ConsensusDOCS
Encyclopedia
ConsensusDOCS is a family of standard contract
Contract
A contract is an agreement entered into by two parties or more with the intention of creating a legal obligation, which may have elements in writing. Contracts can be made orally. The remedy for breach of contract can be "damages" or compensation of money. In equity, the remedy can be specific...

 documents written and endorsed by a coalition of 35 leading construction industry organizations (the ConsensusDOCS Coalition). ConsensusDOCS offers more than 90 different construction contract documents covering all methods of project delivery
Project Delivery Method
A project delivery method is a system used by an agency or owner for organizing and financing design, construction, operations, and maintenance services for a structure or facility by entering into legal agreements with one or more entities or parties....

. The DOCS in ConsensusDOCS is an abbreviation for the Design
Design
Design as a noun informally refers to a plan or convention for the construction of an object or a system while “to design” refers to making this plan...

, Owner, Contractor
General contractor
A general contractor is responsible for the day-to-day oversight of a construction site, management of vendors and trades, and communication of information to involved parties throughout the course of a building project.-Description:...

, Subcontractor
Subcontractor
A subcontractor is an individual or in many cases a business that signs a contract to perform part or all of the obligations of another's contract....

 and Surety
Surety
A surety or guarantee, in finance, is a promise by one party to assume responsibility for the debt obligation of a borrower if that borrower defaults...

 organizations represented in the ConsensusDOCS Coalition. The ConsensusDOCS mission is to advance the design and construction industry by identifying and utilizing best practices and fairly allocating risks to all parties.

History

The design and construction industry has relied heavily on standard form contracts produced by associations representing a segment of the industry. These contract documents are perceived as favoring the segment of the industry for which the association drafting the documents represents. Consequently, these documents are often heavily modified.

An industry-wide invitation was extended to generate a truly consensus set of standard construction documents. While this had been achieved in other countries, this had never been accomplished in the United States. Beginning in 2004, negotiations and drafting sessions led to the publication of ConsensusDOCS on September 28, 2007. The documents were originally endorsed by 20 organizations. A comprehensive update was published on January 19, 2011 and fourteen additional organizations have endorsed the documents and joined the coalition ,ref. http://enr.construction.com/business_management/project_delivery/2011/0126-ContractAgreements.asp. The American Institute of Architects (AIA)
American Institute of Architects
The American Institute of Architects is a professional organization for architects in the United States. Headquartered in Washington, D.C., the AIA offers education, government advocacy, community redevelopment, and public outreach to support the architecture profession and improve its public image...

 was invited to participate and attended the first session, but they chose not to participate. The Design Professionals included in the ConsensusDOCS coalition include CIRT, LCI, CSI and AWI, as well as individual stakeholders who were part of the drafting process that possess an engineering
Engineering
Engineering is the discipline, art, skill and profession of acquiring and applying scientific, mathematical, economic, social, and practical knowledge, in order to design and build structures, machines, devices, systems, materials and processes that safely realize improvements to the lives of...

 or architectural background.

Aims

ConsensusDOCS attempts to efficiently and equitably allocate risks so that ConsensusDOCS users save considerable transaction costs. The goal is to minimize adding costs to the construction process to price out unknown risk contingencies. By using an industry-accepted foundation, parties no longer need to go through a painstaking negotiation process for each transaction risk, rather, ConsensusDOCS users and their legal and insurance advisers may only need to review transaction-specific changes from the standard document. This saves time and expense for all contracting parties.

What Are Standard Contract Documents?

Standard contracts are copyrighted, form contracts routinely used off of the shelf for more common type of industry transactions that require limited review and insertion of project specific information. They also provide a baseline for negotiations for a comprehensive and fair contract. The documents cover in broad fashion the essential terms and conditions of the parties’ bargain, including legal and insurance concerns. They contain blank spaces for the parties’ names, the scope of the services to be performed, the time of performance, the amount of compensation due, and other bargain-specific information. By filling in requested information and by signing the agreement, the parties are bound by and adopt the terms contained in the standard form document. Generally, parties are free to modify the terms of the standard form contract as needed to address the particulars of their project.

