Of the 4 Volumes of Guide Books designed to assist users of NEC contracts, where Volume 1 and Volume 3 are common to all contracts this document is the Volume 4 specific to management of a contract based on the NEC4 Supply Contract (SC4). It is essential reading for those tasked with administering contracts based on the SC4. Those preparing a SC4 contract should use the Volume 2 specific to the preparation of a SC4 contract.
NEC4 Managing a Supply Contract
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Chapter 1 Introduction
Chapter 2 Core clauses
1 General
2 The Supplier’s main responsibilities
3 Time
4 Quality management
5 Payment
6 Compensation events
7 Title
8 Liabilities and insurance
9 Termination, resolving and avoiding disputes
Chapter 3 Option clauses
Option X1: Price adjustment for inflation
Option X2: Changes in the law
Option X3: Multiple currencies
Option X4: Ultimate holding company guarantee
Option X7: Delay damages
Option X10: Information modelling
Option X11: Termination by the Purchaser
Option X12: Multiparty collaboration (not used with Option X20)
Option X13: Performance bond
Option X14: Advanced payment to the Supplier
Option X17: Low performance damages
Option X18: Limitation of liability
Option X20: Key Performance Indicators (not used with Option X12)
Option X21: Whole life cost
Option X25: Supplier warranties
Option Y(UK)1: Project Bank Account
Option Y(UK)3: The Contracts (Rights of Third Parties) Act 1999
Chapter 4 Schedule of Cost Components (SCC)
Appendix 1 Contract start-up checklist
Appendix 2 Contract close-down checklist
Appendix 3 Example communication forms
Appendix 4 Example joint compensation event tracking schedule
Appendix 5 Example quotation of a compensation event