NEC ECC: Can a compensation event be used for change in specification not identified in Works Information?

NEC3 and NEC4 Contracts Compensation Events
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A planning condition for an expansion asked for Cycle storage provision. The contract drawings do not show the specification of the provision, but pre-contract during tender, the employer requested for 24 covered stands and the contractor included £5800 for this within the contract sum in the activity schedule (Option A).

During contract and before installation, the Employer chose to down grade the provision to a much smaller scooter pod which received planning consent to vary. The Contractor provided this instead. The cost of the scooter pod versus the 24 cycle shelter was a lot less. Is it therefore possible by compensation event to seek a cost saving to this item?

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You will need to check how the storage provision was incorporated in to the contract. If it was a tender amendment that is referenced in the Form of Agreement and which refers to the Specification then it should be considered as part of the Works Information.

Changing the requirement would then be a change in the Works Information and a compensation event the assessment of which should reflect the cost saving (actual Defined Cost saving).