Construction of new asset

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Reference no: EM133835239

Question

A Client is using an NEC4 contract for the construction of a new asset. ECC Option A was used with secondary Options X1, X2 and X11 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 Client wishes to terminate the Contractor's obligation to Provide the Works. NEC 4 contract question. a. Can the Client terminate the Contractor's obligation to Provide the Works just for budget cuts? b. What does the Client and others need to do to put the termination provisions into effect? c. What is the procedure for this termination and what is the role of Client, Contractor and Project Manager in this NEC 4 ECC Option A project and in which clause under the contract its referring to? d. Who determines the payment on termination and how is this done? Please quote much more relevant clause references for each question from a to d and give detailed explanation for reference, based on NEC 4, ECC Option A contract.

Reference no: EM133835239

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