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NEC ECC: Can Value Engineering be forced upon an Employer

0 votes
If on an option C contract, the Contractor were to make a value engineering (VE) proposal which the PM subsequently did not agree to, can the Contractor notify a Cl. 60.1(9) CE?

Within the specific situation under consideration the original item of work is clearly defined and deliverable - its just more costly. The Contractor has proposed a reduced scope of work which would save money, but for reasons of potential external challenge the PM has rejected the cl. 63.11 proposal. The Contractor has subsequently notified a 60.1(9) CE.

Surely the PM can stick to the original Works Information which is clear - this after all is what the Employer wants?
asked May 14, 2019 in Compensation Events by PM10101 (680 points)  

1 Answer

0 votes
No this can not be imposed upon the Employer. Contractor can suggest, but the Project Manager is under no obligation to accept and if not the Contractor should follow clause 20.1 which obligates them to provide the (original) works in accordance with the Works Information (or Scope under NEC4).
answered May 14, 2019 by Glenn Hide Panel Member (84,270 points)