University of Calgary Continuing Education Construction Contract Law and Documents Week 9 Review of Law Standard Contract Documents
Review of Law Sovereignty – Common Law Courts Contracts Source of Authority Structure Jurisdiction Contracts Formation Offer, Acceptance, Consideration Requirements Consensus ad idem Capacity
Review of Law Tender Law Owner Obligations Contractor Obligations Subcontractor Obligations
Standard Contracts Purpose of a contract Not Contra Preferentum Define duties and responsibilities of parties Apportion risk between parties Not A list of procedures Setting the stage for litigation One-sided – designed to give one party the advantage Contra Preferentum
Contract Terms Examples of Terms Scope Price Others??
Standard Contracts Why use standard contracts? Consistency Standard Industry Terms
Standard Contracts Advantages Cheaper Common, well used terms Tested in court Useful as a checklist
Standard Contracts Disadvantages Nobody reads them Reluctance to change them by consultants “All things to all men” (persons) Project Specific Requirements
Standard Contract Contract – Owner – Drywall Contractor Essential Components Name Parties Date Signatures & Seals or witnesses Terms
Standard Contract Did you remember… Payment clause Jurisdiction Law to be applied Dispute Resolution Liquidated Damages Coordinate with lien legislation – holdback Bankruptcy
Standard Contract Review of CCDC 2
CCDC 2 – Stipulated Price Structure Contract Who does what to whom Definitions General Conditions Details
CCDC 2 Contract Definitions
CCDC 2 – General Conditions 2 – Administration 3 – Execution of Work 4 – Allowances 5 – Payment 6 – Changes
CCDC 2 – General Conditions (Contd) 7 – Default Notice 8 – Dispute Resolution 9 – Protection of Persons and Property 10 – Governing Regulations 11 – Insurance 12 – Indemnification, Waiver, Warranty