CE_Ojective 3.4 Flashcards
Claim
A claim is a legal motion where one party demands money or other forms of compensation from another party, on the basis of a contractual right or obligation to which both parties are bound. During construction it is important for the Architect to be diligent in solving disputes quickly to avoid claims, which can be time consuming and expensive to resolve.
Nonconforming work
Nonconforming work is any work which the architect deems to not have been executed in accordance with the contract documents.
Binding (dispute resolution)
Binding dispute resolution, such as arbitration or litigation, means that all parties must abide by the decision of the arbiter or judge, or else they would face legal consequences. During construction, the Architect must be familiar with all contractual dispute resolution methods, both binding and non-binding.
Consolidation or joinder (legal)
Consolidation/joinders occur when multiple similar legal cases are combined into one. For instance, during construction if the Contractor did not pay multiple Subcontractors, each of whom filed a suit, the court may consolidate these individual cases into one larger hearing or trial against the Contractor.
Arbitration
A method of dispute resolution in which an arbitrator assesses the case made by each party of the dispute, and makes a binding decision.
Mediation
A type of non-binding dispute resolution in which a third party (the mediator) evaluates the positions of each party to the dispute. The AIA generally requires mediation to occur before pursuing binding dispute resolution.
Indemnification
Indemnification is a legal relationship where one party takes on responsibility for the loss or damage suffered by another party. The AIA contracts contain extensive references to this concept throughout, as the owner, architect, and contractor each indemnify the other in various ways.
Non-binding (dispute resolution)
Non-binding dispute resolution is a type of mediation that does not require participants to abide by the decision of the facilitator/mediator, but the advantage is that it is less time consuming and less costly than other forms of dispute resolution. The AIA documents generally require a form of mediation to be attempted prior to the pursuit of litigation or arbitration.
Waiver of subrogation
A waiver of subrogation occurs when an insured party waives the right of their insurer to pursue repayment for damages paid out on their (the insured party’s) behalf. These waivers are included in AIA documents in an attempt to discourage litigious behavior among the owner, architect, and contractor.
