ABSTRACT

Conditions of contract are included within the contract to express the relationship between employer and contractor and to define explicitly what is to happen should that relationship be disturbed by the failure of either party to fulfil their obligations. The important safeguard from the contractor's point of view is that the employer must first give notice of the breach complained of, and the period of such notice must be adequate to enable the contractor to take remedial action. The New Engineering Contract (NEC) is a fundamental departure from the traditional forms of contract. The use of the NEC is growing and the first experiences have been favourable. In the international field the three standard forms most commonly used are the issued by the Federation Internationale des Ingenieurs Conseils: one for civil engineering work, one for electrical and mechanical works and one for turnkey contracts.