NEC3 TSC - Option A - use of People rates

Under the NEC3 TSC Option A, can you use a schedule of People rates as an activity schedule and just pay hours times the rates? Client is suggesting you can but I say no as they are not defined activities.

@Neil_Earnshaw any thoughts on the above?

Option A in NEC3 TSC and NEC4 TSC do not use an Activity Schedule, instead they use a Price List and yes the Price List can be rates or lump sums or a combination of both. I’d suggest in a preamble to the Price List you state clearly what time you’re paying for e.g. do the rates include travel to / from the Affected Property and are they inclusive of other costs such as a vehicle, tools, PPE etc.

You also need to bear in mind that the Price List is used to assess the Price for Services Provided to Date but not necessarily compensation events. Again you may need to clarify this in the Price List and experience tells me that you’ll need some Z clauses to make it work exactly as you want.

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