Contract Administration Flashcards
7 cards from real CCM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Contract Administration flashcards as text
A contractor discovers buried fuel tanks not shown on the contract drawings during excavation. This situation is best described as:
Answer: A Type II differing site condition where actual conditions differ materially from those ordinarily encountered
Buried tanks unknown to both parties represent a Type II differing site condition — conditions that differ materially from those ordinarily encountered in similar work.
In construction contract administration, what is the 'cardinal change' doctrine?
Answer: A legal principle that a change so significant it alters the fundamental nature of the contract may void it
The cardinal change doctrine holds that a change so substantial it alters the nature of the work originally contracted may constitute a breach of contract rather than a permissible change.
Under the AIA A201 General Conditions, what is the contractor's obligation regarding safety programs on the project site?
Answer: The contractor is solely responsible for initiating, maintaining, and supervising all safety precautions and programs
AIA A201 assigns the contractor sole responsibility for safety programs, precautions, and compliance with applicable laws; the owner and architect are not responsible for safety means and methods.
A pay application submitted by the contractor includes a lien waiver. What is the significance of this document for the owner?
Answer: It releases the owner's property from potential liens by the contractor for that payment period
A lien waiver protects the owner's property by releasing the contractor's (and potentially subcontractors') right to file a mechanic's lien for amounts covered by the payment.
What is the function of a 'no-damage-for-delay' clause in a construction contract?
Answer: It contractually limits the contractor's remedy for owner-caused delays to a time extension only, excluding monetary compensation
A no-damage-for-delay clause limits the contractor's remedy for most owner-caused delays to additional time, not additional compensation, though courts recognize exceptions for active interference.
Which contract delivery method gives the construction manager a guaranteed maximum price (GMP) and transfers financial risk to the CM if costs exceed that amount?
Answer: CM at-Risk (CMAR)
Under CM at-Risk, the CM provides a GMP commitment and assumes the risk of cost overruns above that ceiling, similar to a general contractor's role.
When reviewing a contractor's pay application, the CM determines that the contractor has over-billed for work in place. The CM should:
Answer: Certify only the amount the CM determines to be accurately represented and notify the contractor of the adjustment
The CM should certify the accurate amount, document the basis for the adjustment, and promptly notify the contractor in writing to allow correction and resubmittal.