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ECC vs TSC: Works or Term Service?

Use the ECC when you want a defined piece of work finished by a date. Use the NEC term service contract (TSC) when you want a service kept up over a period, with work ordered as it arises. The first asks "is it built?", and the second asks "is it being looked after?"

Both are NEC4 forms described on our NEC contract types page, and their clause numbers overlap in many places, so it's easy to confuse them. Here is what changes.

Comparison table

TopicNEC4 ECCNEC4 TSC
PurposeProvide the worksProvide a service over a Service Period
AdministratorProject Manager and SupervisorService Manager does both
Time measureCompletion Date and Key DatesTask Completion Dates; no Completion Date or Key Dates
ProgrammeAccepted ProgrammeAccepted Plan, plus any Task Order programmes
Clause 19PreventionTask Orders
Main OptionsA to FA, C and E
Pricing documentActivity Schedule or Bill of QuantitiesPrice List
Compensation events21 core18 core, differently numbered
Weather and physical conditionsCompensation eventsNot compensation events
Delay assessmentEffect on planned Completion (63.5)Effect on planned completion of the Task (63.6)
DefectsDefects date, Defects Certificate, correction periodNone of these; Defects are put right quickly enough to limit harm (43.3)
Final assessment triggerAfter the Defects CertificateAfter the end of the Service Period (53.1)
Payment amount based onPrice for Work Done to DatePrice for Service Provided to Date
AccelerationClause 36Not available

How to choose when it isn't obvious

Three kinds of contract cause most of the debate.

A programme of similar small works

Take 40 bridge repairs across three years. If the list is known and each repair is similar, a single term contract with Task Orders will save a lot of procurement effort. If each repair is large and has its own risks, you may prefer several ECCs, perhaps placed through a Framework Contract. Either way, ask how much a Task Completion Date will protect you, compared with a full Completion regime with sections and damages.

Renewals inside a maintenance contract

A TSC can carry some capital work as Tasks, and that's often sensible for small items. However, the TSC has no weather or physical conditions events, so a Contractor pricing a deep excavation as a Task carries that risk unless the contract is changed. Expect a higher price, or take the work out and let it under an ECC.

Build and then maintain

One provider for both phases could point to the DBO. Different providers would mean an ECC followed by a TSC. In that case, define who is responsible for what at the point of handover.

Changes that catch people moving from ECC to TSC

  • Different event numbers. 60.1(4) means a late Task Order in the TSC and a stop instruction in the ECC. The stop instruction is 60.1(5) in the TSC.
  • Stopping work. The instruction is at 36.1 in the TSC, not 34.1. Clause 36 means acceleration in the ECC.
  • Accepting a Defect. 44.2 in the TSC, 45.2 in the ECC.
  • Removing a person. 22.2 in the TSC, 24.2 in the ECC.
  • Tests. The numbers (41.1 to 41.6) are the same, but the Service Manager replaces the Supervisor.
  • Task Orders aren't compensation events. In ECC thinking, new work means a change to the Scope. Under the TSC, ordering a Task is the normal course of the contract. The guide to Task Orders explains how it works.

What stays the same

The clause numbers for early warning (15.1 to 15.4), the compensation event procedure (61, 62, 64, 65, 66) and payment (50.1, 50.2, 50.5, 51.1 to 51.3) line up. A team that knows the ECC procedure will find the rhythm familiar. Don't assume the same period numbers for every contract, and if the TSC has been amended, read the changes first.

A quick decision guide

  1. Is the end result one defined asset by one date? Use the ECC.
  2. Is the need continuing and partly unknown? Use the TSC.
  3. Is the need continuing and mainly about managing buildings? Also read about the FMC.
  4. Is the service simple and low risk? Look at the TSSC.

See how this works in practice

Click through Contract Status with sample contracts: raise the notice, reply to it, and watch both sides of one record.

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This guide is general information in our own words, not legal advice. Your contract and its Contract Data always govern. NEC, NEC3 and NEC4 are trade marks of Thomas Telford Ltd; Contract Status is not affiliated with or endorsed by NEC.