32 Questions
True or false: Construction contracts always transfer all risk to the contractor.
False
True or false: Construction contracts always transfer all risk to the contractor.
False
True or false: Owners have the right to interfere with construction operations as long as they are ensuring the adequacy of design.
False
True or false: Mediation is always a binding process in construction disputes.
False
True or false: DRB stands for Dispute Resolution Board.
True
True or false: Contractors should not waste time analyzing contract language before bidding on a project.
False
True or false: Contractors should only analyze the financial aspects of a contract before bidding on a project.
False
True or false: Architects and engineers have no authority to request contractors to speed up work.
False
True or false: Standard contract forms have not been legally interpreted by courts.
False
True or false: Poor workmanship is not a common cause of construction disputes.
False
True or false: Standard contract forms have not received legal interpretation by the courts.
False
True or false: General contractors and subcontractors do not have to execute a change order to the subcontract agreement affected.
False
True or false: Owners are not required to make periodic payments to the contractor.
False
True or false: Owners have no obligations in a construction contract.
False
True or false: The contractor cannot terminate the contract for sufficient cause.
False
True or false: Liquidated damages are always determined by the contractor.
False
True or false: Litigation is the most cost-effective way to resolve construction disputes.
False
True or false: The owner is responsible for the adequacy of the design and any resulting costs and time extensions.
True
True or false: The owner is not responsible for any costs or extensions of time resulting from inadequate design.
False
True or false: Partnering is a method used to resolve disputes after they have already occurred.
False
True or false: Easements only include the right of way over land owned by someone else.
False
True or false: Easements only include the right of way over someone else's land.
False
True or false: Advanced Negotiation Techniques involve 6 phases.
False
True or false: The architect-engineer does not represent the owner in the administration of the contract.
False
True or false: The architect-engineer represents the contractor in the administration of the contract.
False
True or false: Contractors are not required to comply with laws related to licensing, employment of labor, or explosives.
False
True or false: Contractors are not required to comply with laws and regulations related to job safety, employment of labor, and insurance.
False
True or false: Mediation can only be used to resolve disputes between contractors and subcontractors.
False
True or false: The purpose of liquidated damages is to punish the contractor for breaching the contract.
False
True or false: Non-trial evaluative techniques in construction include mock trials.
True
True or false: Design issues are not a common cause of construction disputes.
False
True or false: The use of liquidated damages can prevent legal proceedings to determine damages.
True
Study Notes
This text describes different aspects of construction contracts, including common terminology, contract provisions, and obligations of the parties involved. It covers the following points:
- Construction contracts contain provisions that protect the owner by transferring risk to the contractor.
- Contractors must carefully analyze all contract language before deciding to bid on a project.
- Standard contract forms are usually well-established and have received legal interpretation by the courts.
- Owners have certain rights and obligations, including making periodic payments to the contractor and providing necessary insurance.
- The owner is responsible for the adequacy of the design and must pay for any resulting costs and extensions of time.
- Easements are a right that a person has over land owned by someone else and can include rights of way, right to light, right for underground services, right of support, and the right to draw water.
- The architect-engineer represents the owner in the administration of the contract and makes communications between the owner and the contractor.
- Contractors are required to comply with all laws and regulations related to job safety, licensing, employment of labor, sanitation, insurance, traffic and pedestrian control, and explosives.
- Subcontractors are approved by the owner and have a formal subcontract agreement with the prime contractor.
- After the subcontract agreement is signed, the general contractor and the subcontractor must execute a suitable change order to the subcontract agreement affected.
Test your knowledge on construction contracts with this informative quiz! Learn about the different provisions, obligations, and terminology involved in construction contracts. Find out what rights and responsibilities owners and contractors have, as well as the role of architects and engineers in the process. From easements to subcontractors, this quiz covers it all. Whether you're a contractor, owner, or just interested in the construction industry, this quiz is a great way to improve your understanding of construction contracts.
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