NEC4 and PPC2000: Alliance contract options and legal principles 28 8 Cons.Law 18 [Archived]
NEC4 and PPC2000: Alliance contract options and legal principles 28 8 Cons.Law 18 [Archived]

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

  • NEC4 and PPC2000: Alliance contract options and legal principles 28 8 Cons.Law 18 [Archived]
  • Key points
  • Differences in the new NEC4 Alliance Contract
  • Conclusion

ARCHIVED: This Practice Note has been archived and is not maintained.

This article appears as originally published in Construction Law on 1 October 2017 and is not maintained.

Professor David Mosey and Jessica Twombley of King's College London Centre of Construction Law and Dispute Resolution take a critical look at the NEC4 draft project alliance contract. They advise clarification in places to avoid disputes arising from differing interpretations.

Key points

  1. NEC4 have issued a draft project alliance contract for consultation

  2. What are the changes from the project alliance model pioneered by PPC2000?

  3. NEC4 does not place the same emphasis on early contractor involvement

  4. NEC4 takes a bold approach in limiting alliance members' liability to wilful default

  5. Clarification is needed to avoid disputes arising from different interpretations

Clients and teams considering multi-party project alliances will soon have two options to choose from:

  1. The 'PPC2000 Project Partnering Contract' published by the Association of Consultant Architects and now in use for over 17 years.

  2. The new 'NEC4 Alliance Contract' of which a draft is currently out for consultation.

As a university research team committed to the alliance approach, we hope the NEC consultation will focus new attention on the full potential for this type of contract.

Alliances provide new opportunities to improve the economic and social value delivered through construction, engineering and asset management. Making