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Quiz 1

Terms in this set (48)

Reapplying what we have learned from one contract to the next is important for continuous contract administration improvement.
True
The contract is more about what the other party needs to be done
True
Historically, the person responsible for design and construction of a building.
master builder
Standard contract language used over and over again in contracts.
boilerplate
Criminal law seeks to punish the offender and civil law attempts to restore or make whole the injured party
True
Common law relies upon precedence in previous cases
True
How we react emotionally to daily challenges can impact schedules or affect the quality and conformance to design requirements
True
An action not conforming to requirements of the Contract
breach
Individual or entity acting as agent for the Owner to oversee construction, particularly related to budget, quality, schedule, and safety
construction manager
Entity that has a direct contractual relationship with the Owner
prime contractor
An imposed settlement, usually by a court, to return an injured party back to the approximate condition before an injury occurred
remedy
Clauses or sections of a contract that place responsibility onto a party that may not normally be responsible for damages resulting from actions or inactions related to contract requirements
Risk shifting clauses
Owner contracts directly with several different parties to do the work on a single project
Multi-prime contracts
A clause within a contract requiring certain conditions be met or occur before other conditions are required.
condition precedent
A form of compensation in which the constructor receives payment for the cost of doing the work plus an agreed upon mark-up to cover overhead and profit.
Cost Plus
An estoppel is a legal bar preventing a person from acting or asserting something contrary to previous actions or statements.
True
Parol evidence is usually an oral testimony that agrees with the written contract.
False
The latin phrase quid quo pro means
"this for that"
An amount subtracted from a pay application until project completion or other milestones have been achieved.
retainage
The parties to a contract have the implied duty to cooperate.
True
Front-end loading a payment structure can have significant consequences toward the end of the project.
True
Pay when paid clauses and pay if paid clauses are intended to protect the contractors cash flow.
True
Time and material payments are based on the actual costs plus a mark-up for overhead and profit.
True
IPD stands for Immediate Project Delivery
False (Integrated Project Delivery)
PPP stands for _____ ______ ______
Public Private Partnership
The Construction Manager who agrees to a Guaranteed Maximum Price for the work that will be managed.
CM at Risk
A set cost based on plans and specifications that will not be exceeded unless significant changes take place in the scope of the project
GMP
The King of Babylon who established the first written code of conduct which included some of the first written laws related to the construction industry.
Hammarabi
The act of agreeing to the offer (promise) made. Without this there is no contract.
Acceptance
The ten commandments presented by Moses gave rise to this type of law.
Criminal Law
The Greek's contribution to law came from the simple concept that this system of resolving disputes would be better than the "stronger take all" approach.
adversarial system
This type of law originated in England and is based on the concept of precedence.
Common Law
The contract administrator should look closely for items and issues in the contract that will affect or relate to these three (3) things.
Schedule, Cost, Quality
When this happens, it marks the beginning of the contract.
Both parties sign the contract.
This is when the party accepting the original promise of the contract must give in return for the delivery of what is promised by the first party of the contract.
consideration
An alternative dispute resolution process in which the parties outside of a court submit the conflict to one or more neutral parties to determine a resolution to the conflict.
arbitration
This in contract law is the act of agreeing to the offer (promise) made. Without this there is no contract.
acceptance
This is a legal bar preventing a person from asserting or acting something contrary to their pervious statements or actions.
estoppel
This is usually oral testimony that contradicts the written contract, and is thus not admissible so long as the written contract appears to be whole.
Parol evidence
This is a form of compensation in which the constructor receives payment for the cost of doing the work plus an agreed-upon markup to cover the overhead and profit.
cost-plus
This is the act of using one Subcontractor or Supplier's price to negotiate a better price from another Subcontractor or Supplier.
bid shopping
A collaborative group of individuals and/or companies working toward a common goal, sharing skills and assets to deliver the complete project.
Integrated Project Delivery
In the case of Public Private Partnerships, an entity created solely for the execution of the work required to construct and maintain the project.
Special Purpose Vehicle
This type of law is a civil wrong for which a governing body will impose a remedy.
tort law
What is the pre-trial exchange of evidence and witness information, including the potential to collect depositions.
Discovery
A situation in which the full requirements of a contract may not be in place, but one party is prevented from withdrawing from obligations another party acted upon in good faith.
Promissery Estoppel
In the legal context of a construction issue, this is the conclusion that a contract or portion of a contract could not be performed by any contractor
Impossibility
A for-profit business that is at least 51% owned by an individual or individuals that are socially and/or economically disadvantaged (i.e. minority or woman-owned businesses)
Disadvantaged Business Enterprise
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