Construction contracts Essay Example | Topics and Well Written Essays - 1500 words

Construction contracts - Essay Example In the NEC3, this section defines all the terms that can or will be used to negotiate the contract. The NEC3 defines the Accepted Program as the one that supersedes all existing programs and is the Program identified in the Contract Data currently accepted by the Project Manager. Completion is defined as the period when the Contractor has finished all tasks as specified must be completed by the Completion Date according to the Works Information and has corrected Defects that can prevent the Employer from using the works or Others from doing their work. Completion Date is defined as the date on the Contract for completed works and the Contact Date is the date the contract was created. A Defect is any part of the Works that does not coincide with the Works Information or any part of the Works designed by the Contractor that does not comply with applicable laws or the design accepted by the Project Manager. The NEC3 defines the Fee as the sum of the amounts calculated by applying the subcontracted fee percentage to the Defined Cost of subcontracted work and the direct fee percentage to the Defined Cost of other work. Others are considered to be any people or organizations that are not the Employer, Project Manager, Supervisor, Adjudicator, or Contractor or an employee Subcontractor or supplier to the Contractor and NEC3 considers Parties to mean The Employer and the Contractor. Subcontractors are considered to be any person(s) or organizations that have a contractual agreement with the Contractor to perform duties that may include installing or constructing parts of the Works, providing services needed to enable the contractor to Provide the Works, or supply the Plant and Materials fabricated specifically for the Works. 1. Claims, proceedings, compensation and costs payable due to use of the Site by or for the purpose of the works, negligence, breach of legal obligations or interference of the legal right