category IV

Question 0

Under what conditions may the contractor request the owner to provide evidence of financial ability to fulfill the requirements of the contract?

Answer 0

// before the commencing of work, the contractor may request the owner to provide reasonable evidence that the owner has made financial arangement to fulfill the owner’s obligations under the contract

Question 1

What is AIA A201?

Answer 1

// AIA A201 is the general conditions of the contract for construction, which sets out the duties, responsibilities, and relationships of the three parties (owner, architect, and contractor) during construction

Question 2

After work has commenced, when can the contractor request evidence from the owner of financial ability to fulfill the contract requirements?

Answer 2

// after work has commenced, the contractor may only request evidence when:

// owner fails to make payments to the contractor

// change in work that changes the contract sum

// contractor identifies in writing reasonable concern regarding owner’s ability to fulfill obligations under the contract

Question 3

What documents is the owner required to give to the contractor?

Answer 3

// the owner shall furnish surveys, legal limitations, utility locations and a legal description of the site

// the owner must also furnish all information or service required by the contract documents

Question 4

What rights does the owner retain in regards to stopping the work?

Answer 4

// if the contractor fails to correct work that is not in accordance to the contract documents or repeatly fails to carry out the work, the owner may issue written order to stop the work until the cause of the order has been eliminated

Question 5

If the contractor neglects to carry out the work according to the contract documents, what option does the owner have to rectify the situation?

Answer 5

// the owner, upon a written notice with 10 days of warning, may correct any deficiencies in the work using his/her own forces

// a change order will be issued deducting from payments due the contractor the reasonable cost of correcting the work, including owner’s expense and compensation for the architect’s additional services if required

// such actions are subjects to prior approval of the architect

Question 6

What is the primary obligation of the contractor?

Answer 6

// the primary obligation and responsibility of the contractor is to perform the work in accordance with the contract documents

Question 7

Name two requirements of the contractor prior to execution of the contract.

Answer 7

// before commencing the work, the contractor is required to:

// visit the site

// become familar with the contract documents

// execution of the contract by the contractor is a representation that he/she has performed these actions

Question 8

What must the contractor do before commencing each portion of the work?

Answer 8

// the contractor shall carefully study and compare various contract documents (drawings, specifications, etc.) before starting each portion of the work

Question 9

Does the contractor review the contract documents for compliance with applicable laws, code, and regulations?

Answer 9

// no, the contractor is not required to determine that the contract documents are in accordance with applicable laws, statues, ordinances, codes, rules, regulations or lawful order of public authorities

// this is the responsibility of the architect

Question 10

What should the contractor do if he/she discovers inconsistencies within the contract documents?

Answer 10

// the contractor shall promptly report to the architect any errors, omissions or inconsistencies discovered by or made known to the contractor regarding the contract documents

Question 11

Who is responsible for the supervision and construction procedures of the work?

Answer 11

// the contractor shall be solely responsible for the construction means, methods and techniques, sequences, and procedures and for coordinating all portions of the work, unless the contract documents give other specific instructions

Question 12

Who is responsible to pay for labor and materials?

Answer 12

// unless otherwise provided for in the contract documents, the contractor shall provide and pay for labor, materials, equipment, tools, construction equipment and machinery, water, heat, utilities, transportation and other facilities and services necessary for proper execution and completion of the work

Question 13

What warranties are included with materials and equipment furnished under the contract?

Answer 13

// the contractor warrants to the owner and architect that materials and equipment furnished under the contract will be of good quality, free from defects, except for those inherent in the quality of the work

Question 14

Does the owner pay for the building permit?

Answer 14

// no, unless otherwise provided in the contract documents, the contract shall secure and pay for the building permit as well as for other permits, feeds, licenses, and inspections by governmental agencies necessary for proper execution and completion of the work

Question 15

What is the contractor subject to if he/she knowingly performs work in violation of laws, codes, and/or regulations?

Answer 15

// if the contractor knowingly performs work in violation of laws, codes, and/or regulations, the contractor shall assume responsibility of the work and bear the costs of correction

Question 16

What must the contractor do if concealed or unknown conditions are encountered on the site?

Answer 16

// if the contractor encounters concealed or unknown conditions during construction, he/she shall promptly notify the owner and architect before conditions are disturbed and in no event later than 21 days after the first observation

Question 17

A contractor discovers a wetland on the site not indicated on the contract documents. What must he/she do?

