These NEC contract questions come from situations people actually face on a live job: drawings are late, the Project Manager hasn't replied, or a deadline may already have passed. Each page starts with the direct answer, then gives the steps to take and any clock that's running.
The answers default to the NEC4 Engineering and Construction Contract (ECC) and say where NEC3 differs. Where a period changes with the form, such as under the NEC4 subcontract, they say that too. For the wider picture, start with our guide to NEC contracts. For the detail behind an answer, follow its links through to the clause guides, such as those on compensation events and early warnings.
Check the clock first
If your problem involves a compensation event, a missed date can matter more than the merits. These are the standard periods. Z clauses often change them, and some contracts remove a step completely.
| Step | NEC4 ECC | NEC3 ECC | NEC4 subcontract |
|---|---|---|---|
| Contractor notifies an event it has become aware of (61.3) | 8 weeks | 8 weeks | 7 weeks |
| Reply to that notification (61.4) | 1 week | 1 week | 2 weeks |
| Quotation after it's instructed (62.3) | 3 weeks | 3 weeks | 2 weeks |
| Reply to a quotation (62.3) | 2 weeks | 2 weeks | 4 weeks |
| Further period after a failure notice, before treated acceptance (61.4, 62.6) | 2 weeks | 2 weeks | 3 weeks |
Other limits are listed in NEC time bars, and dispute deadlines are in time limits for disputes.
How to use these answers
- Find the deciding fact. Many answers begin with "it depends", and they say on what: who owned the design, what the Accepted Programme showed, or which main Option applies.
- Act on the steps, then read the guide. If a period is running, do the first step today.
- Read your own contract. These pages describe the standard forms. Amendments can change a period or remove a right altogether.
- Know when to take advice. We set out the contract position and what tends to help in practice. A specific dispute with real money at stake needs a legal adviser who has seen your documents.
All the questions, by topic
There are 114 questions below, in 18 groups. The sections run roughly in the order problems tend to arrive on a job, from design information and instructions to final payment and disputes. Every question appears once, under the topic it's closest to, so a question on a subcontractor's late notice is with the subcontract pages even though it's also a time bar problem.
Drawings, design and information
Most of these turn on who the Scope makes responsible for the design and what date the Accepted Programme shows, because the same late drawing can be a compensation event or the Contractor's own risk.
- IFC Drawings Are Late: Should We Give an Early Warning?
- Are Late IFC Drawings a Compensation Event?
- Our Own Designer Is Late With Drawings: Who Pays?
- Revised Drawings Arrive After IFC: Is That a Change to the Scope?
- The Drawings and Specification Disagree: Which One Applies?
- The Client Changed Their Mind on the Design: How Is It Handled?
- Our RFI Has Not Been Answered: What Can We Do?
- The PM Refused to Accept Our Design: What Now?
- Does PM Acceptance Remove Our Design Responsibility?
Instructions and authority
Only the Project Manager can change the Scope or a Key Date, and an instruction has to be in a form that can be recorded, so these pages cover spoken directions, Client requests and instructions that arrive without a compensation event.
- Can We Carry On Without a Written Instruction?
- The Client Told Us on Site to Change Something: Is That Valid?
- The Client Keeps Instructing the Contractor Directly: What Should We Do?
- The PM Issued an Instruction but No Compensation Event: What Now?
- How Does the Client Get a Price Before Instructing a Change?
- A New Project Manager Is Reversing Earlier Decisions
Notifying events and time bars
The eight weeks in clause 61.3 of the NEC4 ECC is a limit that can end an otherwise good event, so start here if you think a date may already have passed.
- We Missed the Eight-Week Time Bar: Is It Over?
- The PM Should Have Notified It: Does the Time Bar Still Apply?
- Can We Notify a Compensation Event Before It Happens?
- The Project Manager Replied Late: Is It Automatically a Compensation Event?
