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NEC ECC: Risks associated with the introduction of a nominated sub-contractor

0 votes
I am aware that there is no provision in NEC3 ECC for nominated sub-contractors. However, if a compensation event is notified to introduce a nominated sub-contractor into the Works Information, is the Contractor still responsible for Providing the Works as if he had not sub-contracted (Clause 26.1) and as such carry all risks associated with the conditions of the sub-contract not aligning with the main conditions of contract or does the Employer carry these risks?

Typical examples might be:

a) Defects Date in the sub-contract is earlier that the Defects Date in the main contract.
b) There are no delay damages in the sub-contract
asked Jan 10 in General by turleya (740 points)  

1 Answer

0 votes
Simple answer is yes, so you have to price accordingly in terms of risk within your CE quotation.

If you put a lot of risk, this may give rise to the PM giving assumptions to base the quotation upon that if they do not perform in a way that meets that assumption that it could give rise to a further compensation event and hence not the Contractor risk. Unfortunately however PM's are not always willing to commit to such assumptions leaving arguments as to the value of the CE.
answered Jan 10 by Glenn Hide Panel Member (87,180 points)