Solution-Contractor obligation to provide works just for

Contractor obligation to provide works just for budget cuts

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Reference no: EM133525548

A client is using an NEC contract for the construction of a new asset. ECC Option A was used with secondary Options X1 and X2 incorporated. The Contractor started works on the Site some 3 weeks ago and has set up the Site facilities, commenced Site clearance, started erecting some temporary fencing and arranged a number of subcontracts. At the beginning of the fourth week, as part of budget cuts, the Employer wishes to terminate the Contractor's obligation to Provide the Works.

Questions:

1. Can the Employer terminate the Contractor's obligation to Provide the Works just for budget cuts?

2. What does the Employer and others need to do to put the termination provisions into effect?

The Project Manager issues a termination certificate later that day.

3. What is the procedure for this termination and what is the role of Employer, Contractor and Project Manager in this?

4. Who determines the payment on termination and how is this done?

Reference no: EM133525548

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Contractor obligation to provide works just for budget cuts

Reference no: EM133525548

Reference no: EM133525548

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