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The Engineering and Construction Contract (ECC) 161

Practical Completion is defined to occur when the works reach a state when,
notwithstanding any defects or outstanding items they are taken or are fit to be taken
into use or possession by the Employer. Certification of Practical Com pletion is by
the Engineer appointed by the Employer.
Liquidated damages are payable for a delay in completion pursuant to Clause
4.6.
Defect correction arrangements and the defects liability provisions are broadly as
per the ICE 7th Edition.

What the contract says about cost


The method of payment for the contract is stated in the Appendix to die Conditions
of Contract but if a bill of quantities is used the method of measurement to be used
must also be stated in the Appendix. No provision is made for fluctuations as it is
not envisaged that the contract should be used for periods longer than six months.
The contract can be a lump sum contract or a measurement contract using a price
bill of quantities. An appendix entry indicates which is applicable.
Monthly statements are provided from the contractor pursuant to Clause 7.2 and
Clause 7.3 provides that the engineer shall certify claims within 25 days of receipt
of die monthly payments, and such claims will be paid within 28 days. Again this is
a relatively tight period.
Final account provisions are covered in Clauses 7.4 and 7.6.
Limited provision for the contractor to claim additional cost is included in the
contract at Clause 3.8.

What die contract says about quality


The employer is required to appoint an engineer to administer die terms of the
contract.
The primary obligation of the contractor is to complete the works and this is set out
in Clause 3.1.4.

THE ENGINEERING AND CONSTRUCTION CONTRACT


(ECC)

Overview
Amongst standard forms in common use this is a relative newcomer, die first edition
having been published in 1993 with the second edition published in 1995. It is
anticipated that a furdier third edition will be published at some point during 2005.
It is published by die ICE but has no relation to other contracts published by the

ICE.
The ECC is a radical departure from existing standard form contracts bodi in terms
of its underlying objectives and its drafting.

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