Any capitalised terms within the contract mean that they are a defined contractual term, for which a definition will be found in section 11 of the contract. Any italicised terms within the contract will be quantified within Contract Data Part 1 for that particular contract. Within the NEC4 contract and throughout these guidance notes, “the Parties” are the Contractor and the Client, whilst any reference to the “Project Manager” is the Client’s representative and the person who is administering the project on behalf of the Client. This is a change within NEC4, which changed the term “Employer” under NEC3 to the alternative name of “Client” which is now used consistently across the NEC4 family of contracts. It is simply a different name for the same entity and the name of Client does not bring about any fundamental differences from that as the role of the Employer under NEC3.
Examples of defines terms of which the definitions can be found within clause 11.2 are Defect, Equipment, Others, Scope and Subcontractor.
There are a number of defined terms that are spread through out the contract that in particular have specific implications on time/programme that are useful to understand when producing and maintaining the contract programme:
– Contract Date – date when this contract came into existence (there is a legal interpretation on when this happens but in its simplest terms think of it as when both Parties enter into a contract)
– starting date – identified in contract data part one (normally the same as Contract Date but can be later when a Client has engaged a Contractor to secure their services, but does not want them to start work on the project for a while)
– Accepted Programme – programme identified in the contract data or the latest accepted by the Project Manager
– access date(s) – identified in contract data part one as the dates when the Contractor will get access to specific parts or all of the site
– Completion – when Contractor has done all the work stated in Scope by the Completion Date and completed any defects that would prevent the Client from using the works. (note – this is NOT defect free, just those that would stop the Client from using the works)
– Completion Date – completion date in contract data unless changed in accordance with the contract – i.e. (implemented compensation events or acceleration).
– planned Completion – when the Contractor plans to complete their work
– Key Date – certain items of work as identified in contract data part one is to meet a certain condition by a certain date as stated in contract data one
– Sectional Completion – if secondary option X5 is chosen. Client wants to take over a certain area of the works by a certain date, with likely financial penalty in Contractor misses this date for a reason that was their risk under the contract.