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NEC 3: When is the project manager obliged to notify a compensation event, and what are the effects of his failure to do so?

6th May 2011

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Time bar clauses that are found in the standard form construction contracts (almost) always operate against the contractor. Hopefully we are all aware of the consequences of failing to comply with a time bar clause/s in a construction contract. However, the NEC is a change from this norm and it exonerates the contractor in certain circumstance and then shifts some risks onto the shoulders of the project manager for failing to respond to the contractor.

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Written by Niel Coertse, Associate at MDA Consulting

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