see also  Plant and Materi Materials als method of measurement  B60.6, D60.6 method of worki working ng 35.3, A54.2, C54.2 military power, risks due to 80.1 mistake(s) assessment of amount due 51.3 Bill of Quantities B60.6, D60.6 multiple currencies  X3 named person 24.1 named suppliers

Project Bank Account Y1.1(2 Project Y1.1(2), ), Y1.13 Named Suppliers Project Bank Account, Y1.1(1), Y1.1(2), Y1.1(3), Y1.5, Y1.6, Y1.9, Y1.10 Y1.10,, Y1.13 national legislation  Y  NEC Adjudicator’s Contract W1.2(1), W2.2(1) NEC contract 26.3, C26.4, D26.4, E26.4, F26.4 negligence 80.1 nominating body ,  Adjudicator  W1.2(3),   W1.2(3), W2.2(3) notification acceptance of quotation(s) 62.3, 65.1 adjudication W1.3(12)(8-9), W2.3(12)(89) ambiguities/inconsistencies 17.1 assessment of compensation event 62.3, 64.3, 65.1 communication of 13.1, 13.7 compensation events and assumptions 60.1(17), 61 Contractor ’s ’s default 91.2, 91.3 Defects 11.2(6), 42.2, 43.12 delegate for  Project Manager /Supervisor  14.2   14.2

illegal/impossible requirements 18.1 implementing compensation events A65.4, B65.4, C65.4, D65.4, E65.3, F65.3 Project Manager ’s ’s assessment 64.3, 65.1 Project Manager ’s ’s decision(s) 63.5, 64.1 proposed instruction/changed-decision 61.2, 62.3 replacement of  Project   Project Manager /Supervisor  14.4   14.4 termination 90.1 tests and inspections 40.3, 41.1 notified Defects, correction 32.1, 45.2 objects of value or histo objects historical rical interest interest 60.1(7 60.1(7), ), 73.1 observing tests 40.3 open market prices 52.1 operations operat ions (in program programme) me) 31.2, 32.1 Others (other people) approval by 27.1 at risk reduct reduction ion meeting 16.2 co-operation with 25.1 Defect(s) correction by 45.2 definition 11.2(10) hindered by  Contractor  91.3   91.3 Plant and Materials supplied by 80.1 and programme 31.2, 60.1(5)  working with  see  co-operation and Works Information 60.1(5) Own Contract, definition X12.1(2)

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Index parent company guarantee  X4 Parties/Party  Adjudicator ’s ’s communications W1.3(6), W2.3(6)  Adjudicator ’s ’s instructions W1.3(5), W2.3(4) agreement 12.4 and assessment date 50.1 to contract 11.2(11) indemnity liability 83.1, 83.2 insurance 84.2, 85.3 prevention 19.1 to subcontract 26.3 and termination 90.1, 91.1, 91.5 third party rights Y3.1 tribunal  reviews W1.4(14), W2.4(13)(5) Partnering  X12 actions X12.2 change of Partnering information X12.3(6) Core Group X12.2(3-5) defined terms X12.1 early warning X12.3(3) incentives X12.4 Key Performance Indicators X12.4(12) Own Contract X12.1(2) Partnering Information X12.1(4), X12.3(1) representatives X12.2(2) subcontracting X12.3(9) timetable X12.3(7) payment(s)  51 advanced 93.1, X14.13 certified 50.5, 51.13, 90.4 conditional on success of test or inspection 40.5 Contractor  40.6,   40.6, 45.2, 51.1, 86.1, C50.6, C52.2, D50.6, D52.2, E50.7, E52.2, F50.7, F52.2, X3.12 dates Y2.2 Employer ’s ’s insurance 87.3 Housing Grants, Construction and Regeneration Act (1996) as amended by the Local Democracy, Economic Economi c Develo Development pment and Constr Construction uction Act 2009 Y2.23 interest 51.4 late 51.23, X14.2 and marking of Equipment, Plant and Materials 71.1

