NEC ECC: Can the PM refuse to place an indices into CD1 after the contract has been signed?

We are working on an ECC Option C which is drawn off from a framework. X1 is chosen but no indices was placed into CD1. There is only a reference to the frame work which does not mention any indices or inflation calculation processes. the framework only references the auditing protocol which allows for any under or over recovery to be rectified.

The PM is reluctant to agree to the Contractors proposals of indices, as he believes the auditing protocol in the framework is how it should be dealt with and that the Contractor had agreed to this when they signed the contract.

So the question is does the PM have the right to do this?

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The PM does not have the right to do anything about this - you’re talking about an amendment to the contract between yourselves and the Employer which has to comply with clause 12.3 i.e. be agreed, confirmed in writing and signed by the Employer and the Contractor. So your quibble isn’t with the PM at all.

Presumably when you priced the project under the framework it was on the basis that X1 applied and you can demonstrate that your Prices do not include any element of risk for inflation? If so then you have a good case to claim mistake, especially given that X1 was stated in CD pt 1. You just need to agree with the Employer which indices are appropriate to use.