NEC Option C: Target contract with activity schedule
NEC was first published in 1993 as the New Engineering Contract. It is a suite of construction contracts intended to promote partnering and collaboration between the contractor and client.
The Engineering and Construction Contract (ECC) is the most frequently used, and can be adopted on projects such as infrastructure, buildings, highways and process plants. It is used for the appointment of a contractor for engineering and construction work, including any level of design responsibility.
Option C is a cost plus contract which is subject to a pain/gain share mechanism by reference to an agreed target cost built up from an activity schedule. It includes core and secondary option clauses, the schedules of cost components, and contract data
A target cost contract introduces a mechanism enabling the contractor, and/or the consultant team, to share in the benefits of cost savings, but also to bear some of the cost when there are cost overruns.
[edit] Related articles on Designing Buildings Wiki
- Activity schedule.
- Conditions of contract.
- Construction contract.
- Contract documents.
- Contractor's working schedule.
- NEC Option A: Priced contract with activity schedule.
- NEC Option B: Priced contract with bill of quantities.
- NEC Option D: Target contract with bill of quantities.
- NEC Option E: Cost reimbursable contract.
- NEC Option F: Management contract.
- NEC3.
- Right to payment.
- Target contract.
- Target cost.
- Term contract.
Featured articles
Check out some of the best features and news from Designing Buildings as well as key stories from around the web.
England's Suburbs 1820-2020. Book review.
New, more proportionate and targeted approach for higher-risk building assessments.
Government brings British Steel into public ownership.
UKCW Birmingham returns with bold new theme and focus.
New guidance published on competence requirements for self-certification schemes.
Construction Management, 8 July
NEETs crisis drives interest in trades, but apprenticeships barriers remain.
Passive fire protection webinar
MEP services penetration seals.
Where its at podcast (and video) - The role of the Architectural Technologist as an Expert Witness.
More than 200 remarkable buildings added to SAVE’s Buildings at Risk register.
Government scraps pre-application consultation for Nationally Significant Infrastructure Projects.
Historic England and infrastructure
New projects offer opportunities for the historic environment and local communities.
Construction Management, 2 July
Construction deaths halve in two years.