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NEC ECC Option A - Cancelling a PMI

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Once a PMI has been issued instructing the Contractor to submit a quotation and proceed with a change to the Works Information. Can this instruction be cancelled as it's no longer required?

Would this then be a change to the WI again by reverting it back? 60.1 (1)

Is the Contractor entitled to cost of preparing a CEQ?
asked Sep 3, 2018 in Compensation Events by trauts80 (300 points)  

2 Answers

+1 vote
 
Best answer
You cannot simply cancel an instruction once issued. There are two steps, one issuing an instruction change scope/WI and a second changing it back again. The net result could be a higher cost, the same cost or even a lower cost as the rules for pricing a CE are not the same as how the contract price may have been established.

Recovery of the costs of CEQ will depend on the form of contract.
answered Sep 3, 2018 by Rob Horne (19,440 points)  
selected Sep 3, 2018 by Glenn Hide
+1 vote
Just to add's to Rob's answer for the last bit "recovery of the costs of CEQ will depend on the form of contract". Under NEC3, for options A & B cost of preparing quotations is expressly excluded, but not for options C onwards.

NEC4 those words are deleted for A & B so cost of preparing quotations can be included.
For NEC3 and 4, in any event only extra over costs that you can prove has/will be spent. If you can price that CE with the original project team then there will be no additional cost to price.
answered Sep 3, 2018 by Glenn Hide (71,250 points)