Download DBIA EXAM #3 CERTIFICATION Study Guide 2024-2025 and more Exams Nursing in PDF only on Docsity! DBIA EXAM #3 CERTIFICATION Study Guide 2024-2025 EXAM UPDATE VERIFIED QUESTIONS AND ANSWERS CURRENTLY TESTING EXAM QUESTIONS AND ANSWERS What are the 4 types of law? 1. Contract Law 2. Tort Law 3. Statutes and regulations 4. Common Law _____ Law is based on the use of precedent. Common What 3 categories are the Best Practices organized into? 1. Procurement 2. Contracting 3. Execution If these Best Practices are NOT implemented, there is an increased _____ that the project's performance will be _____ and that some or all of the stakeholders will be _____. - probability - compromised - disappointed. _____ and _____ contracts are fundamental to any delivery process. - Fair - Clear Design-Build Done Right is the _____ of every DBIA certification course! core Arbitration and mediation results don't provide direct _____. precedent _____: a party offers to contract with one another. Offer _____: a party accepts the other party's offer. Acceptance _____: value exchanged for performance. Consideration _____: the party making the contract must be legally able to do so Capacity _____: the individual forming the contract must have authority to do so Authority Contracting principles apply to contracts of those working within the _____ _____ DB Team This chapter has ___ Best Practices and ___ Implementing Techniques. - 3 - 18 Contracts used on DB projects should be _____, _____, and _____ and should promote the _____ aspects inherent in the DB process. - fair - balanced - clear - collaborative The contract between the _____ and the ______ _____ should address the _____ aspects of the DB process, including expected standards of care for design services. - Owner - Design-Builder - unique - 5th Circuit found material facts in dispute that allowed party to maintain a promissory estoppel theory. Metroplexcore V. Parsons Transportation Group (2014) _____ Damages: Award what was reasonably expected from the contract. Expectation _____ _____: When expectation damages not available, award what party would have had if contract had not existed. Rescission Damages _____ ______ & _____ _____: If contract's subject is unique, a court may order that the breaching party perform its obligations under that contract (specific performance) or stop doing something (injunction). Specific Performance & Injunctive Relief _____ _____: Award of a reasonable sum of money (i.e., "what the claimant deserved") Quantum Meruit Damages cannot be speculative, and must be proven to a _____ degree of certainty. reasonable The contract may NOT impose limitations on what can be claimed. True or False? False - Liquidated damages. - Limitations of liability. - Improper default terminations. - No damages for delay. - Waivers of consequential damages. These are all examples of Contractual _____. Limitations ______ Damages: Arise from the consequences of a breach. Consequential _____ Damages create substantial financial exposure if something goes wrong. Consequential Consequential Damages demonstrates the importance of Contractual ______. Waivers Consequential Damages are distinct from "_____" Damages. Direct Direct Damages or Consequential Damages? "Lost Profit on the project" Direct Damages Direct Damages or Consequential Damages? "Cost or repair the damage to the project." Direct Damages Direct Damages or Consequential Damages? "Rental of temporary generator to meet power needs on project" Direct Damages Direct Damages or Consequential Damages? "Lost profits on other projects" Consequential Damages Direct Damages or Consequential Damages? "Loss of rental income from tenants." Consequential Damages Direct Damages or Consequential Damages? "Damages to customers." Consequential Damages Direct Damages or Consequential Damages? "Rental of temporary generator to provide power for the Owner to meet its customer's needs." Consequential Damages _____ Application: Owner needs to pay once for items negligently omitted. Practical Limitations of liability can impact recovery. True or False? True Even if professional negligence is proven, damages recoverable are impacted by the _____ _____. Betterment Theory Ordinary _____ _____ _____: Exercise of that skill and judgement which can reasonably be expected from similarly situated professionals. Standard of Care Expert testimony is needed to prove the Standard of Care "_____" baseline What are 2 examples of privity of contract needed to sue a party for economic losses? 1. delay damages 2. Cost to correct defects Application is determined on a state-by-state basis (not valid in all states) True or False? True The Economic Loss Doctrine is applicable to personal injury. True or False. False The _____ has a professional standard of care. Designer a.) Course of Performance b.) Course of Conduct c.) Terms of Art b.) Course of Conduct _____ _____ _____: the use of a word in a specific industry. a.) Course of Performance b.) Course of Conduct c.) Terms of Art c.) Terms of Art - Failing to manage multiple prime contractors. - Overzealous inspections. - Using undue leverage in a negotiation position. These are examples of breaches of _____ _____. Implied Duties _____ _____ risk is one of the major risks on projects. Site Condition Full knowledge of all site conditions is never known. True or False? True Owners generally bear this risk of unforeseen site conditions through a(n) _____ ______ _____ clause. Differing Site Conditions _____ _____ _____: Subsurface or physical conditions at the site that differ materially from those indicated in the CD Differing Site Conditions _____ _____ _____: Unknown physical conditions at the site, of an unusual nature that differ materially from those