NEC Assignment 2 The NEC Engineering and Construction Contract (ECC) developed by the Institution of Civil Engineers is a guideline for creating documents in the engineering and construction industry related to tenders, awarding and conducting contracts. It comprises of some standard contracts, based on these principles: encouraging co-operation between parties to the contract, suitability for various commercial projects (Eggleston, 2006)…
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The ECS contract is parallel to ECC in detail and complications of contractual demands; however, the names of the parties to the contract and timescales for completion are changed to meet the deadlines under the ECC contract (GMH Planning, 2012). Clause 11.2(17) lays down the criteria for a subcontractor. Firstly, someone involved in construction or installation of part of the work which indicates that a contractor can’t sublet an entire project to another individual or organization. Secondly, it can be someone who provides a service necessary to provide the works, this shows that services of others can be utilized and no limitation is placed on only subletting a part of the project. The third category describes individuals and organizations that would not be considered as sub-contractors. They enter into a contract regarding the provision of plant and material which they partly or completely designed for a specific project. The imperative point to remember is that the burden of responsibility of the contactor towards the employer is not shifted to a subcontractor (Eggleston, 2006). ...
NEC3 provides that the construction or installation of part of the work can be sublet to a sub-contractor and offers two options. The first option if NEC3 Engineering and Construction Subcontract (ECS) with slight changes in the timescales and names of the parties involved in the project. Clause 62.3 makes changes in the time period for submission of and response to quotations and clause 51 makes change in the time period of payment. The payment period in Secondary Option Y (UK) 2 of ECS is similar to ECC type of the similar secondary option ensuing in same payment time limits. Main contractors can amend these periods by using the provisions of Subcontract Data Part One (Patterson, 2007). The second option under NEC3 is the Engineering and Construction Short Subcontract (ECSS) used for projects which don’t involve complex management techniques, consist of uncomplicated work and entail low risks. It prohibits delegating design responsibility to the subcontractor, simplifies work by adhering to Works information but it doesn’t simplify processes concerning compensation events. It is obligatory for the subcontractor to report compensation events within seven days of becoming knowledgeable of such an event and will have similar liabilities as a Contractor does under the ECC in case of failure to give notification. However, ECSS does not include deemed acceptance procedure for not replying unlike ECS. Therefore, we can conclude that the burden of compensation event procedures lies with the Subcontractor under ECSS. In this instance, the subcontractor did not adhere to the precise requirements provided in the Works Information concerning installation of a complimentary
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