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LITIGATION RISKS AND CLAIMS MANAGEMENT FOR ENGINEERS

LITIGATION RISKS AND CLAIMS MANAGEMENT FOR ENGINEERS. Erik M. Rosenwood (704) 227-1078 Adam L. Horner (704) 227-1041. WWW.DESIGNPROFESSIONAL.ORG. CONTRACT NEGOTIATION CONTRACT PROVISIONS LIMITATION OF LIABILITY FILE MANAGEMENT. WWW.DESIGNPROFESSIONAL.ORG.

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LITIGATION RISKS AND CLAIMS MANAGEMENT FOR ENGINEERS

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  1. LITIGATION RISKS AND CLAIMS MANAGEMENT FOR ENGINEERS Erik M. Rosenwood (704) 227-1078 Adam L. Horner (704) 227-1041 WWW.DESIGNPROFESSIONAL.ORG

  2. CONTRACT NEGOTIATION • CONTRACT PROVISIONS • LIMITATION OF LIABILITY • FILE MANAGEMENT WWW.DESIGNPROFESSIONAL.ORG

  3. THE CONTRACT- NEGOTIATION TO EXECUTION WWW.DESIGNPROFESSIONAL.ORG

  4. CONTRACT CLAIMS • Owner/Design Builder • Errors/Omissions • Defective Construction • Cost Overruns • Lost Profits WWW.DESIGNPROFESSIONAL.ORG

  5. Contract Negotiation WWW.DESIGNPROFESSIONAL.ORG

  6. Execution of the Contract Read, Understand, Read Again: Commonly Overlooked Contract Provisions

  7. Common Provision #1 • Engineer shall issue Certificates for Payment to Owner, after a thorough review of the amounts claimed by Contractor. Such certification shall be a representation to Owner that the Work is in conformity with the Contract Documents, to the best of engineer’s knowledge, information and belief. Engineer shall maintain a record of all Applications for Payment as well as all supporting documentation and data received from Contractor.

  8. Common Provision #2 Engineer shall review and approve or take other appropriate action upon Contractor’s submittals. Engineer shall act with such reasonable promptness as to cause no delay in the Work or in the activities of Owner, Contractor, or others involved in the Work.

  9. Common Provision #3 As part of its basic service, engineer shall review requests by Owner or Contractors for changes in the Work and shall prepare Change Orders for Owner’s approval and execution. Engineer may authorize a change in the Work if the change would be minor and would not result in adjustment of the Contract Sum or Contract Time. If the requested change would result in a change to the Contract Sum or the Contract Time, engineer shall request authorization from Owner after making a recommendation to Owner regarding such change. Engineer shall be solely and financially responsible for any change which engineer approves, without Owner authorization, which results in an increase in the Contract Sum or an extension of the Contract Time. Engineer shall maintain records of all Change Orders and the supporting documentation thereto.

  10. Common Provision #4 Engineer shall respond promptly to written requests for clarifications or interpretations of the Contract Documents within such time as engineer determines necessary to allow prompt and timely, and no delay in, completion of the Work. Such clarifications shall be consistent with the intent of and reasonably inferable from the Contract Documents. Without Owner’s prior written approval, such clarifications shall not cause an increase in the Contract Sum or an extension of the Contract Time.

  11. Expanded Duty of Care Failure to Control Expectations Restricted CA CONTRACT TRAPS FOR THE UNWARY One-sided Termination Provisions Indemnity Provisions Loss of Ownership of Documents WWW.DESIGNPROFESSIONAL.ORG

  12. Limitation of Liability • Blaylock Grading v. Smith • Exculpatory provisions • Contract language WWW.DESIGNPROFESSIONAL.ORG

  13. File Management • Consistency • Emails • What goes in the file • Electronic Data and Individual Files WWW.DESIGNPROFESSIONAL.ORG

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