Project Management and Legal Flashcards
7 cards from real CME practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Project Management and Legal flashcards as text
A contractor is required to obtain a 'surety bond' for a public project. What party issues this bond?
Answer: A licensed surety company or insurance carrier
Surety bonds are issued by licensed surety companies, which act as a guarantor that the contractor will fulfill their obligations to the project owner.
What is the statute of limitations, and why is it critical in construction law?
Answer: A legal deadline after which claims or lawsuits can no longer be filed
The statute of limitations is a legally mandated time window within which a party must file a lawsuit or legal claim, after which courts will bar the action.
Under OSHA's electrical safety standard 29 CFR 1910.333, work on or near energized parts above what voltage requires established safety procedures and PPE?
Answer: 50 volts
OSHA's electrical safety standard triggers safety requirements for work near exposed electrical parts at 50 volts or more, as this level can cause ventricular fibrillation.
A master electrician's company wins a project through competitive bidding. What type of contract is most commonly used in this scenario?
Answer: Lump sum (fixed price) contract
Competitive bidding typically results in a lump sum contract, where the contractor agrees to complete the defined scope for a fixed total price.
What is 'subrogation' in the context of electrical contractor insurance?
Answer: The insurer's right to pursue a third party that caused a loss after paying the insured's claim
Subrogation allows an insurance company to step into the shoes of the insured and recover damages from the at-fault third party after paying out a claim.
Which project management tool is BEST suited for tracking task dependencies and overall project timeline in a visual format?
Answer: Gantt chart
A Gantt chart visually displays project tasks on a timeline, showing start/end dates, durations, and task dependencies in an easy-to-read horizontal bar format.
A project owner withholds 10% of each progress payment as 'retainage.' When is this money typically released?
Answer: Upon substantial completion and resolution of all punch list items
Retainage is typically released after substantial completion, final inspection approval, and resolution of all punch list items, ensuring the contractor finishes all work properly.