NEC 4 Option C, Nominated Supplier with no cost / fee %

As a contractor reviewing The Scope. There is a nominated supplier within that states we have to develop our programme in conjunction with them although their works are minimal & not critical but could end up adding downtime to us. We have also to supply them clear working areas & traffic management, although we are not liable for any of their defects. The supplier has not to provide us with a cost for the works for us to add to the Activity Schedule, so we get no fee %. Is this correct?

1 Like

This is a test to check if working

1 Like

Hi J11,
Its hard to know what the relationship between you, the supplier and the Employer is without fully reviewing your scope, but few comments below which may assist;

  • if you are not making any allowance in your tender/contract for this supplier / won’t be making payment to the supplier, it seems like their contract will be with the Employer rather than them being a nominated subcontractor to you - they would be deemed Others under your contract and any risk of additional delays/costs etc. would sit with the Employer, per clause 60.1(05).
  • if the above is correct, it is important that you show sufficient detail on your programme re. works of Others to be able to demonstrate any CE/delay
  • you would need to make appropriate allowance within your tender/contract to cover scope requirements i.e. TM etc. and any risks that you bear i.e. anything that would not be covered by a CE.
  • you are also free to include a sum in your contract/tender to cover for Fee for this supplier, this would be at your discretion.