Standard Forms Are Different From Custom-made Contracts

Custom or manuscripted contracts forms are those drafted completely from scratch, usually by one party’s legal counsel or contracting officer, to address one specific transaction. They generally involve considerable time and expense to draft. The drafter must become very conversant with the complexities of the contemplated transaction and may not balance the parties’ interests and responsibilities fairly. Model forms are those meant to be merely suggestive of appropriate terms and conditions. These forms are not intended to be used in their entirety. Rather, the parties are free to pick and choose which terms and conditions within the model forms pertain to their bargain. The parties then place the chosen terms and conditions in their own contract. However, parties must be sure not to include ambiguous or contradictory provisions.

The ConsensusDOCS Drafting Process

The ConsensusDOCS coalition’s open and transparent process invites all interested parties to the drafting table, and each has a voice in drafting fair and balanced contract terms.

ConsensusDOCS, LLC is managed
Management
Management in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively...

 from a staffing perspective by The Associated General Contractors of America (AGC). The content of the documents is written by the ConsensusDOCS Contract Content Advisory Council, which is composed of members of all Coalition organizations and industry stakeholders. Each endorsing organization also has membership in the ConsensusDOCS Business and Marketing Advisory Council, which advises the staff on educational, marketing and business efforts.

Public Education

ConsensusDOCS provides a complimentary copyright
Copyright
Copyright is a legal concept, enacted by most governments, giving the creator of an original work exclusive rights to it, usually for a limited time...

 license for qualified individuals, institutions and organizations to use sample documents in their curriculum, publications and presentations. Interested parties may submit an Educational Copyright License Application.

Catalog of Documents

ConsensusDOCS contract document series include:

ConsensusDOCS 200 Series (General Contracting Documents)

ConsensusDOCS 200 - Standard Agreement and General Conditions Between Owner and Constructor (Lump Sum)


An integrated agreement and general conditions document between the Owner and the Constructor performing work on a lump sum
Lump sum
A lump sum is a single payment of money, as opposed to a series of payments made over time .The United States Department of Housing and Urban Development distinguishes between "price analysis" and "cost analysis" by whether the decision maker compares lump sum amounts, or subjects contract prices...

 basis. It is appropriate for use in competitive bid environments or in situations requiring a negotiated lump sum contract.

ConsensusDOCS 200.1 - Time and Price Impacted Materials


Provides a method for establishing the market price of a construction commodity and for calculating a price adjustment for that commodity if it has an extraordinary increase or decrease in cost.

ConsensusDOCS 200.2 - Electronic Communications Protocol Addendum


Determines acceptable formats and technology for electronic communications, including Building Information Modeling (BIM). This ground-breaking document allows for communications management and consistency throughout the project.

ConsensusDOCS 202 - Change Order


This ConsensusDOCS document is used to formalize changes in the work and adjustments to contract time and price.

ConsensusDOCS 203 - Interim Directed Change


This ConsensusDOCS document is used as a unilateral order issued by the Owner in the absence of agreement on price and time for changes in the work.

ConsensusDOCS 204 - Request for Information


This document is used by Contractor or Subcontractors to request Owner financial information.

ConsensusDOCS 205 - Standard Short Form Agreement Between Owner and Constructor (Lump Sum)


This convenient, short-form agreement and general conditions document is premised on concepts and language found in ConsensusDOCS 200.

ConsensusDOCS 220 - Contractor’s Qualification Statement for Engineered Construction


This qualification statement may be used as a generic pre-qualification statement or a contract-specific qualification statement.

ConsensusDOCS 221 - Constructor’s Statement of Qualifications for a Specific Project


This document provides information to Owners to assess the qualifications of a Constructor to perform work on a specific project.

ConsensusDOCS 222 – Design Professional’s Specific Statement of Qualifications for a Specific Project


This ConsensusDOCS document provides information to Owners to assess the qualifications of a Design Professional to perform work on a specific project.

ConsensusDOCS 235 – Standard Short Form Agreement Between Owner and Constructor (Cost of Work)


This convenient, short-form agreement and general conditions document is premised on concepts found in the ConsensusDOCS 510.

ConsensusDOCS 240 – Standard Form of Agreement Between Owner and Design Professional


ConsensusDOCS 240, 2007 Edition, is a document which is coordinated for use with ConsensusDOCS 200 series Owner-Constructor agreements. It is intended to form the agreement between the Owner and the Design Professional performing a full range of design and administrative services for the project.