Answer 17

// if the contract encounters human remains, archeological sites or wetlands not indicated in the contract documents, he/she shall immediately suspend work and notify the owner and architect

// upon receipt of such notice, the owner shall take action to obtain governmental authorization required to resume operations

Question 18

Does a contract allowance cover labor, installation or overhead costs?

Answer 18

// no, a contract allowance shall cover the cost to the contractor of materials and equipment delivered to the site and all required taxes

// the contractor’s cost for unloading and handling at the site, labor, installation costs, overhead, profit, and other expenses shall be included in the contract sum, but not in the allowances

Question 19

What are shop drawings, product data and samples?

Answer 19

// shop drawings are drawings, diagrams, schedules and other data specific to the work

// product data are illustrations, standard schedules, performance charts, instructions, brochures, diagrams, etc illustrating materials or equipment for some portion of the work

// samples are physical examples that show materials, equipment or workmanship and establish standards for judging the project

Question 20

Who is responsible for receiving and approving shop drawings before they are sent to the architect?

Answer 20

// the contractor shall review shop drawings, product data and samples for compliance with the contract documents, approve and submit to the architect for review

Question 21

What is represented to the owner and architect when the contractor submits shop drawings, product data and samples?

Answer 21

// the contractor represents that he/she has:

// reviewed and approved the documents

// determined and verified materials, field measurements and field construction criteria, or will do so

// checked and coordinated information with the contract documents

Question 22

The Contractor has consistently failed to keep the site clean and free of debris. What option does the owner have in this situation?

Answer 22

// if the contractor fails to clean up as provided in the contract documents, the owner may do so and shall be entitled to reimbursement from the contractor

Question 23

What is the architect’s primary obligation during the construction phase?

Answer 23

// the architect will provide administration of the contract as described in the contract documents and will be the owner’s representative during construction until the date the architect issues the final certificate of payment

// the architect will review work for compliance with contract documents and keep owner informed of the progress of the work

Question 24

What is the architect required to do regarding site visits?

Answer 24

// the architect will visit the site at intervals appropriate to the stage of construction to become generally familar with the progress and quality of the work // the architect will not be required to make exhaustive or continuous on site inspections

Question 25

What information should the architect report to the owner during construction?

Answer 25

// on the basis of site visits, the architect will keep the owner informed about the progress and quality of the work and report to the owner: // known deviations from the contract documents // defects and deficiencies observed in the work

Question 26

How is communication between the owner and contractor provided for in AIA A201?

Answer 26

// the owner and contractor shall communicate with each other through the architect, unless otherwise provided in the the contract documents // communications by and with the architect's consultants shall be through the architect // communication by and with subcontractors shall be through the contractor

Question 27

What is the responsibility of the architect in regards to contractor's applications for payment?

Answer 27

// the architect will review and certify the amounts due to the contractor and will issue certificates for payment in such amounts

Question 28

When does the architect have the authority to reject work?

Answer 28

// the architect has the authority to reject work that does not conform to the contract documents // the architect may also require inspection or testing of the work whenever he/she considers it necessary or advisable

Question 29

Who is responsible for preparing change orders and construction change directives?

Answer 29

// the architect // he/she may also authorize minor changes in the work that do not affect contract time or sum

Question 30

When is the architect required to conduct inspections of the work?

Answer 30

// the architect will conduct inspections to determine the date of substantial completion and final completion // the architect will issue the certificate of substantial completion, forward written warranties and related documents to the owner, and issue a final certificate for payment

Question 31

When making decisions about compliance of the work in relation to the contract documents, which party should the architect favor?

Answer 31

// neither // when making interpretations or decisions about compliance of the work in relation to the contract documents, the architect shall endeavor to secure faithful performance by both owner and contract and will not show partiality to either party and not be responsible for decisions rendered in good faith

Question 32

Under which circumstances are the architect's decisions final?

Answer 32

// the architect's decisions on matters relating to aesthetic affect will be final if consistent with the intent expressed in the contract documents

Question 33

What responsibility does the architect have regarding requests for information (RFI)?

Answer 33

// the architect shall review and respond to RFIs about the contract documents in writing within any time limits agreed upon or otherwise reasonable promptness

Question 34

A subcontractor requests direction from the architect. How should he/she respond?

Answer 34

// the architect should inform the subcontractor that he/she is not responsible for directing subcontractors or employees of the contractor and should ask the contractor for guidance // any issues or concerns should then be communicated by the contractor to the architect

Question 35

Does the architect have the authority to stop the work?