performance reports X20.2 performance suspension Y2.4 period perio d for reply  13.3,   13.3, 13.4, 32.2, 36.2 extension agreed 13.5 personal injury 84.1  see also  insurance physical conditions of Site 60.1(12), 60.2, 60.3 Plant and Materials 11.2(12)(17) access to 27.2, 60.1(2) dates when needed 31.2 loss of or damage to 80.1, 82.1, 84.1 not used to Provide the Works C11.2(25), D11.2(25), E11.2(25) removal of 92.2 replacement 82.1, 84.1 and termination 92.1, 93.1 testing/inspection before delivery 41.1 title 70.1, 70.2, 92.1, 93.1  wastage C11.2(25), D11.2(25), E11.2(25)  see also  Equipment prevention  19 Price Adjustment Factor(s)  X1 assessment of compensation events X1.3 calculation of X1.2 definition X1.1(c) price adjustment adjustment use X1.4, X1.5 Price for Work Done to Date adjustment for inflation X1.4, X1.5 and assessment of amount due 50.2, 50.3, 93.2, C93.4, D93.5 and assessment of  Contractor    Contractor ’s ’s share C53.14, D53.58 definition(s) A11.2(27), B11.2(28), C11.2(29), D11.2(29), E11.2(29), F11.2(29) and retention X16.1 Prices/prices/prices and acceleration 36.1, A36.3, B36.3, C36.3, D36.3 and Activity Schedule A11.2(20)(27), A54.3, A63.12, C11.2(30), C54.3, C63.12 and Bill of Quantities B11.2(31), B60.4, B60.6, B63.13, D11.2(31), D60.4, D60.6, D63.13 changes to 63.12 and compensation compensation events 61.4, 62.2, 63.12,

not made 91.4ion Y2.3 notice of intent intention Projectt Bank Account Y1.7, Y1.8, Y1.9, Y1.10, Projec Y1.11, Y1.12 taxes 50.2 on termin termination ation 93.1, 93.2, A93.3 A93.3,, C93.4 C93.4,, C93.6 C93.6,, D93.56 time to be made 51.2, X14.2  withholding Y2.3 payment certificate 50.5, 51.1, 51.3, 91.4 payment clauses  50 people  24 rates in Contract Data X1.3  see also  employees performance,  see also  Key Performance Indicators performance bond  X13 , X13.1 performance impairment early warning of possi possibility bility 16.1

A63.10, B60.6, B63.10, A63.12, B63.13, A65.4, B65.4, B60.4, C63.12, C63.14, C65.4, D60.4, D60.6, D63.13, D65.4, E63.14, E65.3, F63.14, F65.3, X2.1 competitively tendered/open market 52.1 Contractor ’s ’s share C53.1C53.4, D53.5 definition A11.2(30), B11.2(31), C11.2(30), D11.2(31), E11.2(32), F11.2(32) early warning of possib possible le increase 16.1 if Defect(s) uncorrected/accepted 44.2 notification of compensation events 61.3 rights to change 63.4 and termination 93.2, C93.4, D93.5 procedures, termination 90.2, 90.3,  92 proceedings Employer ’s ’s risk 80.1 indemnity against 83.1, 83.2 procurement procedure C11.2(25), D11.2(25),

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E11.2(25), F11.2(26)

 

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Engineering and Construction Contract programme 11.2(1),  31 , 50.3, 62.2, 64.1 accelerated 36.1, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 dates to be shown 31.2, 32.1, A31.4, C31.4 revised  32 , 36.1, 62.2, 64.2, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 Project Bank Account  Y(UK)1 Project Manager 

