Options A and B under NEC4 ECS

We now move on to how works are priced and valued.  The method is chosen by the selection of the main option.  There are 5 main options to chose from, denoted A through E.  Each of the main options add to and/or vary the basic conditions of contract in order to bring about the type of pricing that is intended.

In this course, we will look at Main Options A (lump sum) and B (re-measurement).  These are known as “Priced Subcontract” within NEC4 terminology, with one using an activity schedule and the other a bill of quantities.  

After completing this course, you should:

1. Understand the types of contract formed by options A and B
2. Know how the valuation process works for these two options
3. Be able to explain how compensation events are assessed for these options and the additional compensation events for option B