Answer 35

// no // the owner, contractor (if payments not received), and the local building official have the authority to stop the work // the architect does not

Question 36

Who is the initial decision maker and what do they do?

Answer 36

// the initial decision maker is the person identified to render initial decisions on claims and, unless the owner and contractor choose otherwise, is filled by the architect // the architect shall endeavor to fairly and impartially try to resolve a dispute

Question 37

What is the next step if the initial decision maker is unable to settle a conflict between the owner and the contractor?

Answer 37

// if the architect is unable to resolve a conflict between the owner and contractor, or if doing so would be a conflict of interest to the architect, the next step would be a formal process of mediation administered by the american arbitration association

Question 38

What is mediation?

Answer 38

// mediation is the first line of conflict resolution if parties are unable to resolve it themselves // it is a form of alternate dispute resolution and it must take place before arbitration // it is also a non-binding form of dispute resolution // a neutral third party aims to assist two (or more) parties in reaching an agreement // both parties share the expenses of mediation

Question 39

How is arbitration different from mediation?

Answer 39

// both are forms of alternate dispute resolution // arbitration is used when mediation is unable to resolve a dispute // the main difference is mediation is non-binding and arbitration is binding

Question 40

Why is arbitration a preferable method of dispute resolution over litigation?

Answer 40

// arbitration tends to be less expensive and it is also faster // the decision of the arbitrator, although binding, is private information, while litigation is public

Question 41

What is the one benefit of litigation over arbitration?

Answer 41

// litigation is when a dispute is resolved in court // it is an expensive and long process involving attorneys, however, unlike arbitration the judge's decision can be appealed

Question 42

What are the three ways in which the contract may be changed or modified?

Answer 42

// change order // architect's supplemental instructions // construction change directive

Question 43

Define supplemental instructions.

Answer 43

// supplemental instructions are additional instructions or interpretations by the architect // they call for minor changes in the work and assist the architect in performing obligations as interpreter of the contract documents // there is no change in contract time or sum and this document only requires the architect's signature

Question 44

How is a change order different from a construction change directive?

Answer 44

// a change order is prepared by the architect, signed by the architect, owner, and contractor, and includes a description of the change and cost or time adjustment // a construction change directive is only signed by the architect and owner. it directs a change in work prior to an agreement in the contract sum or time adjustment and is used in absence of total agreement on the terms of a change order

Question 45

Describe the change order process.

Answer 45

// contractor notifies in writing of the proposed changed (owner may request as well) // architect completes a proposal request detailed changed work and sends to contractor // contractor submits an impact of cost and time of proposed work to architect for review // if owner decides to go ahead with work, architect prepares the change order and all three parties sign

Question 46

If a construction change directive provides for an adjustment to the contract sum, what is the adjustment based on?

Answer 46

// mutual acceptance of a lump sum properly itemized and supported by sufficient data // unit prices stated in the contract documents or subsequently agreed upon // cost to be determineed in a manner agreed upon by the parties and a mutually acceptable fixd or percentage fee

Question 47

What is the contractor's responsibility upon receipt of a construction change directive?

Answer 47

// upon receipt of a construction change directive, the contractor shall promptly proceed with the change in the work involved and advise the architect of the contractor's agreement or disagreement with the method, if any, provided for determining the proposed adjustment in the contract sum or contract time

Question 48

How does AIA 201 define the contract sum?

Answer 48

// the contract sum is the total amount payable to the owner to the contractor for performance of the work under the contract documents

Question 49

What is a schedule of values and how does the architect use this document?

Answer 49

// the schedule of values is submitted by the contractor to the architect prior to the first application for payment // this document allocates the entire contract sum to the various portions of the work // this schedule is used by the architect as a basis for reviewing contractor's application for payment

Question 50

Describe the application for payment procedure.

Answer 50

// 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 // 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 site

Question 51

When does the architect issue a certificate for payment?

Answer 51

// within 7 days after receipt of the contractor's application for paument, the architect shall either issue to the owner a certificate for payment, with a copy to the contractor, for such amount the architect determines its properly due, or notify the contractor and owner in writing of the architect's reasons for withholding certification in whole or in part

Question 52

What does the issuance of a certificate of payment not represent on behalf of the architect?

Answer 52

// exhaustive or continuous on-site inspections // reviewed construction means, methods, techniques, sequences or procedures // reviewed copies of requistions received from subcontractors and material suppliers // made examination to ascertain how the contractor has used money previously paid on account of the contract sum

Question 53

Under what conditions can the architect withhold certification?

