Hi,
I was looking at an old account where the Main Contractor awarded the subcontract in a Lump Sum based on a quotaion where the quotation was build up of a number of items with qty, rate & total. Then the total was given a special discount, say 5% and the the new total subject to 2.5% MCD This is the Lump Sum in the subcontract.
Imagine the work had completed and Final Account Stage.
Assuming that the MC QS had been remeasuring and rating it up throughout interim payment. - okay one way to value interim payment.
The MC QS had paid on qty with rate on items in the subcontract, then there are a list of variations which he rate and paid.
He then total the Measure Work + the Variation & take 5%(Special Disc) then another 2.5% MCD on top. - Is this correct?
(Q1) If there are instruction to the variations recieved but the instructions did not mention obmit items in the original Lump Sum subcontract, just instruct the variations.
Could one apply 100% on the Lump Sum(obviously less 5%spe disc) & add all the Variations without the 5%? & all subject to 2.5% MCD?
(Q2) If there are no clear instruction recieved for the variations, can one still claim 100% on the Lump Sum obviously less 5%spe disc) & add all the Variations without the 5% in view that the MCQS had certified them in interim? & all subject to 2.5% MCD?
(Q3) What are the arguments pro the Subcontractor?
(Q4) What defends can the MC QS put to protect his position?
(Q5) Is mismanagement of the subcontract account the MCQS fault?
Hope to hear some good arguments from both sides
Thanks
I was looking at an old account where the Main Contractor awarded the subcontract in a Lump Sum based on a quotaion where the quotation was build up of a number of items with qty, rate & total. Then the total was given a special discount, say 5% and the the new total subject to 2.5% MCD This is the Lump Sum in the subcontract.
Imagine the work had completed and Final Account Stage.
Assuming that the MC QS had been remeasuring and rating it up throughout interim payment. - okay one way to value interim payment.
The MC QS had paid on qty with rate on items in the subcontract, then there are a list of variations which he rate and paid.
He then total the Measure Work + the Variation & take 5%(Special Disc) then another 2.5% MCD on top. - Is this correct?
(Q1) If there are instruction to the variations recieved but the instructions did not mention obmit items in the original Lump Sum subcontract, just instruct the variations.
Could one apply 100% on the Lump Sum(obviously less 5%spe disc) & add all the Variations without the 5%? & all subject to 2.5% MCD?
(Q2) If there are no clear instruction recieved for the variations, can one still claim 100% on the Lump Sum obviously less 5%spe disc) & add all the Variations without the 5% in view that the MCQS had certified them in interim? & all subject to 2.5% MCD?
(Q3) What are the arguments pro the Subcontractor?
(Q4) What defends can the MC QS put to protect his position?
(Q5) Is mismanagement of the subcontract account the MCQS fault?
Hope to hear some good arguments from both sides
Thanks