Core clause
In language, a clause is a group of words that includes a subject, predicate and a verb. A clause can either form a complete sentence or form part of a sentence. A sentence can contain one or more clauses.
In construction, clauses are seen in many forms of documentation. They are usually in the form of a section, phrase, segment or paragraph that deals with a specific issue. Clauses may be numbered for easy reference. A clause in a contract typically addresses a particular aspect of the agreement between the parties to the contract. Standard contractual clauses are available that have been prepared to ensure consistency of meaning and interpretation, to reduce the amount of time required to draft a contract, and to build on prior experience such as case law.
Core clauses are referred to in the New Engineering Contract (NEC) suite of documents. These are standard forms of construction contracts published by the Institution of Civil Engineers (ICE) and form the basis for many major construction projects in the UK and overseas.
Known for their clarity, simplicity and use of plain English, NEC contracts have numerous core clauses. These clauses are the same in every form and cover the basic reference conditions that apply to every contract.
NEC 4, introduced in July 2017, contains the following core clauses:
- Core clause 1: General, incorporates defined terms (e.g ‘subcontractor’), interpretations, communications and ambiguities;
- Core clause 2: Sets out the contractor’s main responsibilities;
- Core clause 3: Covers time, starting/completion dates, key dates, programme, access, etc;
- Core clause 4: Quality management (QM), contractor’s obligation to produce a QM system, quality plan, etc;
- Core clause 5: Payment of amounts due, payment provisions etc;
- Core clause 6: Compensation events – which may involve time/money components;
- Core clause 7: Title – entitlement to use plant and materials e.g contractor using client materials;
- Core clause 8: Liabilities and insurance, employer and contractor liabilities, insurance requirements, and
- Core clause 9: Terminations – grounds for terminations – procedures and payments.
[edit] Related articles on Designing Buildings Wiki
- Association of Consultant Architects TAC-1 launch and BIM.
- Compensation events and Brexit.
- Construction contract.
- Contract conditions.
- ICE Conditions of Contract.
- JCT.
- NEC early warning notices - a tool of mutual benefit.
- NEC3.
- NEC4 Alliance contract.
- NEC4 Design, Build and Operate Contract.
- NEC4 - legal and insurance aspects.
- NEC contract change management systems.
- NEC4 contract creates a procurement alliance arrangement for all stakeholders
- Procurement route.
Featured articles and news
Download your free guide.
Four new types of prior approval for solar developments
Online Planning Portal application types from 5 September.
Election fails to spark construction industry revival
Contract awards and planning; post election.
Making diversity and inclusion easy for SMEs
The CIOB tool for companies with limited resources.
Sustainable Futures: Redefining Retrofit for Net Zero Living
BSRIA Briefing 2024, initial speakers announced.
Looking back at the UK's first Passivhaus leisure centre
Reflections on St Sidwell’s Point with CIAT.
A-Level results and electrical apprenticeships
Electrical Skills Index highlights areas with skills shortages.
One of the world's more unusual drive-throughs.
A quick introduction.
Hadrian's Wall Path and the national trails
The trails are heritage assets in their own right.
Articles on timely advice and hydraulic lime.
Building Designers Association of Australia
CIAT and BDAA sign Memorandum of Understanding.
Built Environment Inclusive partners issue statement committed to inclusion.
Building regulation requirements can have unintended consequences.
CIOB announces 2024/25 vice president
Sustainability champion Professor Saul Humphrey.
Accelerating towards a net-zero built environment.