The growing practice of materials and equipment being supplied to m&e contractors by their clients is presenting problems when claims are made against the contractor for loss or damage.

The ECA has drafted clauses that should be inserted into subcontract conditions in order to mitigate the contractor’s risk. In brief, these read:

  • unfixed materials, equipment and goods on site: all unfixed materials, equipment and goods on site provided by the main contractor and intended for incorporation into the works by the subcontractor shall be at the main contractor’s risk as regards any loss or damage howsoever caused;
  • defects in materials, equipment and goods provided by the main contractor to the subcontractor: the subcontractor will not be liable for rectifying or replacing defective materials, equipment or goods provided by the main contractor and incorporated into the works by the subcontractor. Should the quantities of materials, equipment or goods provided by the main contractor be disproportionate the subcontractor will not be responsible.

To download both clauses in full see www.eca.co.uk and search for Circular 13 within the ECA circulars section.

Source

Electrical and Mechanical Contractor