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Understanding and Using Engineering Service and Construction Contracts

Understanding and Using Engineering Service and Construction Contracts

          
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About the Book

1. HISTORICAL BACKGROUND In the late 1950s many members of the design professions-Engineers as well as Ar- chitects-became concerned about their exposure to claims for professional malprac- tice and particularly about the increasing number of claims that had been successfully brought against them arising out of their Construction Phase activities. This led to special studies sponsored by the American Institute of Architects and the Engineers joint Counsel. The outcome was twofold: the development of a policy of professional liability insurance to insure Engineers and Architects against errors and omissions in the performance of their professional services, and the review and development of the customary contractual arrangements defining the design profeSSional's undertakings vis a vis his client (the Owner), the Project to be designed, and the Contractor who was to implement that design. At the outset, the AlA's Owner-Architect Agreement (No. B131), General Conditions (No. A201) and the Owner-Contractor Agreements (Nos. A101 & 111) were the documents most frequently used by design professionals, and these received particular attention. In the early 1960s it became apparent that there was a need for a separate series of documents prepared to address these relationships when the Project to be designed involved primarily engineering considerations. The number of Projects for which the Engineer was employed by the Owner as the prime professional to handle the Project design and construction administration was increasing.

Table of Contents:
1. Standard Form of Agreement between Owner and Engineer for Professional Services.- 1. Meeting of the Minds.- 2. Written Agreement Essential.- 3. Owner's Form.- 4. Describing the Project.- 5. Estimating Construction Cost.- 6. General Description of Basic Services.- 7. Basic Services.- (a) Exhibit A.- (b) Study and Report Phase.- (c) Preliminary Design Phase.- (d) Final Design Phase.- (e) Bidding and Negotiating Phase.- (f) Construction Phase.- (i) General Administration.- (ii) Site Visits.- (1) Observation.- (2) Progress and Quality.- (3) To Enable Engineer.- (4) A Greater Degree of Confidence.- (5) Completed Work.- (6) Conform Generally.- (7) Integrity of Design Concept.- (8) No Supervision.- (9) No Means, Methods.- (10) No Safety Precautions.- (11) Comply with Laws.- (12) No Guarantee.- (13) No Responsibility for Contractor's Work.- (14) Resident Project Representative.- (15) General.- (iii) Rejecting Work.- (iv) Interpretations.- (v) Shop Drawings.- (vi) Substitutes.- (vii) Inspections and Tests.- (viii) Disputes.- (ix) Payments to Contractor.- (x) Maintenance Manuals.- (xi) Substantial Completion.- (xii) Limitations of Responsibility.- (g) Operational Phase.- 8. Additional Services.- (a) Advance Authorization Needed.- (i) Applications for Grants.- (ii) Measured Drawings.- (iii) Owner Requested Changes.- (iv) Alternate Designs.- (v) Independent Professional Associates.- (vi) Multi-Prime Contracts.- (vii) Problems During Bidding.- (viii) Subsurface Data.- (ix) Serving as a Witness.- (b) No Advance Authorization Needed.- (i) Redesign for Substitutes.- (ii) Too Many Contractor Claims.- 9. Owner's Responsibilities.- (a) Owner's Representative.- (b) Project Requirements.- (c) Physical and Other Site Conditions.- (d) Surveys for Construction.- (e) Governmental Approvals.- (f) Other Trained Experts.- (g) Monitoring Compliance with Laws.- (h) Owner's Special On-Site Representative.- (i) Construction Coordinator.- (j) Owner Bears Costs.- 10. Period of Service.- (a) Orderly Progress.- (b) Timing of Design Services.- (c) Bidding Phase Services.- (d) Construction Phase Services.- (e) Fast-Tracking.- 11. Methods of Payment.- (a) General.- (b) Multi-Prime and Cost Plus.- (c) For Basic Services.- (d) Estimating Charges.- (e) Additional Services.- (f) Reimburseable Expenses.- (g) Progress Payments.- (h) Adjusting Compensation.- (i) Definitions.