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MS2JV-NEC3 Subcontract Management (General (- 11.2 Defined Terms Meaning…
MS2JV-NEC3 Subcontract Management
General
10.1 Actions
Reminder that both Parties have the obligation to administer the contract
- 11.2 Defined Terms
Meaning of Key contract terms used in the Subcontract
Option A Subcontract
11.2(22) - Use of shorter schedule of cost components and cost of preparing quote is excluded from cost of CE
11.2(27) - Price of work done to date is completed items on the activity schedule
Option B Subcontract
11.2(22) - Use of shorter schedule of cost components and cost of preparing quiote is excluded from cost of CE
11.2(28) - PWDD is completed quants at bill rates and proportion of any lump sums
- 13 Communications
13.1 - Everything has to be in the form that can be read/copied/recorded
13.3 - Responses within period for reply or as per contract
13.5 - May ask for an extension for a period of reply (agree before due)
13.7 - Any Notification has to be separate from any other communication
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14 The Contractor
14.1 - Contractor acceptance does not transfer liability away from subcontractor
14.2 - Contractor must formally delegate actions under (13.7)
14.3 - Contractor can issue instructions to change the WI
- 15 Working Area
Subcontractor can propose an area added to Working area
- 16 Early Warning
16.1 - Reasons for which an early warning should be raised
16.2 - Instruct the other party to attend a risk-reduction meeting
16.3 - Actions expected by parties in risk reduction meeting
16.4 - Updating of the risk register
17 Ambiguities
17.1 - Raising and resolve of an Ambiguity
17.2 Subcontractor entitlement following resolution of an ambiguity
Testing & Defects
- 40 - Test & Inspections
40.1 - Requirement to carry out test and inspections as per works information
40.3 - Requirement to notify contractor prior to tests being carried out
40.5 - Requirement for contractor to carry out test/inpection
- 41 - Before delivery
41.1 - Requirement to carry out tests prior to delivery where required
- 42 - Search/Notify
42.1 - Contractor can instruct Subcontractor to search for a defect.
42.2 - Requirement for subcontractor/contractor to make each other aware of defects
- 43 - Correcting defects
43.2 - requirement to correct defect within correction period.
43.3 - Contractor to issue defects certificate at end of defects date
- 44 - Accepting defects
44.1 - can propose a defect to be not corrected and WI changed accordingly
- 45 - Uncorrected defects
45.1 - Contractor can rectify a defect and charge a Subcontractor if not carried out
Compensation Events (see seperate map for CE guidance)
- Time & Cost 62.2 & 63.1
60.1(1)
- The contractor gives an instruction changing the subcontract works information
60.1(8)
- The contractor changes a decision which he has previously communicated to the subcontractor
60.1(9)
- The contractor withholds an acceptance (other than acceptance of a quotation for acceleration or for not correcting a defect) for a reason not stated in this subcontract.
60.1(10)
- The contractor instructs the subcontractor to search for defect and no defect is found unless the search is needed only because the subcontractor gave insufficient notice of doing work obstructing a required test or inspection.
60.1(14)
- An event which is (an employers) or contractors risk as stated in this subcontract
60.1(17)
The contractor notifies a correction to an assumption which he has stated about a compensation event
60.1(18)
- A breach of subcontract by the contractor which is not one of the other compensation events in this subcontract
- Further CE`s
Option B 60.4, 60.5, 60.6 BQ quants
X2 Changes in Law
X12 Partner Info
X14 Delay in advanced payment
X15.1 Correcting a defect
Option Y(UK)2 Suspension of performance Y2.4
Contractors Risk 80.1 & 60.1(14)
- Time Only 62.2 & 63.1
60.1(2)
- The Contractor does not allow access to and use of a part of the site by the later of the access dates and the date shown on the accepted programme.
60.1(3)
- The contractor does not provide something which he is to provide by the date for providing it is on the accepted programme.
60.1(4)
- The contractor gives an instruction to stop or not to start and work or to change a key date.
60.1(5)
- The contractor and others
do not work within the times shown on the accepted programme.
do not work within the conditions stated in the subcontract work information
carry out work on the site that is not stated in the subcontract work information
60.1(6)
- The contractor does not reply to a communication from the subcontractor within the period required by this subcontract.
