A surety bond guaranteeing that the bidder will sign a contract, if offered, in accordance with his or her proposal.
Bid bond
The invitation to bid, instructions to bidders, bid form, and the contract documents.
Bidding Documents
An amount included in the contract sum to cover the cost of certain items not specified in detail. Hardware and other finish items are often handled in this manner.
Cash Allowance
A document issued by the governing authority stating that a building complies with applicable laws and permitting occupanch for its designated use.
A Certificate of Occupancy
A written order to the contractor, prepared by the architect and signed by the owner, contractor, and architect, which authorizes a change in the work, the contract sum, or the contract time.
Change Order
A provision in the construction contract for payment of a bonus to the contractor for completing the project prior to a specific date, and for a charge (penalty) against the contractor for failing to complete the project by that date.
Bonus and Penalty Clauses
A federal law that requires the Department of Labor to set prevailing wages for government-financed construction projects.
Davis Bacon Act
A statement by the architect informing the owner of the amount due the contractor on account of work completed and/or materials suitably stored.
Certificate of Payment
The completion of all work in accordance with the terms and conditions of the contract documents.
Final Completion
A document, signed by the owner and the architect, which authorizes a change in the work, the contract sum, or the contract time. Used when there is not complete agreement on the terms of a change order.
Construction Change Directive
The requirement that a professional exercise reasonable ability and judgment in a specific circumstance, the absence of which constitutes negligence.
Due Care
The part of the contract documents that states the rights, responsibilities, and relationships of the parties involved, usually by means of a standard document published by the American Institute of Architects.
General Conditions
Drawings revised to show changes made during construction. Sometimes erroneously called As-Built Drawings.
Schedule of Values
The package prepared by the architect for a project, including the technical specifications, bidding instructions and forms, general conditions, supplementary conditions, special conditions, and other legal and administrative documents.
Project Manual
The contractor's representative at the site.
Superintendent
An ordinance that specifies the period of time within which legal action must be brought in order to obtain legal relief for damage or injury.
Statute of imitations
All materials and/or labor required for a project.
Work
Clause in a cost plus fee contract between the owner and contractor in which the savings between the guaranteed maximum cost and the actual project cost are proportionally shared.
Incentive Clause
Drawings revised to show changes made during construction. Sometimes erroneously called As-Built Drawings.
Record Drawings
Part of the contract documents, prepared by the architect, which may modify provisions of the general conditions of the contract.
Supplementary Conditions
A contractual obligation whereby one party agrees to guarantee another party against loss or damage from specified liabilities.
Indemnification
Statements or drawings that modify the basic contract documents after the latter have been issued to the bidders, but prior to taking of bids.
Addenda
An amount of money set aside in a budget to cover unanticipated expenses.
Contingency
As defined in the AIA General Conditions, completion of a project to the point where the owner can occupy all or designated portions of the work for the purpose for which it is intended.
Substantial Completion
A term sometimes used for on-site examination of the contractor's work by the architect to determine in general if it is proceeding in accordance with the contract documents.
Observation