NEC ECC: Project Manager making their own assessment

NEC3 and NEC4 Contracts Compensation Events
1

So as the Contractor, the PM instructed some changes to a lift design which we installed recently. The changes lead to an increased price and caused slight delay. We of course notified a compensation event at the time and this was accepted by the PM who instructed us to submit quotations. Revised programme was accepted by the PM that showed immediate start on the works which we thought would best mitigate any delay, however confusion around the situation meant works started some 3 weeks later than planned.

The PM has now notified that the quotation did not correctly assess the compensation event, would you be able to advise what assumptions he might base his own assessment on given that works didn’t start when planned?

2

It really depends on who caused the delay: if it was on the Employer/Client side, it might be another compensation event. Also, look at the criteria in clause 63 for assessing compensation events.

3

Hi Jon, we would concede is was probably our own fault works did not start on time. There was a mix up and we did not think they had accepted the design until later than initially planned in the programme.