Under NEC4 would CE number would we use for notifying the client of time and cost implications relating to Coronavirus?
If you have X2, Changes in the law in your contract, I would notify under that as (to quote my colleague Andrew W-I: "In response to the COVID-19 outbreak, the United Kingdom Parliament enacted a Statutory Instrument; The Health Protection (Coronavirus) Regulations 2020.
These Regulations came into force at 06:50 am on 10 February 2020 and provide for the imposition of restrictions and requirements, as directed or instructed by the Secretary of State, or a named role which includes a ‘registered public health consultant’, who is a registered medical official engaged by Public Health England.
The Regulations also provide details on screening requirements and the detention or isolation of persons suspected to be infected with the virus."
If you do not have this, then at at a minimum I would notify an early warning first.
The Employer (NEC3)/ Client (NEC4) may instruct the Contractor to stop or not to start any work which would be a compensation event under 60.1 (4).
Failing that, at some point, it may become a compensation event under 60.1(19) but we are not at that point yet.
If the Employer has deleted Cl 60.1(19) and substituted with a Clause specifically relating to a Force Majeure Event, quote
“any FME which is not a CE under any other provision of the contract, provided that there shall be no change to the Prices on account of the consequences of any such FME unless the PM’s instructions under Cl 19 changes the WI”,
would this be of relevance should the Employer instruct the Contractor to stop or not start works under 60.1(4) i.e. would the Contractor be entitled to Defined Cost?
The Employer cannot instruct the Contractor to stop or not to stop any work, but the PM can. In which case, it would be a compensation event entitling the Contractor to time and cost providing the reason for the instruction was not due to the fault of the Contractor.
Hi we are debate this point with the unamended prevention clauses at the webinar below. i am not sure its as clear cut as Jon has suggested (with an unamended contract) if the PM instructs under clause 19 and the right on what he instruction is very wide and could point directly to 60.1(19).