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NEC ECC: Subcontractor Damage to Works

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Whilst working on a ECC contract Option A we have had a Subcontractor damage an element of our main works equipment. The Subcontractor is on a back to back NEC3 Subcontract Option A. As they did not install the works and have only damaged it this is not a defect. I cannot see clearly under the contract where we can reclaim the cost of this.

Under clause 50.2 for the amount she has the statement “less amounts to be paid to the Subcontractor” however I cannot see where in the contract it would seem damage caused to the main works by the Subcontractor to warrant this. Can someone please advise me on if there is a correct procedure to recover this from the Subcontractor in contract or would this be dealt with through insurance.
asked Feb 1 in NEC3 Testing and Defects by anonymous (1,880 points)  

1 Answer

+1 vote
Best answer
This should be dealt with as an insurance matter, refer to the third insurance in the Insurance Table, the relevant words being "... loss of or damage to property ...".

The exclusion "except the subcontract works, Plant and Materials and Equipment" refers to things supplied or done by the Subcontractor which are covered by the first insurance in the Insurance Table. The exclusion does not apply to the Contractor's works, Plant and Materials and Equipment all of which can be classed as property.
answered Feb 7 by Neil Earnshaw (17,400 points)