Construction Contracts and Specifications Quiz
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Questions and Answers

What does the term 'Substantial Performance of the Work' refer to?

  • Work that meets only minimum safety standards
  • Completion of all work without any deficiencies
  • Work that has been started but not completed
  • A level of work completion sufficient for the project to be used for its intended purpose (correct)
  • Which section addresses the protection of work and property?

  • GC 8.3 Retention of Rights
  • GC 12.1 Indemnification
  • GC 10.3 Patent Fees
  • GC 9.1 Protection of Work and Property (correct)
  • What do the GC 10.2 regulations cover?

  • Protocols for addressing defective work
  • Laws, notices, permits, and fees related to construction (correct)
  • Insurance requirements for construction projects
  • Roles and responsibilities of contractors
  • Which of the following best describes 'Working Day' as used in construction contracts?

    <p>A standard day during which contracted work may be executed</p> Signup and view all the answers

    What is the primary role of the Canadian Construction Documents Committee (CCDC)?

    <p>To create and maintain standardized construction documents</p> Signup and view all the answers

    What is covered under GC 12.1 Indemnification?

    <p>Protection against claims arising from the contractor's negligence</p> Signup and view all the answers

    Which of the following best describes 'Temporary Work' in construction terms?

    <p>Provisional structures set up for support during construction</p> Signup and view all the answers

    Which of the following categories does GC 11.2 refer to?

    <p>Requirements for financial security within contracts</p> Signup and view all the answers

    What is included in the Specifications of the Contract Documents?

    <p>Requirements and standards for products and workmanship</p> Signup and view all the answers

    Who qualifies as a Subcontractor?

    <p>A person or entity with a direct contract with the Contractor</p> Signup and view all the answers

    How is Substantial Performance of the Work defined if lien legislation is not applicable?

    <p>When the work is ready for use or being used as intended</p> Signup and view all the answers

    What is a Supplemental Instruction?

    <p>An instruction consistent with the Contract Documents, without price or time adjustment</p> Signup and view all the answers

    What role does a Supplier have in a construction contract?

    <p>To supply products under a direct contract with the Contractor</p> Signup and view all the answers

    What does the term Temporary Work refer to?

    <p>Facilities required for execution but not incorporated into the final work</p> Signup and view all the answers

    Which of the following accurately describes Value Added Taxes?

    <p>Taxes levied as a percentage of the Contract Price by government authorities</p> Signup and view all the answers

    How is the term 'Work' defined in the context of these documents?

    <p>The total construction and related services required by the Contract Documents</p> Signup and view all the answers

    What is the maximum number of calendar days the Consultant has to issue a certificate for payment after receiving the Contractor's application?

    <p>10 calendar days</p> Signup and view all the answers

    What should the Contractor provide to both the Consultant and the Owner to indicate substantial performance of the Work?

    <p>A comprehensive list of items to be completed</p> Signup and view all the answers

    How long does the Owner have to make payment to the Contractor after receiving the application for payment?

    <p>20 calendar days</p> Signup and view all the answers

    What action must the Consultant take if they amend the Contractor's application for payment?

    <p>Inform both the Owner and the Contractor in writing</p> Signup and view all the answers

    Which of the following statements is true regarding the copyright of the contract document?

    <p>Using a document without the copyright seal constitutes an infringement</p> Signup and view all the answers

    What is required of the Contractor when considering that the Work is substantially performed?

    <p>Submit a written application for review and a comprehensive list of items to be completed</p> Signup and view all the answers

    What does the term 'Substantial Performance of the Work' refer to in this context?

    <p>Achieving a stage of the Work that permits occupation or use</p> Signup and view all the answers

    What could trigger the need for a designated portion of Work to be accepted separately?

    <p>Owner's agreement and relevant lien legislation</p> Signup and view all the answers

    Under what circumstance can the Contractor terminate the Contract if the Owner is declared bankrupt?

    <p>If a receiver is appointed due to the Owner's insolvency</p> Signup and view all the answers

    What must occur for the Contractor to terminate the Contract due to Work being suspended for 20 Working Days?

    <p>The order must not result from the Contractor's fault</p> Signup and view all the answers

    What type of notice must the Contractor provide when the Owner is in default of contractual obligations?

    <p>Notice in Writing</p> Signup and view all the answers

    What happens if the Owner does not correct the default within 5 Working Days after receiving the Contractor's notice?

    <p>The Contractor may suspend the Work or terminate the Contract</p> Signup and view all the answers

    Which of the following is NOT a condition under which the Contractor can give notice of default?

    <p>The Owner submits a claim to arbitration</p> Signup and view all the answers

    What is the entitlement of the Contractor upon terminating the Contract under the specified conditions?

    <p>Payment for all work performed including reasonable profit</p> Signup and view all the answers

    When can the Contractor NOT terminate the Contract due to Owner's default?