60.1(11)
- A test or inspection done by the contractor or the supervisor causes unnecessary delay
60.1(16)
- The contractor (or Employer) does not provide materials facilities and samples for tests and inspections as stated in the subcontract works information
- Omitted CE
60.1(7) - NOT USED
60.1(12) - NOT USED
60.1(13) - NOT USED
60.1(15) - NOT USED
60.1(19) - NOT USED
Historic Interest, Physical conditions, weather, Takeover before completion, events preventing completion - Removed from subcontract conditions (back to back with main contract conditions)
Omitted Clauses
60.2 - Physical Conditions
60.3 - Ambibuity in site info in relation to physical conditions
- Option A Subcontract
63.10 - Prices (contract sum) can be reduced with a compensation event
63.12 - Activity schedule to be updated in line with CE`s
- Option B Subcontract
60.4 - Sets threshold at which change in quantsis assessed as a CE(DC), rather than using bill rates
60.5 - Any change in quatity affects completion then it is CE
60.6 - Any errors in BQ that are departure from standard method of measurement is a CE
60.7 - Any ambuibuity between BQ and another contract doc that results in a CE, subcontractor deemed to have taken BQ as correct.
63.10 - Prices (contract sum) can be reduced with a compensation event
63.12 - BQ to be updated in line with CE`s
Payment
- 50 Assessing amount due
51.1 - Contractor to assess the amount due at each assessment date
50.2 - Definition of amount due
50.3 - Fact that 25% of PWDD can be witheld if no 1st Accepted programm
50.4 - Reminder that contractor has to assess even if no subcontractor submission
- 51 - Payment
51.1 - Contractor to certifiy payment date with XX days of assessment
51.2 - Confirmation of period within which payment should be made
51.3 - Interest recoverable on items corrected on a later certificate
- 52 - Defined Cost
52.1 - Any subcontractors costs not identified in Defined cost are in the fee
- Option A Subcontract
54.1 - Makes the point activity schedule is NOT works information
54.2 - Activity schedule can be changed by agreement
54.3 - Reasons for not accepting a revised Activity Schedule
- Option B Subcontract
55.1 - Makes the point BQ is NOT works information
Subcontractors Responsibilities
- 20 Providing the works
20.1 - Reminder subcontractors obligations as to Provide the works
- 21 Subcontractor Design
21.1 - Reference that you only design what the WI says you are to design
21.2 - Requirement for subcontractor to submit design and for acceptance
21.3 - Design submission can be in parts
- 25 Working with employer and others
25.1 - Requirement of subcontractor to work with others as per instruction / WI
25.3 - Requirement to meet certain conditions by a key date in CD1
- 26 - Subsubcontracting
26.2 - Requirement to submit proposed subsubcontractor for acceptance prior to appointment
26.2 - Reasons for which a subcontractor cannot accept a subcontractor
26.3 - Also have to submit contract terms for subcontractor if not using NEC
- 24 People
24.1 - Need to provide key people stated in CD2 or suitable replacement
24.2 - Contractor can instruct the removal of any persons under his control
- 70 - Title
70.1/2 - Where title of materials transfers from Subcontractor to Contractor
71.1 - Contractor marks materials outside the working area
73.1 - Subcontractor has no title to anything found/existing on the site other than stated in works information.
- 80 Risk & Insurance
80.1 - All contractor/Employers risks
81.1 - By difference, Subcontractors Risks
84 - Insurance cover details
85 - Insurance policies and who needs to provide cover to whom.
Programme
30.1 - Subcontractor does not start on site until first access date
30.2 - Contractor certifies date of Completion
31.1 - Requirement for Subcontractor to submit first programme for acceptance
31.2 - List of what is required to be shown on a programme for acceptance
31.3 - Requirement for contractor to accept a programme of not accept
32.1 - List of what should be shown on a revised programme
32.2 - Intervals for programme submissions to contractor
36.1 - Contractor can request a quotation for acceleration
- Option A Subcontract
31.4 - Requirement for activity schedule to relate to items on programme
Time
- Start, Completion, Key dates
30.1 Subcontractor does not start until first Access dates & Authorised by contractor
30.2 - Contractor decided date and certifies completion within one week.