Level 1 Flashcards
What does NEC stand for in NEC contracts?
New Engineering Contract
What are the differences between NEC and JCT?
NEC promote collaboration
Project manager administers the contract and to facilitate communication.
NEC provides early warning of potential issues.
NEC have compensation events - affect cost and time triggering change in the contract.
Includes a schedule of prices breaking down the cost
What are the FIDIC forms of contract and when are they used?
The International Federation of Consulting Engineers - it is French translation. International projects
What are the relevant events?
Variations
Instructions
Deferment of possession
Suspension by the contractor for non payment
Prevention or default by the employer
The carrying out of work by statutory authorities
Exceptionally adverse weather
Loss or damage occasioned by specified perils (fire flood)
strike or lock out
terrorism
What would you do if a contractor goes insolvent
Inform client / funders
Inform insurances
Secure the site
Ensure all information is recorded up to date
Provide a notice of termination in the JCT contract
Refer to JCT contract section 8
What is a retention bond?
Taken out paid by the contract prior to works starting on site based on a percentage of the contract sum instead of using retention at each interim payments. Improves contractors cashflow. Employer holds the retention.