Answer 53

// if the work on the application does not match the work completed in the field, the architect will discuss this with the contractor // if an agreement cannot be reached, the architect will issue the application of certificate of payment to the owner for the amount the architect believes to be accurate

Question 54

When must the contractor pay his/her subcontractors?

Answer 54

// the contractor shall pay each subcontractor no later than 7 days after receipt of payment from the owner the amount to which the subcontractor is entitled

Question 55

When does the owner make payments to the contractor?

Answer 55

// once the owner receives the approved application and certificate of paument from the architect, he/she makes payment to the contractor

Question 56

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

Answer 56

// 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 applciation of payment

Question 57

What conditions must be present in order for the contractor to stop the work?

Answer 57

// if the architect does not issue a certificate for payment through no fault of the contractor, or if the owner does not pay the contractor within 7 days after the date established in the contract documents, then the contractor may, upon 7 additions days' written notice to the owner and architect, stop the work until payment of the amount owed is received

Question 58

Under what circumstances would the owner contact a subcontractor directly?

Answer 58

// if the contractor fails to furnish written evidence that the subcontractors have been properly paid, after a request from the owner to do so, then the owner shall have the right to contact subcontractors to ascertain whether they have been properly paid

Question 59

What is the contractor entitled to if the work is stopped due to non-payment?

Answer 59

// the contract time shall be extended appropriately and the contract sum shall be increased by the amount of the contractor's reasonable costs of shut-down, delay, and start-up, plus interest as provided for in the contract documents

Question 60

What is substantial completion?

Answer 60

// substantial completion is when the work is sufficiently complete in accordance with the contract documents and ready for the owner's occupancy and use

Question 61

What process is required in order to issue the certificate of substantial completion?

Answer 61

// contractor submits to architect a punch list of items to be completed prior to final payment // architect makes inspection to determine if work is substantially complete. if not, contractor shall complete the work prior to the issuance of a certificate of substantial completion // once completed, architect issues certificate of substantial completion to owner and contractor

Question 62

What does the certificate of substantial completion establish?

Answer 62

// the date of substantial completion // establish the responsibilities of the owner and contractor for security, maintenance, heat, utilities, damage to the work and insurance (typically transferred to the owner) // warranty period begins for work // release of retainage to contractor

Question 63

When can the owner occupy any portion of the work?

Answer 63

// the owner may occupy any portion of the work when such portion is designated by separate agreement with the contract, provided such occupancy is consented to by the surety and authorized by the public authority having jurisdiction (building official) over the project

Question 64

Describe the process for final completion and final payment

Answer 64

// contractor submits to the architect the final applicable for payment // architect makes inspection to determine final completion, that all remaining work is completed in accordance with the contract documents // architect issues a final certificate of payment to the owner which states that the work has been completed in accordance with the contract documents and then entire balance is now due

Question 65

What must the contractor submit to the architect in order to receive final payment?

Answer 65

// affidavit that payrolls, bills for materials and equipment and other indebtedness have been paid or satisfied // submit contractor's affidavit of release of liens // certificate stating that the insurance is in effect and no known security for it not being renewable // consent of surety // proof of release of all applicable liens from subcontractors, material suppliers, and vendors

Question 66

How does filing the notice of completion affect the period for contractors and subcontractors to file liens?

Answer 66

// if the owner files the notice of completion with the county clerk recorder's office, it has the following effect on lien periods: // prime contractors: reduces the lien period from 90 days to 60 days // subcontractors: reduces the lien period from 60 days to 30 days // if no notice of completion is filed, lien period is 90 days for both prime and sub contractors

Question 67

Who issues the certificate of occupancy?

Answer 67

// the building official issues the certificate of occupancy after conducting final inspection and walk through with the contractor // once the certificate of occupancy is issued, the owner can legally occupy the building

Question 68

What role does the architect have during the close out process?

Answer 68

// issues certificate of substantial completion // completes final walk through with owner and contractor // issue final certificate for payment // submit final architect's invoice to owner // assemble and file for future reference complete project and cost records for both construction and professional services

Question 69

What are the contractor's responsibilities during close out?

Answer 69

// provides punch list // submits warranties, maintenance contracts and instruction to owner // deliver replacement and maintenance stock of material as required to owner // instruct owner in maintenance and operations // clean-up construction debris // submits final application for payment // submits full lien releases

Question 70

What duties must the owner complete during project close out?

