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NEC Contracts

This article gives you an understanding about NEC Contracts.

Updated over 2 weeks ago

NEC stands for New Engineering Contract. The NEC is a family of standard contracts, each of which has these characteristics:

  • Its use stimulates good management of the relationship between the two parties to the contract and, hence, of the work included in the contract.

  • It can be used in various commercial situations, serving a range of work types and in any location.

  • It is a clear and simple document in a language and structure that is straightforward and easily understood.

There are four editions of NEC. The latest edition of NEC4 was introduced in 2017, while the previous version, NEC3, was introduced in 2005. The process flow remains the same in both the recent editions of NEC, i.e. NEC3 and NEC4.

Differences between NEC3 and NEC4

  • New forms of contract - the Design Build and Operate Contract (DBO), the Alliance Contract (ALC), and the Facilities Management Contract (FMC)

  • Improved clarity and simplicity across the NEC4 suite

  • New and improved support for dispute avoidance, early contractor involvement, quality management, and more.

  • NEC4 is a positive evolution of NEC3, building upon and enhancing the previous generation

  • Innovative new features and new contracts help users further achieve improvements to the efficiency and outcome of their projects and work programmes

  • The style, layout, terminology and key project management processes that run through NEC3 contracts remain in NEC4

  • All of the changes are a direct result of feedback from the industry

Types of Contracts in NEC

A few other types of contracts are not widely used and are currently not a part of Asite Contract Manager.

Your Asite Professional Services Consultant can provide access to the contract forms for your project based on your needs. These forms will be available to you from a specific area, such as 'Project Forms' or 'Contracts', depending on how it is enabled.

For any questions regarding the configuration of roles, role privileges and form permissions specific to your project requirements related to the Contract process, please contact your Asite Professional Services Consultant.



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