# Compensation Events

**URL:** https://reachback.builtintelligence.com/c/nec3-and-nec4-contracts/compensation-events/15.md?page=1

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**Page:** 2

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## [Late issue of project managers assumptions](https://reachback.builtintelligence.com/t/late-issue-of-project-managers-assumptions/22014)

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**Author:** [@jpgarvin](https://reachback.builtintelligence.com/u/jpgarvin)\
**Replies:** 3\
**Last updated:** [10 July 2025 09:17 UTC](https://reachback.builtintelligence.com/t/late-issue-of-project-managers-assumptions/22014 "2025-07-10T09:17:51Z")

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We have recently submitted a range of quotations for additional costs (and time) associated with a delay caused by others (non attendance by a statutory undertaker to supervise the works). This was based on information p…

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## [Subcontractor charging for plant/ labour without increase to Defined Cost](https://reachback.builtintelligence.com/t/subcontractor-charging-for-plant-labour-without-increase-to-defined-cost/22335)

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**Author:** [@Jacob88](https://reachback.builtintelligence.com/u/Jacob88)\
**Replies:** 4\
**Last updated:** [22 June 2025 17:15 UTC](https://reachback.builtintelligence.com/t/subcontractor-charging-for-plant-labour-without-increase-to-defined-cost/22335 "2025-06-22T17:15:58Z")

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Apologies if this has been answered previously I have struggled to find it. Contract is an NEC4 ECCS option A. A Subcontractor delivered plant to site on Monday and used it that day to carry out scoped works. The plant…

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## [Quotation Assessments Under X2](https://reachback.builtintelligence.com/t/quotation-assessments-under-x2/22291)

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**Author:** [@vigith.thabrew](https://reachback.builtintelligence.com/u/vigith.thabrew)\
**Replies:** 1\
**Last updated:** [15 May 2025 07:51 UTC](https://reachback.builtintelligence.com/t/quotation-assessments-under-x2/22291 "2025-05-15T07:51:33Z")

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I am the Project Manager administering an NEC Option A project. The Contractor has submitted a quotation for a compensation event claimed under X2.1, for additional national insurance contributions incurred from 1 April. …

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## [Compensation Events and Delay](https://reachback.builtintelligence.com/t/compensation-events-and-delay/22284)

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**Author:** [@PMJOB](https://reachback.builtintelligence.com/u/PMJOB)\
**Replies:** 1\
**Last updated:** [9 May 2025 17:36 UTC](https://reachback.builtintelligence.com/t/compensation-events-and-delay/22284 "2025-05-09T17:36:22Z")

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We are on an NEC 4 Option A Subcontract. We have notified a number of CEs relating to delay and additional works; some of which have been accepted others haven’t been. All of the CEs have a programme effect. When provid…

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## [NEC4 Option A Compensation Event](https://reachback.builtintelligence.com/t/nec4-option-a-compensation-event/22195)

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**Author:** [@Derek\_Logue](https://reachback.builtintelligence.com/u/Derek_Logue)\
**Replies:** 3\
**Last updated:** [2 May 2025 17:16 UTC](https://reachback.builtintelligence.com/t/nec4-option-a-compensation-event/22195 "2025-05-02T17:16:50Z")

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We are using an NEC4 Option A contract and the contractor has submitted a compensation for works carried out by a sub-contractor but has failed to apply the percentage for adjustment for equipment as per the Model Compen…

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## [Can a CE allow the Fee Percentage to be adjusted?](https://reachback.builtintelligence.com/t/can-a-ce-allow-the-fee-percentage-to-be-adjusted/22262)

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**Author:** [@Joe84](https://reachback.builtintelligence.com/u/Joe84)\
**Replies:** 1\
**Last updated:** [24 April 2025 18:40 UTC](https://reachback.builtintelligence.com/t/can-a-ce-allow-the-fee-percentage-to-be-adjusted/22262 "2025-04-24T18:40:12Z")

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Hi. Due to the change in law in terms of the changes to National Insurance i.e. the increase in the employer NIC rate and a reduction in the secondary threshold for employers, we are able to recover the “direct” costs v…

