A Compensation event occurred form an access date & a programme had been submitted to the PM for acceptance. Acceptance of the programme took almost a month due to compliance with the relevant provisions of clause 31.2/32.1. How then do we proceed in assessing the CE?
Here is an area of the contract that NEC3 contracts don’t prescribe too well what should happen. Contract is clear you use the last Accepted Programme to assess compensation events, but what is less clear is if you can/should take into account other things that have happened since the last Accepted Programme. There are clauses that intimate this but for me not clearly enough. Unpicking the clauses, you should take into account progress and other compensation events that you know about before the relevant compensation event was instructed/notified. To put more simply:
- take last Accepted Programme
- update with actual progress and other compensation events that have occurred prior to this new compensation event being instructed/notified
- reschedule to see what effect (if any )that had on planned Completion
- then feed in compensation event and see what further effect (if any) that has on planned Completion. Any movement at this point (i.e. between steps 3 and 4) is the entitlement in moving Completion Date
Here is link to a relevant article which will explain in more detail: