Streamline the design-build process with a solid strategy for choosing partners, By Andrew Mendelson FAIA August 8, 2018 Prime design consultants often have a great deal of project control and leverage. Unfortunately, such responsibilities increase the potential for…, 1: Establish a Rigorous Subconsultant Selection Process, The first step is the most important and involves the thorough review of subconsultant work histories, experience and backgrounds. This often includes the development of a checklist that covers:…, 2: Start the Process Early, Subconsultants should join the design/build process right from the start to become familiar with the owner’s project requirements and expectations. Early engagement promotes commitment and…, 3: Negotiate Well-Drafted, Coordinated Contracts, Subconsultant contracts are just as important as the prime agreement with clients. They must be consistent and coordinated with the prime agreement. To help avoid discrepancies, use standard form…, Scope of services, —Subconsultant agreements should define the services performed at a basic fee and those considered additional. Be clear about the subconsultant’s responsibility for construction site visits and RFI…, Schedule, —The subconsultant should submit a schedule for services and deliverables that is consistent with owner agreements. This includes a reasonable amount of time to review, coordinate and respond to…, Responsibility for design coordination, —The subconsultant should coordinate its own work, along with the prime and other consultants, and be solely responsible for the technical content and coordination of its documents., Right to rely, —The right to rely on the accuracy and completeness of services and information furnished by the subconsultant should be specified. Written notice should be supplied by either party who becomes aware…, Billing and payment, —Billing and payment issues are major sources of dispute. Typically, primes require subconsultants to accept a pay-when-paid or pay-if-paid provision to align payment obligations with the prime…, Dispute Resolution, —Dispute resolution terms, including venue and binding resolution methods, must be clearly stipulated within the prime agreement. There should be confidence in the entire design team working together…, Limitation of Liability (LoL), —Never give an LoL subconsultant unless they are included in the prime agreement. If there’s a $5 million claim arising from the sub’s negligence, but the sub is only liable for $500,000 because of…, Indemnities, —Indemnities should be mutual and based on comparative fault. The prime and subconsultant should agree that each party will reimburse the other “to the extent that each party is responsible for such…, Time limit for legal action, —This should be consistent with the prime agreement with the owner. Don’t give the owner 5 years to file a claim, while limiting the subconsultant’s liability to 3 years., Ownership of instruments of service, —Who will retain copyright and ownership of the subconsultant’s plans and specifications? This is a matter of negotiation between the prime and sub—and should be in alignment with the requirements of…, Confidentiality requirements/non-disclosure agreements (NDAs), —NDAs should be consistent with the owner-prime agreement. Owners have become increasingly protective regarding access to their confidential and proprietary information and may require protection by…, 4: Insist on Appropriate & Adequate insurance, Contractually require subconsultants to carry adequate insurance, including professional liability, commercial general liability, excess liability, commercial auto and workers’ compensation based…, 5: Institute a Comprehensive Approach to Project Planning & Design Coordination, A well-developed project plan will orient the entire design team to the known conditions, goals and requirements of the project. Conduct a comprehensive project initiation meeting so the entire…, 6: Implement Communication & Documentation Protocols, Prepare a written communication plan with ground rules that define what information is communicated to whom, by whom and how often. Be careful to establish a clear protocol if direct lines of…, 7: Watch for Signs of Trouble, Watch for warning signs like communication breakdowns or the failure to follow agreed-upon procedures. Take note if the subconsultant doesn’t keep pace with the design team’s schedule for progress…, 8: Conduct Post-Project Assessments of Your Subconsultants, Carefully assess performance throughout the project. Regularly review responsiveness, communication skills, technical expertise, teamwork, timeliness, quality of service and other project delivery…, Information provided by Berkley Design Professional is for general interest and risk management purposes only and should not be construed as legal advice nor a confirmation of insurance coverage. As…, DOWNLOAD PDF Read article in, Construction Business Owner, Reprinted with permission from the August issue of Construction Business Owner. © 2018 Copyright Cahaba Media Group, Inc. All Rights Reserved.
Presented by: , Dennis M. Baez, Senior Vice President, Berkley Construction Professional Courtney Preston, CRIS, Assistant Vice President, Berkley Construction Professional , Tuesday, May 6, 2025 , 10 AM to 10:30 AM Pacific 12 PM to 12:30 PM Central 1 PM to 1:30 PM Eastern REGISTER NOW Whether you are new to IPD or looking to sharpen your understanding, this session offers the fundamental…, Join us for this free webinar to learn:, What IPD is and how it works (in simple terms) What distinguishes IPD from traditional project delivery methods What underwriters look for to determine real IPD projects, helping you spot strong…
