ARE CE #1

Question 1

When does the Owner Make payments to the Contractor?

Answer 1

Once the Owner receives the approved Application and Certificate of Payment from the Architect, he/she makes payment to the Contractor.
See AIA A201 9.6.1

Question 2

Can the Architect adjust the amount the contractor is paid?

Answer 2

Yes, it the Work completed does not match the Application and Certificate for Payment, the Architect can adjust the amount.
See AIA A201 9.4

Question 3

What must the contractor warrant upon submittal of an application of payment?

Answer 3

The Contractor warrants upon submittal of an Application for Payment, that all previous Work shall be free and clear of Liens. This means the Contractor would need to submit lien releases for previous work with the submittal of the new Application for Payment.
See AIA A201 9.3.3

Question 4

Describe the Application for

Payment procedure.

Answer 4

1. At least 10 days before the established date for each progress payment, the Contractor completes and submits the Application and Certificate for Payment to the Architect.
2. Payments shall be made on account of materials and equipment delivered and stored on site. If approved in advance by the Owner, payment may be made for materials and equipment stored off the site.
   See AIA A201 9.1

Question 5

When does the Architect issue a

Certificate for Payment?

Answer 5

Within 7 days after receipt of the Contractor’s Application for Payment, the Architect shall either issue to the Owner a Certificate for Payment, with a copy to the Contractor, for such amount the Architect determines is properly due, or notify the Contractor and Owner in writing of the Architect’s reasons for withholding certification in whole or in part.
See AIA A201 9.4.1

Question 6

What does the issuance of a Certificate of Payment NOT represent on behalf of the
Architect?

Answer 6

1. Exhaustive or continuous on-site inspections.
2. Reviewed construction means, methods, techniques, sequences or procedures.
3. Reviewed copies of requisitions received from subcontractors and material suppliers.
4. Made examination to ascertain how the Contractor has used money previously paid on account of the Contract Sum.
   See AIA A201 9.4.2