I am currently working on an NEC Short Contract with a price list, the PM has omitted works from the contract. In the subsequent CE the contractor has noted the omissions, but also included a line for loss of profit and plant and materials costs.
Should this be considered as “Only a change in quantities” or assessed on a defined cost basis as this is an omission.
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If the CE reduces quantities stated in the Price List then it is assessed using the rates in the Price List. If the CE affects Prices in the Price List (not quantities of work shown in the Price List) then Defined Cost + OH&P % is used.
The Contractor has no right to recover loss of profit. Also they will only recover Plant and Materials costs if they had been purchased for the contract and cannot be returned to the supplier for a refund (implied from clause 63.7).
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