ordinarily encountered and generally recognized as inhering in the work of the character provided for in the contract. Differing Site Conditions _____ clauses frequently get in the way of efficient implementation of the DSC remedy. Exculpatory Element of Constructive Acceleration: Contractor is entitled to a(n) _____ delay. excusable Element of Constructive Acceleration: Contractor gives Owner _____ _____ of the delay and a proper request for a time extension. timely notice Element of Constructive Acceleration: Time extension _____ or _____. - postponed - refused Element of Constructive Acceleration: Order by _____ that the project be completed within its original performance period. Owner Element of Constructive Acceleration: _____ actually accelerates its performance, thereby incurring excess costs. Contractor _____ clauses often used to deal with the liability ramifications. Indemnity Issue with _____ _____ and partnerships: Claimant can pursue each party for _____% of the liability for acts of the joint venture, regardless of which party created the problem. - Joint Venture - 100% Issue with Joint Venture: Responsibility of _____ to sort out the respective proportions of liability. defendants In DB, the _____ is removed from the design and construction interface. Owner In DB, the _____ and _____ are in a direct contractual relationship. - Contractor - Designer Which case is this? - $48 million DB housing project at Marine Corps base. - Differing site condition claims. - Breach of good faith and fair dealing. Metcalf Construction V. USA (2014) Owners should perform appropriate _____-_____ tasks. front-end _____ Specification: Owner dictates exactly how an element is to be designed and constructed. Prescriptive _____ Specification: Owner only provides the requirement(s) for the end result of an element that will be designed by others. Performance What case is this? - Failure of sign structures to meet contract requirements. - deals with teaming agreement problem. URS Corporation V. Transpo (2015) The key concern with proprietary meetings is how to run the meetings ensuring _____. fairness _____ Meetings are recognized as a way for both parties to benefit from the DB process. Proprietary _____ _____ _____: Modifies a mandatory RFP requirement. Alternative Technical Concepts Agencies have great discretion in running their _____. procurements If there is nothing that confers rights on the Owner to use the work product, the Owner's use can be a(n) _____ violation. copyright Contracts used on DB projects should be _____, balanced and clear and should promote the _____ aspects inherent in the DB Process. - fair - collaborative Contracting parties should proactively and cooperatively identify significant project- specific _____ and clearly identify in the contract how such _____ will be handled. - risks - risks Contracts should reasonably allocate _____ to the party that is best capable of addressing and mitigating the _____. - risks - risk contractors want benefits of balanced contacts _____, but use of the "hammer" to shift substantial risk _____. - upstream - downstream Designers are by their nature _____ averse. risk Contracts should use language that is _____ to those personnel who are administering the project. understandable _____ _____ contracts satisfy many of the goals behind DB best practices. Standard Form What are the 4 current US Standard Form DB Contracts? 1. DBIA 2. Consensus Docs 3. AIA 4. EJCDC A contract's structure is based on how the contractor is _____. paid A contract's structure is based on how the _____ is paid. Contractor Lump Sum or Cost Plus/GMP? - single price regardless of actual cost Lump Sum Lump Sum or Cost Plus/GMP? - no meaningful opportunity for Owner to be involved in subcontractor procurement. Lump Sum Lump Sum or Cost Plus/GMP? - no transparency into price Lump Sum Lump Sum or Cost Plus/GMP? - limited audit rights and undisclosed contingencies. Lump Sum Lump Sum or Cost Plus/GMP? - Owner has broad audit rights Cost Plus/GMP Lump Sum or Cost Plus/GMP? - Owner has ability to be more involved in subcontractor procurement. Cost Plus/GMP Lump Sum or Cost Plus/GMP? - Most contingencies are transparent Cost Plus/GMP Lump Sum or Cost Plus/GMP? - Savings needs to be addressed. Cost Plus/GMP Lump Sum or Cost Plus/GMP? - Administratively more complex Cost Plus/GMP - Timing - Assumptions (particularly schedule) - Contingency - Savings - Line item guarantees These are all issues for which contract? GMP The contract should reflect that Designer-of-Record is regularly and actively involved throughout the project's _____. execution What are the 2 methods in which trade subcontractors be procured? 1. Best Value 2. Low Bid Who obtains professional liability insurance? A/E _____ Liability Insurance is also known as Errors and Omissions Insurance. Professional Builder's Risk Insurance can be obtained by which two parties? Owner or Design-Builder _____ _____ Insurance: First-party coverage against physical damage to project during construction. Builder's Risk _____ _____ Insurance: Risk of liability to Owner from employee injuries caused by occupational diseases. Employer's Liability _____ _____ Insurance: Risk of liability to third parties for BI/PD caused by vehicle accidents in connection with the project. Auto Liability _____ _____ Insurance: Risk of liability due to injuries to workers. Each state has different statutes. Worker's Compensation DBIA forms contain an exclusion for design services. True or false? False DO NOT _____ _____ are Payment and performance bonds requires for public works contracts Surety Bonds _____ bond is for benefit of Owner if Contractor defaults. Performance _____ bond is for benefit of subcontractors and suppliers Payment