NEC - Getting to Grips with NEC3 Contracts

Course background

• This 1 DAY COURSE will explain the philosophy behind the full range of the NEC family of contracts and will focus on the provisions of the Engineering and Construction Contract. The differences between the 2nd and 3rd Edition will be explained as well as the use of the different forms and their significant features.

Speakers’ panel

The speaker for each course will be from a panel of Lorne Alway, Ryland Ash, Nigel Clayton, Scott Milner, Peter Ormston and Michael Rowlinson

OVERVIEW

Introduction

• NEC3; Structure and content, putting an NEC contract together
• The language and philosophy

NEC family of contracts and documents

• The Engineering and Construction Contract
• Main options; Secondary options; associated documents
• The Subcontract
• The Adjudicator’s Contract
• Term Service Contract
• The Professional Services Contract
• The NEC Short Contract and Subcontract
• Framework Contract
• Term Service Short Contract
• Supply Contract and Supply Short Contract

Allocation of risks and responsibilities

• Design obligations
• Unforeseen conditions
• Project Manager
• Pricing mechanisms
• Changes
• Supervisor

Preparing the contract

• Site Information
• Works Information
• Tenders and acceptance
• Contract data

Management procedures

• Communications
• Progress reporting
• Programme requirements
• Early warning notices
• Risk register

Compensation events

• Time and money events
• Assessments
• Schedule of costs components
• Quotations
• Defined cost
• Notifications
• Fee
• Timescales and deemed acceptance

Payment procedures

• Pricing mechanism
• Price adjustments
• Retention
• Target cost
• Valuation schemes
• Interest

Other contract families

• Compare NEC with other contract families including JCT and PPC 2000 – main features

The New Construction Act

• Likely impact on the NEC Family

Brief Review of the Local Democracy, Economic Development and Construction Act 2009 and its impact on payment and adjudication provisions