acceleration 36.1, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 acceptance of communication/proposal/submission 13.4, 14.1, 15.1, 21.2, 31.3, 85.1 acceptance accept ance of contra contract ct data for subcontract subcontract C26.4 C26.4,, D26.4, E26.4, F26.4 acceptance of quotation 44.2, 60.1(9), 62.3, 65.1, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 access 27.2 Activity Schedule A54.2, C54.2 addition additi on to  working areas  15.1  Adjudicator ’s ’s reviews/revisions W1.3(5), W2.3(4) advanced advance d payment bond X14.2 and ambiguities/inconsistencies 17.1 assessment of amount due 50.1, 50.4, 50.5 assessment of compensation events 61.6, 63.9, 64, A63.10, B63.10, B63.13, C63.15, D63.13, D63.15, E63.15 assessment of  Contractor    Contractor ’s ’s share C53.1, C53.34, C93.4, C93.6, D53.5, D53.7 8, D93.56 assessment asses sment date decid decided ed by 50.1 assessment of Defect(s) correction cost 45.2 assessment of test/inspection cost 40.6 assumptions about compensation events 60.1(17), 61.6 certificates 13.6, 30.2, 50.5, 51.13, 60.1(15), 82.1, 90.1, 90.34, C93.4, D93.5 co-operation 10.1, 16.3 compensation events 60.1(1)(4)(6)(7)(8)(9)(15)(17), 61.16, A63.10, B63.10, C63.15, D63.15, E63.15, F20.5 Completion 30.2 Contractor ’s ’s advice C20. C20.3, 3, D20.3 D20.3,, E20.3, F20.3 Contractor  ’s s design default 11.2(5), 91.2, 91.3 Contractor ’s ’’s 21.2 Contractor ’s ’s employees 24.1, 24.2

implementing compensation events 65.1, E65.3, F65.3 inspection of  Contractor    Contractor ’s ’s accounts and records C52.3, D52.3, E52.3, F52.3 instruction(s) 14.3, 17.1, 18.1, 24.2, 27.3, 34.1, 44.2, 60.1(1)(4)(7), 61.12, 61.4, 62.1, 62.34, 82.1, 87.1, 91.6, C26.4, D26.4, E26.4, F26.4, X2.1 insurance 85.1, 87.1 interest on payments 51.3 Key Date 14.3, 60.1(4) Key Performance Indicators X20.3 moving of Equipment, Plant and Materials 70.2, 72.1 notification of compensation events 61.1 6, X2.1 notification of  Contractor    Contractor ’s ’s default 91.2, 91.3 notification of implementing compensation events E65.3, F65.3 objects of value/historical-interest 60.1(7), 73.1 performance bond X13.1 prevention 19.1 programme 11.2(1), 31.1, 31.3, 32.2, 50.3 Project Bank Account Y1.4, Y1.6, Y1.7, Y1.9, Y1.14 quotations for acceleration 36.12, 60.1(9), A36.3, B36.3, C36.3, D36.3 quotations for compensation events 62.1, 62.35 replacement of 14.4 reply to communic communication ation 13.35, 60.1( 60.1(6), 6), 62.3, 62.56 requestt to remove resou reques resources rces from Worki Working ng Areas C11.2(25), D11.2(25), E11.2(25) Risk Register revision 16.4 start/stop start /stop of work 34.1, 60.1(4), 91.6 subcontract conditions 26.3 subcontracting C26.4 Subcontractor acceptance 26.2, 91.2 take over of  works   works  35.3, 43.4, 60.1(15) and termination termination 90.1, 90.3, 90.4, 91.2 tests and inspections C40.7, D40.7 Works Information 14.3, 18.1, 44.2, 60.1(1) property, loss or damage 84.1 proposal(s) acceleration 36.1 to add to Working Areas 15.1

correction of mistak correction mistakes es in Bill of Quantit Quantities ies B60.6, D60.6 date of Completion 30.2 decisions 30.2, 50.1, 60.1(8), 61.1 2, 61.46, 63.5, 64.1, C11.2(25), D11.2(25), E11.2(25), F11.2(26) Defect(s) acceptance/non-correction 44.1, 44.2 delegation 14.2 Disallowed Cost decision C11.2(25), D11.2(25), E11.2(25), F11.2(26) duties required 10.1,  14 early warning 16.1, 16.2, 16.4, 61.5, 63.5 Equipmentt design 23.1 Equipmen forecasts of Defined Cost C20.4, D20.4, E20.4, F20.4

