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NEC4 Contract

​The NEC4 Term Service Contract (TSC) is the main term service contract in the NEC4 suite of collaborative, flexible and clearly written contracts for built environment procurement. It is for appointing a contractor over a fixed period to provide an ongoing maintenance, repair or other service on an operational asset, including one-off tasks.

The TSC offers three main payment Options: A (priced contract with price list), C (target contract with price list) and E (cost-reimbursable contract). In Option A most of the risk is placed with the service provider, while in Option C it is shared between the client and service provider and in Option E it rests mostly with the client. The service described in the scope can include individual projects that are instructed and quoted for as tasks, with specific start dates, completion dates and delay damages.

In addition to the main Options, the document contains everything you need to prepare, tender and manage an NEC4 TSC, including all secondary Options and forms for the relevant cost schedules and contract data.

Background

The NEC4 suite has a global track record for delivering all kinds and sizes of building and infrastructure projects and services on time, on budget and to the highest environmental and quality standards.

As with all NEC4 contracts, the parties to a TSC are required to act in a ‘spirit of mutual trust and co-operation’ and give early warnings of anything that could affect time, cost or effectiveness of the service so it can be mitigated without delay.

Change is dealt with by a fast and fair compensation event process which, together with a continually updated and agreed plan, ensures there are no surprises at the end of the contract.