ABSTRACT
Early warnings are an essential and valuable risk management tool within the New Engineering Contract contracts, the Term Service Contract (TSC) obliging the Service Manager and the Contractor to notify each other as soon as either becomes aware of any matter which could affect the project in terms of time, cost or quality. The Contractor and Service Manager may also give an early warning by notifying the other of any other matter which could increase the Contractor's total cost. The contract requires that all instructions, notifications, submissions are in a form that can be read, copied and recorded, so early warnings should not be a verbal communication such as a telephone conversation. A schedule of early warnings should be kept, identifying and numbering each early warning, with additional information about each one. The objectives in a TSC are typically to provide services safely and to the required quality, to complete within the required timescale, and within the required budget.
