Frequently Asked Questions

Question
We are a contractor submitting a tender based on the NEC4 Term Service Contract (TSC) and the client has requested (separately from the contract) that we use one of their subcontractors. We are concerned with the liability to our organisation should anything happen to the subcontractor during the term of the contract. Do you have a clause we could include into our response that would cover any such liability?
NEC contracts deliberately do not deal with such matters. That is because this type of ‘nomination’ of subcontractors is fraught with dangers for the contractor and is poor management practice. If you decide to agree to this despite those problems, you should get legal advice as to what is needed to be inserted in your main contract with your client to protect yourself from the consequences of the subcontractor failing to carry out the services you have subcontracted to them. If you do not do so, you will remain liable to your client for those failures.

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