the inspection clause for construction contracts

Work includes, but is not limited to, materials, workmanship, and manufacture and fabrication of components. However, if the work is found to meet contract requirements, the Contracting Officer shall make an equitable adjustment for the additional services involved in the examination and reconstruction, including, if completion of the work was thereby delayed, an extension of time. Under the AIA form contracts, the additional compensation or completion time due for the CCD will be determined by the architect instead of by agreement of the parties;if the contractor disagrees it can make a claim against the owner under the contract or sue. Personal services contracts are appropriate only in limited situations as prescribed by the Federal Acquisition Regulations. When changes are made to a contract, the government must determine if the change is within scope. (e) The Contractor shall promptly furnish, at no increase in contract price, all facilities, labor, and material reasonably needed for performing such safe and convenient inspections and tests as may be required by the Contracting Officer. As prescribed in 46.312 , insert the following clause: (a) Definition. The Contractor shall maintain complete inspection records and make them available to the Government. In federal government construction, the standard federal inspection clause places primary responsibility for contract compliance on the contractor. (g) If the Contractor does not promptly replace or correct rejected work, the Government may (1) by contract or otherwise, replace or correct the work and charge the cost to the Contractor or (2) terminate for default the Contractor's right to proceed. the inspection clause for construction contracts . One purpose of such warranties is to allocate responsibility for defective work, equipment, and materials or for equipment and materials that cease to function properly after operating for a period of time. not assumed a duty to protect the safety of the independent contractors employees. ConsensusDocs 200 provides that the owner is responsible for inspection costs.27 But the contractor will be responsible for the cost of correction and retesting if the contractors work fails a test.28 Section 12.2.4 of AIA A201 requires the contractor to bear the cost of correcting destroyed or damaged construction, whether completed or partially completed, of the Owner or separate contractors caused by the Contractors correction or removal of work that is not in accordance with the requirements of the Contract Documents. Section 12.3 of AIA A201 authorizes the owner to accept nonconforming work instead of having it removed and replaced, and to reduce the contract price to account for such defective work. An example is the express warranty whereby the contractor promises to perform its work in a good and workmanlike manner. Another use of the word warranties is to describe the obligations of the contractor or a subcontractor, supplier, or manufacturer to address any quality problems that may be discovered after construction is complete. But the flexibility comes at a cost--often in the form of attorneys' fees. This is usually a repair warranty, which requires the contractor to correct defective work upon notice given within the one-year (or other contractually defined) period. (e) The Contractor shall promptly furnish, at no increase in contract price, all facilities, labor, and material reasonably needed for performing such safe and convenient inspections and tests as may be required by the Contracting Officer. 14,390, 71-2 BCA 8930). The FAR contract classification system was created to permit the use of standard contract clauses. In addition, most federal agencies have included provisions in construction contracts that require the contractor to conduct inspections and ensure that the work complies with the plans and specifications. This article will discuss: (1) the basic definition of a change order, (2) changes in the work clauses and the legal basis for change orders, and (3) a few pointers for handling change order disputes. Most all construction contracts have a "changes in the work" clause that establishes procedures for revising a contractor's scope of work. In your position as a COR, Conflict of Interest rules and regulations prohibit you from: Working on a government matter that has an effect on your personal financial interests. Normally such tests are obtained through designated independent testing laboratories. If work that should have been accepted is corrected to a higher standard of quality and additional costs are incurred in the process, a compensable change has occurred.48, Where specifications are ambiguous, an inspectors silent acquiescence while the contractor performs in accordance with its own reasonable interpretation of the performance standards may establish that the contractors approach was reasonable and the work acceptable.49 Also, if the owner submits to the contractor what purports to be a complete list of defects in the work, the owner may later be prevented from rejecting work that had been corrected pursuant to such list on the grounds that its list amounted to a binding interpretation of ambiguous specifications.50. To illustrate, if an owner and a contractor entered into an agreement for the construction of a hotel, but the owner later decided to build a movie theater instead, the cardinal change doctrine would relieve the contractor from building the movie theater even if there was an otherwise valid CCD directing the contractor to build the theater. Construction contract clauses serve many purposes in the construction industry. The first article covered the basis and overview for this series of articles. (1) Relieve the Contractor of responsibility for providing adequate quality control measures; (2) Relieve the Contractor of responsibility for damage to or loss of the material before acceptance; (4) Affect the continuing rights of the Government after acceptance of the completed work under paragraph (i) of this section. "Finch wrote her poems at a rural estate". The contracting officer may insert the clause in such solicitations and contracts when the contract amount is expected to be at or below the simplified acquisition threshold, and its use is in the Governments interest. Failure of the government to correct a contractors improper performance does not legally excuse the contractor from its obligation to meet the contract requirements. Construction contract sections to review for accuracy. (singular, masculine) Plural: No children run to lisp their sire's