Frequently Asked Questions

We are a contractor working with a client under an NEC3 Term Service Contract (TSC) and we would like some clarity on the applicability of compensation events that arise from weather events. The ECC appears to deal with this under clause 60.1(13) but the same clause in the TSC is totally different and I cannot find any guidance on how weather events should be treated under the TSC.
The TSC is designed for the operation and maintenance of an asset, not for project type work. It does not therefore have a compensation event dealing with weather. The monetary risk of weather depends which option you have chosen. In option A (priced contract with price list) the risk is yours as the contractor, in option C (target contract with price list) it is shared between the parties and in E (cost reimbursement) it is the employer’s risk.

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