12 BUSINESS AND TRAINING
o 18GCS-6.6 Provisional Sums and Prime Cost Items o 18GCS-6.6.1.2 SC adjusted and paid per the pricing data;( cost price fluctuations) o 18GCS-6.8.2 Stated in subcontract data, prices adjusted per SC Pricing Adjustment Factor
• The PC is only involved to forward SC claims for inclusion in the PC Payment Certificate and for payment to each subcontractor on receipt thereof
• The SC must give notice to the PC on becoming aware of potential expense or loss outside the subcontract sum with a copy to the PA. [ NS 26.5-7]
• Such SC claim is deemed refused if the PA fails to assess the claim within 20 working days. [ NS 26.7-8 ] o 18GCS-10.1.1 SC must submit a written claim for an extension of time [ 5.12 ] and additional Payment [ 10.1.1.1.4 ] within 21 days“ after the circumstance, event, act or omission … occurred” o 18GCS-10.1.2 If the SC could not reasonably comply with [ 10.1.1 ] SC can apply for an extended period o 18GCS-10.1.4 Failure to deliver the SC Claim within 21 days = the claim is forfeited
• The SC may dispute the correctness of the SC final account – the PA must issue a SC payment notification for the undisputed amounts until the SC Final Account is paid in full. [ NS 26.15 ]
The PC must issue( further interim) SC payment advices to the SC until the SC final account payment but not before the issue of the Certificate of Final Completion [ NS 25.16 ] failing which the SC can‘ join’ with the PC to apply for provisional sentence [ 25 / 17 ]
Note: Applying for summary judgment is the preferred legal option.
Disagreements- Dispute Resolution [ 30.10 ] The Parties, the SC and the PC, can at any time give notice to the other party of a disagreement on any matter concerning this subcontract agreement … The Parties should attempt to resolve such disagreement between themselves and record the resolution in writing- failing which the parties may consider adjudication, arbitration or mediation at any time.
Note: Low-Value Dispute Adjudication may be the quickest, competent most economical solution. Note: The CIDB has published a labour-only form of contract. Note: A direct contractor( DC) using a 2020 JBCC Direct Contractor’ s Contract is appointed by the employer typically for a unique service( artworks), or installation( crystal chandelier) is given access to the site by the PC but without responsibility for performance by such contractor.
Note: FIDIC and NEC publish synchronised‘ Principal Contractor’ and‘ Subcontractor’ contracts. PA