NEC4 Option A - Float and Compensation Events

NEC3 and NEC4 Contracts
1

I am looking for a little help in terms of float under an NEC4 Option A contract.

Am I correct in thinking that between the start of the programme and the end of the final activity there is ‘float’ and that is available to both the Contractor and Client for CE’s. Basically whoever gets there first.

Then there is ‘Terminal Float’ which is the time between the end of the last activity and the Completion Date. This is for the Contractor only and is useful for them to use should they delay any of their own works.

So if there was an instruction by the Client for the Contractor to add some scope which took a week to complete, this would eat up the float within the programme and there would be no prelim costs associated with the CE or movement of planned completion? However, if it meant the new scope was on the critical path, then the Contractor would revise the Completion Date by 1 week and include 1 week prelim costs?

Thanks you for any help.

2

That’s a good summary.

All I would add is that this is all determined by reference to the last Accepted Programme. This is why having an up to date programme is important - that float within the programme (I’d call it free float) may actually have been consumed, but you have to behave as if it were still available. This can be upsetting.