Lecture Flashcards
1
Q
Contractor may bid or negotiate to do the work on the basis of being paid for the cost as they arise, in addition to being paid a fee
A
Cost-plus-fee Contract
3
Q
TYPES OF CONSTRUCTION CONTRACTS
A
Unit price
Maximum Cost
Lump Sum
Cost-plus-fee
4
Q
A legal claim against property that has been improved
A
Mechanics Lien
5
Q
A security interest in the title to the benefit of those who supplied labor or materials that improve the property
A
Mechanics lien
6
Q
Cost that cannot be allocated to specific projects (operating Overhead)
A
Indirect Cost
7
Q
Combines financial certainty of lump sum contracts and flexibility of cost-plus-fee contracts
A
Maximum Cost Contract
10
Q
Rights created by the mechanics lien
A
- Right to claim a lien
2. Right to be paid
11
Q
Percentage of money paid by the owner to the contractor and held in trust
A
Retention
12
Q
Advantage of Unit Price Contracts?
A
Permits adjustment (additional or deletion ) to be made in contracts
13
Q
Disadvantages of Unit Price Contracts
A
- Difficult to describe the work to be done
- Difficult to measure actual quantities of work
- Difficult to get lowest bid
14
Q
It is a type of contract which the designer, consultant or contractor determines the quantity of work
A
Unit price contract
15
Q
Arises out of the fact of doing construction work
Increases with growing output
A
Direct cost
16
Q
Advantages of maximum cost contract
A
Provides motivation for the contractor to keep the cost down while increasing profit margin
17
Q
Bids like lump sum contract; two sums is stated. Maximum cost and fee
A
Maximum Cost Contract
18
Q
The highest amount of money required to complete the project
A
Maximum Cost
19
Q
Return to entrepreneurs for taking risks
A
Profit
20
Q
Cost that cannot be allocated to specific items (job overhead)
- field supevision
- mark-up
- bonds and insurance
A
Direct Cost
22
Q
Cost incurred for specific items of work
- job-site labor
- temporary and permanent materials
- equipment Cost
A
Direct cost
23
Q
Arises out of the fact of construction work being business
May change if output changes,but not direct proportions
A
Indirect cost
24
Q
Serves as means if pricing construction projects
A
Construction Contract
25
Q
Construction cost
A
Direct cost and Indirect Cost
26
Q
The party who contracts with the owner to provide construction management services
A
Construction manager
27
Q
Parties who supplies materials, equipment, etc to build a project
A
Suppliers
28
Q
The party who contracts with the owner to construct the project or to do specific tasks as requested by the owner
A
Contractor
29
calculated as percent of fixed sum or percent of final cost
Fee
30
Contract with direct consultant
Indirect consulant
31
Contract directly to the designer
Direct consulatant
32
The party retained by the designer to resolve particular problems of design in portions of the total project, or provide highly specialized service
Consultant
33
The party retained by the owner to design the project as contemplated by the owner
Designer
34
Amount of money the contractor requires to cover operating overhead and profit
Fee
35
The party who owns the land, has the right to land, and who presumably has the means to develop the land
Owner/client
36
What are the means of providing security of a contractor?
Bid bond and performance bond
37
What are the means of providing security of the owner?
Rights to land
38
An arrangement whereby the project proponent undertakes the financing and construction of an infrastructure facility
Leases the facility to the government for a fixed period to recover investment
Build-Lease-Transfer
39
Government-funded projects
Public Construction Projects
40
Most common financing scheme for government projects since most infrastructures can be used by the paying public
Build-Operate-Transfer
41
Types of construction projects
Public and Private construction Projects
42
Common government-funded project
```
Roads/bridges/railroads
Airports and hangers
Portworks/river and shore improvement
Tunnels
Irrigation/drainage/water supply/sewerage
Buildings
```
43
Finances the project
Owner
44
In-charge with the overall coordination of kf the entire construction program
Project manager
45
Parties to a construction contract
1. Owner
2. Designer
3. Consultant
4. Contractor
5. Construction managers
6. Employees
7. Suppliers
8. Other parties
46
Participants of Construction Projects
Design professionals
Construction Professionals
Owner
Project Manager
47
Interpret or assist the owner in developing project scope
Design Professionals
48
Individual or organization for whom the project is built
Owner
51
Arrangement whereby the project proponent undertakes the financing and construction of an infrastructure facility
Operates the facility over a fixed term during w/c they are allowed to charge facility users to recover investment
Build-Operate-Transfer
53
Part of organization of parties to the contract who enter inti contract with other parties involved in the construction
Employees
64
Who has the power to control the price?
Contractor
65
How many percent the owner hold back to the contractor until the end of the contract?
10 - 15%
66
Steps of Construction Industry
Initiating
Planning
Executing
Closing
67
It is the appointing of Project team , conceptual planning, and feasibility studies.
Project Initiation Phase
68
It may overlap sometimes on other steps. It requires all plans, contract documents and bids
Project Planning Phase
69
It is the management and monitoring of the project where the owner’s fund is being used
Project Execution Phase
70
This provides documentations, as-built drawings, and operation manuals.
Notes capacity and purpose of the works
Project Close-out Phase
71
- Interpreter in developing of project scope
| - selects qualified designs consultants and contractors
Design Professionals
72
- In-charge with overall coordination
| - controls cost and schedules
Project Manager
73
- Construct then transfer to the government
| - paid by government
Build-and-Transfer (BAT)
74
An act authorizing the financing, construction, and maintenance of infrastructure projects sector, and for the purposes.
