We are a subcontractor using the NEC3 Engineering and Construction Subcontract (ECS). After submitting a quotation for a compensation event, which is not agreed but the works are complete, can the contractor ask us to re-quote based on the actual hours taken?
Answer
The simple answer is no; the final sentence of clause 63.1 makes it clear that assessments are based upon a forecast of defined cost, assuming the contractor acted promptly and competently – see clause 63.7. An allowance should also be made for those risks which have a significant chance of occurring – see clause 63.6. You therefore do not wait to find out how much it actually cost with hindsight, you make a forecast based upon the foresight the parties had at the time.