ConsensusDOCS 245 – Standard Short Form Agreement Between Owner and Design Professional


Describing the relationship between the Owner and the Design Professional, ConsensusDOCS 245 places most transaction-specific information at the front, and addresses services from schematic design through construction contract administration.

ConsensusDOCS 260 - Performance Bond


Developed with the assistance of organizations representing the surety industry, ConsensusDOCS 260 is a standardized performance bond form coordinated for use with ConsensusDOCS 200 and 500 documents.

ConsensusDOCS 261 - Payment Bond


Developed with the assistance of organizations representing the surety industry, ConsensusDOCS 261 is a standardized payment bond form coordinated for use with ConsensusDOCS 200 and 500 documents.

ConsensusDOCS 262 - Bid Bond


Developed with the assistance of organizations representing the surety industry, this standardized bid bond form is coordinated for use with ConsensusDOCS 200 and 500 documents.

ConsensusDOCS 263 - Warranty Bond


This standardized warranty bond is used for the correction of a defect in the work during a one-year Correction of Work period. Provisions addressing general conditions and Surety obligation are provided in this document. Space is provided to fill in the bond sum and names of the Owner, Contractor, Surety, Project and various dates.

ConsensusDOCS 270 - Instructions to Bidders on Private Work


This convenient form is used for bid submission and award. It provides information about pre-bid procedure, including obtaining bidding documents and additional information prior to opening of bids, and the examination of bidding documents and worksite.

ConsensusDOCS 280 - Certificate of Substantial Completion


Intended for use with the ConsensusDOCS 200 Series, this document is used to record the date of substantial completion of the work or a designated portion thereof.

ConsensusDOCS 281 - Certificate of Final Completion


This ConsensusDOCS document is used to record the date of final completion of the Contractor’s work.

ConsensusDOCS 290 - Guidelines for Obtaining Financial Owner Information


This short document is used to identity for the Contractor the type of information that should be requested of the Owner, and why this particular information is important.

ConsensusDOCS 290.1 - Owner Financial Questionnaire


This form is used to request specific information about the Owner’s legal structure, ownership of the land, construction financing and insurance.

ConsensusDOCS 291 - Application for Payment (GMP)


This form facilitates the calculation and documentation of progress payments.

ConsensusDOCS 292 - Application for Payment (Lump Sum)


This form facilitates the calculation and documentation of progress payments.

ConsensusDOCS 293 - Schedule of Values


This form provides a breakdown of the cost of elements of the work and should be used with the ConsensusDOCS application for payment forms ConsensusDOCS 291 and 292.

ConsensusDOCS 907 - Equipment Lease


Offered as either a one-page agreement or two-page general conditions, this lease agreement is accompanied by an instruction sheet on assumptions in the document which may require modification on items in the standard form requiring completion.

ConsensusDOCS 300 Series (Collaborative Documents/IPD)

ConsensusDOCS 300 – Standard Form of Tri-Party Agreement for Integrated Project Delivery


This agreement joins the Owner, Designer and Constructor in the same agreement. This was the first standard integrated project delivery (IPD) contract published and is an example of a relational contract
Relational contract
A relational contract is a contract whose effect is based upon a relationship of trust between the parties. The explicit terms of the contract are just an outline as there are implicit terms and understandings which determine the behaviour of the parties....

. The contract creates a core team management team to make consensus project decisions. The team members share in the "pain and the gain" of the project through share responsibilities and incentives clauses that are essential to reinforce collaboration. Individual team member's core responsibilities for design as well as construction means and methods is not compromised. Significantly, this contract structure does not create a single purpose entity (SPE) that causes license and insurance laws that has been criticized in other IPD contracts.

ConsensusDOCS 301 - Building Information Modeling (BIM) Addendum


The first standard contract document that globally addresses legal issues and administration associated with utilizing Building Information Modeling (BIM), this document is intended to be used as an identical contract addendum for all project participants inputting information into a BIM Model throughout the construction process. This document includes a BIM Execution Plan, and allows the project participants to determine the level for which a BIM model or models may be legally relied upon.

