Stop the work, then protect your position in writing. A PM stop work instruction under clause 34.1 is one you're required to follow, and it is normally a compensation event under 60.1(4), unless the stoppage arises from your own fault.
So the main question isn't whether to comply. It's what caused the stop, how far it reaches and how long it will last. The clause numbers are the same in NEC3 and NEC4 ECC. Under the NEC4 subcontract, the Contractor gives the instruction.
Today
- Confirm the source. It should come from the Project Manager or a notified delegate. An instruction from the Client's team alone is a different problem: see the Client instructing directly.
- Get it in writing if it was spoken: see verbal instructions.
- Pin down the extent. Which work, which area, from when? Does it include off-site fabrication and design?
- Make the work safe and protected, and ask if anything is to continue in order to do so.
- Tell your Subcontractors and suppliers quickly, each under its own contract.
- Record what's on site: people, plant, materials, hire and what's on order, at the time of the stop.
This week
- Check for the compensation event notice. The Project Manager should notify at the time of the instruction under 61.1 and instruct quotations under 61.2. If it hasn't, notify under 61.3. The eight-week bar doesn't apply to an event arising from an instruction, but there's no reason to wait.
- Ask how long. If nobody knows, the Project Manager can state assumptions for the quotation under 61.6 and correct them later, which is a further event under 60.1(17).
- Quote within three weeks of the instruction to quote. Include standing costs, demobilisation and remobilisation, and the effect on later work.
- Reduce the cost where you can. Off-hire plant if that's sensible, redeploy gangs and tell the Project Manager what you've done.
What decides the money
| Reason for the stop | Result |
|---|---|
| Client's funding, change of plan or a third-party issue | Compensation event, with quotations |
| Unsafe work, or a Defect, for which you're responsible | The event arises from your fault. Under 61.2 no quotations are requested, and under 61.4 the Prices and dates don't change |
| Mixed: your scaffold is faulty, but the Client also wants a pause | Keep the periods apart. Your fault may cover only part of the delay |
| Cause unclear | State your view and ask the Project Manager to state its reason in writing |
The instruction's reason matters a great deal, so read it. The guide to compensation event 60.1(4) goes further into the test and the evidence. A stop that begins for one reason can later continue for another, so review the position at each meeting.
Sample reply
"We acknowledge your instruction of [date] under clause 34.1 and stopped [work] at [time]. We understand it applies to [extent]. You gave the reason as [reason]. We don't consider this arises from a fault of ours. Please notify it as a compensation event under clause 60.1(4) and instruct quotations under clause 61.2. Please also confirm the expected duration, or state assumptions under clause 61.6, and whether any protective work is required. We will send records of resources weekly."
How it ends
Under NEC4, the Project Manager later instructs you either to restart or start, or to take the work out of the Scope. NEC3 only provides for the restart. A removal changes the Scope, so 60.1(1) comes in too. Ask for the instruction if things drift.
A long stop on substantial work can open up termination after a set period. See work suspended for months for how that count works.
The other side's view
A Project Manager may reasonably say the stop was your fault, or that you should have demobilised sooner. Client teams are often keen to keep the instruction vague, particularly if the cause is a funding review. In practice, give the Project Manager a simple list of options and weekly costs, which lets the Client make an informed decision. The guide to Project Manager instructions and the NEC questions hub cover related situations, including stopping for a safety reason on your own initiative.
Related guides
- NEC Questions Answered: Real Situations on Site
- 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?
- Should a Subcontractor Warn the Main Contractor or the PM?
- We Stopped Work for a Safety Reason: Who Pays?
How this looks in Contract Status
A stop instruction under 34.1, from the Contractor side. See the worked example.
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.