When the Project Manager replies, or does not
Silence has its own route: the Contractor notifies the failure, and the event or quotation can then be treated as accepted, while a refusal or low figure goes down the dispute route instead.
- The PM Has Not Replied to Our Compensation Event Notice
- The PM Has Not Replied to Our Quotation
- The PM Rejected Our Compensation Event Without Reasons
- The PM's Assessment of Our Compensation Event Is Too Low
- The PM Keeps Asking for Revised Quotations
- The Contractor Has Not Submitted a Quotation: What Can the PM Do?
Pricing compensation events
A quotation is a forecast of the event's effect on Defined Cost plus the Fee, not a remeasure, which explains why overruns and savings normally stay where they fall once it is accepted.
- We Cannot Price the Quotation Yet Because Facts Are Unknown
- The Work Is Already Done: How Do We Quote?
- Actual Cost Came In Higher Than Our Accepted Quotation
- Actual Cost Was Less Than the Accepted Quotation: Do We Keep It?
- How Do We Claim Prolongation Under NEC?
- How Is Disruption Recovered Under NEC?
- Can We Submit One Global Claim for Everything?
- Can We Recover Loss of Profit on Omitted Work?
Changing the work and controlling the budget
These are the questions about reducing or changing what is built, correcting pricing and keeping the Client's total cost visible, where the main Option often changes the answer.
- The Client Wants to Omit Work: Can They?
- We Priced the Job Wrong: Can We Get It Changed?
- We Can Save the Client Money: How Do We Propose It?
- The Client's Budget Is Being Exceeded: What Controls Exist?
- The Contractor Has Stopped Sending Forecasts
Ground, utilities and things found on Site
Physical conditions are tested by what an experienced contractor could reasonably have allowed for at the Contract Date, and that test sits behind most of what you find when you start digging.
- We Hit Unexpected Ground Conditions: Who Pays?
- We Found Unmarked Utilities: Is It a Compensation Event?
- We Found Contaminated Ground: What Happens Under NEC?
- We Found Asbestos During the Works: What Do We Do?
- We Found Archaeology on Site: Who Pays?
Weather and flooding
Weather is measured against recorded data at a named place, and only a month's measurement rarer than once in ten years counts, so a bad spell on site does not always make an event.
- It Has Rained for Weeks: Can We Claim for Weather?
- How Do We Prove a Weather Compensation Event?
- Snow or High Wind Stopped Work: Is That Covered?
- The Site Flooded: Who Is Responsible Under NEC?
Access, other parties and outside events
Delay caused by someone else needs careful sorting: the contract treats late access, the Client, Others and your own supply chain differently, and it deals with outside events through its own narrow tests.
- We Have Not Been Given Access to the Site: What Do We Do?
- The Client Restricted Our Access Part Way Through
- Another Contractor Is Delaying Us: Is That a Compensation Event?
- A Utility Company Is Late: Who Takes the Risk?
- Our Materials Are Delayed by the Supplier: Who Takes the Risk?
- Material Prices Have Risen Sharply: Can We Recover the Increase?
- We Cannot Get Enough Labour: Is There Any Relief?
- An Event Beyond Anyone's Control Has Stopped Work
- New Regulations Mean Extra Work: Who Pays?
- Our Permit Has Been Delayed: Who Takes the Risk?
Programme, float and Key Dates
The Accepted Programme is the baseline for assessing delay, so a missing, rejected or stale programme affects far more than the planner's week.
- We Are Running Behind Programme: What Should We Tell the PM?
- The PM Will Not Accept Our Programme: What Now?
- There Is No Accepted Programme: How Are Events Assessed?
- The Contractor Has Stopped Updating the Programme
- The Contractor Has Not Submitted a First Programme
- The Client's Change Used Up Our Float: Can We Claim?
- We Missed a Key Date: What Does It Cost?
- The Client Wants Us to Finish Early: Must We Agree?