- 12. Construction Cost and Opinions of Cost.- (a) Definition of Construction Cost.- (b) Limit of Construction Cost.- (c) When Limit is Exceeded.- 13. General Considerations.- (a) Termination.- (b) Reuse of Documents.- (c) Professional Liability Insurance.- (d) What Law Governs.- (e) Successors and Assigns.- (f) Arbitration.- 14. Special Provisions.- (a) Supplemental Provisions.- (b) Agreement is Complete.- 2. Standard Form of Agreement between Engineer and Associate Engineers for Professional Services.- General.- 1. Project Description and This Part of Project.- 2. Guide Sheet.- (a) Single Prime Construction Contract.- (b) Services at Site.- (c) Professional Liability Insurance.- (d) Identifying Exhibits.- 3. Underlying Concepts.- (a) Independent Contractor.- (b) Coordination.- (c) Communications.- 4. Basic Services.- (a) Interpretations and Changes.- (b) Accepting Subcontractors and Suppliers.- (c) Accepting Substitutes.- (d) Less Than Full Services.- (e) Post-Construction Services.- 5. Additional Services.- (a) Advance Authorization Always Required.- (b) Resident Project Representative is Additional.- (c) Operational Phase Services.- 6. Engineer's Responsibilities.- (a) Obligation to Consult.- (b) Identity of Other Professional.- (c) Complete Set of Documents.- 7. Period of Service.- 8. Method of Payment.- 9. Construction Cost and Opinions of Costs.- (a) Construction Cost for This Part of Project.- (b) Redesigning.- (c) Cost Limit for Project.- 10. General Considerations.- 3. Construction Related Documents.- 1. General.- 2. Locator Guide.- 4. Owner-Contractor-Stipulated Price and Cost-Plus.- 1. General.- 2. Defined Terms.- 3. Materials and Equipment.- 4. Effective Date of the Agreement.- 5. Work.- 6. Engineer as Owner's Representative.- 7. Contract Time.- 8. Timely Performance.- 9. Contract Price.- (a) Definition.- (b) Cost of the Work.- (c) Records of Costs.- (d) Contractor's Fee.- (e) Guaranteed Maximum Price.- 10. Payment Procedures.- 11. Contractor's Representations.- 12. Listing of Contract Documents.- 13. Assignments.- 5. Standard General Conditions of the Construction Contract.- 1. General.- 2. Defined Terms.- (a) Addenda.- (b) Agreement.- (c) Application for Payment.- (d) Change Orders and Work Directive Changes.- (e) Contract Documents.- (f) Contract Price.- (g) Contract Time.- (h) Defective.- (i) Drawings.- (j) Effective Date of the Agreement.- (k) Field Order.- (l) Notice of Award.- (m) Notice to Proceed.- (n) Project.- (o) Resident Project Representative.- (p) Shop Drawings.- (q) Subcontractor.- (r) Substantial Completion.- (s) Supplier.- (t) Underground Facilities.- (u) Unit Price Work.- (v) Work.- (w) Work Directive Change.- (x) Written Amendment.- 3. Preliminary Matters.- (a) Delivery of Bonds.- (b) Commencement of Contract Time: Notice to Proceed.- (c) Starting the Work.- (d) Examination of Contract Documents.- (e) Schedules.- (i) Progress.- (ii) Shop Drawings.- (iii) Values.- 4. Intent, Amendment, and Reuse of Contract Documents.- (a) Intent.- (b) Order of Preference.- (c) Reference Standards.- (d) Controlling Law.- (e) Report of Inconsistencies in Documents.- (f) Amending and Supplementing Contract Documents.- (g) Reuse of Documents.- 5. Availability of Lands; Physical Conditions; Reference Points.- (a) Availability of Lands.- (b) Subsurface and Latent Physical Conditions.- (c) Reference Points.- 6. Bonds and Insurance.- (a) Performance and Payment Bonds.- (b) Liability and Property Insurance In General.- (i) Liability and Property Insurance Carried by Separate Parties.- (ii) Advice of Insurance Counsellor.- (iii) Acceptance of Coverage.- (c) Contractor's Liability Insurance.- (d) Owner's Liability Insurance.- (e) Property Insurance.- (i) All Risk Coverage.- (ii) Waivers.- (iii) Deductibles.- (iv) Partial Utilization.- 7. Contractor's Responsibilities.- (a) Supervision.- (b) Following Instructions Concerning Construction.- (c) Labor, Materials, and Equipment.- (d) Progress Schedule.- (e) Substitute or "Or-Equal" Items.- (i) General.- (ii) Procedure.- (iii) Specifying Construction Methods.- (iv) Change Order or Shop Drawing.- (v) Engineer Sole Judge.- (vi) Compensation for Engineer.- (vii) Substitutes during Bidding.