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NEC: Is a change to the site boundary a compensation event?

+2 votes
We are a sub-contractor to a Main Contractor with a client/employer.
At the outset of the project we were issued with site drawings and plans from which to price. Our price negotiated was included in the contract as a lump sum with activity schedule. Subsequently the main Contractor failed to win the full project - only one of 2 main buildings that share access with the Main Contractor (MC) on the other building, (A different main Contractor under a different contract with the same Employer). We are only working on one site for one MC.
The key impact for us is restrictions on access and a considerable disruption to the sequencing of our works.
The bespoke contract we are under confuses the matter of sequencing.
asked May 17, 2017 in Contractor Claims by Drustan (220 points)  

2 Answers

+2 votes
Best answer
Are you being employed under an amended version of the Engineering and Construction Subcontract / Short Subcontract or is it an entirely bespoke contract?

Assuming that you are under an amended ECS / ECSS it sounds like you should understand the amendments and the effect of them on the risk profile. You may have unwittingly signed up to an onerous subcontract that dumps lots of risk at your door and thus blocks the way to a compensation event.

On a more positive note, if the compensation events in the standard contract are available to you then 60.1(2) not allowing access to and use of a part of the Site would work, provided that the Site drawings and plans show the parts of the Site that you should have had access to.
answered May 17, 2017 by Neil Earnshaw Panel Member (30,340 points)  
selected May 17, 2017 by Drustan
Thanks Neil, I think your right on the money - it is a bespoke contract. However; the prevention of access to part of the site is probably the simplest opportunity for us.
Thanks for you help
+2 votes
From what you say, they seem to be imposing new constraints i.e. reduced areas for you to work in. That would be a change to the Works Information i.e. a compensation event under clause 60.1(1)
answered May 17, 2017 by Jon Broome Panel Member (64,230 points)