R.A. 7718
75
Discusses how BOT works
| Operates for less than 50 yrs
Ra 7718
76
They will construct and rent it then transfer to the government as much as possible, less than 50yrs
Build-Lease-Transfer
77
Voluntary arrangement between 2 or more parties
CONTRACT
78
Written according dates back to Roman Law
contract
79
* Concerned with crimes ( breach of statute or laws)
| * Punishment of Guilty Party
Criminal Law
80
Criminal Law uses what code?
Penal code
81
* Concerned with torts. ( Wrong done by one time party to another)
* Involved with Judgement
Civil Law
82
Civil Law uses what Code?
Civil Code
83
Jury and Prosecutor
Criminal Law
84
Plaintiff and Judge
Civil Law
85
Article for Obligation
Article 1156
86
Article for Contract
Article 1305
87
Classification of Contracts
1. Origin
2. Participant
3. Obligation
4. Completion Status
5. Form
6. Legal Status
88
Bilateral or unilateral contract
According to Obligation
89
According to Origin
- expressed
- implied
- Quasi - Contract
90
According to Participant
* 2-party
* Joint
* Several
* Joint and Several
* Third-Party Beneficiary
91
According to Completion Status
* Executory
| * Executed
92
According to Form
* Under Seal
| * Simple or Parole contract
93
According to Legal Status
* valid contract
* void Contract
* voidable contract
* unenforceable Contract
94
Stages of Construction
1. Preparation/ Conception
2. Perfection or Birth
3. Consummation or Death
95
Elements of a Contract
1. Mutual Agreement
2. Capacity
3. Genuine Intention
4. Lawful Obligation
5. Consideration
96
Acceptance of definite offer .
| - via advertisement or invitation
Mutual Agreement
97
No blackmailing or pressure
Otherwise, it shall be void
* determination to proceed with the contract
Genuine Intuitions
98
Contracts are for good things only.
Lawful Object
99
Value of money
Consideration
100
Methods of Discharging a Contract
1. All conditions are performed
2. Impossible to perform the contract
3. Breach of Contract
4. Abandonement of contract
5. Operation of the Law
101
Remedies for Breachof Contract
1. Sue for damage
2. Specific Performance
3. Injuction
4. Valuation
5. Exoneration
102
Clearing of Obligation
Exoneration
103
Services done must be paid
Valuation
104
The standard of practice is for Civil Engineers to be given of the following responsibility:
Studying
• Conceiving
• Designing
• observing construction
• assisting in the programming for operating and maintaining engineering works
105
What is the paramount in the Civil Engineer's work engagement.
Care and protection of the environment
106
The Civil Engineer, therefore, has obligations as
trustee to the public interest as well as faithful to the private interests of clients
107
PCAB
Philippine Contractors Authorization Board
108
CIAP
Construction Industry Authority Of the Philippines
109
PhilGEPS
Philippine Government Electronic Procurement System
110
CE Regulatory Board
RA 544
111
National Building Code
PD 1096
112
National Fire Code
PD 1185
113
National Sanitary Code
PD 856
114
Accesibility Law
BP 344
115
developed when customs and traditions are codified
Law
116
Fundamental Principle of CE
Civil Engineers should uphold and advance the integrity, honor and dignity of the civil engineering profession by:
Using their knowledge and skill for the
enhancement of the human welfare and
the environment
Being honest and impartial and serving
with fidelity the public, their employers/employees and clients
Striving to increase the competence and
prestige of the civil engineering profession,
and
Supporting the professional and technical societies of their discipline
117
Fundamental Canons
1 Civil Engineers shall hold paramount the safety, health and welfare of the public and shall strive to comply with the principles of sustainable development in the performance of their duties
2 Civil Engineers shall perform services only in areas of their competence
3 Civil Engineers shall issue public statements only in an objective and truthful manner
4 Civil Engineers shall act in professional matters for each employer or client as faithful agents or trustees, and shall avoid conflicts of interest.
5 Civil Engineers shall build their professional reputation on the merit of their services and shall not compete unfairly with others
6 Civil Engineers shall act in such a manner as to uphold and enhance the honor, integrity and dignity of the civil engineering profession
7 Civil Engineers shall continue their professional development throughout their careers, and shall provide opportunities for the professional development of those civil engineers under their supervision
118
standard of practice is for Civil Engineers to be given of the following responsibility:
Studying
Conceiving
Designing
observing construction
assisting in the programming for operating
and maintaining engineering works
119
▪ Individual or organization for whom the project is to be built
▪ Finances the project
▪ Selects qualified designers, consultants and
contractors
▪ Responsible for ensuring that all permits
necessary to authorize all works are secured to the satisfaction of the local authorities
Owner
120
▪ In-charge with the overall coordination of the entire construction program
▪ Facilitates bidding and awarding of contracts ▪ Controls cost and schedule
Project Manager
121
is the body of law that deals with crime and the legal punishment of criminal offenses.
Criminal Law
122
deals with the disputes between individuals, organizations, or between the two, in which compensation is awarded to the victim.
Civil Law
123
It is the declared policy of the State to promote the ideals of good governance in all its branches, departments, agencies, subdivisions, and instrumentalities, including government-owned and/or controlled corporations, and local government units.
RA 9184
| Government Procurement Reform Act
