# Contract Verbiage Advice



## J L (Nov 16, 2009)

I just got a verbal go ahead on a good size project and am heading out to sign the contract this evening. This will be a fixed sum contract. Our contract will be with the homeowners but we will also be working with the owner's interior designer.

We have not worked much with interior designers, but the vibe I picked up when I walked the job with the designer was that they were going to be very nitpicky and if they didn't like how it was turning out, they were going to have us change it up. I am OK with this so long as we're compensated for changing it. The ID is providing the plans and finish selections and the majority of material for this project. We're mainly labor.

I'm looking for advice on any specific contract verbiage that will make sure if an item is not exactly detailed within the plans and it is left up to our interpretation and the designer requests that we change it after it's installed, that we are compensated. Also, any advice working with designers in general would be appreciated.

Thanks in advance for your replies.


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## We Fix Houses (Aug 15, 2007)

Have an understanding who you are taking direction / orders from as the job proceeds ? The designer or the client ? If from the designer, the designer needs to prep the customer how to handle a problem.

If the client walks in and says to you that's not &^%)"}** ? You need to "have the exact words ready as to what to tell the client." Ask the designer what the response should be.

I keep a daily time sheet of my activities on the job. You need to charge as much as you can when the job changes direction. Don't go into the job with the mindset that we'll just play it by ear. You have no where else to go but to make matters worse when "you" now make unexpected changes to you cost structure.

I have made some good money from designers. I have never been hooked up with a bad one. I guess a bad one will not nail down all the details that will cause angst among the parties. The good ones mark up everything 50% - 300% so that's what makes them good or happy - something like that ?

There's a lot of contract / change order stuff the guys will post I'm sure.

Check the AIA.org website (or related sellers of their contract docs) for sample contracts for interior design work.


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## J L (Nov 16, 2009)

One clause that will work to our advantage within the contract is that we require one contact person for the project. The other parties can chime in, but we only respond when requests come from that person.

This could be a good opportunity to get future work from this designer. We could also lose our a$$ if we're not careful.


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## DPCII (Mar 14, 2010)

RemodelGA said:


> I just got a verbal go ahead on a good size project and am heading out to sign the contract this evening. This will be a fixed sum contract. Our contract will be with the homeowners but we will also be working with the owner's interior designer.
> 
> We have not worked much with interior designers, but the vibe I picked up when I walked the job with the designer was that they were going to be very nitpicky and if they didn't like how it was turning out, they were going to have us change it up. I am OK with this so long as we're compensated for changing it. The ID is providing the plans and finish selections and the majority of material for this project. We're mainly labor.
> 
> ...


First, review the plans and find/address the areas that are not exactly detailed and you feel may be open to your interpetation. Have the plans modified to spell out these areas in detail. The plans should be an addendum to the contract, ergo, little to nothing is open to your interpetation and your contract is circular to the plans - your defense is "I installed exactly what was spec'd, exactly where it was spec'd, now that you see it and dont like it, to change it is extra".

If, as the job progresses you come across things that are open to interpetation, get out in front of them and get the interiors buy-in before proceeding, and document such buy in. There is no better defense than documented approval or documented evidence that you followed the letter of your contract to the t.


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## tinner666 (Nov 3, 2004)

ROFLMAO!!!!!!:laughing:
Worked with one a few years back. She had the tudor style siding specs she wanted. "Let me know when it's done so I see how it went". Fine.
Framed it, roofed, etc, and she came by. " Wow! That's awesome and better than I expected. Now, lets do it this way" as she handed over another set of specs. :w00t:
Took some explaining that the price only including building the addition once, not twice! 
Should have seen the look on her face when that sank it. "I had wanted to see it both ways before the final decision". :w00t:
Might've had to build that one 3 times! 

Maybe you got the same Designer? She's smarter now. We still work together too.


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## J L (Nov 16, 2009)

That's hilarious!!:laughing:

I could hear her say "what do you mean your price is to build it once? I've got three drawings here":w00t:


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## rselectric1 (Sep 20, 2009)

Stock up on change order forms!!!!!:clap:

Just make sure to get them signed. (every single time)


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## hilal.itani (Jan 17, 2009)

rselectric1 said:


> Stock up on change order forms!!!!!:clap:
> 
> Just make sure to get them signed. (every single time)


 
:clap::clap::clap::thumbup::thumbup:


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## hilal.itani (Jan 17, 2009)

You need to have a short form of contract, with signed drawings and specs. AIA, JCT have these types and also FIDIC.org. 

These forms allow you to submit change orders. the difference is AIA or JCT oblige the parties to agree on the change order before procieeding , while thru FIDIC you have to proceed irrespective of signing the change order.


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## hilal.itani (Jan 17, 2009)

A sample of change order clause that will protect the Contractor may be:

*A Variation is any change to the character, form, quality and extent of the Works that is directed in writing by the Owner/Interior Designer (if delegated). The Owner and the Contractor must meet to agree on the reasonable amount payable to or deductible from the Contractor for the Variation before the Contractor carry out such direction. If they do not agree within 14 days after the meeting, the Onwer shall assess that amount. *

*If the Contractors is dissatisfied with the assessed amount, the Contractor will proceed with the Works as if they have not been subject to change. Then the Owner shall wait until the Completion of the Works and sublet the Works to another contractor.*


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