    <p>If the Owner provides the requested financial proof</p> Signup and view all the answers

    Which of these factors can lead to the Contractor terminating the Contract?

    <p>The Owner's substantial violation of contractual requirements</p> Signup and view all the answers

    What is required for a CCDC 2 document to be considered valid?

    <p>It must bear a CCDC 2 copyright seal.</p> Signup and view all the answers

    In the case of a dispute under the contract, who has the authority to make initial findings?

    <p>The Consultant</p> Signup and view all the answers

    What procedures apply if a dispute arises that the Consultant cannot adjudicate?

    <p>The negotiation, mediation, and arbitration procedures apply.</p> Signup and view all the answers

    What should the parties do if the Consultant's instructions are given pending dispute resolution?

    <p>They must follow the instructions immediately.</p> Signup and view all the answers

    What happens if a party acts according to the Consultant's instructions and those instructions are later deemed erroneous?

    <p>The Owner must cover costs beyond what the Contract required.</p> Signup and view all the answers

    What must be included in supplementary conditions if they modify the CCDC 2 document?

    <p>A detailed list of all modifications.</p> Signup and view all the answers

    Which of these scenarios would NOT constitute a dispute as per the CCDC 2 conditions?

    <p>Need for additional resources identified in advance.</p> Signup and view all the answers

    What must be demonstrated by the parties for a CCDC 2 contract to have been correctly signed?

    <p>It must reflect a mutual understanding and intention.</p> Signup and view all the answers

    Study Notes

    Contract Documents

    • CCDC 2 – 2008 is a standard Canadian construction contract
    • This contract document is protected by copyright

    General Conditions of the Contract

    • The Contract Documents includes the General Conditions (GC), Specifications, Drawings, and other documents
    • The Specifications are written requirements and standards for Products, systems, workmanship, quality, and services necessary for the performance of the Work

    Subcontractors

    • A Subcontractor has a direct contract with the Contractor to perform a part or parts of the Work at the Place of the Work

    Substantial Performance of the Work

    • The definition of Substantial Performance of the Work is found in the lien legislation applicable to the Place of the Work
    • Substantial Performance is achieved when the Work is ready for use or is being used for the purpose intended and is so certified by the Consultant if the Work is governed by the Civil Code of Quebec

    Supplemental Instruction

    • A Supplemental Instruction is issued by the Consultant to supplement the Contract Documents
    • It does not involve adjustment in the Contract Price or Contract Time

    Suppliers

    • A Supplier has a direct contract with the Contractor to supply Products

    Temporary Work

    • Temporary Work are temporary supports, structures, facilities, services, and other temporary items required for the execution of the Work but not incorporated into the Work

    Value Added Taxes (VAT)

    • VAT is levied upon the Contract Price by the Federal or any Provincial or Territorial Government
    • VAT includes the Goods and Services Tax, the Quebec Sales Tax, the Harmonized Sales Tax, and any similar tax

    Work

    • Work refers to the total construction and related services required by the relevant Contract Documents

    Progress Payment

    • The Contractor submits an application for payment to the Consultant
    • The Consultant informs the Owner and issues a certificate for payment no later than 10 calendar days after receiving the application
    • Payment is made on or before 20 calendar days after the later of receipt of the application by the Consultant or the last day of the monthly payment period

    Substantial Performance of the Work

    • The Contractor shall deliver a comprehensive list of items to be completed or corrected and a written application for review by the Consultant to establish Substantial Performance of the Work when the Work is substantially performed

    Contractor's Right to Suspend the Work or Terminate the Contract

    • The Contractor may terminate the Contract if the Owner is adjudged bankrupt, makes a general assignment for the benefit of creditors, or if a receiver is appointed
    • The Contractor may terminate the Contract if the Work is suspended or otherwise delayed for a period of 20 Working Days or more under an order of a court
    • The Contractor may give Notice in Writing to the Owner if the Owner fails to furnish reasonable evidence that financial arrangements have been made to fulfill its obligations
    • The Contractor may terminate the Contract if the owner fails to pay amounts certified by the Consultant or awarded by arbitration or court

    Dispute Resolution

    • Disputes are settled in accordance with the requirements of Part 8 of the General Conditions
    • The Consultant has no authority under the Contract to make a finding if a dispute arises in respect of a matter
    • Disputes not resolved shall be settled in accordance with dispute resolution procedures including negotiation, mediation and arbitration

    Retention of Rights

    • The parties retain all rights and remedies available at law or equity in addition to those provided in this Contract

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    Description

    Test your knowledge on Canadian construction contracts, focusing on CCDC 2 – 2008 and the General Conditions, Specifications, and roles of Subcontractors. This quiz covers definitions such as Substantial Performance and the necessary standards for successful contract execution.

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