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NEC3 ECC - When is a Pay Less Notice issued?

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When is a Pay Less Notice issued? Assuming a Payment Certificate has been issued on time.

a) When the PM/Employer intends on paying less than the sum notified in the Payment Certificate?

b) When the Payment Certificate value is less than the Application value?
asked Jan 8 in NEC3 General by NWQS (490 points)  

1 Answer

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Best answer
The provisions are contained within Option Y(UK)2, under clause Y2.3.

This clause should state when a 'Pay Less' notice is to be notified to ensure that it is enforceable, which is either the 'prescribed period', as stated in the Scheme for Construction Contracts, or as agreed by the parties (and stated in Y2.3).
answered Jan 10 by Andrew WI (11,830 points)  
Re-reading your question, the certificate and any 'Pay Less' notice are separate procedures.

A 'Pay Less' notice effectively applies to a situation where an Employer wishes to 'set off' monies against an amount certified.

Where a certificate is less than the amount applied, the basis on which the sum is calculated must be provided to be compliant but this does not require a 'Pay Less' notice.