Programme acceptance where no PM response

Hi, With regards to NEC4 and a submitted programme not being reviewed or accepted by the PM and then the contractor issuing a notice and this being taken as accepted after 2 weeks if I’m correct?

Is this purely for Cl32 submissions and not relevant to CL62 programmes as part of CE review/implementation and change to Completion date?

For a programme to be treated as accepted, and in accordance with Cl31.3, the following has to happen:

  1. Contractor submits programme for acceptance
  2. Project Manager fails to reply within 2 weeks (note, this is itself a CE under 60.1(6))
  3. Contractor notifies the failure
  4. 1 week passes after the notification

The timescale, from initial submission, is therefore: 2 weeks for the initial reply + however long it takes the Contractor to notify the failure + 1 week.

This is not relevant to Cl 62 programmes because they never become the Accepted Programme. They are just a vehicle for assessing the compensation event.

There is, however, a comparable provision to ‘force’ a compensation event. This is at 61.4, 62.6 or 64.4 as appropriate. The period after notification there is 2 weeks, which is likely where you got that from.

Thanks Andy. So with regards to the planned completion being delayed by the CE and shown in Cl62 in the quotation. If this accepted following the above would the time impact as shown by a delay to planned completion automatically move the completion date in line with this or as i think i’ve read elsewhere only the PM can change the Contract Completion Date?

Both.

Delays due to compensation events are measured as the impact of the compensation event on planned Completion as shown in the Accepted Programme current at the dividing date - cl 63.5.

I think you may be getting tangled between the PM accepting a quotation (in which case the Completion Date would move by the amount shown in the Contractor’s quotation; i.e. PM changes the Completion Date), and a quotation which is treated as accepted.

In practice, there is no difference. If the Contractor has completed the process in 62.6 or 64.4 and the PM still has not replied then the quote is treated as accepted, so in the eyes of the Contract the PM has changed the Completion Date. They can’t then decide they don’t like that; too late.

Thanks Andy, yes you figured out what I was after sorry. Was wondering if there would be a difference between the cost quoted in the CE being seen as accepted or also the time.

In terms of extension of time and the cost for this would this have already been included in the CE cost that showed planned completion moving out and accepted or submitted separately once deemed accepted due to the time frames?

I think you are asking whether - effectively - you can modify your quotation when you use the process to get something treated as accepted (a.k.a Deemed Acceptance)

No you can’t. You are using a process to get your original quotation accepted.

However, there is another new compensation event here, which is under 60.1(6) - Project Manager does not reply.

You do have entitlement here, so if you want to notify that CE, and provided its not yet subject to the time-bar, go ahead. I do also think you should consider whether you want to go there or not. Your PM is not likely to receive that one well.