- (f) Subcontractors, Suppliers, and Others.- (i) Definition.- (ii) General Discussion.- (1) Prequalification.- (2) Listing Required.- (3) Identity Submitted.- (4) Engineer's Duty to Speak.- (5) Consequences of Rejection.- (6) After Effective Date.- (7) Subcontractors Bound to Owner.- (8) Cost-Plus Work.- (9) Waivers.- (10) No Contractor with Subcontractors and Suppliers.- (g) Permits, etc..- (h) Compliance with Laws.- (i) Taxes.- (j) Use of Premises.- (k) Record Documents.- (l) Safety.- (i) General.- (ii) No Duty to Employees.- (iii) Stopping the Work.- (iv) Compliance with Laws and Regulations.- (v) Miscellaneous.- (m) Emergencies.- (n) Shop Drawings.- (i) General.- (ii) They are Useful.- (iii) Schedule.- (iv) Professional Review of What is Delegated.- (v) Take It Seriously.- (vi) Limited Purpose of Approval.- (vii) Not a Contract Document.- (viii) Design Concept.- (ix) Variations in Submittals.- (x) Stamps.- (o) Continuing the Work.- (p) Indemnification.- 8. Multi-Prime Contracts.- (a) General.- (b) Advance Notice of Others Working at Site.- (c) Covenant to Cooperate for Benefit of Other Contractors.- (d) Construction Coordinator.- (e) Provisions in Owner-Engineer Agreement.- 9. Owner's Responsibilities.- 10. Engineer's Status.- (a) General.- (b) Visits to the Site.- (c) Interpretations and Clarifications.- (d) Field Orders.- (e) Rejecting Defective Work.- (f) Unit Price Determinations.- (g) Decisions on Disputes.- (h) Limitations on Engineer's Responsibilities.- (i) General.- (ii) Dangerous Language in Specifications.- (iii) Sureties.- 11. Changes in the Work, Price, and Time.- (a) General.- (b) The Change Order and the Work Directive Change.- (c) Work in Emergencies.- (d) Procedural Matters.- (e) Value of Change Order Work.- (f) Cash Allowances.- (g) Unit Price Work.- (h) Acts of God.- 12. Warranties and Guarantees.- 13. Quality of Work.- (a) Quality Called for by Contract Documents from the Owner's Point of View.- (b) Tests and Inspections.- (c) When the Work is Defective.- (i) Reject.- (ii) Correct, Move, and Replace.- (iii) Accept.- (iv) Stop the Work.- (v) Owner Does Work.- (vi) Remove Contractor from Job.- (vii) Waiver and Correction Period.- 14. Payments to the Contractor.- (a) General.- (b) Schedule of Values.- (c) Submission and Review of Application for Progress Payments.- (i) General.- (ii) Procedures.- (iii) Refusal of Payment.- (d) Substantial Completion.- (i) General.- (ii) Effect of Substantial Completion.- (iii) Procedure.- (iv) "Punch" List.- (v) Exclusive use of Site.- (e) Partial Utilization.- (f) Final Payment.- (i) Two Dates-Substantial and Final Completion.- (ii) Procedure and Conditions Precedent.- (iii) Surety.- (iv) Notice of Acceptance.- (v) Post-Construction Services.- (vi) Special Remedy for Contractor.- (vii) Contractor's Obligation is Absolute.- 15. Suspension and Termination.- (a) Suspension.- (b) Termination by Owner.- (i) Customary Defaults.- (ii) Termination without Cause.- (c) Termination by the Contractor.- 16. Arbitration.- 17. Miscellaneous.- 6. Additional Comments re Supplementary Conditions.- 1. General.- 2. Schedule of Events.- 3. Subsurface Data.- 4. Insurance.- 5. Subcontractors and Suppliers.- 6. Multi-Prime Contracts.- 7. Unit Price Work.- 8. Special Guarantees.- 9. Conditions Precedent to Substantial Completion.- 10. Additional Matters.- 7. Additional Comments Concerning Instructions.- 1. Introduction to New Form.- 2. Definitions.- 3. Qualification of Bidders.- 4. Examination of Work Conditions and Site by Bidder.- 5. Issuing Addenda.- 6. Substitutes.- 7. Subcontractor and Suppliers.- 8. Form of Bid.- 9. Withdrawal of Bid.- 10. Bidding Procedure.- 11. Award.- 12. Supplementary Instructions.- Footnotes.- Appendices.- Cross Reference Index.


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Product Details
  • ISBN-13: 9780442218041
  • Publisher: Kluwer Academic Publishers Group
  • Publisher Imprint: Kluwer Academic Publishers
  • Height: 230 mm
  • No of Pages: 320
  • Series Title: English
  • Weight: 1046 gr
  • ISBN-10: 0442218044
  • Publisher Date: /09/1986
  • Binding: Hardback
  • Language: English
  • Returnable: N
  • Spine Width: mm
  • Width: mm


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