ConsensusDOCS 310 – Green Building Addendum


This addendum comprehensively addresses the process, procedures, and risk allocation involved with contracting for a green building project. This document may be used with a ConsensusDOCS contract, as well as AIA contracts or other manuscripted agreements.

ConsensusDOCS 400 Series (Design-Build Documents)

ConsensusDOCS 400 - Preliminary Agreement Between Owner and Designer-Builder


This document is intended to be used in conjunction with ConsensusDOCS 410 or 415 to take the project through schematic design only.

ConsensusDOCS 410 – Standard Design-Build Agreement and General Conditions Between Owner and Design-Builder (Cost of Work Plus Fee with GMP)


This document may be used as a follow-up document to ConsensusDOCS 400, or it may be used as a stand-alone document that addresses the entire design-build process, including the services otherwise provided under ConsensusDOCS 400.

ConsensusDOCS 415 – Standard Design-Build Agreement and General Conditions Between Owner and Design-Builder (Lump Sum Based on Owner’s Program Including Schematic Design Documents)


Unlike the ConsensusDOCS 410, this document cannot be used as a stand-alone document that addresses the entire design-build process. It is intended to be a follow-up document to ConsensusDOCS 400, assuming that the owner’s program or other project information includes schematic design documents.

ConsensusDOCS 420 – Standard Agreement Between Design-Builder and Design Professional


This agreement clearly delineates the respective rights and responsibilities assumed by the Design-Builder and the Design Professional for the design-build project.

ConsensusDOCS 421 - Statement of Qualifications


This document is intended to provide information to Owners to assess the qualifications of a Designer-Builder to perform work on a specific project.

ConsensusDOCS 450 – Standard Form of Agreement Between Design-Builder and Subcontractor (Design-Builder Assumes Risk of Owner Payment)


This document is intended to be used where the Subcontractor has not been retained to provide substantial portions of the design for the project. Furthermore, the payment to the Subcontractor is not conditioned on the design-builder having received payment for subcontract work satisfactorily performed.

ConsensusDOCS 460 – Standard Form of Agreement Between Design-Builder and Design-Build Subcontractor (Subcontractor Provides GMP and Design-Builder Assumes Risk of Owner Payment)


This document is intended for use where the Subcontractor is retained by the Design-Builder early in the design phase, basically providing the same design and construction services as the Design-Builder provides the Owner under ConsensusDOCS 410 and 415. Construction is performed on the basis of the cost of the work, plus a fee, up to a guaranteed maximum price. Furthermore, payment to the Subcontractor is not conditioned on the Design-Builder having received payment from the Owner for subcontract work satisfactorily performed.

ConsensusDOCS 470 - Performance Bond (Surety Is Liable for Design Costs of Work)


This bond between the Surety and the Designer-Builder makes the Surety liable for the design costs of the work. Provisions addressing Surety obligations, limited liability for design, and dispute resolution are provided in this document. Space is provided to fill in the bond sum and names of Owner (Obligee), Designer-Builder (Principal), Surety, Surety Representative and Project.

ConsensusDOCS 471 - Performance Bond (Surety Is Not Liable for Design Services)


This bond between the Surety and the Designer-Builder, makes the Surety not liable for the design costs of the work. Provisions addressing Surety obligations, on liability of design, and dispute resolution are provided in this document. Space is provided to fill in the bond sum and names of Owner (Obligee), Designer-Builder (Principal), Surety, Surety Representative and Project.

ConsensusDOCS 472 - Payment Bond (Surety Is Liable for Design Costs of Work)


This document, between the Surety and the Designer-Builder, makes the Surety liable for the design costs of the work. Provisions addressing Surety obligation, limitation of action, and claimant are provided. Space is provided to fill in the bond sum and name of Owner (Obligee), Designer-Builder (Principal), Surety, Surety Representative and Project.

ConsensusDOCS 473 - Payment Bond (Surety Is Not Liable for Design Services)


This document, between the Surety and the Designer-Builder, makes the Surety not liable for the design costs of the work. Provisions addressing Surety obligation, limitation of action, and claimant are provided. Space is provided to fill in the bond sum and name of Owner (Obligee), Designer-Builder (Principal), Surety, Surety Representative and Project.

ConsensusDOCS 481 - Certificate of Substantial Completion


This document is used by the Owner and Designer-Builder to establish substantial completion of design-build work.

