NEC3 Term Service Contract Flow Charts

Contents The number of each flow chart is the same as the number of the clause
in the NEC Term Service Contract to which it primarily relates.
Foreword v
Preface vii
Acknowledgements viii
Amendments ix
Legend 1
Abbreviations 2
Flow charts 13 Communications Sheets 1 to 3 3
14 The Service Manager 6
15 Employer provides right of access and things 7
16 Early warning 8
17 Ambiguities and inconsistencies 9
18 Illegal and impossible requirements 10
20 Providing the Service 11
21 The Contractor’s plan Sheets 1 and 2 12
22 Revising the Contractor’s plan 14
23 Working with the Employer and Others 15
25 Working with the Employer and Others 16
26 Subcontracting Sheets 1 and 2 17
27 Other (Contractor) responsibilities 19
30 Starting and the service period 20
31 Access 21
32 Instructions to stop or not to start work 22
40 Tests and inspections Sheets 1 and 2 23
41 Testing and inspection before delivery 25
42 Notifying and correcting Defects 26
43 Accepting Defects 27
50 Assessing the amount due Sheets 1 to 6 28
51 Payment Sheets 1 and 2 34
52 Defined cost 36
53 The Contractor’s share (Option C) 37
54 Price List 38
60 Compensation events Sheets 1 to 6 39
61 Notifying compensation events Sheets 1 to 3 45
62 Quotations for compensation events Sheets 1 and 2 48
63 Assessing compensation events Sheets 1 to 3 50
64 The Service Manager’s assessments Sheets 1 and 2 53
65 Implementing compensation events 55
70 The Parties’use of equipment, Plant and Materials 56
80 Employer’s risks Sheets 1 to 3 57
81 Contractor’s risks 60
82 Indemnity 61
83 Insurance cover 62
84 Insurance policies 63
85 If the Contractor does not insure 64
86 Insurance by the Employer 65
90 Termination 66
91 Reasons for termination Sheets 1 to 5 67
92 Procedures on termination 72
93 Payment on termination 73
W1 Dispute resolution procedure W1 Sheets 1 to 5 74
W2 Dispute resolution procedure W2 Sheets 1 to 6 79
X1 Price adjustment for inflation (used only with Options 85
A and C)
X2 Changes in the law 86
X3 Multiple currencies (used only with Option A) 87
X4 Parent company guarantee 88
X12 Partnering Sheets 1 to 3 89
X13 Performance bond 92
X17 Low service damages 93
X18 Limitation of liability 94
X19 Task order Sheets 1 to 8 95
X20 Key Performance Indicators (not used with Option X12) 103
Y(UK)1 Project Bank Account 104
Y(UK)2 The Housing Grants, Construction and Regeneration 107
Act 1996
Y(UK)3 The Contracts (Rights of Third Parties) Act 1999 108