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## [Nec3 compensation for information delay](https://reachback.builtintelligence.com/t/nec3-compensation-for-information-delay/22192)

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**Author:** [@Femid](https://reachback.builtintelligence.com/u/Femid)\
**Replies:** 2\
**Last updated:** [22 April 2025 07:35 UTC](https://reachback.builtintelligence.com/t/nec3-compensation-for-information-delay/22192 "2025-04-22T07:35:42Z")

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Can the contractor request compensation from the client for not providing information on time under NEC3 using cl60 I provided the information 3 working days before starting of work.

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## [NEC3 - Correcting a PM Assumption](https://reachback.builtintelligence.com/t/nec3-correcting-a-pm-assumption/22247)

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**Author:** [@JMR](https://reachback.builtintelligence.com/u/JMR)\
**Replies:** 2\
**Last updated:** [13 April 2025 08:29 UTC](https://reachback.builtintelligence.com/t/nec3-correcting-a-pm-assumption/22247 "2025-04-13T08:29:16Z")

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NEC3 ECC Option B The PM provides an assumption for a compensation event (61.6), the assumption being that Others will carry out their work by a certain date. The compensation event is implemented and the Completion Dat…

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## [NEC4 Option C - X1 & X2, Increase in employers national insurance contributions](https://reachback.builtintelligence.com/t/nec4-option-c-x1-x2-increase-in-employers-national-insurance-contributions/22246)

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**Author:** [@S.M](https://reachback.builtintelligence.com/u/S.M)\
**Replies:** 2\
**Last updated:** [10 April 2025 15:38 UTC](https://reachback.builtintelligence.com/t/nec4-option-c-x1-x2-increase-in-employers-national-insurance-contributions/22246 "2025-04-10T15:38:28Z")

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Using a largely unamended NEC4 ECC Option C contract with secondary options X1 and X2, the Contractor has submitted a compensation event notification for the increase in employers national insurance contributions. Whilst…

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## [Scope of Compensation Event did not materialise - how to resolve?](https://reachback.builtintelligence.com/t/scope-of-compensation-event-did-not-materialise-how-to-resolve/22168)

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**Author:** [@JMPM](https://reachback.builtintelligence.com/u/JMPM)\
**Replies:** 1\
**Last updated:** [6 March 2025 14:28 UTC](https://reachback.builtintelligence.com/t/scope-of-compensation-event-did-not-materialise-how-to-resolve/22168 "2025-03-06T14:28:22Z")

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I’m working on a NEC3 ECC Option A contract. We (Employer) issued a PMI/CE instructing the Contractor to produce a design & RAMS to complete some works in compliance with an uncharted third party asset in the road, antic…

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## [Option A - 60.1 (1) Used to claim back measure not realised](https://reachback.builtintelligence.com/t/option-a-60-1-1-used-to-claim-back-measure-not-realised/22149)

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**Author:** [@QS101](https://reachback.builtintelligence.com/u/QS101)\
**Replies:** 1\
**Last updated:** [26 February 2025 18:07 UTC](https://reachback.builtintelligence.com/t/option-a-60-1-1-used-to-claim-back-measure-not-realised/22149 "2025-02-26T18:07:40Z")

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Working on an option A where the as-built measure of the works, in this case the pile length, isn’t as high as what was estimated, the piles haven’t needed to go as deep. The main contractor is attempting to re-coup this…

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## [Additional Site Information post contract](https://reachback.builtintelligence.com/t/additional-site-information-post-contract/22064)

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**Author:** [@JMR](https://reachback.builtintelligence.com/u/JMR)\
**Replies:** 5\
**Last updated:** [8 January 2025 09:52 UTC](https://reachback.builtintelligence.com/t/additional-site-information-post-contract/22064 "2025-01-08T09:52:23Z")

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We are PM on an NEC3 Option B contract, between tender and contract award additional site investigation was carried out on the footprint of a building which was demolished. This was not included as Site Information in th…

