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The architect's interest in the contract.—

The standard form of the American Institute.

-Consideration of its terms.-Advantages and

disadvantages.-Payment to contractor should

be contingent on performance.-What law

should govern the contract.-Deviations by

contractor from contract terms should be

clearly restricted.—The authorization of

changes. The ownership of drawings and

models.-Status of the architect and scope of

his authority. Tendency to restrict his power

and discretion.-Disadvantages of this course.

-Decision of disputes by arbitration.-Advan-

tages and disadvantages.-Right of the con-

tractor to act in emergencies.-Preferable to

vest emergency authority in architect.-Im-

portance of submission by contractor of sched-

ule of values covering component parts of the

work.-Protection of owner against mechanic's

liens.-Owner should have right to withhold

payment of any instalment until existing liens

have been satisfied.-Standard Contract provi-

sion with respect to patents, unfair to con-

tractor.-Desirable for architect to have his

own contract form.-A meeting of the minds

essential to any contract.-Contract must have

mutuality. Offer alone does not constitute

contract.-Necessity of acceptance.-Right to

withdraw offer prior to acceptance.-Mistakes

in bids as affecting contractor's liability.-

Supplemental or additional agreements.-Ne-

cessity for reducing them to writing.-Written

agreement cannot be changed by oral agree-

ment.-Collateral agreements an exception to

rule. All supplemental agreements should be

in written form.-Disregard of this caution is

dangerous.

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CHAPTER

V.

VI.

of clear understanding on this point.-Duty of
architect to make clear to client probability of
extras and impossibility of foretelling cost.-
Suggested contract provision for protection of
architect.

ACTING AS CONTRACTOR OR PRINCIPAL

Architect should not become involved as
contractor or principal.-Dangerous to act for
undisclosed principal.

SKETCHES AND PLANS

Payment for preliminary sketches.-Impor-
tant to provide basis upon which fee therefor
may be computed.-Agreement on estimated
cost.-Payment for sketches where work sus-
pended or abandoned.-Payment for successive
sets of sketches.-Payment for plans and draw-
ings.-Right to charge for successive sets of
plans and for changes.-Importance of fixing
percentage to be charged.-Popular miscon-
ception of effect of American Institute mini-
mum charge schedule.-The delivery of the
plans.-Failure to deliver as affecting archi-
tect's right to recover.-What constitutes de-
livery.-Delivery as distinguished from ac-
ceptance.-Changes in plans and specifications
after approval.-Cautions to the architect.-
Changes made necessary by mistakes of the
architect, as distinguished from those due to
directions by owner.-Payment for extra serv-
ices and expenses due to changes by client.-
Payment for such changes as distinguished
from additional basic fee received on added
cost.-Insistence of client on changes artis-
tically or structurally wrong.-Action to be
taken by architect under such conditions.-
Danger of agreement by architect to changes
affecting safety of structure.-Liability for
injury to the public.-Right to special com-
pensation for work of special character, such
as cabinet work.-Importance of office organ-
ization in avoiding misunderstandings and
placing work on a definite and business basis.

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80

CHAPTER

VII.

THE TITLE TO THE PLANS

General misconception of architect's rights
in the plans. In absence of agreement, plans
belong to the client.-Architect should be pro-
tected by contract provision.-Rights of third
parties in the plans.-Protection of the plans
by patent or copyright.-Design patents.

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Similarity of architectural and legal pro-
fessions. Responsibility of architect for rea-
sonable skill and diligence.-Distinction be-
tween supervision and superintendence.-Em-
ployment of a "clerk of the works."-What
constitutes supervision.-Architect's right to
delegate authority.-Supervision and other
services may be rendered by clerks.-Final re-
sponsibility and general direction must rest
upon the architect.-Danger of authorizing
changes without proper authority.-The issu-
ance of certificates.-Necessity for care and
proper checking.-Advisability of securing
statement of quantities and unit prices on com-
ponent parts of work.-Submission by con-
tractor of monthly statements of quantities
and prices.-Investigation of current market
prices by architect.-Responsibility of architect
for negligence in checking requisitions or issu-
ing certificates.-Neglect in over-certification.
-Neglect in passing estimates or requisitions
carrying improper distribution of profits.-
Issuance of certificates as condition precedent
to recovery by contractor.-Failure to issue
will not necessarily defeat recovery.-Danger
of owner giving instructions to contractor
direct.-Effect on rights and liability of archi-
tect. Quasi-judicial status of architect.-His
duties and rights as arbitrator.-He must have
no concealed interest in contract.-Good faith
requisite.

IX. COMPETITIONS

Increase in competitions in recent years.-
Dangers of competitive work.-Lack of definite

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Corporation managed by its board of di-

rectors. Necessity of approval by board of

directors of acts of officers.-Contract executed

by officer without authority of directors not

binding upon the corporation.-Formalities

necessary to insure proper execution of con-

tract and protection of architect.-Techni-
cality of governmental contracts.-Services for
corporations not yet actually in existence.-
Distinction between selection of competitive
design, for use if building is erected, and defi-
nite agreement to pay for design whether the
work be proceeded with or not.

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Importance of lien protection.-The devel-
opment of the Lien Law.-Effectiveness of
architect's lien in forcing payment of fees.-
Right to lien for work done for tenant of office
building.-Necessity of approval of work by
owner. What approval is required.-Impor-
tance of having approval definite.-Care neces-
sary where title to property is in the name of
some one other than the client.-Lien Law
purely statutory.-Lien legislation in the dif-
ferent states.-Legal requirements must be
strictly complied with.-Necessary to consider
laws of state where lien is to be filed.-Legal
advice should be secured.

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