Please can you clarify what a Contractor would be paid for Implemented Compensation Events on a standard NEC3/4 Option C:
Example: Contractor is working on a Contract with a Target of £900,000. The Contractor submits a price for a CE of £80,000, the PM agrees to this and implements the CE. The Tagret value is now lifted to £980,000 and the activity schedule revised. The Contractor completes the CE work fo £50,000, however the activity schedule has been revised and has £80,000 against the new CE activity. Would the Contractor get paid only Defined Cost for the CE work (the £50,000) when the activity is complete ? (they only gets paid the true cist incurred). They then get a share of the pain/gain on the difference on the CE (£80,000 minus the £50,000 = The Contractor gets a percentage of the £30,000). Is this correct ?