Completion and delay damages
Completion is decided by the definition in the Scope and contract, not by occupation or a handover date, and delay damages depend on the Completion Date currently in force.
- The PM Says We Have Not Reached Completion: Who Decides?
- The Client Moved In Before Completion: What Happens?
- Can the PM Refuse Completion Because of Snagging?
- Delay Damages Have Been Deducted: Can We Challenge Them?
- Can Delay Damages Apply While Compensation Events Are Unresolved?
Payment and final amounts
Payment problems tend to come down to dates and notices, and the pages here also cover what happens to retention and to events still open when the work ends.
- The Client Has Not Paid on Time: What Are Our Rights?
- The PM Certified Far Less Than We Applied For
- The Contractor Did Not Submit an Application: Do They Still Get Paid?
- The Client Missed the Pay Less Notice: What Happens?
- When Should Retention Be Released?
- We Disagree With the Final Assessment
- The Project Has Finished but Compensation Events Are Still Open
Defined Cost and target contracts
On Options C, D and E, money follows cost records, so these questions focus on what can be disallowed, what is left to the Fee and how the target moves.
- The PM Disallowed Our Costs: How Should We Respond?
- We Do Not Have Records for Our Defined Cost
- We Are Heading Over Target on Option C: What Now?
- Compensation Events Have Not Been Added to the Target
- The Client Wants to Audit Our Books: Do We Have to Agree?
- Are Our Head Office Overheads Recoverable?
- Can We Add Margin on Subcontractor Costs?
Defects, tests and searches
The Supervisor's role, the defects date and who was responsible for the work all matter here, including who pays when a search finds nothing.
- A Defect Appeared After Completion: Who Fixes It?
- A Defect Appeared After the Defects Date: What Now?
- The Contractor Will Not Fix a Defect
- The Client Will Not Give Us Access to Fix a Defect
- The Supervisor Says the Work Is Defective but We Disagree
- A Test Failed: Who Pays for Retesting?
- The Supervisor Made Us Open Up Work and Found Nothing
People and subcontractors
These pages cover key people and the Project Manager's acceptance, and they look at the gaps that open up when a subcontract's terms and periods do not line up with the main contract.
- The PM Wants a Member of Our Team Removed: Can They?
- We Need to Replace a Key Person: What Is Required?
- Do We Need the PM's Acceptance to Appoint a Subcontractor?
- Our Subcontractor Notified Late: Can We Still Claim Upstream?
- Our Subcontract Is Not on an NEC Form: Does It Matter?
- Our Main Contractor Has Not Paid Us: What Can a Subcontractor Do?
- Can a Main Contractor Pay Only When It Has Been Paid?
- Should a Subcontractor Warn the Main Contractor or the PM?
Stopping, suspension and ending the contract
Stopping work is a contract step with consequences, and termination follows strict reasons and procedures, so read these before anyone sends a letter in anger.
- We Stopped Work for a Safety Reason: Who Pays?
- The PM Told Us to Stop Work: What Should We Do?
- The Work Has Been Suspended for Months: Can We Terminate?
- The Client Wants to End the Contract: What Are the Options?
- Can a Contractor Terminate an NEC Contract?
- Our Contractor Has Gone Insolvent: What Does the Client Do?
- The Client Is in Breach but No Event Fits: Is There a Remedy?
Disputes and working relationships
Your dispute Option sets the deadlines, and these answers help you decide when to keep talking, when to refer the matter and what the duty of mutual trust and co-operation really adds.
- Can We Still Refer a Dispute After the Time Limit?
- Should We Go to Adjudication or Keep Negotiating?
- The Project Manager Works for the Client: Are They Impartial?
- The Relationship Has Broken Down: What Does Clause 10 Actually Require?
Early warnings
An early warning is neither a claim nor an admission, and it does not stand in for notifying a compensation event, which is the misunderstanding behind most of these questions.
- Does Giving an Early Warning Admit Fault?
- Can We Give Too Many Early Warnings?
