An Employer gets another Contractor to correct a defect after the original Contractor failed to do correct a defect within the defect correction period. Can the Employer include within the assessment (they are going to charge the original Contractor) costs they have incurred themselves, as well as the direct cost that the other Contractor has charged them?
Yes, the PM is entitled to assess “the additional cost to the Client of having the Defect corrected by other people” so this can include both the direct cost of the other contractor and any other related costs such as increased project management and supervision etc.
Also If the PM has assessed the cost, your only recourse if you disagree is to refer the matter to dispute.