Answer 70

// makes final payment to architect // makes final payment to contractor // files notice of completion

Question 71

When a contractor or subcontractor accepts final payment, what rights are they essentially waiving?

Answer 71

// acceptance of final payment by the contractor, a subcontractor or material supplier shall consitute a waiver of claims by that payee except those previously made in writing and identified by that payee as unsettled at the time of final application for payment

Question 72

A contractor is held liable by a government agency for remediation of hazardous materials discovered on the project site. What action must the owner take in this situation?

Answer 72

// if, without negligence on the part of the contractor, the contractor is held liable by a government agency for the cost of remediation of a hazardous material or substance solely by reason of performing work as required by the contract documents, the owner shall indemnify the contractor for all cost and expense thereby incurred

Question 73

During a site visit, the architect discovers a portion of the work was covered prior to a required inspection. What can the architect require of the contractor?

Answer 73

// if a portion of the work is covered contrary to the architect's request or to requirements specifically expressed in the contract documents, it must, if requested in writing by the architect, be uncovered for the architect's examination and be replaced at the contractor's expense without change in the contract time

Question 74

If work uncovered at the architect's request is found to be in accordance with the contract documents, who is responsible for the expense of the change order?

Answer 74

// the architect may request to see work and it shall be uncovered by the contractor // if such work is in accordance with the contract documents, costs of uncovering and replacement shall, by appropriate change order, be at the owner's expense // if such work is not in accordance with the contract documents, such costs and the cost of the correction shall be at the contractor's expense

Question 75

If the uncovered non-conforming work was the result of the owner or a separate contractor, who is responsible for the expense of correcting the work?

Answer 75

// if the condition of the non-conforming work uncovered by the contractor was the result of the owner or a separate contractor, the owner shall be responsible for payment of such costs and expenses related with uncovering and correction of the work

Question 76

What is the warranty period for the contractor's work?

Answer 76

// the contractor must correct any work not found to be in compliance with the contract documents within 1 year of substantial completion

Question 77

What is the warranty period for work performed after substantial completion?

Answer 77

// the one-year period for correction of work shall be extended with respect to portions of work first performed after substantial completion by the period of time between substantial completion and the actual completion of that portion of the work

Question 78

Can the owner accept work that is not in accordance with the requirements of the contract documents?

Answer 78

// yes // if the owner prefers to accept work that is not in accordance with the requirements of the contract documents, the owner may do so instead of requiring its removal or correction, in which case the contract sum will be reduced as appropriate and equitable

Question 79

What is the statute of limitations for patent (visible or apparent by reasonable inspection) defects in the work?

