NEC contracts—key considerations

The following Construction practice note provides comprehensive and up to date legal information covering:

  • NEC contracts—key considerations
  • Project management
  • Priority of documents
  • Design obligation
  • Standards of workmanship and statutory requirements
  • Limitation of liability
  • Key Dates
  • Early warning
  • Project risks
  • Assignment
  • More...

NEC contracts—key considerations

This Practice Note identifies key considerations within the NEC3 and NEC4 contracts, looks at how the NEC suite differs from other standard forms and considers how users can address issues which may be of concern to the employer or contractor. It focuses on the provisions of the NEC4/NEC3 Engineering and Construction Contract (ECC), but similar provisions are found across the suite. This Practice Note covers both the NEC3 and NEC4 editions of the ECC. For consistency, the term ‘Client’ is used throughout this Practice Note as this is the term used for the developer/employer in the NEC4 ECC (the NEC3 ECC uses the term ‘Employer’). The term ‘Scope’ is used throughout this Practice Note as per the NEC4 ECC to describe the document that specifies and describes the works which the Contractor is to carry out (in the NEC3 ECC the term ‘Works Information’ is used). For a glossary of NEC terms, see Practice Note: NEC contracts—glossary. Where no distinction is made between clause numbers, the clause numbers throughout this Practice Note refer to both the NEC3 and NEC4 versions of the ECC.

Project management

The NEC contracts require active and detailed project management. Careful consideration must therefore be given to the position of the Project Manager. The party identified in this role must be sufficiently familiar with both the philosophy underpinning the drafting

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