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## [Dividing Date for a proposed instruction - NEC4 ECC](https://reachback.builtintelligence.com/t/dividing-date-for-a-proposed-instruction-nec4-ecc/22026)

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**Author:** [@hatem-d](https://reachback.builtintelligence.com/u/hatem-d)\
**Replies:** 2\
**Last updated:** [2 January 2025 08:47 UTC](https://reachback.builtintelligence.com/t/dividing-date-for-a-proposed-instruction-nec4-ecc/22026 "2025-01-02T08:47:54Z")

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Hi, I am a contractor operating under Main Option C. On 1/11/2024, the Project Manager instructed us to submit a quotation for a proposed instruction, which is expected to be issued around 16/12/2024. I understand that …

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## [NEC4 Core Clause 63.4](https://reachback.builtintelligence.com/t/nec4-core-clause-63-4/22038)

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**Author:** [@acheung](https://reachback.builtintelligence.com/u/acheung)\
**Replies:** 1\
**Last updated:** [13 December 2024 18:51 UTC](https://reachback.builtintelligence.com/t/nec4-core-clause-63-4/22038 "2024-12-13T18:51:40Z")

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Refer to NEC4 Option C Core Clause 63.4, if PM issued a CE under 60.1(1) to change (reduce) to the Scope, will the Prices be reduced?

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## [NEC3 Option B - Contract Award Revoked](https://reachback.builtintelligence.com/t/nec3-option-b-contract-award-revoked/22032)

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**Author:** [@Rooze81](https://reachback.builtintelligence.com/u/Rooze81)\
**Replies:** 0\
**Last updated:** [6 December 2024 10:11 UTC](https://reachback.builtintelligence.com/t/nec3-option-b-contract-award-revoked/22032 "2024-12-06T10:11:10Z")

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Hi, Employer issued Contract Award and subsequently revoked 3 months later as lack of funding. No cost incurred by Contractor but reduction in programme of 8 weeks, i.e planned completion now 8 weeks left. Is the Contra…

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## [NEC4 PSC Option A - Delays / Omissions from Activity Schedule](https://reachback.builtintelligence.com/t/nec4-psc-option-a-delays-omissions-from-activity-schedule/22031)

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**Author:** [@nkelly](https://reachback.builtintelligence.com/u/nkelly)\
**Replies:** 0\
**Last updated:** [4 December 2024 16:49 UTC](https://reachback.builtintelligence.com/t/nec4-psc-option-a-delays-omissions-from-activity-schedule/22031 "2024-12-04T16:49:39Z")

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We’re currently engaged by a public sector client on a NEC4 PSC Option A contract. Shortly after the contract start date the scope was changed to which a CE was accepted increasing the project value by 30%. Due to fundi…

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## [Interpretation of Clause 63.1](https://reachback.builtintelligence.com/t/interpretation-of-clause-63-1/22001)

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**Author:** [@peter\_johnson](https://reachback.builtintelligence.com/u/peter_johnson)\
**Replies:** 1\
**Last updated:** [22 November 2024 16:26 UTC](https://reachback.builtintelligence.com/t/interpretation-of-clause-63-1/22001 "2024-11-22T16:26:00Z")

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The Scenario is as follows: The WI required us (the Contractor) to provide a series of resources to support a live environment during certain activities and to stand-down activities based on a set of parameters within t…

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## [NEC 4 option B - discrepancy between the BOQ and contract drawings](https://reachback.builtintelligence.com/t/nec-4-option-b-discrepancy-between-the-boq-and-contract-drawings/21969)

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**Author:** [@martinqs](https://reachback.builtintelligence.com/u/martinqs)\
**Replies:** 1\
**Last updated:** [17 October 2024 16:10 UTC](https://reachback.builtintelligence.com/t/nec-4-option-b-discrepancy-between-the-boq-and-contract-drawings/21969 "2024-10-17T16:10:27Z")

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Hi We are sub-contractor working under NEC 4 option B (with BOQ). An issue has arisen during drainage works were a civils drawing (issued at tender stage) shows all storm trenches lined with a membrane. However in the…

