Webinar - NEC4 ECS Part 1/6: How the NEC4 Engineering and Construction Subcontract (ECS) is structured – the Options and documents

This topic is for all questions raised on our webinar "NEC4 ECS Part 1/6: How the NEC4 Engineering and Construction Subcontract (ECS) is structured – the Options and documents. "If you haven’t already attended it, you can sign up here https://www.builtintelligence.com/products/webinar-nec4-ecs-part-1-6-how-the-nec4-engineering-and-construction-subcontract-ecs-is-structured-the-options-and-documents?variant=39706341507133

What’s it about

This training session introduces you to the common philosophies of the NEC family of contracts and focuses in more detail on the key mechanics and provisions of the NEC4 Engineering and Construction Subcontract (ECS). This session will review the contract strategy options between the main ECS Options A-E as well as the choices of secondary Options that are available, all of which alter the risk profile and the payment mechanisms on a given subcontract. We will also take you through how to put together a subcontract agreement.

By completing this module delegates will have a much clearer understanding of the intent of the specific contractual clauses and in practical terms begin to see how they should administer them for the benefit of all parties on a particular project.

You will learn

By the end of this module you will:

  • Know the overall structure of the ECS.
  • Understand the main (A-E) Options and secondary (X1-X21) Options.
  • Know the functions of each of the ECS documents
    @Neil_Earnshaw

What about clever clients drowning the contract in Z-Clauses? How is this discouraged? @Neil_Earnshaw

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I wouldn’t call them particularly clever for doing this as we often see the causes of disputes being related to their clever Z clauses! What we see with the ECS is that the main contractor passes on the Z clauses that the client in their ECC has included and then often adds another layer of their own into the ECS which makes it a minefield for subcontractors. Subcontractors are in a unenviable position of usually being stuck with whatever Z clauses are there as they’ll be told that’s the subcontract, take it or leave it. Whilst many in industry condemn the use of Z clauses their use is rife. Buyer beware I say!

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H Neil. Is it correct under option A Price Contract with activity schedule you will only get paid for activities that are completed a 100% when doing an application for payment.

does the NEC4 not allow for part payment of activities?
what is the process when the fee % is 0%?

@Neil_Earnshaw