Defect(s) acceptance/non-correction 44.1 form of communi communication cation 13.1 risk reduction meeting 16.3, 16.4 proposed propose d instru instruction ction or changed decision decision 61.2, 62.3 Provide the Works  20 and addition to Working Areas 15.1 Contractor ’s ’s responsibilities 11.2(7), 14.1, 20.1, 23.1, 26.3, C20.34, C26.4, D20.34, D26.4, E20.34, E26.4, F20.35, F26.4 and Equipment 11.2(7), 23.1 meaning of term 11.2(13) Plant and Materi Materials als not used C11.2(25), C11.2(25), D11.2(25), E11.2(25) and programme 31.2 resources not used C11.2(25), D11.2(25), E11.2(25) and Works Information 11.2(19), 20.1, C11.2(25), D11.2(25), E11.2(25)

illegal/impossible requirements 18.1

publicly available information 60.2

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Index quantities B11.2(28)(31), B60.47, D11.2(31), D60.47  see also bill of quantities; Bill of Quantities quotations for acceleration 36.12, 60.1(9), A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 acceptance of 36.1, 44.2, 60.1(9), 62.3, 65.1, A36.3, B36.3, C36.3, D36.3 for compensation events 61.4, 61.5,  62 , 64.1, 64.34, 65.1, A11.2(22), C11.2(25), D11.2(25), E11.2(25), F11.2(26), X2.1 if Defect(s) accepted 44.2, 60.1(9) for proposed instruction/changed-decision 61.2 revised 62.3, 62.4, 64.1

retention free amount  X16.1 retention percentage  X16.1 reviews,  tribunal  W1.4(16), W2.4(15)

revised Activity Schedule A54.2, A54.3, C54.2, C54.3 revised programme 32.12, 36.1, 64.2, A36.3, B36.3, C36.3, D36.3, E36.4, F36.4 revised quotation 62.3, 62.4, 64.1 revolution, revol ution, risks due to 80.1 Rights of Third Parties (Contracts) (Contracts) Act  Y(UK)3 riot risks 80.1 risk allowances 63.6 risk reduction meeting purpose 16.3 records 16.4  who attends 16.2 Risk Register definition 11.2(14) early warning 16.1, 16.34 Project Manager  revision   revision 16.4 records revision 16.4 risks Contractor ’s ’s 63.6,  81 , 83.2, 84.2, 85.4 Employer ’s ’s 60.1(14),  80 , 81.1, 83.2, 85.4

radioactive contamination 80.1 rates in assessing compensation events A63.14, B63.13, D63.13 in Bill of Quantities B11.2(28)(31), B60.4, D11.2(25,31), D60.4, D63.13 in Contract Data X1.3, X6.1, X7.1 rebates, deduction from prices 52.1 rebellion, risks due to 80.1 receipt of communications 13.1 receiver over assets 91.1 records Contractor ’s ’s C11.2(25), C52.2 3, D11.2(25), D52.23, E11.2(25), E52.23, F11.2(26), F52.23 form of communi communication cation 13.1 risk reduction meeting 16.4 Risk Register revision 16.4 re-covering (during searching) 42.1 re-erecting (during searching) 42.1 referral, adjudication W1.3(13), W2.3(13) removing Contractor ’s ’s employee 24.2 Equipment  72 , 92.2, 93.2 Plant and Materi Materials als 92.2 resources C11.2(25), D11.2(25), E11.2(25) repairs  82 replacement(s)

safety  see  health and safety samples 40.2, 42.1, 60.1(16) savings,  Contractor ’s ’s share C53.2 Schedule of Cost Components C11.2(23), D11.2(23), E11.2(23) Shorter Schedule A11.2(22), B11.2(22), C63.15, D63.15, E63.15 Schedule of Partners X12.1(1) searching for Defects 42.1, 60.1(10)  section  of the  works  X5.1 sectional Completion  X5 services 11.2(13)  see also  facilities and services  share ranges  C53.1, D53.5 Shorter Schedule of Cost Components A11.2(22), B11.2(22), C63.15, D63.15, E63.15 Site access acces s to 31.2, 60.1( 60.1(2) 2) access and use of 33.1

