Prime Cost Sum is a sum provided for work or services to be executed by a Nominated Sub-contractor or for material s or goods to be obtained from a Nominated Supplier. Such sum shall be deemed to be exclusive of any profit or attendance required by the Contractor and provision shall be made for the addition thereof.
The reasons for dealing with parts of the work by the use of p.c. sums are:
(i) in the case of nominated subcontractor’s work, to give the architect control over the choice of firm to carry out the work, particularly where it is of a specialist nature or outside the scope of work normally carried out by general contractors;
(ii) in the case of nominated suppliers’ materials or goods, to enable the architect to select articles or materials manufactured by particular firms.