ConsensusDOCS 482 - Certificate of Final Completion


This document is used by the Owner and Designer-Builder to establish final completion of design-build work.

ConsensusDOCS 491 - Application for Payment (Cost of Work and a GMP Has Been Established)


For use with ConsensusDOCS 410, this document provides for notarization.

ConsensusDOCS 492 - Application for Payment (Lump Sum)


For use with ConsensusDOCS 415, this document provides for notarization.

ConsensusDOCS 495 - Change Order For Cost Plus With GMP Design-Build Contracts


For use with ConsensusDOCS 410, this document requires signatures of the Designer-Builder and the Owner.

ConsensusDOCS 496 - Change Order For Lump Sum Design-Build Contracts


For use with ConsensusDOCS 415, this document requires signatures of the Designer-Builder and the Owner.

ConsensusDOCS 500 Series (Construction Management Documents)

ConsensusDOCS 500 – Standard Agreement and General Conditions Between Owner and Construction Manager (CM At-Risk)


An agreement and general conditions document, ConsensusDOCS 500 also provides an option for preconstruction services, such as providing estimates of the Project, reviewing drawings and specifications for constructability problems, creating schedules for procurement of long lead items, and developing Trade Contractor interest in the Project. ConsensusDOCS 500 may be used in a variety of negotiated contract situations in which the Owner desires a comprehensive set of preconstruction and/or construction services from the Construction Manager and seeks the assurance of an overall project cost ceiling.

ConsensusDOCS 510 – Standard Agreement and General Conditions Between Owner and Construction Manager (Cost of Work with Option for Preconstruction Services)


ConsensusDOCS 510 is a document that is intended to form an integrated agreement and general conditions document between the Owner and the Construction Manager performing work on a cost of the work plus a fee basis without the establishment of a guaranteed maximum price (GMP). ConsensusDOCS 510 also provides an option for the Contractor to provide pre-construction services, such as providing estimates of the Project, reviewing drawings and specifications for constructability problems, creating schedules for procurement of long lead items, and developing Trade Contractor interest in the Project. ConsensusDOCS 510 maybe used in a variety of negotiated contract situations in which the Owner desires a comprehensive set of preconstruction and/or construction services from the Contractor, and it may be particularly applicable in situations where project variables, such as a well-defined scope of the work, maybe unknown at the time of contract execution. With preconstruction services added, this document becomes the equivalent of a CM at Risk agreement.

ConsensusDOCS 525 - Change Order/Construction Manager Fee Adjustment


This form is for projects built under the Construction Management method of contracting.

ConsensusDOCS 700 Series (Subcontracting Documents)

ConsensusDOCS 703 - Standard Purchase Agreement for a Contractor


ConsensusDOCS 703 is a standard purchase order form.

ConsensusDOCS 705 - Invitation to Bid/Subbid Proposal


This form is for Subcontractors to describe the scope of work covered in their bids.

ConsensusDOCS 706 - Performance Bond


This bond can be requested by a Contractor from a Subcontractor to guarantee the Subcontractor’s performance.

ConsensusDOCS 707 - Payment Bond


This bond form can be requested by a Contractor from a Subcontractor to guarantee that the Subcontractor will pay laborers and material suppliers.

ConsensusDOCS 710 - Application for Payment


This application provides a standardized format for Subcontractor’s requests for payment.

ConsensusDOCS 721 - Subcontractor’s Qualification Statement for a Specific Project


Used by the Subcontractor to provide information, such as personnel qualifications, industry references, performance history, and safety record, to the Contractor who is assessing the Subcontractor’s qualifications to work on a specific project.

ConsensusDOCS 725 – Standard Agreement Between Subcontractor and Subsubcontractor


The only standard agreement, this simplified form is for use between a Subcontractor and a Subsubcontractor and is suited to the somewhat simpler relationship between these two parties.

ConsensusDOCS Exhibit E – Insurance Requirements to 725 Standard Subsubcontractor Agreement



ConsensusDOCS 750 – Standard Form of Agreement Between Contractor and Subcontractor (Contractor Assumes Risk of Owner Payment)


This document is intended to be generally compatible with ConsensusDOCS 200 or other agreements. An indemnity agreement is also included.

