Contracts

Question 1

What would be included in a set of contract documents?

Answer 1

Contract, Schedules, Specification, Drawings, Consultant drawings and information, Bill of Quantities (if required)

Question 2

When using the ABIC lump sum contract who are the parties that sign the contract documents?

Answer 2

Owner and Contractor

Question 3

Name 3 different standard forms of lump sum building contracts.

Answer 3

ABIC suite (BW, SW, MW), AS 4000.
Also MBA Lump Sum.

Question 4

Name 3 different standard forms of lump sum building contracts.

Answer 4

ABIC SW‐2008: it has been prepared in conjunction with the AIA and MBA to create a fair contract that benefits the interests of the parties involved, but also for the architect/administrator. It correlates with the Institute Client/Architect Agreement.

Question 5

Which contract would you recommend for a large commercial project and why?

Answer 5

ABIV MW‐2008: it has been prepared in conjunction with the AIA and MBA to create a fair contract that benefits the interests of the parties involved, but also for the architect/administrator. It correlates with the Institute Client/Architect Agreement.

Question 6

Describe at least 3 separate non-traditional (i.e. other than a lump sum) forms of procurement.

Answer 6

Cost‐Plus Contract, Design and Construct, Novation.

Question 7

What role does the architect play in the commonly used standard lump sum contracts?

Answer 7

As the contract administrator and independent assessor of claims, variations etc that are processed throughout the construction of a building. They are not a party to the contract and therefore have no financial interest in it. This allows them to remain autonomous during their administration.

Question 8

What are the fundamental obligations of the owner in an ABIC contract

Answer 8

To give the contractor possession of the site to carry out the works, to pay any claims or variations as assessed by the architect, to allow the architect to carry out their work independently.

Question 9

What are the fundamental obligations of the contractor in an ABIC contract

Answer 9

To take possession of the site and begin work within 10 days of signing the contract, to perform the works in a competent and workmanlike manner,

Question 10

What is the purpose of the Schedules in an ABIC contract?

Answer 10

To detail particular requirements or conditions of a contract.

Question 11

Can you use the Australian Standard AS-2124 contract for residential work?

Answer 11

Yes - it is the predecessor to AS-4000 but one is not necessarily better than the other 2124 tends to favour client, 4000 contractor).

Question 12

Can you use an ABIC contract for residential work?

Answer 12

Yes. You can use ABIC contracts (Basic Works, Simple Works, and Major Works). The most suitable will be chosen for the complexity and scale of the project.

Question 13

Who are the parties who sign the ABIC contract?

Answer 13

Owner and Contractor only.

Question 14

Who are the parties who sign an AS 2124 contract?

Answer 14

Owner and Contractor only.

Question 15

Who are the parties who sign an AS 4000 contract?

Answer 15

Owner and Contractor only.

Question 16

Your client and the Contractor want to use a MBA standard form of lump sum contract. Is there any problem with this proposal?

Answer 16

This kind of contract is prepared by the Master Builder’s Association and been prepared to protect the interests of the contractor, and usually with little concern for the architect’s as administrator, or client.