NEC4 engineering and construction subcontract

Core Clauses
• 1 General
• 2 The Subcontractor’s main responsibilities
• 3 Time
• 4 Quality management
• 5 Payment
• 6 Compensation events
• 7 Title
• 8 Liabilities and insurance
• 9 Termination

Main Option Clauses
• Option A: Priced subcontract with activity schedule
• Option B: Priced subcontract with bill of quantities
• Option C: Target subcontract with activity schedule
• Option D: Target subcontract with bill of quantities
• Option E: Cost reimbursable subcontract

Resolving and Avoiding Disputes
• Option W1
• Option W2

Secondary Option Clauses
• Option X1: Price adjustment for inflation (used only with Options A, B, C and D)
• Option X2: Changes in the law
• Option X3: Multiple currencies (used only with Options A and B)
• Option X4: Ultimate holding company guarantee
• Option X5: Sectional Completion
• Option X6: Bonus for early Completion
• Option X7: Delay damages
• Option X8: Undertakings to the Client or Others
• Option X9: Transfer of rights
• Option X10: Information modelling
• Option X11: Termination by the Contractor
• Option X12: Multiparty collaboration (not used with Option X20)
• Option X13: Performance bond
• Option X14: Advanced payment to the Subcontractor
• Option X15: The Subcontractor’s design
• Option X16: Retention
• 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
Note Option X19 is not used
• Option Y(UK)1: Project Bank Account
• Option Y(UK)2: The Housing Grants, Construction and Regeneration Act 1996
• Option Y(UK)3: The Contracts (Rights of Third Parties) Act 1999
• Option Z: Additional conditions of subcontract

• Schedule of Cost Components
• Short Schedule of Cost Components
• Subcontract Data
• Part one – Data provided by the Contractor
• Part two – Data provided by the Subcontractor
• Index