Brief

Mill Court was engaged due to its experience gained on another heavy mechanical project to install a Flue Gas Desulphurisation Plant to a Coal Powered Station in Staffordshire. Our initial brief was to identify any cost incorrectly claimed and respond to claims submissions advanced by the mechanical and electrical contractor under its target cost, cost-reimbursable NEC Option C contract relating to the engineering and construction of the power plant.

What we did

We completed a full cost audit of the contractor including auditing its supply chain at their offices, to identify costs not entitled to be claimed under the contract and prepared a separate claim for disallowed costs against the contractor.  However that brief later expanded to preparing claims under FIDIC against the client’s material suppliers.  Mill Court also prepared a quantum claim against a group of environmental activists who illegally entered the site and occupied one of its stack chimneys causing construction to be stopped.   

Outcomes

Successfully reduced the amount due to the mechanical contractor by a combination of cost audits in its supply chain, disallowed cost, a successful adjudication under an indemnity for breach and extinguishing its compensation claims.

Negotiated settlements with the entire supply chain utilising the fully substantiated claims that relied upon site quality records and evidence of contractor’s costs incurred correcting defects.