02/09/24
Newsletter #22: This article is brought to you by Instruct, a knowledge hub centred around NEC, distributing a weekly newsletter and have an in-house AI knowledge system tailored to NEC4 contracts and specifically NEC4 ECC. Check out their website and LinkedIn page for more information, keep updated, and subscribe to their Newsletter or AI knowledge system.
Instruct Newsletter #22 - NEC - Contractor Actions: First 30 Days
Welcome to the Instruct newsletter. More passion for NEC than the 90’s had for ‘Friends’.
Previously we discussed the Project Manager’s responsibilities in the first 30 days, today we discuss the Contractors.
If you are a Contractor, focus on these to successfully kick off your contracts, there is much more devil in the detail!:
Sections 1 - 9 Follow the structure of the contract, as follows:
Basics (these apply to everyone)
Review the contract, identify which core, main option, and secondary option clauses are included
Maintain a structured folder with all contract documents, Scope, Site Information included
Set up trackers and forms when needed (Subject to Clause 13.2 requirements)
Distribute a list of requirements to everyone working on the contract
1 General
Check and understand requirements for Completion in the Scope. Track this throughout the contract. (11.2(2))
Identify if a communication system needs to be used, and use it (13.2)
Appoint delegates to cover periods of sickness or leave (14.2)
Attend early warning meetings as required by the contract and Project Manager (15.3)
Ensure the working area is relevant for the Scope (assuming it has changed since the contract date. Submit a proposal to add to the Working Areas if needed (16.3)
2 The Contractor’s Main Responsibilities
Begin to design the parts of the works which the Scope states (21.1) and submit them for acceptance (21.2)
Submit designs for Equipment if required (23.1)
Provide each person identified in the Contract Data as a key person (24.1)
Co-operate with Others (25.1), plan this into the programme submissions with specific dates
Prepare a procurement plan and submit Subcontractor’s early for acceptance to avoid delay in appointment (26.2)
3 Time
Check if a programme was included in the Contract Data, if not, submit a first programme for acceptance (31.1)
Submit revised programmes, as a minimum, when the contract requires, showing progress and plans (32.1/32.2)
4 Quality Management
Submit a quality policy statement and a quality plan for acceptance within the period stated (40.2)
Provide materials, facilities and samples for tests and inspections (41.2)
Notify the Supervisor of tests and inspections (41.3)
Notify the Supervisor if you find Defects (44.2)
Correct Defects as required in the contract (44.1)
5 Payment
Submit an application for payment to the Project Manager before the assessment date (50.3)
6 Compensation Events
Notify the Project Manager of compensation events (61.3)
Submit compensation event quotations (62.3)
7 Title
Remove Equipment from the Site when it is no longer needed (72.1)
8 Liabilities and Insurance
Ensure everyone knows the Contractor’s liabilities (81)
Provide the insurance stated in the Insurance Table (83.2)
X Clauses
If X4 included - Provide a guarantee within 4 weeks of the Contract Date (not starting date!) (X4.1)
If X8 included - Give undertakings to Others as stated in the Contract Date (X8.1)
If X10 included - Provide the Information Execution Plan within the period stated in the Contract Data. (X10.4)
If X13 is included - provide the Client with a performance bond (X13.1)
If X22 is included - provide detailed forecasts of the total Defined Cot (X22.2(1))
Don’t forget to read the contract and check for additional requirements included in Z clauses. Has the Client added extra requirements, are you aware?
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To understand more about how to prepare and manage an NEC contract, the following guidance documents are available.
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