NEC4: new set of amendments

NEC has published a second set of amendments to the NEC4 June 2017 edition contracts.  The key amendments include:

  • An amendment related to delay damages to clarify that delay damages cease at termination (any further delay costs after termination would be dealt with as part of the general costs/damages resulting from termination);
  • Option Y(UK)2 in NEC4 contracts which linked the final date for payment with the submission of an invoice (i.e. PSC, PSS, TSC, TSS and the DBOC) has been amended so the due date (and in turn the final date for payment) is linked to both the assessment date or the date of receipt of an invoice (whichever is later) to avoid the issue identified by Cockerill J in a recent TCC case as discussed in my colleague, Simon Cummins’ blog.

There are a series of additional amendments introduced, including in respect of Option X22 (Early Contractor Involvement) and Option Y(UK)1 (Project Bank Accounts).  The full set of amendments are set on NEC’s website here.

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