- Does an Early Warning Count as Notifying a Compensation Event?
- We Gave an Early Warning and the PM Ignored It
When your question isn't here
If nothing matches, the same questions usually lead to the answer. Who holds the risk? What does the Accepted Programme show? Has someone given a notice, and when did the clock begin? The list of NEC4 compensation events is the best place to test whether something counts. The main Options guide explains why the same event can leave a different party with the bill.
All guides in this section
- IFC Drawings Are Late: Should We Give an Early Warning?
- Are Late IFC Drawings a Compensation Event?
- Our Own Designer Is Late With Drawings: Who Pays?
- Revised Drawings Arrive After IFC: Is That a Change to the Scope?
- Our RFI Has Not Been Answered: What Can We Do?
- The Project Manager Replied Late: Is It Automatically a Compensation Event?
- Can We Carry On Without a Written Instruction?
- The Client Told Us on Site to Change Something: Is That Valid?
- The Client Keeps Instructing the Contractor Directly: What Should We Do?
- The PM Issued an Instruction but No Compensation Event: What Now?
- We Missed the Eight-Week Time Bar: Is It Over?
- The PM Should Have Notified It: Does the Time Bar Still Apply?
- Can We Notify a Compensation Event Before It Happens?
- The PM Has Not Replied to Our Compensation Event Notice
- The PM Has Not Replied to Our Quotation
- The PM Rejected Our Compensation Event Without Reasons
- The PM's Assessment of Our Compensation Event Is Too Low
- We Cannot Price the Quotation Yet Because Facts Are Unknown
- The Work Is Already Done: How Do We Quote?
- Actual Cost Came In Higher Than Our Accepted Quotation
- Actual Cost Was Less Than the Accepted Quotation: Do We Keep It?
- The Contractor Has Not Submitted a Quotation: What Can the PM Do?
- The PM Keeps Asking for Revised Quotations
- How Do We Claim Prolongation Under NEC?
- How Is Disruption Recovered Under NEC?
- Can We Submit One Global Claim for Everything?
- Can We Recover Loss of Profit on Omitted Work?
- The Client Wants to Omit Work: Can They?
- The Drawings and Specification Disagree: Which One Applies?
- We Priced the Job Wrong: Can We Get It Changed?
- We Hit Unexpected Ground Conditions: Who Pays?
- We Found Unmarked Utilities: Is It a Compensation Event?
- We Found Contaminated Ground: What Happens Under NEC?
- We Found Asbestos During the Works: What Do We Do?
- We Found Archaeology on Site: Who Pays?
- It Has Rained for Weeks: Can We Claim for Weather?
- How Do We Prove a Weather Compensation Event?
- Snow or High Wind Stopped Work: Is That Covered?
- The Site Flooded: Who Is Responsible Under NEC?
- We Have Not Been Given Access to the Site: What Do We Do?
- The Client Restricted Our Access Part Way Through
- Another Contractor Is Delaying Us: Is That a Compensation Event?
- A Utility Company Is Late: Who Takes the Risk?
- Our Materials Are Delayed by the Supplier: Who Takes the Risk?
- Material Prices Have Risen Sharply: Can We Recover the Increase?
- We Cannot Get Enough Labour: Is There Any Relief?
- An Event Beyond Anyone's Control Has Stopped Work
- The Client Wants Us to Finish Early: Must We Agree?
- We Are Running Behind Programme: What Should We Tell the PM?
- The PM Will Not Accept Our Programme: What Now?
- There Is No Accepted Programme: How Are Events Assessed?
- The Contractor Has Stopped Updating the Programme
- The Contractor Has Not Submitted a First Programme
- The Client's Change Used Up Our Float: Can We Claim?
- We Missed a Key Date: What Does It Cost?
- The PM Says We Have Not Reached Completion: Who Decides?
- The Client Moved In Before Completion: What Happens?
- Can the PM Refuse Completion Because of Snagging?
