NEC Contracts

The NEC family of contracts is one of the most commonly used suite of construction and engineering contracts, both in the UK and internationally. Known for their collaborative and proactive approach, and with a real focus on project management, NEC contracts are designed to be used on a wide range of projects across many sectors and are capable of being used for all stages of the project lifecycle – from design/inception through to operation and maintenance. 

The market-leading CMS Construction team has wide experience of advising clients across the whole range of NEC contract forms and pricing options. We apply our in-depth expertise and practical experience in helping our clients maximise the benefits of using NEC contracts and in providing bespoke solutions as required for particular projects. This extends through to advising on the operational use and management of assets, facilitated by a term service contract form or the recently introduced facilities management suite of contracts.

A selection of our recent NEC contract experience includes:

Energy and utilities

• Hinkley Point C new nuclear power station – advising an international construction joint venture on a £multi-billion alliance contract for the mechanical erection, electrical erection and HVAC and related works packages using a contract form based on the NEC4 Alliance Contract.
• Scottish Water on the procurement, and contractual aspects advising on a comprehensive suite of NEC4 contracts (including ECC, PSC, and TSC) of its c. £4 billion capital investment programme for 2021 – 2027. 
• Cadent Gas on a hydrogen pipeline project.
• SSE on the EPC contract including drafting bespoke payment and performance incentive terms for the construction of a combined cycle gas turbine power station.

Transport and infrastructure

• Transport Scotland on the construction contract (based on NEC4 ECC terms and incorporating amendments from the client’s existing non-NEC based template) for the dualling of the A9 from Tomatin to Moy. 
• Mace/ Dragados JV on main contracts and a variety of sub-contract and supply chain agreements using a comprehensive set of NEC3 sub-contract forms and all contract options for the construction of the new Curzon Street station in Birmingham and the redevelopment of Euston Station for HS2.
• City of Edinburgh Council on a large transport infrastructure project in Edinburgh city centre. 

Health and education

• Balfour Beatty on a NEC4 ECC contract for the partial design and construction of a hospital in the Midlands.
• University of Glasgow on its construction procurement strategy and contracting terms (using a variety of NEC3 forms) for its £1billion varied and complex programme of campus development, based on the masterplan produced for the former Western Infirmary site. 
• Moorfields Eye Hospital NHS Foundation Trust and UCL in the development of a new world leading eyecare, education and research centre to be constructed at Kings Cross, London, using the NEC4 suite of contracts. 
• Imperial College London on its contractual arrangements for laboratory and teaching facilities.

Asset management / O&M

• Wellcome Trust on construction contracts and FM contracts (using the NEC4 FM form) for the Wellcome Genome Campus.
• Northern Ireland Water on O&M contract arrangements (based on the NEC4 TSC form) for the hand back of a wastewater treatment works prior to an upgrade of the facility.
• Wates Group on framework agreements utilising NEC3 and NEC4 TSC and FM forms of contract as the call-off contract terms for facilities management projects.