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## [CE occuring Delays](https://reachback.builtintelligence.com/t/ce-occuring-delays/21942)

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**Author:** [@Anonn](https://reachback.builtintelligence.com/u/Anonn)\
**Replies:** 3\
**Last updated:** [15 October 2024 19:58 UTC](https://reachback.builtintelligence.com/t/ce-occuring-delays/21942 "2024-10-15T19:58:50Z")

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We have incurred a weather delay during our works. This is an additional CE, based on specific weather events and is valid. However, it is currently being rejected due to the event happening during what the PM believes t…

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## [NEC 3, Option B, Clause 63.13](https://reachback.builtintelligence.com/t/nec-3-option-b-clause-63-13/21910)

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**Author:** [@WKYIP](https://reachback.builtintelligence.com/u/WKYIP)\
**Replies:** 2\
**Last updated:** [13 September 2024 10:49 UTC](https://reachback.builtintelligence.com/t/nec-3-option-b-clause-63-13/21910 "2024-09-13T10:49:27Z")

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We are the PM of a contrcution project. Under our contract, the right of the Contractor for compensation event of inclement weather (ECC Clause 60.1(13)) is amended. The Contractor is not entitled for changing the Prices…

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## [How do we secure fair compensation amidst main contractor delays and disputes under NEC3?](https://reachback.builtintelligence.com/t/how-do-we-secure-fair-compensation-amidst-main-contractor-delays-and-disputes-under-nec3/21878)

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**Author:** [@jamie](https://reachback.builtintelligence.com/u/jamie)\
**Replies:** 2\
**Last updated:** [29 August 2024 11:21 UTC](https://reachback.builtintelligence.com/t/how-do-we-secure-fair-compensation-amidst-main-contractor-delays-and-disputes-under-nec3/21878 "2024-08-29T11:21:11Z")

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How should we proceed with submitting and substantiating a legitimate claim for additional time and costs under NEC3, considering the challenges we’ve encountered with the main contractor, including their refusal to acce…

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## [NEC4 - CL 61.1 vs 61.3](https://reachback.builtintelligence.com/t/nec4-cl-61-1-vs-61-3/21854)

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**Author:** [@KD191](https://reachback.builtintelligence.com/u/KD191)\
**Replies:** 2\
**Last updated:** [15 August 2024 14:34 UTC](https://reachback.builtintelligence.com/t/nec4-cl-61-1-vs-61-3/21854 "2024-08-15T14:34:52Z")

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NEC4 Option A (amended to remove time bars for Client only) We (the Contractor) proposed our design to the Client and through a HAZOP study the Client suggested a change to the works to improve safety. The original desi…

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## [NEC4 Option C quotes](https://reachback.builtintelligence.com/t/nec4-option-c-quotes/21811)

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**Author:** [@SaintNEC](https://reachback.builtintelligence.com/u/SaintNEC)\
**Replies:** 3\
**Last updated:** [6 August 2024 16:16 UTC](https://reachback.builtintelligence.com/t/nec4-option-c-quotes/21811 "2024-08-06T16:16:34Z")

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NEC4 Option C. Our Contractor has provided quotes for sub-contractors as part of their CE quotation submission. These sub-contractor quotes were not competitively tendered or market tested, but single-source. The work…

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## [Contractors delays & its affect on Key Dates](https://reachback.builtintelligence.com/t/contractors-delays-its-affect-on-key-dates/21826)

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**Author:** [@kwj](https://reachback.builtintelligence.com/u/kwj)\
**Replies:** 3\
**Last updated:** [6 August 2024 16:03 UTC](https://reachback.builtintelligence.com/t/contractors-delays-its-affect-on-key-dates/21826 "2024-08-06T16:03:01Z")

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NEC4 ECC Option A with no Z clauses that affect Cl 3 (Time) or 6 (Compensation Events). I understand ‘concurrent delays’ is not a term under the NEC form of contract and delays should be assessed in the order that they …

