Go Fourth and Prosper – NEC4
As announced in our earlier article the new suite of NEC contract was released on 22 June 2017.
As previously indicated by the NEC, the suite of contracts have adopted an evolution, not revolution, approach to development and there are no major sea changes within the documents. That is not to say the amendments are only tinkering at the edges insofar as there are substantive changes. These however largely reflect industry practice often incorporated by way of "Z clauses" within the NEC3 suite..
Whilst it will naturally take time for the new forms of contract to be used in practice (any existing projects under negotiation are more than likely to proceed using the NEC3 form) it is expected that in time NEC4 will become a mainstay of the standard form contracts (along with JCT suite) for the vast majority of building projects, particularly in the public sector.
In the meantime we will keep you updated with any further observations and developments as the NEC4 suite begins to be used in the industry.
Should you wish to discuss NEC4 and how it could affect your business or project, please contact Chris Hoar, Partner and Head of Construction & Engineering or any other member of the Construction & Engineering Team at Michelmores.