We completed an NEC4 Option C contract over a year ago with X22 involved. Following Phase 1 we could not agree a price for Stage 2 and as such the notices were served and prices amended to match our PWDD and the contract ended. The Client is now wanting to do a full audit of our defined costs. I am new to X22 and appreciate the usual timeframes of 13 weeks following termination do not apply as it was terminated. We don’t have huge resources and people have moved on or left the business since the contract ended. Is notice to not move to Stage 2 effectively the end and the contract completed?
I have assumed that the contract was terminated under the provision of X11. If the contract was terminated, the Project Manager was required to assess the final account within 13 weeks. If it failed to do so you can give the Client your assessment. If the Client does not agree with your assessment, which would include providing records of Defined Cost, then they are entitled to request the records.
I suggest you have a discussion with the Client because if you cant reach an agreement then the matter may become a dispute and involve both Parties in additional costs.
Dave no. It was at the end of X22 phase 1 and a price could not be agreed for phase 2 so notice was given that the prices totalled the PWDD of our last application and the scope was removed. I believe this isn’t technically termination it is just descope and an end to the contract. My issue is no audit done throughout the 3 years of Phase 1 until the end when we have all moved on and don’t have the time to do a huge audit at the end.
Hi thanks for clarifying- suggest you advise the Client that your understanding is there was an agreement not to proceed and that the final account was agreed at £X. If you have been paid everything then the Client will need to decide if they want to do anything