NEC4 - Retention Alternatives

NEC3 and NEC4 Contracts
1

I’ve recently moved jobs where the company is using the NEC4 ECC Option C and E contracts for there framework. Surprisingly they don’t have retention on any work that is undertaken by the Contractor on there framework. I’ve heard there has been situations where the works have been paid by the QS, although works such as post completion surveys haven’t been undertaken, and the PM struggles to get the Contractor back to compete these works.

Is withholding a sum of money for such surveys the only way to get around this on the final valuation? Or is there anything in the contract to to force the Contractor back to undertake the works like post completion surveys even if the final valuation has been paid?

2

An evergreen problem.

Firstly, I don’t understand how, on an Option C or an Option E, you could ‘withhold’. Given how these Contracts work, the PM shouldn’t certify anything that isn’t either done, or forecast to be done before the next assessment, so a question of withholding shouldn’t arise.

Turning to the problem of getting your Contractor back, it sounds to me as if there is a good chance that a Defect exists, although that will hinge on what your Scope says - you’ll need to be able to point out the element of scope that is not being complied with. Your Contractor will be obligated to correct Defects, and you have rights to costs if they fail.

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