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<br />1 <br /> <br />I <br /> <br />I <br /> <br />\ r " <br />I'; \ <br />' '" <br /> <br />I <br /> <br />5.5 He shall arrange and pay for such legal, auditing, and <br />insurance counselling services as may be required for the <br />Project. <br /> <br />5.6 If the Owner observes or otherwise becomes aware of <br />any defect in the Project, he shall give prompt written notice <br />thereof to the Architect. <br /> <br />ARTICLE 6. PROJECT CONSTRUCTION COST <br /> <br />6.1 Project Cons.truction Cost as herein referred to means <br />the total cost of all work designed or specified by the <br />Architect, but does not include any payments made to the <br /> <br />Architect or consultants. <br /> <br />6.2 Project Construction Cost shall be based upon one of <br />the fol1owing sources with pre,cedenee in the order listed: <br /> <br />6.2.1 Lowe.st acceptable bona fide Contractor's proposal <br />received for any or aU portions of the Project. <br /> <br />6.2.2 Semi-Detailed or Detailed Estimate of Proiect Con- <br />struction Cost as defined in paragraph 6.4 below. <br /> <br />6.2.3 The Architect's. latest Statement of Probable Project <br />Construction Cost based on current area, volume or other <br /> <br />unit costs. <br /> <br />6.3 When labor or material is furnished by the Owner, <br />the Project Construction Cost shall include SIlch labor and <br />material 3 t c.urrent market cost. <br /> <br />6.4 If a fixed limit of Project Construction Cost is stated <br />herein, or if otherwise authorized by the Owner, Estimates <br />of the Probable Project Construction Cost prepared in <br />Semi~Detailed or Detailed form by an experienced estimator <br />wjJl be secured by the Architect during the Design Develop- <br />ment or Construction Documents Phase. <br /> <br />6.5 If the Statement of Probable Project Construction <br />Cost, or the Semi-Detailed or Detailed Cost Estimate, or <br />the lowest bona fide proposal is in excess of any limit stated <br />herein, the. Owner shall give written approval of an increase <br />in the Jimit, or he shaH cooperate in revising the project <br />scope or quality, or both, to reduce the cost as required. <br /> <br />6.6 Since the Arc.hitect ha.s no control over the cost of <br />labor and materials, or competitive bidding, he does not <br />guarantee the accuracy of any Statements of Probable Con- <br />struction Cost, or any Semi-Detailed or Detailed Cost Esti~ <br />mates, <br /> <br />ARTICLE 7. DIRECT & REIMBURSABLE EXPENSE <br /> <br />\;i <br /> <br />7.1 Direct Personnel Expense includes that of principals <br />and employees engage,d on the Project including architects, <br />engineers, designers, job captains, draftsmen, specification <br />writers, typists and Project Representatives, in consultation, <br />research, designing, producing drawing, specifications and <br />other documents pertaining to the Project, and services dur- <br />ing construction at the Project site. <br /> <br />7.2 Reimbursable Expense includes actual expendlwres <br />made by the Architect in the interest of the Project for the <br />following incidental expenses: <br /> <br />7.2.1 Expense of transportation and living of principals <br />and employees when traveling in connection with the Project; <br />long di:stance cans and telegrams} reproduction of drawings <br />and speci.fications, excluding copies for Architect's office use <br />and duplicate sets at each phase for the Owner's review and <br />approval; and fees paid for securing approval of authorities <br />havjng jurisdiction over the Project. <br /> <br />7.2:.2 If authorized in advance by the Owner, the expense <br />of Project Representative, overtime work requiring higher <br />than regular rates, perspectives or models for the Owner's <br />use. <br /> <br />7.2.3 If their employment is authorized in advance by the <br />Owner, fees of special consultants, for other than the,normal <br />structural, mechanical and electrical engineering services. <br /> <br />ARTICLE 8. PAYMENTS TO THE