NEC3 SC Responding to a number of NCEs


If the supplier, under a NEC supply contract, submits a number of notified compensation events, one after the other via email, is the Supply Manager required to respond to each notification separately or can he/she list each NCE in a table (eg on excel) and provide his/her response against each NCE within that table and issue this to the Supplier as a way of responding to all the issues NCEs? Is this sufficient under the supply contract?

It’s best to respond to each notification seperately as conflating your correspondance could lead to potential confusion if something starts to go awry later down the line.

Unfortunately no commercial tool is being used, although I am a fan of CEMAR (yet to use FastDraft).

In the end an excel document was created, which listed each NCE and against each, a detail reason was provided behind the decision of the Supply Manager, referring to one of 4 tests under cl 61.4 where the NCE had been deemed to have no impact on price or time.

However to further cement the position, the following week each NCE was responded to individually, by the Supply Manager, detailing the same reasons as those within the CE register but at least this would eliminate any confusion (not that there should be any) as to the status of each NCE.

The supplier is far from happy and now threatened adjudication - watch this space!

Thank you for your response nevertheless.

Hi Himmet Clause 13.7 requires both the Supply Manager and Supplier to notify communications separately. If you don’t do this you risk undermining your rights under the contract and that of the Purchaser. You can circulate the table/register as a summary but you need to communicate each of the decision individually. This is a common mistake amongst NEC users. Minutes of meetings is another example that falls foul of clause 13.7. It the same clause in both NEC3 and NEC4.

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