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NEC3 ECC: X7 Delay Damages on NEC3 Option E contract

0 votes
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On an Option E contract, how does the contractor make provision and get paid for taking on the risk for X7 delay damages, given that payment by the employer is based on cost incurred plus fee and there is no risk provision as in, for example, option A?
I'm working with a framework agreement in which fees are fixed and I can see nowhere else where the contractor could include for taking on that risk.
asked Aug 15, 2019 in Secondary X, W and Y options by M2mbs (120 points)  

1 Answer

+1 vote
If we take out the fact that you are in a framework agreement with fixed fees, the answer would be "in the fee percentages".

So the only answer I can give to avoid this situation is to refuse to enter into the individual contract based on those fee percentages, the contract duration/Completion Date and those levels of damages and explain your rationale to the Client/Employer. That should hopefully lead to an intelligent conversation amongst grown-ups !
answered Aug 16, 2019 by Jon Broome Panel Member (61,270 points)  
Thank-you Jon. I had thought perhaps that the framework complicated the issue, which clearly it does!