By Bruce Jervis
Limitation-of-liability clauses have become popular among engineering professionals. These clauses state that the engineer’s liability to the client or any other party relying on the engineer’s work product is limited to the amount of the engineer’s fee or a stipulated amount, whichever is greater.
In a recent case, an engineer’s proposal to a contractor capped damages at $25,000. The limitation clause was conspicuous; it was underlined and in capital letters. The contractor signed the proposal but then issued a purchase order stating the engineer would indemnify the contractor against any claims arising out of the engineer’s negligence. The engineer didn’t sign the purchase order but made no objection. ... Read more.
Featured in this Week’s Construction Claims Advisor:
- Engineer Limited Liability in Proposals to Contractor
- Contractor Acted Prematurely at Borrow Site
- Bid Responsive Despite Multiple Copies of Document
By Steve Rizer
When contractors submit their recovery schedules, there is some critical information they should keep in mind, Chris Burke, a partner at Watt, Tieder, Hoffar & Fitzgerald LLP said during “Recovery Schedules -- The Construction Acceleration Hot Potato: Practical and Legal Considerations,” a webinar that WPL Publishing held earlier this month for a target audience of schedulers, contractors, subcontractors, public and private owners, construction managers, consultants, architects, and engineers who are involved in construction project management or administration. Click here to see what he said on the topic.
By Steve Rizer
Should commissioning be required for all buildings that are designed and built to meet American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) Standard 189.1-201, Standard for the Design of High-Performance, Green Buildings Except Low-Rise Residential Buildings, regardless of size? That is what proposed Addendum P would do, expanding the requirement to small buildings.
Proposed Addendum P would remove the “Acceptance Testing” provision for small buildings from Standard 189.1 (Section 10.3.1.1 Building Acceptance Testing). Currently, the standard implies that when a building area is less than 5,000 square feet, it has simple building systems and thus requires a reduced level of commissioning effort (acceptance testing). However, building area does not relate to complexity as many buildings of less than 5,000 square feet can be complex, according to ASHRAE. ... Read more.
By Steve Rizer
November 2012 Download Library Addition
As new webinar recordings are made available to the ConstructionPro Network free member Download Library on a monthly basis, ConstructionPro Week will provide a brief summary of each event for the benefit of its readership. Here is the summary for the November 2012 addition:
For those construction professionals entering the federal contracting game, it is important to be aware of the limited authority of federal officials, Hal Perloff, a partner in Husch Blackwell LLP, told attendees of a webinar for which WPL recently made a recording available -- free of charge -- to ConstructionPro Network (ConstructionProNet.com) subscribers. “This is something that can be maddening to deal with for someone who’s new at government contracts.”
Perloff explained that the federal government “is only bound by its agents acting within the scope of their authority, and on government contracts, there’s typically an individual called a ‘contracting officer’ who will be identified in a government solicitation, and that will be the individual who executes the contract on behalf of the government. The key thing here is the government can only act through its agents, and it only gives certain authority to those agents, so it’s critical at every step of the process to understand who you are dealing with [in] the government and whether that individual truly has the authority to do what’s being asked of you.” ... Read more.