NEC ECC: Can contractor claim for loss of profit under Option B, if so, what's the procedure?

The priced contract value is turning out to be 50% more than the actual value. Quantities were overstated and the Contractor mobilised based on false quantities.

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In response to your headline question, the answer is ‘No’.

However, under clause 60.4 of option B, you can have a compensation event for reduced quantities.

While on the face of it you get paid less, in terms of rate x ORIGINAL quantities for those items over the 0.5% threshold, you get a re-rate to reflect the reduction in quantities. That ‘re-rate’ would be more than the original rate to reflect the under-recovery of overheads under the original rate.

Having said all of this, it’s not that simple as the re-rate has to take the form of a lump sum - presumably a deduction compared with a original quantity x original rate - in accordance with the last bullet point of option B clause 63.13.