NEC 4 Main Option C

The Contractor has decided to utilise one of his QS resources on another project. We have no issues with this however given this person was a key person named in the contract and also allowed for within the target cost and detailed within the organisational structure when the target cost was agreed is it fair to expect that this would be a negative Compensation Event (correction to an assumption)?

No. This compensation event is for Project Managerā€™s assumptions which are stated wrt the nature of a compensation event, so there (a) has to have been a previous compensation event and (b) the Project Manager needs to ave stated an assumption about to allow for pricing.

If the organisational structure you mention was referenced in the Works Information/Scope, then there is an argument for saying that, howsoever the person is referenced, becomes a contractual obligation. So if he or she is as ā€˜[name], full-time QSā€™, then going part-time would be in breach of that term.

However, against this - and if the above is not the case - then clause 24.1 (both under NEC3 & NEC4 ECC) applies. This allows the Contractor to replace a person providing the replacement person is of equivalent experience and qualifications.

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