On our site we have come across obstructions in the ground that we could not have foreseen based on the information given to us originally. We raised an NCE to which we have had no response. My understanding is the PM needs to respond within 1 week with whether he deems it a compensation event or not. As we have not received a response, does this automatically make it accepted as a CE and should we then submit a quote as if it has been accepted as a CE?
You are correct in that the PM has 1 week to respond to a CE notification (61.4) although it is not ‘deemed to be accepted’ until after the ‘reminder’ procedure (61.4) has been completed. This requires the Contractor to ‘remind’ the PM that they have not responded to the initial notification, with the ‘deemed acceptance’ only applying where the PM does not reply within a period of 2 weeks from the date of your ‘reminder’ notification. The ‘deemed acceptance’ is treated as an instruction to submit quotation(s), which are to be submitted within 3 weeks from the date the CE is ‘deemed to be accepted’ (2 weeks following your ‘reminder’ notification).
Thanks Andrew. This clears things up.