Claim Notices & Particulars

Section 1

Purpose

Note on JCT editions: JCT has published the 2024 Edition. This guidance cites JCT SBC/Q 2016 clause references; the commercial and payment mechanisms are substantively unchanged in the 2024 edition, but specific clause references should be verified against the contract edition in use on any given project.

Claim Notices and Particulars are the formal contractual documents by which a party preserves its rights to claim additional time and/or money under the building contract. Both the form and timing of claim notices are critical: a claim notice served incorrectly, to the wrong person, or outside the contractual time limit may be void — and with it, the entitlement to recover the claimed amount. The QS must understand the specific notice requirements of each contract form and manage notice compliance proactively throughout the project.

Under JCT SBC/Q 2016, the contractor must notify loss and expense matters under Clause 4.23 promptly on becoming aware that direct loss and/or expense has been or is likely to be incurred; under NEC4 Clause 61.3, the 8-week time bar applies — a compensation event not notified within 8 weeks of the contractor becoming aware is time-barred unless the Project Manager should have notified. These are fundamentally different regimes and the QS must apply the correct one.

The QS's role is twofold: where acting for the contractor, to ensure all notices are served correctly and on time; where acting for the employer, to identify notices that are out of time, incorrectly addressed, or insufficiently particularised, and to challenge them appropriately.

Section 2

Key Principles

JCT SBC/Q 2016 Clause 4.23: the contractor must make application for loss and expense in writing 'upon it becoming reasonably apparent' that progress has been or is likely to be affected by a Relevant Matter; the QS must ascertain the amount.
JCT SBC/Q 2016 Clause 2.29 (Extensions of Time): the contractor must give notice of any Relevant Event 'forthwith' upon it becoming reasonably apparent; the notice must identify the Relevant Event and its likely effect on completion.
NEC4 Clause 61.3: the contractor must notify a compensation event within 8 weeks of becoming aware of it; failure to notify within 8 weeks (unless the Project Manager should have notified) is an absolute time bar.
NEC4 Clause 61.1: the Project Manager notifies compensation events that arise from the Project Manager's actions; the contractor notifies compensation events arising from other causes.
FIDIC Red Book (Clause 20.1 in the 1999 edition; Sub-Clause 20.2 in the 2017 edition — the latter is now the prevalent form for new international contracts): the contractor must notify any claim within 28 days of becoming aware of the event; failure to notify within 28 days is a time bar (subject to any extension agreed by the Engineer).
RICS Conflict Avoidance and Dispute Resolution (2024): notices should be served precisely in accordance with the contract — to the correct person, via the correct communication method, within the required period.

Section 3

Practical Application

Step 1

At the start of the project, prepare a Notice Register for the contract: list all contractual notice requirements (EOT notices, L&E notices, compensation event notifications, claim notices), the required recipient, required method, and time limit for each.

Step 2

Monitor project events against the Notice Register throughout construction: whenever a Relevant Event or Relevant Matter occurs, prepare and serve the notice within the contractual period — do not wait until the end of the project to submit a bundle of backdated notices.

Step 3

For each claim notice, ensure it meets the minimum contractual requirements: identifies the event; states the reason for the claim; gives an initial estimate of the time and/or money impact; is served on the correct person (CA/PM/Engineer) by the required method (notice under the contract).

Step 4

Prepare the Particulars (detailed quantification of the claim) as a separate document, following up the initial notice with full supporting evidence: programme impact analysis, cost records, resource allocations, correspondence establishing cause.

Step 5

On the employer's side, review the contractor's claim notices for compliance: are they in time? Do they identify a contractual entitlement (Relevant Event/Relevant Matter/Compensation Event)? Are they addressed to the correct person? Challenge non-compliant notices formally.

Step 6

Maintain a Claims Register tracking: all notices received/served; the contractual basis; the status (under consideration/responded/agreed/disputed); the QS's assessment of the maximum and minimum entitlement.

Step 7

Where notices are time-barred under NEC4 Clause 61.3 or FIDIC Clause 20.1, issue a formal rejection to the contractor confirming that the claim is not accepted due to late notification — document this rejection carefully as it may be contested.

Section 4

Common Mistakes to Avoid

Serving notices on the wrong person — under JCT, notices must go to the CA (not the employer directly); under NEC4, to the Project Manager; under FIDIC, to the Engineer; serving on the wrong party may invalidate the notice.
Failing to serve notices at all because 'we will deal with it at Final Account' — this is the most common and most costly mistake in construction claims; time-barred claims are unrecoverable.
Conflating the notice (which must be served promptly) with the particulars (which follow later) — under JCT and most forms, notice and particulars are separate; the notice must be served within the contractual period even if the full particulars are not yet available.
Accepting late NEC4 notices without challenging them — the NEC4 time bar is strict and the employer is entitled to rely on it; accepting late claims sets a precedent and waives the employer's right on that item.
Over-particularising the initial notice — the initial notice need only identify the event and signal the likely impact; attempting to produce a fully quantified notice immediately may lead to delay and the notice being served out of time.

Section 5

APC Competency & Quick Reference

Contract Practice Level 3 — contractual notice requirements, time bars, JCT/NEC/FIDIC notice regimes
Conflict Avoidance, Management and Dispute Resolution Procedures Level 2 — claims management, notice registers

What is the difference between the notice and the particulars in a JCT loss and expense claim?

The notice (Clause 4.23) must be served promptly — 'upon it becoming reasonably apparent' that direct loss and expense has been or is likely to be incurred. The notice identifies the Relevant Matter and signals the likely financial impact. The particulars (full quantum and evidence) are submitted separately, as the loss crystallises. The notice preserves the contractor's right to claim; the particulars substantiate the amount. A failure to serve the initial notice in time risks losing the entitlement entirely.

What is the NEC4 8-week time bar and when does it apply?

NEC4 Clause 61.3: if the contractor does not notify a compensation event within 8 weeks of becoming aware of it, the contractor loses the right to a change in Prices or Completion Date for that event. The exception is where the Project Manager should have notified the compensation event but failed to do so (Clause 61.4). The time bar is strict — the QS must maintain a compensation events log and ensure all CE notifications are served within 8 weeks.

How should the QS respond when a contractor serves a claim notice that appears to be out of time?

Issue a formal written response confirming that the notice has been received but appears to be out of time under [contract clause]; request the contractor to demonstrate why the notice is considered to be in time; reserve the employer's position pending review. Document everything. If the time bar is confirmed, issue a formal rejection. Do not simply ignore late notices — silence may be construed as acceptance.

Section 6

Dispute & Claims Checklist

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Task

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Notice Register prepared at project start — all requirements listed

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Project events monitored against Notice Register throughout construction

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Notices served promptly — in time, to correct person, by correct method

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Claim particulars prepared and submitted with full supporting evidence

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Contractor's notices reviewed for compliance — time, recipient, basis

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Late/non-compliant notices formally challenged in writing

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Claims Register maintained throughout project

Section 7

CPD Learning Outcomes

Prepare and manage a contractual Notice Register for JCT, NEC4, and FIDIC contracts, ensuring all notices are served within the contractual period and to the correct party.
Distinguish between the notice and particulars stages of a JCT loss and expense claim, and apply the NEC4 8-week compensation event time bar, ensuring entitlement is preserved or challenged appropriately.
Review the contractor's claim notices for contractual compliance and issue formal written responses where notices are out of time, incorrectly addressed, or insufficiently particularised.

Section 8