Aia Design Build Agreement

A recent study suggests that almost all homeowners (97%) face contingencies from at least part of their project; However, architects (42%) and developers (32%) have the perception that less than half of the projects they work on have contingencies. [3] An eventuality may be maintained by the owner or included in the design team`s proposal (or both). When a proposal for a design construction project is established, the design professional`s fees are based on certain assumptions of the design professional, including, but not limited to, the extent of performance, the expected schedule of the project, the partners of the design construction team, and the terms of the design agreement. As with any project, the terms of the design agreement significantly influence the risk that the design professional takes on in a design construction project and should be considered from project to project. Each of these issues affects the risks taken care of by the design professional and should be considered before proceeding with a design construction project. When providing services in the offer phase under a team agreement, the design professional should grant the contractor a limited licence for the use of its work product where it is forced to bear its own offer costs. In the event that the project is entrusted to the design-build team, the ownership of the documents developed by the design professional as part of its “risky” offer phase services would offer the design professional additional leverage in its relations with the contractor if the contractor does not comply with its obligations under the teaming agreement, with the professional of design, subcontracting of the project or when the contractor strives to: the conditions of subcontracting provided for in the team agreement. The prudent design professional should consider emphasizing the integration of design conjonces into any design construction project proposal and defining the circumstances in which design conjunence is used by the design team. Alternatively, the design specialist may need to consider adjusting his or her fees in order to be included in the proposal in order to protect against increased construction costs related to the development of the design, which the contractor may wish to recover from the design professional. While the cost of a contractor in designing a design construction project may be slightly higher than the cost of a bid design construction project, the cost to the design professional when writing a design construction project proposal is usually much higher than the cost of a Bid Build design project. As stated above, the design professional must understand whether they are reimbursed for their services during the offer phase and, if not, the extent of the services to be provided during the offer phase, so that they can make an informed decision about their wish to continue with the project.

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