Answer 79

``` // statute of limitations is 4 years // no action shall be brought to recover damages from any person performing or furnishing the design, specifications, surveying, planning, supervision, or observation of construction or construction of an improvement to real property more than four (4) years after the substantial completion of such improvement ```

Question 80

What is the statute of limitations for latent (hidden by reasonable inspection) defects in the work?

Answer 80

// statute of limitations is 10 years // no action shall be brought to recover damages from any person performing or furnishing the design, specifications, surveying, planning, supervision, or observation of construction or construction of an improvement to real property more than ten (10) years after the substantial completion of such improvement

Question 81

What is the statute of limitations for contractual libaility in the State of California?

Answer 81

// the statute of limitations for contactual liability (relating to upholding written agreement or contracts) in caliofrnia is four (4) years from the date of the default in the contract

Question 82

What are special inspections?

Answer 82

// special inspections are inspections as required of the materials, installation, fabrication, erection of placement of components and connections requiring special expertise to ensure compliance with approved construction documents and reference standards // they can be continuous (full time observation of the work) or periodic (part time or intermittent observation of the work)

Question 83

Who performs special inspections?

Answer 83

// a special inspector shall be a qualified person who shall demonstrate competence, to the satisfaction of the building official, for inspection of the particular type of construction or operation requiring special inspection // the owner shall employ one or more special inspectors to provide inspection during construction

Question 84

What is a statement of special inspection?

Answer 84

// where special inspection or testing is required, the registered design professional in responsible charge shall prepare a statement of special inspections for submittal by the permit applicant (this usually appears on the structural engineer's drawings, depending on the firm/project)

Question 85

Who performs structural observations?

Answer 85

// the owner shall employ a registered design professional to perform structural observations (usually the structural engineer) // at the conclusion of the work included in the permit, the structural observer shall submit to the building official a written statement that site visits have been made and identify any reported deficiencies that have not been resolved

Question 86

What steel components or assemblies require special inspections?

Answer 86

// material verification for high strength bolts // high strength bolts // material verification of structural steel // welding of structural steel // steel joint frame details for compliance with construction documents

Question 87

What types and components of concrete require special inspection?

Answer 87

// reinforcing steel and welding // bolts, anchors, and formwork // verifying use of required design mix // sample concrete during placement for subsequent strength testing (core test) // shotcrete (sprayed on concrete mixture) // proper curing temperatures & techniques // prestressed concrete & erection of precast members

Question 88

What other assemblies, components, and site conditions require special inspections?

Answer 88

// seismic resistance structural systems // high load diaphragms in wood frame construction (shear walls) // structural masonry // pile foundations // smoke control systems // sprayed fire-resistant materials (thickness, etc) // exterior insulation and finish systems

Question 89

Who is responsible for the costs related with tests and inspections?

Answer 89

// the contractor shall make arrangements for tests and inspections and shall bear all related costs of test, inspections, and approvals // the owner shall bear the costs of tests, inspections or approvals that do not become requirements until after bids are received or negotiations concluded; and tests, inspections, or approvals where building codes prohibit the owner from delegating costs to the contractor

Question 90

Why does project type have an affect on the architect's performance of contract administration?

Answer 90

// the architect is required to perform contract administration on essential services buildings, public schools, community colleges and hospitals // contract administration is performed as a standard of practice for non-essential buildings // these different building types require different amounts of contract administration and will in effect determine the architect's fees

Question 91

Name the typical documents the architect is responsible for creating during contract administration.

Answer 91

// architect's supplemental instructions // change order // construction change directive // application & certificate for payment // certificate of substantial completion // architect's field report // responses to request for information (RFI)

Question 92

What other documents are typically used during contract administration?

Answer 92

// contractor's affidavit of releases of liens // shop drawings and sample record // proposal request // certificate of occupancy (issued by building official) // notice of completion (filed by owner)

Question 93

What is the responsibility of the architect in reviewing shop drawings?

Answer 93

// the architect reviews shop drawings only for the limited purpose of checking for conformance with the contract documents and compliance with the design intent

Question 94

How does the involvement of a construction manager affect contract administration?

Answer 94

// the involvement of a construction manager does not limit the liability of the architect, however, some of the responsibilities may be reduced in accordance with the construction manager advisor edition of the owner and architect agreement

Question 95

What items is a construction manager (CM) responsible for?

Answer 95

// determine work is performed in accordance with construction documents // inform owner of the progress of the work // endeavor to guard owner from defects in the work // owner/contractor communicate through CM // review and certify applications for payment // prepare change orders and construction change directives // architect still approves change orders and applications for payment

Question 96

If a construction manager is brought on during contract administration, what responsibilities does the architect retain?

Answer 96

// the construction manager will endeavor to keep the architect in the loop, particularly in matters of communication between the owner and contractor. the architect is still responsible the following: // approving applications for payment // approving change orders and construction change directives

Question 97

What conditions must exist for the contractor to terminate the contract?

Answer 97

// upon 7 days written notice to the owner and architect, the contractor may terminate: // if work is stopped for 30 consecutive days through no act or fault of the contractor // acts of government or court order stopping work // non-payment by owner // owner fails to furnish financial evidence of being able to complete requirements of contract

Question 98

When may the owner terminate the contract for cause?

Answer 98

// owner may terminate the contract with 7 days written notice if contractor: // repeatedly refuses or fails to supply enough workers or materials // fails to make payment to subcontractors // repeatedly disregards applicable laws, codes, etc // is guilty of substantial breach of the contract documents

Question 99

Under what conditions can the owner suspend the project?

Answer 99

// the owner may, without cause, order the contractor in writing to suspend, delay, or interrupt the work // the contract sum and time shall be adjusted for increases in the cost and time caused by suspension, delay, or interruption, unless the suspension was due to a cause by the contractor

Question 100

When may the owner terminate the contract for convenience?

Answer 100

// the owner may, at any time, terminate the contract for the owner's convenience and without cause // upon receipt of written notice from the owner of such termination, the contractor shall cease operations, take actions necessary for the protection and preservation of the work, and terminate all existing subcontracts except for work directed to be performed prior to the effective date of termination