Under Option A with various Z clauses what are disallowed costs?
A very good question. A few Employers seem to do the same thing and my question is exactly the same as yours!
The simple answer is there is no such thing under option A and you only have disallowed costs included in the contract for option C onwards. You have to look carefully amongst your other Z clauses as to if there are any other rule changes that state how/when these can be used. Given that most CE’s should always be a forecast, there is nothing to assess in terms of actual cost and therefore no need to ever have to disallow any cost!
The fact that the Employer has them would suggest that they think they can apply them in a certain situation. I would have asked this question at tender stage so at least you can get their understanding - which you can then decide what to do with.