ARCillTECT <br /> <br />8.1 Payments on account of the Architect's basic services <br />shall be as follows: <br /> <br />8.1.1 ! '. ~ ,', j f j ." r c lL~' <br />j 1 I ~ ~ ... ..' { , , ~ <br />i-"~' ~ : . ,. l}".cl ,t. <br />A 0~~ ~~ <br /> <br />8.1.2 ~'ayments shaH be made monthly in pro- ,/ <br />portion to services performed to increase the compensation /. <br />for basic services to the following percentages at the com~ <br />pIeHon of each phase of the work: <br />Schematic Design Phase 15% <br />Desigrr'" Development Phas.e 35% <br />Construction Documents Phase 75% <br />Receipt of Bids 80% <br />Construction Phase 100% <br /> <br />8.2 Pavments for Additional Services of the Architect as <br />defined in Article 4 above, and for Reimbursable Expense <br />as defined in Article 7.2, shall be made monthly upon pres- <br />entation of Architect's detailed invoice. <br /> <br />8.3 No deduction shall be made. from the Architect's com~ <br />pensation en account of penalty, llquidated damages., or <br />other sums withheld from payments to contractors.. <br /> <br />8.4 If ,my work designed or specified by the Architect <br />during any phase of service is abandoned or suspended. in <br />whole, or in part, the Architect is to be paid for the serVIce <br />pe.rformed on account of it prior to receipt of written notice <br />from the Owner of such abandonment or suspension, togeth- <br />er with reimbursements then due and any terminal expense <br />resulting from abandonment or sl.lspension fOT more than <br />three months. <br /> <br />ARTICLE 9. ARCHITECT'S ACCOUNTING RECORDS <br /> <br />Records of the. Architect's Direct PersonneI, Consultant, and <br />Reimbursable Expense pertaining to this Project and records <br />of accounts. between the Owner and Contractor shall be kept <br />on a generally recognized accounting basis and shan be avail- <br />able to the Owner or his authorized representative at mu~ <br />tlJally convenient times. <br /> <br />ARTICLE 10. TERMINATION OF AGREEMENT <br /> <br />fhis AQ;reement may be terminated by eithe,r party upon <br />seven day's written notice should the other party fail sub~ <br />stantially to perform in accordance with its terms through <br />no fault of the other. In the event of termination, due to <br />the fault of others than the Architect, the Architect shall be <br />paid for services performed to termination date, including <br />reimbursements then due, plus terminal expense. <br /> <br />ARTICLE II. OWNERSillP OF DOCUMENTS <br /> <br />Drawings and Specifications as instruments of service are <br />the property of the Architect whether the Project for which <br />they are made be executed or not. They are not to be used <br />on other projects except by agreeme.nt in writing. <br /> <br />ARTICLE U. SUCCESSORS AND ASSIGNS <br /> <br />The Owner and the Ar,hitect each binds himself, his part- <br />ners, successors, assigns and legal representatives to the other <br />party to this Agreement and to the partners, successors, <br />assigns and legal representatives of such other party in <br />respect: of all covenants of this Agreement. Neither the <br />Owner nor the Architect shaH assign, sublet or transfer his <br />interest in this Agreement without the written consent of <br />the other. <br /> <br />ARTICLE 13. ARBITRATION <br /> <br />Arbitration of all questions in dispute under this Agreement <br />shaU be at the choice of either party and shall be in accord- <br />ance with the provisions, then obtaining, of the Standard <br />Form of Arbitration Procedure of The American Institute <br />of Architects_ This Agreement shall be specifically enforce- <br />able under the prevailing arbitration law and judgment <br />upon the award rendered may be entered in the court of <br />the. forum., state or federal, having jurisdiction. The de. <br />cisions of the arbitrators shall be a condition precedent to <br />the right of any legal action, <br /> <br />OWNER,ARCHITECT AGREEMENT <br /> <br />FOUR PAGES <br /> <br />AlA DOC. B-131 <br /> <br />SEPT. 1963 ED. <br /> <br />PAGE 3 <br />