CAC CAC Contract Administration 2 — Questions and Answers
Question 1: What is a Request for Information (RFI) in construction?
- A formal query from the contractor seeking clarification on contract documents (Correct answer)
- A bid solicitation to subcontractors
- An owner's request for additional scope
- A safety incident report
Correct answer: A formal query from the contractor seeking clarification on contract documents
An RFI is a written request from the contractor to the design team seeking clarification or additional information about the contract documents.
Question 2: Substantial Completion is typically defined as the point when:
- The work is sufficiently complete for the owner to occupy or use it for its intended purpose (Correct answer)
- All punch list items are closed
- Final payment has been made
- The building permit is issued
Correct answer: The work is sufficiently complete for the owner to occupy or use it for its intended purpose
Substantial Completion is reached when the project is complete enough that the owner can use it for its intended purpose, even if minor items remain.
Question 3: A Punch List in construction contract administration is:
- A list of incomplete or deficient items to be corrected before final acceptance (Correct answer)
- A list of approved subcontractors
- A procurement tracking log
- A daily labor count sheet
Correct answer: A list of incomplete or deficient items to be corrected before final acceptance
A Punch List documents remaining deficiencies or incomplete work items that must be resolved before the contractor receives final payment.
Question 4: Which party is typically responsible for reviewing and approving contractor submittals?
- The architect or engineer of record (Correct answer)
- The general contractor
- The owner's attorney
- The building department
Correct answer: The architect or engineer of record
The architect or engineer reviews submittals (shop drawings, samples, product data) to confirm they conform to the design intent.
Question 5: What does 'no-damage-for-delay' clause mean in a construction contract?
- The contractor cannot claim monetary compensation for owner-caused delays, only time extensions (Correct answer)
- The owner waives liquidated damages
- The contractor bears all scheduling risk
- Delays automatically void the contract
Correct answer: The contractor cannot claim monetary compensation for owner-caused delays, only time extensions
A no-damage-for-delay clause bars the contractor from recovering additional costs caused by owner delays, limiting the remedy to a time extension only.
Question 6: Liquidated damages in a construction contract are:
- Pre-agreed daily penalties for failing to meet the contract completion date (Correct answer)
- Compensation for defective materials
- Insurance deductibles
- Fees charged for RFI responses
Correct answer: Pre-agreed daily penalties for failing to meet the contract completion date
Liquidated damages are a fixed daily amount specified in the contract that the contractor owes the owner for each day of inexcusable delay beyond the completion date.
CAC CAC Contract Administration 2
What is a Request for Information (RFI) in construction?