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CIPS L6M5 Exam - Topic 3 Question 21 Discussion

Joey is preparing an NEC contract for the construction of a new school.He includes a lump-sum price of 5 million.The contractor receives payment upon completion of specific milestones.Q: In which section of the contract should this be detailed?Answer Options:
A) Option A
B) Z Clause
C) W1 Option
D) X Clause

CIPS L6M5 Exam - Topic 3 Question 21 Discussion

Actual exam question for CIPS's L6M5 exam
Question #: 21
Topic #: 3
[All L6M5 Questions]

Joey is preparing an NEC contract for the construction of a new school.

He includes a lump-sum price of 5 million.

The contractor receives payment upon completion of specific milestones.

Q: In which section of the contract should this be detailed?

Answer Options:

Show Suggested Answer Hide Answer
Suggested Answer: A

In NEC contracts, pricing mechanisms are detailed in Options A-F (p.36). W clauses handle dispute resolution, X clauses cover secondary options, and Z clauses are additional conditions. [P.36]


by Virgina at Apr 01, 2026, 09:46 PM

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Tonja
2 months ago
I’m leaning towards W1 Option. It’s about payment terms, right?
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Laurel
2 months ago
I agree, Z Clause makes sense for milestones.
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Dominga
2 months ago
I think it should be in the Z Clause. It covers project specifics.
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Lashaunda
2 months ago
Definitely W1, that's standard for milestone payments!
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Queenie
2 months ago
Wait, are we sure about W1? Seems a bit off.
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Sherita
2 months ago
I thought it might be the Z Clause instead.
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Janessa
4 months ago
Totally agree, W1 is the way to go!
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Tomoko
4 months ago
It should be in the W1 Option for milestone payments.
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Rosann
5 months ago
I feel like Option A could be relevant too, but I definitely need to double-check the specifics of each option.
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Karma
5 months ago
The Z Clause sounds familiar for custom amendments, but I can't recall if it specifically addresses payment milestones.
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Cecil
5 months ago
I remember something about milestones being covered in the W1 Option, but I could be mixing it up with another contract type.
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Mohammad
5 months ago
I think the payment details might be in the X Clause, but I'm not entirely sure.
upvoted 0 times
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