The NEC Form of Contract - 6 Essential Modules

Introduction

The NEC standard form of contract has been used by industry for 30 years, but it still contains surprises for the unwary user. Its ‘pick and mix’ style allows it to be used across the full range of projects from the small everyday ones to the biggest, most complex ones. And, with increasing numbers of framework contracts coming to an end, users need to contemplate moving from NEC3 to NEC4 and prepare to use NEC4 for all new contracts going forwards.

This webinar series reflects on the latest market practice and lessons from case law. You will learn all the key points about preparing and using NEC contracts and be able to apply them into your new contracts and projects.

Suitable for all those in procurement, contract management, project management, costs management, site management, risk management and law.

What You Will Learn

This modular webinar will cover the following:

Module 1: Introducing NEC

• What is the NEC’s philosophy, structure and what’s in the ‘family’ of contracts? Costain v Tarmac
• How NEC aligns to contracts requiring certainty over time, cost and quality: Van Oord v Dragados
• The role of the Project Manager and the Supervisor

Module 2: Delivery and Risk

• How NEC manages risk during delivery phase: RWE Npower v Bentley
• Foresight: how to use the early warnings process
• Change control: compensation events and the process to extra time and money: ICI v Merit Merrell

Module 3: Cost Management

• Payment mechanism vs. payment procedure: the differences
• Compare and contrast the Main Options (payment mechanism)
• How to apply for, and assess (certify) money ‘due’: Universal Piling v VG Clements

Module 4: Quality Management

• The importance of the scope and what to include in it
• The option to include design, and professional indemnity liability
• How NEC manages quality assurance
• Procedure for completion and how to address and rectify defects

Module 5: Time Management

• Why is time central to NEC? How does time hold the NEC contract together?
• The concept of the accepted programme, and what each party should do
• Managing and measuring progress; tools, techniques and technology

Module 6: Dispute Avoidance and Resolution

• How NEC disputes arise: warning signs and what to do about them
• Dispute avoidance techniques and using NEC’s contract tools to support early closure
• Formal options for determination and resolution of NEC disputes: Transport for Greater Manchester v Kier Construction; Fraserburgh Harbour v McLaughlin & Harvey

This webinar was recorded on 14th March 2023