return, (plural) There are a few special cases of agreement. Inspection schedules will be available after 9:00 a.m. EJCDC C-700 makes the contractor responsible for the costs to repair defective work, that is, work not in accordance with the contract documents. HWnFU@e. qH+~]dEBM,l> Most change orders modify the work required by contract documents (which, in turn, usually increases the contract price) or adjust the amount of time the contractor has to complete the work, or both. If the owner and the contractor execute a change order, but the contractor fails to obtain a change order from its subcontractor, there may be a gap in the scope of work. In such cases, inspectors often will rely on industry standards and trade customs, or even on subjective standards such as skillful and workmanlike construction. Remember, issuing a change order depends on an agreement between the owner and the contractor as to scope, price, and time. A bilateral modification is used to_____________. A critical way that formal communication differs from informal is that formal communication is binding upon the parties and informal communication is non-binding. An independent detailed assessment developed by a government team member A Statement Of Work should include the following: The work to be performed, location of work, period of performance, deliverable schedule, any special requirements. Download the contract review checklist. Basic (Apr 1984) (Current) As prescribed in 46.301, the contracting officer shall insert the clause at 52.246-1, Contractor Inspection Requirements, in solicitations and contracts for supplies or services when the contract amount is expected to be at or below the simplified acquisition threshold . Chapter 14Inspection, Acceptance, Warranties, and Commissioning. To the extent this agreement is a "procurement contract" as defined by State Finance Law 139-j and 139-k, by signing this agreement the contractor certifies and affirms that all disclosures made in The government can: (1) terminate the contract for default and reprocure the supplies, services, or construction; (2) replace or correct the defective supplies, services, or construction by contract or by using government resources, at the contractors expense, under the inspection clause; or (3) retain the nonconforming supplies, services, or construction and reduce the contract price based on the difference in value between the work as delivered and the work contemplated by the contract.42, Despite the owners broad inspection rights, improper inspections can give rise to certain rights and remedies on the contractors partif, for example, constructive changes to the work or delays and disruptions result from the owners inspections. bqbc~3][[} I&aWaUw\nj`c\E3a9~ 01oEggA`Mt?Uhxq!9[]HcwyT8L`&O@\g"^OJc\e"w0vYOB*8ApGab n|Vp(G|P? Requires the contractor to maintain an adequate inspection system and perform inspections that will ensure contract compliance. Introduction. CONTRACTOR shall permit the CITY to audit, examine, and make excerpts or transcripts from such records, and to make audits of all contracts, invoices, materials, payrolls, records of personnel, conditions of employment and other data relating to all matters covered by this Agreement. The purpose of evaluation factors is to represent the key areas of importance and emphasis to be considered in the source selection decision. Are those changes still binding on the parties? If the specified test can be viewed as establishing a standard of performance, however, a different test increasing the level of performance cannot be substituted without a change to the contract price.34, Not only does the government have the right to inspect at all places and times; the government also has the right to reinspect the same performance. hb```"fFR010pl`H`=gVTFT8,j*]w{@CC \zrOif f> 32Qa`Hh` h) The issue of the inspectors authority can be complicated. 52.212-4 Contract Terms and ConditionsCommercial Products and Commercial Services. The Permits and Responsibilities clause of the standard federal government construction contract, FAR 52.2367, requires the contractor to take proper precautions to protect the work, the workers, the property of others, and third parties. Such inspections allow the owner or its representative to monitor the work periodically and inspect for deviations from the plans and specifications. Accordingly, even if the governments verification inspections were negligently conducted, Appellant cannot cite the governments inspection and verification efforts as excusing its own responsibility to perform adequate and required inspections and tests and to furnish an acceptable product. In addition to inspecting its own work, the contractor must inspect the work of its subcontractors and material suppliers. The other important feature of this clause concerns acceptance. This chapter focuses on the third prong of the cost/schedule/quality triumvirate by discussing issues that relate to construction quality: (1) inspections, (2) acceptance, (3) warranties, and (4) commissioning. The contractor demanded an equitable adjustment for its costs in removing and replacing the brick. While an owner's authority to require changes in the work is broad, it's not unlimited. True In construction, a Contracting Officer may suspend work for a "reasonable" period of time. The standard clause used in federal government construction contracting, entitled Inspection of Construction, is set forth in Federal Acquisition Regulation (FAR) 52.24612. (b) The Contractor shall maintain an adequate inspection system and perform such inspections as will ensure that the work performed under the contract conforms to contract requirements. Once the Government Representative has executed final acceptance of any supplies or services there is no legal recourse for the Government for non-conforming items. 80 0 obj <>stream The only exceptions to final acceptance are (Select all that apply), Fraud In private construction, a third party specially retained by the owner often performs these inspections. Furthermore, the owner cannot, with impunity, perform inspections in such a manner as to delay or disrupt the contractors work or to alter contract requirements. Inspections will be scheduled on the work day following the inspection request with every attempt being made to complete the inspection on that day. View full document 5) The inspection clause for ____________contracts allows for the contracting officer to charge not only the cost of rework to the contractor but also any additional costs associated with re-inspection.

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