- Delay Damages Have Been Deducted: Can We Challenge Them?
- Can Delay Damages Apply While Compensation Events Are Unresolved?
- The Client Has Not Paid on Time: What Are Our Rights?
- The PM Certified Far Less Than We Applied For
- The Contractor Did Not Submit an Application: Do They Still Get Paid?
- The Client Missed the Pay Less Notice: What Happens?
- The PM Disallowed Our Costs: How Should We Respond?
- We Do Not Have Records for Our Defined Cost
- We Are Heading Over Target on Option C: What Now?
- Compensation Events Have Not Been Added to the Target
- The Client Wants to Audit Our Books: Do We Have to Agree?
- Are Our Head Office Overheads Recoverable?
- Can We Add Margin on Subcontractor Costs?
- When Should Retention Be Released?
- A Defect Appeared After Completion: Who Fixes It?
- A Defect Appeared After the Defects Date: What Now?
- The Contractor Will Not Fix a Defect
- The Client Will Not Give Us Access to Fix a Defect
- The Supervisor Says the Work Is Defective but We Disagree
- A Test Failed: Who Pays for Retesting?
- The Supervisor Made Us Open Up Work and Found Nothing
- The PM Wants a Member of Our Team Removed: Can They?
- We Need to Replace a Key Person: What Is Required?
- Do We Need the PM's Acceptance to Appoint a Subcontractor?
- Our Subcontractor Notified Late: Can We Still Claim Upstream?
- Our Subcontract Is Not on an NEC Form: Does It Matter?
- Our Main Contractor Has Not Paid Us: What Can a Subcontractor Do?
- Should a Subcontractor Warn the Main Contractor or the PM?
- We Stopped Work for a Safety Reason: Who Pays?
- The PM Told Us to Stop Work: What Should We Do?
- The Work Has Been Suspended for Months: Can We Terminate?
- The Client Wants to End the Contract: What Are the Options?
- Can a Contractor Terminate an NEC Contract?
- Our Contractor Has Gone Insolvent: What Does the Client Do?
- The Client Is in Breach but No Event Fits: Is There a Remedy?
- Can We Still Refer a Dispute After the Time Limit?
- Should We Go to Adjudication or Keep Negotiating?
- A New Project Manager Is Reversing Earlier Decisions
- The Project Manager Works for the Client: Are They Impartial?
- The Relationship Has Broken Down: What Does Clause 10 Actually Require?
- Does Giving an Early Warning Admit Fault?
- Can We Give Too Many Early Warnings?
- Does an Early Warning Count as Notifying a Compensation Event?
- We Gave an Early Warning and the PM Ignored It
- The Client Changed Their Mind on the Design: How Is It Handled?
- How Does the Client Get a Price Before Instructing a Change?
- We Can Save the Client Money: How Do We Propose It?
- The Client's Budget Is Being Exceeded: What Controls Exist?
- The Contractor Has Stopped Sending Forecasts
- New Regulations Mean Extra Work: Who Pays?
- Our Permit Has Been Delayed: Who Takes the Risk?
- The PM Refused to Accept Our Design: What Now?
- Does PM Acceptance Remove Our Design Responsibility?
- Can a Main Contractor Pay Only When It Has Been Paid?
- We Disagree With the Final Assessment
- The Project Has Finished but Compensation Events Are Still Open
Related guides
- NEC Contracts Explained: The Complete Guide
- NEC4 Contracts: A Complete Guide
- NEC Contract Types: Which Form Do You Need?
- NEC Compensation Events: The Complete Guide
- NEC Early Warnings: The Complete Guide
- The NEC Programme: A Complete Guide
Free NEC tools, quizzes and downloads
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- Clause finder and clause index
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- Who does what, by when
- Contract picker and main Option picker
- Glossary and abbreviations
- NEC quizzes and role-play scenarios
- Free NEC templates and clause sheets
- Worked examples and all guides, A to Z
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