Legal Issues - COMPLETE Flashcards
Agency
the agent (architect) acts on behalf of the Principal (client/owner) in dealing with third parties (contractors)
Contractors
vendors acting in their own interest, providing products for a fixed price
Duties
set of terms or requirements one person owes to another. Established through contract and legislation (building codes)
Implied Duties
established through conduct (ex. architect has implied duty to contractor to not interfere, etc.)
Instruments of Service
project drawings, models, representations, or any other tangible and intangible work performed by the Architect and their consultants
Liability
legal responsibility for injury to another person or damage to property
Negligence
four components required: duty, breach, cause, damge
In terms of negligence - what is duty?
What is owed by one party to another
In terms of negligence - what is breach?
Breach of duty (what is owed by one party to another)
In terms of negligence - what is cause?
Harm, caused by the result of the breach (of duty)
In terms of negligence - what is damage?
Damage that can be assessed
Vicarious liability
indirect liability imposed on a party when someone they are responsible for makes a mistake. Ex. Owner>Architect>Consultants. Architect may be held liable for the actions of their conultants
Standard of Care
the level of skill and diligence that a reasonably prudent architect would exercise in the same community, in the same time frame, and given the same facts (budget, schedule, complexity). Architect’s should be weary of raising the standard of care by assuming extra responsibilities or making guarantees above this baseline expectation of proficiency
Exposure to Third Party Claims
Architects can be held responsible for negligent acts or errors and omissions that injure or damage third parties with no contractual relationship
Privity
legal concept that a contract cannot confer rights or impose obligations upon any person not in that contract. privity implies liability (ie. architect to subcontractor). Architects remain responsible for public health and safety, and can in this respect be held liable for instructions they give or fail to give
Indemnification
if you are indemnified, you are ‘held harmless’ against the actions of specific named parties. Stated in AIA A201, Architects & Owners
Statute of Limitations
window within which damages can be reported that begins after damages are discovered
Statute of Repose
window within which damages can be reported that begins at the date of Substantial Completion
Total Liable Time
the sum of the statute of limitations + statute of response. The architect should keep project records until one year past the total liable time before destroying them
Betterment
when a negligence claim is due to omission (not error), betterment entails that the architect will only pay for the premium to improve the project beyond what was omitted
What are 5 types of dispute resolution?
negotiation,
mediation,
arbitration,
litigation,
subrogation
Dispute Resolution: What is negotiation?
an informal process in which parties discuss priorities and compromises. Can be presided over and ultimately decide by the Initial Decision Maker (IDM)
Dispute Resolution: What is mediation?
A formal process in which a dispute between multiple parties is put in front of an independent third party. this may be the IDM or separate appointed mediator
Dispute Resolution: What is arbitration?
a legally binding process that typically cannot be appealed in which a dispute between multiple parties is put before a legally entitled arbitrator. An IDM cannot be the arbitrator
Dispute Resolution: What is litigation?
The resolution of a legal dispute between multiple parties through engaging with the judicial system
Dispute Resolution: What is subrogation?
the act of an insurer ‘stepping into the shoes’ of a party to whom it has made payment. AIA A201 encourages a waiver of subrogation clause to minimize opportunities for lawsuits
What types of insurance are required of the Architect?
Professional liability insurance,
general liability insurance,
automobile insurance,
workers compensation
What types of insurance are frequently carried by an Architect?
property insurance, personal injury protection, project insurance, electronic data coverage
What types of insurance are required of the Owner?
general liability insurance,
property insurance for the full insurable value of the work
What types of insurance are required by the Contractor?
general liability insurance,
workers compensation
contractual liability insurance
Professional Liability Insurance
covers errors and omissions, negligence . “claims made” requires that both the incident and the resulting claim happen during the period of the policy. “Occurrence” - requires that the incident occurs during the period of the policy, regardless of when the claim is made
General Liability insurance
claims of property damage or personal injury
Automobile Insurance
for vehicles owned and used by the business. can be covered under the umbrella of general liability insurance
Workers Compensation
protects employees in the event of injury caused by work-related activity
Property insurance
protects the content of the office
Personal injury protection
protects architects against the charges of ‘slander and torts’ (civil wrongs, injury, or harm caused by omission)
Project Insurance
Recommended for large projects with an increased potential for substantial claims
Electronic data coverage
not typically insured and must be purchased specifically
Property insurance for the full insurable value of the work
this provides for reasonable compensation for the architect and contractor. This must be “all risk” insurance, as opposed to ‘specified peril’ insurance. Policy covers all losses and damages, except: acts of war, terrorism, fraud, mold, asbestos. Ex for what it does cover: fire, water, vandalism, earthquakes
Copyright on instruments of service
the architect and their consultants retain all rights to the drawings, specifications, and pectoral or graphical representations as dictated by their services agreements
the architect grants non-exclusive rights to the owner to use instruments of service exclusively for constructing, using, and maintaining projects
Copyright on The Building
graphical representations, overall form, arrangement, and composition of spaces. this is intended to protect the architect from derivative works