AIA simplifies multi-party contracts

The American Institute of Architects (AIA) has  released the new C191-2009, Standard Form Multi-Party Agreement for Integrated Project Delivery (IPD). The form simplfies the working relationship among parties involved in a design and construction project and using the IPD delivery model. With this agreement the parties execute one coordinated and integrated agreement that clearly sets forth the parties’ roles and responsibilities in delivering a project consistent with the principles of IPD. Unlike the C195-2008, the parties do not form an LLC under the C191-2009 framework.
 
AIA also released B108-2009, Standard Form of Agreement Between Owner and Architect for a Federally Funded or Federally Insured Project, and a new document, B202-2009, Standard Form of Architect’s Services: Programming. Collectively called the “4.2 Release,” these three documents expand the library of AIA Contract Documents and build on more than 100 years of experience in defining the contractual relationships in the design and construction industry.
 
The changes reflect the the new practices and project delivery approaches that the industry is using, according to Michael B. Bomba, Esq., Associate Counsel, AIA Contract Documents. “The AIA’s new Multi-Party Agreement for Integrated Project Delivery reflects the shift away from working in silos and supports new collaborative methods being employed among architects, owners and contractors.”

Paradigm shifting approach

The C191-2009 Standard Form Multi-Party Agreement for Integrated Project Delivery individual success of each party is directly tied to a project’s overall success. The architect and the contractor, as well as any other non-owner parties, earn profit through the achievement of the owner’s specified goals. This method of compensation promotes “good for the project” behavior and encourages all parties to work through disputes as they arise rather than assigning blame. In addition, the agreement establishes a collaborative management structure that involves all of the primary project stakeholders and is designed to minimize disputes while increasing project efficiency and quality.
 
Simplifying government projects

The AIA Contract Documents team worked with the U.S. Department of Agriculture and the U.S. Department of Housing and Urban Development to develop an owner-architect agreement that more effectively addresses the needs of these agencies. The result is B108-2009, Standard Form of Agreement Between Owner and Architect for a Federally Funded or Federally Insured Project. This document is an update to AIA Document B181-1994, Standard Form of Agreement Between Owner and Architect for Housing Services, which has been used for years by participants on many federally funded or insured projects.
 
B108-2009 specific provisions relate to cost estimating, compensation and other issues, tailored to these types of projects. B108-2009 is a document that will be useful to owners and architects working on federally funded and federally insured construction projects, including those funded by the recent stimulus package.
 
In addition, AIA Contract Documents has developed the new B202-2009, Standard Form of Architect’s Services: Programming, which is an architect’s scope of services document for programming services in a standard form that the owner and architect can modify to suit the needs of the project. B202 is not a stand-alone document, and to become effective it must be incorporated into an owner-architect agreement. This is a new scope of services document and not an update of an existing document.
 
“As federal stimulus funds are being distributed for design and construction projects, standard contracts such as the B108-2009 and other AIA documents can be used to help agencies and other project participants move the project along more easily and efficiently,” said Kenneth Cobleigh, Managing Director and Counsel, AIA Contract Documents.

The new AIA IPD Multi-Party Agreement, as well as B108-2009 and B202-2009, are available now.
   

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