Briefing: Payment provisions of NEC3 Professional Services Contract Available to Purchase

A general confusion exists as to the correct interpretation of payment clauses structured in a manner similar to those in the NEC3 Professional Services Contract (PSC). This has led to a number of ‘smash-and-grab’ claims being successful and bringing the contracts and their dispute-resolution provisions into disrepute. This briefing analyses the payment provisions of the NEC3 PSC and demonstrates that a correct interpretation of these payment provisions eliminates the possibility of their abuse. This analysis is corroborated by the judgement of the Hon. Justice Coulson in the matter between Grove Developments Ltd and S&T (UK) Ltd, which deals with the Joint Contracts Tribunal Design and Build Contract 2011.