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ARTICLE 5 .3 if the Project is abandoned, terminate in accordance <br /> with Paragraph 8.3; or <br /> CONSTRUCTION COST <br /> .4 cooperate in revising the Project scope and quality as <br />5.I DEFINITION required to reduce the Construction Cost. <br /> <br /> 5.2.5 If the Owner chooses to proceed under Clause 5.2.4.4, <br />5.1.1 The Construction Cost shall be the total cost or esti- <br />mated cost to the Owner of all elements of the Proiect designed the Architect, without additional charge, shall modif'y the Con- <br /> tract Documents as necessary. to comply with the fixed limit. if <br />or specified bv the Architect. established as a condition of this Agreement. The modification <br />5.1.2 The Construction Cost shall include the cost at current of Contract Documents shall be the limit of the Architect 's <br />market rates of labor and materials furnished by the Owner and responsibility arising out of the establishment of a fixed limit. <br />equipment designed. specified. selected or specially provided The Architect shall be entitled to compensation in accordance <br />for by the Architect. plus a reasonable allowance for the Con- with this Agreement for all services performed whether or not <br />tractor's overhead and profit. In addition. a reasonable allow- the Construction Phase is commenced. <br />ance for contingencies shall be included for market conditions <br />at the time of bidding and for changes in the Work during <br />construction, ARTICLE 6 <br />5.1.3 Construction Cost does not include the compensation of USE OF ARCHITECT'S DRAWINGS, <br />the Architect and Architect's consultants, the costs of the land. SPECIFICATIONS AND OTHER DOCUMENTS <br />rights-of-way, financing or other costs which are the respon- <br />sibility of the Owner as provided in Article ~. 6.1 The Drawings, Specifications and other documents pro- <br />S.2 RESPONSIBILITY FOR CONSTRUCTION COST pared by the Architect for this Project are instruments of the <br /> Architect's service for use solely with respect to this Proiect <br />5.2.1 Evaluations of the Owner's Project budget, preliminaz3' and, unless otherwise provided, the Architect shall be deemed <br />estwnates of Construction Cost and detailed esttrnates of Con- the author of these documents and shall rotran all common law, <br />struction Cost, if any, prepared by the Architect. represent the statutory. and other reserved rights, including the copyright. <br />Architect's best iudgment as a design professional familiar with The Owner shall be permitted to retain copies. including repro- <br />the construction industry.. It is recognized. however, that nei- ducible copies, of the Architect's Drawings, Specifications and <br />thor the Architect nor the Owner has control over the cost of other documents for information and reference in connection <br />labor, materials or equipment, over the Contractor's methods with the Owner's use and occupancy of the Project. The Archi- <br />of determining bid prices, or over competitive bidding, market tect's Drawings, Specifications or other documents shall not be <br />or negotiating conditions. Accordingly, the Architect cannot used by the Owner or others on other projects, for additions to <br />and does not warrant or represent that bids or negotiated prices this Proiect or for completion of this Project by others, unless <br />will not vary. from the Owner's Project budget or from any the Architect is adjudged to be in default under this Agreement. <br />estimate of Construction Cost or evaluation prepared or agreed except by agreement in writing and with appropriate cornpen- <br />to by the Architect. sation to the Architect. <br />5.2.2 No fixed limit of Construction Cost shall be established 6.2 Submission or distribution of documents to meet official <br />as a condition of this Agreement by the furnishing, proposal or regulatory requirements or for similar purposes in connection <br />establishment of a Project budget, unless such fixed limit has with the Proiect is not to be construed as publication in deroga- <br />been agreed upon m writing and signed by the parties hereto. if tion of the Architect's reserved rights. <br />such a fixed in'nit has been established. the Architect shall be <br />permitted to include contingencies for design, bidding and <br />price escalation, to determine what materials, equipment, com- <br />ponent systems and types of construction are to be included in <br />the Contract Documents. to make reasonable adjustments in ARTICLE 7 <br />the scope of the Project and to include in the Contract Docu- ARBITRATION <br />moots alternate bids to adjust the Construction Cost to the fixed <br />limit. Fixed limits, if any, shall be increased in the amount of an 7.1 Claims, disputes or other matters in question between the <br />increase in the Contract Sum occurring after execution of the parties to this Agreement arising out of or relating to this Agree- <br />Contract for ConstrucUon. mentor breach thereof shall be subiect to and decided by arbi- <br />5.2.3 If the Bidding or Negotiation Phase has not commenced tration in accordance with the Construction Industry. Arbitra- <br />within 90 days after the Architect submits the Construction tion Rules of the American Arbitration Association currently in <br />Documents to the Owner, any Project budget or fixed limit of effect unless the parties mutually agree otherwise. <br />Construction Cost shall be adjusted to reflect changes in the 7.2 Demand for arbitration shall be filed in wnting with the <br />general level of prices in the construction industry. between the <br /> other party to this Agreement and with the American Arbitra- <br />date of submission of the Construction Documents to the <br /> tion Association. A demand for arbitration shall be made within <br />Owner and the date on which proposals are sought. a reasonable time after the claim. dispute or other matter in <br />5.2.4 If a fixed limit of Construction Cost (adjusted as pro- question has amen. In no event shall the demand for arbitration <br />vided in Subparagraph 5.2.3) is exceeded by the lowest bona be made after the date when institution of legal or equitable <br />fide bid or negotiated proposal, the Owner shall: proceedings based on such claim, dispute or other matter in <br /> .1 give written approval of an increase in such ftxed question would be barred by the applicable statutes of limitations. <br /> limit; 7.3 No arbitration arising out of or relating to this Agreement <br /> .2 authorize rebidding or renegotiating of the Project shall include. by consolidation. joinder or in any other manner. <br /> within a reasonable time: an additional person or entity not a party to this Agreement, <br /> <br />AIA DOCUMF. NT BI41 · OWNER-ARCHITECT AGREEMENT · FOURTEEI'CrH EDITION · AIA® · ©1987 <br />THE AMERICAN INSTITUTE OF ARCHITECT5, 173 5 NEW YORK AVENUE, N.W.,WASHINGTON, D.C. 20006 B141-1987 6 <br /> <br /> <br />