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NEC3 ECC: Time cost build up under Option C

0 votes
We are a Contractor based from our own office, which for the duration of the contract is deemed part of the Working Area. I am currently preparing a CE quotation that includes a 5 week extension to the programme.

I am including all the management staff in the time element of the claim and applying the Working Area overhead and fee to same.

My question is, could I apply a proportion of the actual head office overhead to this CE as I believe it exceeds the overhead amount for people in the contract?
asked Mar 20 in NEC3 Compensation Events by anonymous   1 4
recategorized Mar 20 by Glenn Hide

1 Answer

0 votes
The WAO is intended to cover the items listed in para 44 of the Schedule of Cost Components which are probably not the type of costs you are considering as head office overhead.

If the office has been accepted as part of the Working Area (not just working area) you may be able to recover some of the costs as Defined Cost but you would have to prove it is only incurred in order to Provide the Works ie but for Providing the Works you would not have incurred the cost. Without knowing the full details I think it would be difficult for you to demonstrate this.
answered Mar 27 by dave bates (5,330 points)