I would like to know how is the right approach concerning the following matter. We have an NEC3, Option A contract but the dispute resolution was amended according to NEC4 (first escalation: Senior Management).
We have to build a power plant but all existing (buried) structures, foundations, service-lines within the area for the new power plant shall be demolished/rerouted within a contractual option as per-works agreed on an open book basis because the as-build drawings are not reliable/complete. The option was commissioned by the Client.
Currently, we have a discussion with the employer about the rerouting of service-lines at a road crossing. We believe the necessary scope is not part of the main works but rather part of the pre-works. The Client has a different opinion. Both parties have some arguments, but this is not the problem at the moment.
At the first meeting concerning this topic both parties agreed that the cost for this works are a minor issue than the risk of not getting the required permits for the rerouting of the service lines on time. The Client asked us to continue and we shall collect the costs separately for a later commercial solution.
It seems that also the employer is not very familiar with the NEC procedures.
What are the next/correct steps according to NEC for both parties?
How we have to proceed to ensure not to lose our right for a later compensation because of formal errors or anything else?
- Should we (as contractor) send a Compensation Event notification to the Project Manager because of clause 61.3 (in our case 6 weeks) and 61.1 (xx) at first?
After that the PM will/has to reject the request and has to send a Project Manager instruction to continue with the works. How we have to answer on this rejection and the PMI?
- Should the PM send a Project Manager instruction at first to continue with the works and we have to answer according to clause 60.1 (1). After that the PM will/has to reject the request. How we have to answer on the rejection?