  Adjudicator   Adjudicator  of    W1.2(4),24.1  W1.2(4), W2.2(4) Contractor  ’s employee ’s Equipment 80.1, 84.1 Plant and Materi Materials als 82.1, 84.1 Project Manager /Supervisor  14.4   14.4 reply form of communi communication cation 13.1 time allowed 13.35, 31.3, 32.2, 36.2, 60.1(6), 62.56 resignation of  Adjudicator    Adjudicator  W1.2(3),   W1.2(3), W2.2(3) resources resou rces not used to Provid Provide e the Works C11. C11.2(25), 2(25), D11.2(25), E11.2(25) responsibilities Contractor  14.1,   14.1,  20 7, C20.3, C20.4, C26.4, D20.34, D26.4, E20.34, E26.4, F20.24, F26.4 Contractor ’s ’s 11.2(7), 14.1,  20 , 83.2 Employer ’s ’s 83.2, 87.2

definition 11.2(15) historical-interest/valuable objects found 60.1(7), 73.1 information describing 11.2(16) location X2.1 physical conditions 60.1(12), 60.2, 60.3 removal of Equipment, Plant and Materials 72.1, 92.2 and risks 80.1 starting of work 30.1 termination 92.2 visual inspection 60.2 Site Information 11.2(16), 60.2 and Activity Schedule A54.1, A54.2, C54.1 ambiguities/inconsistencies 60.3 and Bill of Quantities B55.1, D55.1  starting date  31.2, 32.2, 50.1, 81.1, 84.2, 87.1, C20.4, D20.4, E20.4, F20.4 dispute resolution W1.2(1), W2.2(1)

retention 50.3, 93.1,  X16

insurance 85.1

 

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Engineering and Construction Contract start(ing) work  30 instruction( instr uction(s) s) given not to 34.1, 60.1(4), 60.1(4), 91.6 stopping stoppi ng work 34.1, 60.1(4 60.1(4), ), 91.6 strikes, risks due to 80.1 subcontract adjudication W1.3(4), W2.3(3) contract contra ct data C26.4 C26.4,, D26.4 D26.4,, E26.4, F26.4  subcontracted fee percentage  11.2(8) subcontracting  26 , C20.3, C26.4, D20.3, D26.4, E20.3, E26.4, F20.2, F20.3, F26.4 assignment assign ment of benefits 92.2 conditions 26.3 Contractor ’s ’s management responsibility F20.2 Defined Cost A11.2(22), C11.2(23), D11.2(23), E11.2(23), F11.2(26) Subcontractor acceptance by  Project Manager  26.2,   26.2, 91.2 appointment appoint ment 26.2, 26.3, 91.2 compensation event assessments C52.2, D11.2(25), D52.2, E11.2(25), E52.2, F11.2(26), F52.2 definition 11.2(17) payments made C11.2(23)(25), D11.2(23)(25), E11.2(23)(25), F11.2(24)(26) submission(s) addition to Working Areas 15.1 communications 13.1, 13.4 Contractor ’s ’s design 21.2 Equipmentt design 23.1 Equipmen forecasts forec asts of total Defined Cost C20.4 C20.4,, D20.4 D20.4,, E20.4, F20.4 insurance policies/certificates 85.1, 86.1, 87.1, 87.3 non-acceptanc non-ac ceptance e of 13.8, 15.1, 21.2, 23.1, 26.2, 26.3 programme (first/revised) 31.2, 32.2, 50.3, 64.1, 64.2, A31.4, C31.4 quotations quotati ons 36.1, 36.2, 44.2, 61.4, 62.1, 62.36, 64.1, X2.1 Subcontractor/subcontract conditions/contract data 26.2, 26.3, C26.4 C26.4,, D26.4 D26.4,, E26.4, F26.4 subrogation rights 85.2 Supervisor 

access 27.2  Adjudicator  ’s reviews/revisions W1.3(5), W2.3(4) ’s certificates issued by 13.6, 43.3, 50.1 and compensati compensation on events 60.1(6)(8)(10)(11), 60.1(6)(8)(10)(11), 61.1 Defects Defec ts notified by 11.2( 11.2(6), 6), 42.2, 43.1, 43.3 delegation 14.2 duties required 10.1,  14 instructions instr uctions given by 27.3, 61.1 marking of Equipment, Plant and Materials 70.1, 71.1 replacement of 14.4 reply to communication 13.3, 14.1, 60.1(6) searching (for Defects) 42.1, 60.1(10) tests and inspections 40.3, 40.5, 41.1, 60.1(11) suppliers 11.2(10)(17) Project Bank Account Y1.1(2), Y1.6 take over of  works   works  35 , 43.4, 60.1(15), 80.1, X6.1, X7.1, X16.1, X16.2

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taxes 52.1 payment 50.2 termination  90 amount due on 90.2, 90.4, 93.1, 93.2, A93.3 certification of 90.1, 90.3, 90.5, C93.4, D93.5 and insurance cover 84.2 loss/damage risks 80.1 payment on 93.1, 93.2, A93.3, C93.4, D93.5 procedures 90.2, 90.3,  92 Project Proje ct Bank Account Y1.14 reasons for 90.2,  91 Termination Table 90.2, 92.2, 93.2 tests/testing  40 before delivery  41 compensation events resulting 60.1(10)(11)(16) Contractor ’s ’s cost C40.7, D40.7 searching/notifying Defects 42.12 third party rights, contr contracts acts Act Y3.1 time,  see also  Completio  Completion; n; Key Date; start(ing) start(ing) work time allowed certification of Completion 30.2 certificatio certi fication n of payment 50.5, 51.1, 90.4 certificatio certi fication n of take over 35.3 compensation events 61.1, 61.3, 61.4, 64.3 4 Defect(s) correction 43.2 extension(s) agreed 13.5, 62.5 6 payment of amount due 51.2, 91.4 programme submission/acceptance 31.1, 31.3, 32.2 Project Manager  not  not replying 64.4 reply to communic communications ations 13.3, 13.5, 31.3, 32.2, 60.1(6) start/restart of work 91.6 time clauses  30 time risk allowa allowances nces 31.2, 63.6 timings, adjudication W1.3(8)(10-11), W2.3(2)(8)(1112) title  70 Equipment, Plant and Materials 92.1, 92.2 materials from excavation and demolition 73.2 object of value or histor historical ical interest 73.1 Plant and Materials  70 total of the Defined Cost, payment on termination D93.5 Total of the Prices Contractor  ’s share D53.58 ’s identified identi fied and defined terms D11.2( D11.2(33) 33) total of the Prices Activity Schedule A54.3, C54.3 adjustment for inflation X1.5 compensation events B60.4, D60.4 Contractor ’s ’s share C53.1, C53.3 early warning of possible increase 16.1 identified identi fied and defined terms 11.2(27) payment on termin termination ation 93.2, C93.4, C93.4 tribunal  Adjudicator  W1.3(2)(10),   W1.3(2)(10), W2.3(11)

arbitration W1.4(5), W2.4(4) costs D11.2(25) decisions 51.3 proceedings C11.2(25), D11.2(25), E11.2(25) reviews W1.4(16), W2.4(15) trust and co-operation 10.1, 26.3, X12.3(1)

