NEC Term Service Contract
NEC Term Service Contract

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

  • NEC Term Service Contract
  • What is the NEC Term Service Contract?
  • Format of the NEC Term Service Contract
  • Notable provisions of the NEC Term Service Contract
  • Service Information/Scope
  • Early warning
  • The Contractor's plan
  • Defects
  • Payment
  • Compensation events
  • More...

NEC Term Service Contract

What is the NEC Term Service Contract?

The NEC Term Service Contract, or TSC, is part of the NEC3 and NEC4 suites of contracts (see Practice Note: NEC contracts—introduction). The NEC Term Service Contract is designed to engage a contractor for a set period of time, to manage and provide a service—this might include construction works, but can be used for the provision of other services. The NEC Guidance Notes give examples of its use including maintenance of highways in a particular area, providing security personnel for a site, maintaining a nuclear power station, and providing ambulance services to a group of hospitals—in other words, both ‘hard’ and ‘soft’ facilities management services (see Practice Note: What is Facilities Management Contracting?). Like the other NEC forms, it can be used in the public and private sectors and could be used for services of any value.

The NEC Term Service Contract is not intended to act like the NEC3/NEC4 Framework Contract under which there is no guarantee of work. Rather, the Contractor will carry out work continuously as stated in the contract without the need for a separate order from the Client, and/or it will carry out works instructed on a task by task basis. Other standard forms that work on a similar basis include the JCT Measured Term Contract 2011/2016 and the ICC Infrastructure

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