NEC3 Engineering and Construction Contract Option F: Management contract (ECC3-F)

NEC3 Engineering and Construction Contract Option F: Management contract (ECC3-F)
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ECS Code: 
ECC3-Opt F
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Option F is a cost reimbursable management contract where the financial risk is taken largely by the client.  However the contractor may use priced contracts for subcontracting most of the work thereby minimising the client’s risk.  

This document is the ECC3 black book with the other main Options A to E deleted and the Option F clauses merged into the core clauses in their appropriate place.  It is useful to persons only ever likely to require an Option F type of contract.
The SA National Treasury Standard for Infrastructure Procurement and Delivery Management has, with the exception of the NEC3 Framework Contract (a head contract), endorsed the NEC3 family of contracts for use by organs of state in South Africa to serve their infrastructure needs.

The NEC3 family of contracts support a wide range of procurement strategies which can lead to improved project outcomes and in so doing realise value for money..

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Schedule of Options
Core clauses
• 1 General
• 2 The Contractor’s main responsibilities
• 3 Time
• 4 Testing and Defects
• 5 Payment
• 6 Compensation events
• 7 Title
• 8 Risks and insurance
• 9 Termination
Dispute resolution W
• Option W1
• Option W2
Secondary option clauses
• X2   Changes in the law
• X4   Parent company guarantee
• X5   Sectional Completion
• X6   Bonus for early Completion
• X7   Delay damages
• X12 Partnering
• X13 Performance bond
• X14 Advanced payment to the Contractor
• X15 Limitation of the Contractor’s liability for his design to reasonable skill and care
• X17 Low performance damages
• X18 Limitation of liability
• X20 Key performance indicators

• Y(UK)1 Project Bank Account
• Y(UK)2 The Housing Grants, Construction and Regeneration Act 1996
• Y(UK)3 The Contracts (Rights of Third Parties) Act 1999

• Z     Additional conditions of contract

Note   Options X1, X3, X8 to X11, X16 and X19 are not used