NEC ECC: If the Employer instructs a stop work Cl.33.1

NEC3 and NEC4 Contracts Compensation Events
1

If the Employer instructs a stop work under clause 33.1 with a view to restarting at a later date, is this a Compensation Event with costs attached?

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2

Not sure if you are referring to NEC3 PSC (which is clause 33.1) or NEC3 ECC (which is actually clause 34.1), please clarify.

3

Sorry, it’s NEC PSC

4

Under NEC3 PSC this would be a compensation event under 60.1 (4) provided that the instruction wasn’t required due to the fault of the Consultant. The Employer should notify the matter as a compensation event at the time that the instruction under clause 33.1 is given.

It is advisable with any such instruction that the Employer discusses the intention with the Consultant beforehand. This will ensure that the Services are stopped at a convenient point and that any necessary procedures can be implemented.

The Employer should also state an assumption about how long the Services are to be stopped for, which is used in the quotation assessment. Should the actual time period of suspension be different, then this would be a further compensation event under 60.1 (9).