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Index Trust Deed Projectt Bank Account Y1.1(5 Projec Y1.1(5), ), Y1.13 uncorrected Defects  45 , 60.1(9) uncovering uncover ing work (durin (during g searc search) h) 42.1 undecided disputes,  Adjudicator  W1.2(4),   W1.2(4), W2.2(4) United Kingdom Housing Grants Grants,, Constr Construction uction and Regeneration Act (1996) as amended by the Local Democracy, Economic Development and Construction Act 2009  W1 ,  W2 use of  works   works  by  Employer  11.2(2),   11.2(2), 35.3 usurped power, risks due to 80.1 utilisation of resources C11.2(25), D11.2(25), E11.2(25) valuable object valuable objects s found within Site 60.1( 60.1(7), 7), 73.1 visual inspection inspection of Site 60.2  waiver by insurers 85.2  war 80.1  wastage of Plant and Materials C11.2(25), D11.2(25), E11.2(25)  watching tests 40.3  wear to  works,  Employer ’s ’s risk 80.1  weather conditions 60.1(12) weather data/weather measurement  60.1(13)  whole of the  works  X5.1 Completion 32.2, 50.1, 60.1(13), 93.1 2, C20.4, C53.3, D20.4, D53.7, E20.4, F20.4, X1.2, X16.1 Defined Cost C20.4, D20.4, E20.4, F20.4  winding-up order 91.1  witnesses,  tribunal  proceedings W1.4(6), W2.4(5) Working Areas (working areas) 11.2(18) addition  15 Equipment, Equipmen t, Plant and Materi Materials als outside 71.1 Equipment, Equipmen t, Plant and Materi Materials als removed from 92.2 Equipment, Equipmen t, Plant and Materi Materials als within 41.1, 93.1 Plant and Materi Materials als outside 70.1, 70.2, 71.1 Plant and Materials within 41.1, 70.2, 93.1 resources removed from C11.2(25), D11.2(25), E11.2(25) sharing sharin g with Others 25.1  working /Others  see  co-operation works with  Employer /Others Completion of whole 11.2(13), 32.2, 50.1, 60.1(13), 92.1, 93.2, C20.4, C53.3, D20.4, D53.7, E20.4, F20.4, X1.2, X16.1 Contractor ’s ’s design 21.1, 22.1, X15.1

Contractor ’s ’s management responsibility for design,

construction and installation F20.2 and Defects 11.2(5) design C20.3, D20.3, E20.3, F20.3 early warning of possible performance impairment 16.1 Equipment left in 72.1 information specifying/describing 11.2(19), 25.1 loss of or damage to 80.1, 82.1, 84.1 part provided by Subcontractor 11.2(17) Plant and Materials included 11.2(12)(17)  section  X5.1 taking over  35 , 43.4, 60.1(15), 80.1, X6.1, X7.1, X16.1, X16.2 Works Information acceptance/procurement procedure C11.2(25), D11.2(25), E11.2(25), F11.2(26) accounts accoun ts and record records s C52.2 C52.2,, D52.2 D52.2,, E52.2, F52.2 and Activity Schedule A54.1, C54.1 advanced advance d payment bond X14.2 assessing compensation events A63.10, B63.10 and Bill of Quantities B55.1, D55.1 change(s) change( s) 14.3, 18.1, 44.1 2, 60.1(1), 63.8 9 and compensation events 60.1(1)(16), 63.89 Completion Date 11.2(2) conditions stated in 25.1, 60.1(5) Contractor ’s ’s accounts and recor records ds C52. C52.2, 2, D52.2, E52.2, F52.2 Contractor ’s ’s design 21.12, 22.1, 60.1(1), X15.1 Contractor ’s ’s parent company guarantee X4.1 and Defects 44.1, 44.2 definition 11.2(19) Equipment 11.2(7) health and safety 27.4 instructions that change 14.3, 18.1, 44.2, 60.1(1), 63.89 marking of Equipment, Plant and Materials 71.1 part of  works   works  not in accordance with 11.2(5) performance bond X13.1 and programme 31.2 and Providing the Works 11.2(19), 11.2(19), 20.1, C11.2(25), D11.2(25), E11.2(25) subcontract work F20.2   works  works take  35.2 testsover and of  inspections inspec tions 40.12, 41.1, 42.1, 60.1(16) title to materials 73.2 uncorrected Defects 45.12

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