ConsensusDOCS 750.1 - Rider Between Contractor and Subcontractor for Material Storage at Subcontractor’s Site


This document governs the storage of specific materials and equipment at a Subcontractor’s yard, and sets a standard agreement for storage that will ensure the minimum precautions and coverages are agreed upon (and purchased if they are not covered in the Builder’s Risk Policy for the Project). This may be attached as a rider to ConsensusDOCS 750, as is elaborated in subsection 8.2.4 of ConsensusDOCS 750.

ConsensusDOCS 751 – Standard Short Form Agreement Between Contractor and Subcontractor (Contractor Assumes Risk of Owner Payment)


This convenient subcontract form places all negotiated points/project specific terms at the beginning of the document. In ConsensusDOCS 751, the Contractor assumes risk of Owner non-payment. An indemnity agreement is also included.

ConsensusDOCS 752 – Standard Subcontract Agreement for Use on Federal Construction


The only standard subcontract agreement for federal projects that is compliant with the most recent contracting requirements and practices found in the Federal Acquisition Regulation (FAR). ConsensusDOCS 752 addresses the most recent FAR updates from 2009.

ConsensusDOCS 760 - Bid or Proposal Bond


This standard document is used when a bid or proposal bond is required.

ConsensusDOCS 781 - Certificate of Substantial Completion


This document is used by the Owner and Subcontractor to establish substantial completion of the subcontract work.

ConsensusDOCS 782 - Certificate of Final Completion


This document is used by the Owner and Subcontractor to establish final completion of the subcontract work.

ConsensusDOCS 795 - Change Order


This short document is used to formalize changes in the work and make adjustment to subcontract time and price.

ConsensusDOCS 796 - Interim Directed Change


This document is used as a unilateral order issued by the Contractor in absence of agreement on price and time for changes in the Subcontractor’s work.

ConsensusDOCS 800 Series (Construction Agency & Program Management Documents)

ConsensusDOCS 800 – Standard Program Management Agreement and General Conditions Between Owner and Program Manager


The contractual configuration is of a “pure/agent Program Manager,” not at risk, either with all design and construction contracts signed by the Owner or the Program Manager signing the contracts as the agent of the Owner. The Program Manager can be seen as replacing the Owner’s facilities staff and may oversee a project delivery accomplished under a variety of methods (e.g., design-bid-build or design-build) for each discrete project or site. This contract provides a scope of services presented in a matrix to be used as a menu for the parties to assign duties.

ConsensusDOCS 801 – Standard Owner and Construction Manager Agreement (CM is Owner’s Agent and Owner Enters Into All Trade Contractor Agreements)


May be used with the CM process when the Owner awards all the trade contracts.

ConsensusDOCS 802 - Agreement Between Owner and Trade Contractor (CM is Owner’s Agent)


Describes the legal relationship between the Owner and each Trade Contractor, who becomes prime to the Owner. This document is compatible with ConsensusDOCS 801.

ConsensusDOCS 803 - Agreement Between Owner and Architect/Engineer (CM Acting as Agent Has Been Retained by Owner)


ConsensusDOCS 530 was developed expressly to coordinate with ConsensusDOCS’ other construction management agency forms, specifically ConsensusDOCS 801 and 802.

ConsensusDOCS 810 - Agreement Between Owner and Owner’s Representative


This document serves as an agreement between an Owner and a person/entity acting as an independent Contractor, who shall serve as the Owner’s authorized representative for a specific project, assuming that the Owner will retain both a Design Professional and a Contractor.

ConsensusDOCS 812 - Interim Directed Change


This agreement is issued by the Owner to the Trade Contractor in the absence of agreement on price and time for changes in the trade contract work.

ConsensusDOCS 813 - Change Order


This short document is used to formalize changes in the trade contract work and make adjustment to time and price.

ConsensusDOCS 814 - Certificate of Substantial Completion


This document is used by the Owner and Trade Contractor to establish final completion of the trade contract work.

ConsensusDOCS 815 - Certificate of Final Completion


This document is used by the Owner and Trade Contractor to establish final completion of the trade contract work.

Coalition Members

Thirty five (35) construction industry associations comprise the ConsensusDOCS Coalition

External links

The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
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