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## [NEC4 why does a scope reduction not bring the Completion Date forward](https://reachback.builtintelligence.com/t/nec4-why-does-a-scope-reduction-not-bring-the-completion-date-forward/21840)

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**Author:** [@SaintNEC](https://reachback.builtintelligence.com/u/SaintNEC)\
**Replies:** 2\
**Last updated:** [6 August 2024 15:04 UTC](https://reachback.builtintelligence.com/t/nec4-why-does-a-scope-reduction-not-bring-the-completion-date-forward/21840 "2024-08-06T15:04:49Z")

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I am just trying to follow the logic to fully understand the process of reducing scope on an NEC4 Option C contract. Why does a scope reduction not bring the contract Completion Date forward? Surely this is a far more …

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## [Fee on CEs where the BoQ rates are used](https://reachback.builtintelligence.com/t/fee-on-ces-where-the-boq-rates-are-used/21796)

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**Author:** [@ChrisHemsworth](https://reachback.builtintelligence.com/u/ChrisHemsworth)\
**Replies:** 4\
**Last updated:** [23 July 2024 07:52 UTC](https://reachback.builtintelligence.com/t/fee-on-ces-where-the-boq-rates-are-used/21796 "2024-07-23T07:52:31Z")

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If both parties agreed to use BoQ rates for a CE can you still add the CE fee to them or is the fee deemed to have been included already as BoQ rates have been used?

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## [Project Manager gives additional time for Completion](https://reachback.builtintelligence.com/t/project-manager-gives-additional-time-for-completion/21813)

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**Author:** [@graeme.campbell](https://reachback.builtintelligence.com/u/graeme.campbell)\
**Replies:** 2\
**Last updated:** [21 July 2024 21:35 UTC](https://reachback.builtintelligence.com/t/project-manager-gives-additional-time-for-completion/21813 "2024-07-21T21:35:46Z")

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Following pre-contract discussions between the Client and Contractor, and after contract award, the PM has notified a CE giving the Contractor additional time to complete the contract (i.e. amended the duration stated in…

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## [NEC3 Option A - Recovery of People cost in circumstances where access is denied by the Employer](https://reachback.builtintelligence.com/t/nec3-option-a-recovery-of-people-cost-in-circumstances-where-access-is-denied-by-the-employer/21806)

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**Author:** [@alan1](https://reachback.builtintelligence.com/u/alan1)\
**Replies:** 4\
**Last updated:** [16 July 2024 12:34 UTC](https://reachback.builtintelligence.com/t/nec3-option-a-recovery-of-people-cost-in-circumstances-where-access-is-denied-by-the-employer/21806 "2024-07-16T12:34:41Z")

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I have a query in connection with the calculation of People cost under a NEC3 Option A Contract; Access has not been given to the Contractor by the Access Date; Accepted as being a CE; In relation to People cost…

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## [PM changes decision about accepting a CE](https://reachback.builtintelligence.com/t/pm-changes-decision-about-accepting-a-ce/21803)

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**Author:** [@simsai1](https://reachback.builtintelligence.com/u/simsai1)\
**Replies:** 1\
**Last updated:** [15 July 2024 08:47 UTC](https://reachback.builtintelligence.com/t/pm-changes-decision-about-accepting-a-ce/21803 "2024-07-15T08:47:25Z")

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Hi We have recently been told by the PM that he is rejecting a previously accepted CE we issued on the basis that he considers it was notified on time, a fact which he hadnt spotted at the time. We are a small company …

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## [NEC4 - Assessing CEQs](https://reachback.builtintelligence.com/t/nec4-assessing-ceqs/21772)

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**Author:** [@KD191](https://reachback.builtintelligence.com/u/KD191)\
**Replies:** 3\
**Last updated:** [1 July 2024 16:55 UTC](https://reachback.builtintelligence.com/t/nec4-assessing-ceqs/21772 "2024-07-01T16:55:46Z")

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Option A Subcontract which has been amended to remove time scales of accepting/assessing/implementing compensation events. Subcontractor has submitted a CEQ to provide Scope which involved hiring in a third party. The …

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