NEC3 and NEC4

The NEC3/NEC4 requires a pro-active approach and more administration hours than the 'traditional' forms of building contract, such as the JCT or ICE. But it can save time and cost if things go wrong.

The NEC contracts encourage collaboration between the employer/client, project manager and contractors, which offers a proactive approach to issues and problems that may arise.

If the NEC forms are used correctly, there should be no storing up claims until after the works are completed – matters should be dealt with as they arise.

NEC4 was launched on 22 June 2017 and was intended to replace NEC3. While there was a fairly slow transition from NEC3 to NEC4, with some long-running projects still using NEC3, new contracts tend now to be let using NEC4. Given this overlap, this isurv section sets out the key features that are identical to both the NEC3 and NEC4 alongside any changes made in the NEC4, as well as a brief summary of the NEC4 Design Build Operate Contract and the NEC4 Alliance Contract. 

This section is maintained by Melanie Tomlin of Charles Russell Speechlys LLP.

RICS journal article: Why NEC4 updates take a proactive stance

RICS journal article: The obligation to adjudicate under NEC

Feature: NEC4: reviewing the changes