Frequently Asked Questions

We are a project manager working with a client on tender documentation for an NEC4 Engineering and Construction Short Contract (ECSC). The client requires a specialist equipment from a single supplier as part of the tender, with the equipment designed and priced during the design stages. The client requires that the equipment is included in the ECSC tender documentation and that the winning contractor will coordinate, supply and install it as part of the works (and include all associated costs, profit, etc). As there is no nomination or naming in the ECSC, how do we ensure that tenderers include this equipment at the price quoted to us?
The ECSC is for low-risk, straightforward works. The moment you start putting in things like named suppliers, the risks and complexities increase. So, you and your client may wish to reflect on whether or not they are using the correct contract.

As for ensuring that contractors provide the specific equipment designed for the client, that is simple: you just include that requirement in clear terms in the scope. As for the price, it appears your client wants to have their cake and eat it. Every contractor will require a mark-up on things that are their responsibility, especially when it is a specialist bit of kit that will probably require expert fitting and is from a supplier they probably do not know. It is not realistic to expect them to take the risks for nothing. The supply and installation in this item should be in a price list you provide to tenderers and they will price it as they wish.

If your client wants to pay the equipment supplier’s quoted price, you should make it a client’s supply item in the tender documentation. The contractors then price for the fitting only. But that will mean the client will have to take the risk for delayed deliveries and the equipment not working when its fitted. If the client does not want to take that risk, they should not expect the contractor to without further payment.

Finally, whichever route your client takes, it will take the risk for the performance of the equipment not being suitable to meet the client’s needs.

Back to FAQs