NEC4: Managing a Professional Service Contract

This document will provide guidance on the contract management for a Professional Service Contract (PSC). Chapter 1 Introduction Professional service subcontract (PSS)   Chapter 2 Core and main Option clauses 1 General 2 The Consultant’s main responsibilities 3 Time 4 Quality management 5 Payment 6 Compensation events 7 Rights to material 8 Liabilities and insurance 9 Termination   Chapter 3 Clauses for resolving and avoiding disputes   Chapter 4 Secondary Option clauses Option X1: Price adjustment for inflation (used only with Options A and C) Option X2: Changes in the law Option X3: Multiple currencies (used only with Option A) Option X4: Ultimate holding company guarantee Option X5: Sectional completion Option X6: Bonus for early completion Option X7: Delay damages Option X8: Undertakings to Others Option X9: Transfer of rights Option X10: Information modelling Option X11: Termination by the Client Option X12: Multiparty collaboration (not used with Option X20) Option X13: Performance bond Option X18: Limitation of liability X18 Option X20: Key Performance Indicators (not used with Option X12) Option Y(UK1): Project Bank Account Option Y(UK)2: The Housing Grants, Construction and Regeneration Act 1996 Option Y(UK)3: The Contract (Rights of Third Parties) Act 1999   Chapter 5 Schedule of Cost Components (SCC)   Chapter 6 Short Schedule of Cost Components (SSCC)   Appendix 1 Contract start up checklist   Appendix 2 Contract close down checklist   Appendix 3 Example communication forms   Appendix 4 Example joint compensation event tracking schedule   Appendix 5 Example quotation for compensation event