L2 - Contract Forms

Question 1

Components and Functions - what constitutes the contract documents?

Answer 1

The agreement.
Drawings.
Specifications.
Addenda (Changes issued prior to the bid).
Modifications (changes issued after the bid).
Any documents incorporated by reference.

Question 2

Developing Contract Documents for a Project

Answer 2

Standard forms: AIA, CMAA, other organizations forms.
Customized forms: County government.
Combination of both.

Question 3

Standard Form Contracts - Advantages

Answer 3

Increase the predictability of project outcomes.
Increase the consistency of pricing.
Simplify management.
Regularly updated.

Question 4

Standard Form Contracts - Most Common

Answer 4

AIA - American Institute of Architects.
AGC - Associated General Contractors.
CMAA - Construction Management Assoc. of America.
DBIA - Design Build Institute of America.
Owner specifc

Question 5

Standard Form Modifications - When making modifications consider:

Answer 5

Seeking advice of legal counsel.
Assuring modifications are properly coordinated with other project documents.
Thinking ahead: How will modifications be received?
Placing responsibility and authority with the party best able to perform duties and control the risks.

Question 6

CMAA Contracts - intent to provide documents that:

Answer 6

Provide contractually specified duties.
Avoid concurrent or undefined responsibilities.
Minimize conflicts between the CM, designer and contractors.

Question 7

CMAA Contracts: Agency (A) Series

Answer 7

Document A-1: Agreement between owner and CM.
Document A-2: Agreement between owner and Contractor.
Document A-3: General conditions of the contract.
Document A-4: Agreement between owner and Designer.

Question 8

CMAA Contracts: CM at Risk (CMAR) Series

Answer 8

Document CMAR-1: Agreement between owner and CM.
Document CMAR-2: Agreement between CM and Contractor.
Document CMAR-3: General conditions of the contract.
Document CMAR-4: Agreement between owner and Designer.

Question 9

AIA Contracts Comparable to CMAA Agency Series

Answer 9

A101-2007: Owner and Contractor
A201-2007: General Conditions
B132-2009: Owner and architect; Cm as agent of the owner.
C132-2009: Owner and CM as agent.

Question 10

AIA Contracts Comparable to CMAA CM at Risk Series

Answer 10

B132-2009

A132-2009

Question 11

CMAA and AIA Agency Contract comparison (CMAA A1-A4 vs. AIAB141,B801)

Answer 11

= 1 or more construction contracts
= Designer handles design
- CM is the owner’s principal agent / designer is the owner’s principal agent
- CM handles contract Admin / Designer handles contract Admin

Question 12

CMAA Agency Series Key Points 1 of 2

Answer 12

The CM is employed prior to the designer.
CM is owner’s principal agent.
CM helps select the designers.
CM and designer agree to cooperate.
CM does a PM plan.
CM and designer can rely on each others work, products and services.
Owner approves the plan, designer may comment or suggest revisions.
CM prepares cost estimates of the project.

Question 13

CMAA Agency Series Key Points 2 of 2

Answer 13

Designer has sole responsibility for design and specifications for materials/equipment.
Designer’s basic services during construction are relatively limited.
The CM determines the contractor’s compliance with the contract docs.
Designers additional services: site visits, review of progress payments, design change.
CM approves contractor’s request for payment.

Question 14

CMAA CM at Risk CMAR 1-4

Answer 14

CM’s extensive professional services during design.
Self-performed work only if low bid>owner approves>separate GMP contract is signed.
Owner may reject GMP, CM may contnue as agent.
Owner may require additional services after GMP is signed.

Question 15

AIA CM at Risk AIAB141, B121

Answer 15

CM’s limited professional services during design.
CM may self-perform work at their own discretion without submitting bids.
No option for owner to reject GMP and continue CM’s services.
No option for owner to require additional services after GMP is signed

Question 16

CMAA CMAR Series Key Points

Answer 16

Prior to GMP, the CM functions as the agent of the
owner.
If owner accepts the GMP:
-CM assumes role of contractor
-CM is responsible for the project.
-CM must bid (and be low bidder) on work to be self-performed, must sign separate contract.
-The project team concept is to be maintained.
If owner rejects the GMP the owner can:
-Terminate the contract “for convenience”.
-Continues with the designer and CM as agents, has to modify the agreements.
-Procure construction services through a re-bid (or negotiation) of the work to third parties.

Question 17

Detailed contents of CMAA Agency Series General Conditions

Answer 17

Inspection, testing, and rejection of non-conforming work.
Provide a vehicle for making changes to the contract price and time.
Insurance requirements for the contractor and owner.
Avenues for contract termination: convenience, default.
Defining a mechanism for dispute resolution.
Responsibilities of the owner, CM, designer, contractor.
Site safety.
Monitoring time and progress of the work.
Responsibilities/duties to subcontractors and suppliers.
Owner’s right to perform work / issue separate contracts.
Procedures for progress payments, withholding payments, and issuing final payment.