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the amount of any increase in the Contract Sum occurring
<br />after execution of the Contract for Construction.
<br />3.2.3 Any Project budget or fixed limit of Construction
<br />Cost shall be adjusted to reflect any change in the general
<br />[evei of prices in the construction .industry between the
<br />date of submission of the Construction Documents to the
<br />Owner and the date on which proposals are sought.
<br />3.2.4 If a fixed limit of Construction Cost (adjusted as
<br />provided in Subparagraph 3.2.3) is exceeded by the low-
<br />est bona fide bid or negotiated proposal, the Owner shall
<br />(1) give written approval of an increase in such fixed limit,
<br />(2) authorize rabidcling or renegotiating of the Proiect
<br />within a reasonable time, (3) if the Project is abandoned,
<br />terminate in accordance with Paragraph 7.2, or (4) coop-
<br />erate in revising the Project scope and quality as required
<br />to reduce the Construction Cost. In the case of (4), pro-
<br />vided a fixed limit of Construction Cost has been estab-
<br />lished as a condition of this Agreement, the Architect,
<br />without additional charge, shall modify the Drawings and
<br />Specifications as necessary to comply with the fixed limit.
<br />The providing of such service shall be the limit of the
<br />Architect's responsibility arising from the establishment of
<br />such fixed limit, and having done so, the Architect shall
<br />be entitled to compensation for all services performed, in
<br />accordance with this Agreement, whether or not the Con-
<br />struction Phase is commenced.
<br />
<br /> ARTICLE 4
<br /> PAYMENTS TO THE ARCHITECT
<br />
<br />4.1 An initial payment as set forth in Paragraph 9.1 is
<br />the minimum payment under this Agreement.
<br />4.2 Subsequent payments for Basic Services shall be
<br />made monthly and shall be in proportion to services per-
<br />formed within each Phase.
<br />4.3 When compensation is based on a percentage of
<br />Construction Cost, and any portions of the Project are
<br />deleted or otherwise not constructed, compensation for
<br />such portions of the Project shall be payabIe to the extent
<br />services are performed on such portions, in accordance
<br />with the schedule set forth in Subparagraph 9.2.2, based
<br />on (1) the lowest bona fide bid or negotiated proposal, or
<br />(2) if no such bid or proposal is received, the most recent
<br />Statement of Probable Construction Cost.
<br />4.4 Reimbursable Expenses include actual expenditures
<br />made by the Architect in the interest of the Project for:
<br /> .1 expense of transportation and living expenses in
<br /> connection with out-of-town travel, authorized by
<br /> the Owner,
<br /> .2 long distance communications,
<br /> .3 fees paid for securing approval of authorities haw
<br /> ing jurisdiction over the Project,
<br /> .4 reproductions,
<br /> .5 postage and handting of Drawings and 5pacifica-
<br /> tions,
<br /> .6 renderings and models requested by the Owner,
<br /> .7 expense of overtime work requiring higher than
<br /> regular rates, if authorized by the Owner,
<br /> .8 expense of any additional insurance coverage or
<br /> limits, including professional liability insurance,
<br /> requested by the Owner in excess of that normally
<br />
<br /> carried by the Architect and the Architect's con-
<br /> sultants.
<br />4.5 Payments on account of the Architect's Additional
<br />Services and for Reimbursable Expenses as defined in
<br />Paragraph 4.4 shall be made monthly upon presentation
<br />of the Architect's statement of services rendered or ex-
<br />penses incurred.
<br />4.6 No deductions shaft be made from the Architect's
<br />compensation on account of sums withheld from pay-
<br />ments to contractors.
<br />4.7 If the Project is suspended or abandoned in whole
<br />or in part for more than three months, the Architect shall
<br />be compensated for all services performed prior to receipt
<br />of written notice from the Owner of such suspension or
<br />abandonment, together with Reimbursable Expenses then
<br />due and all Termination Expenses as defined in Paragraph'
<br />7.4. If the Project is resumed after being suspended for
<br />more than three months, the Architect's compensation
<br />shall be equitably adjusted.
<br />
<br /> ARTICLE 5
<br /> OWNERSHIP AND USE OF DOCUMENTS
<br />
<br />5.1 Drawings and Specifications as instruments of serv-
<br />ice are and shall remain the property of the Architect
<br />whether the Project for which they are made is executed
<br />or not. The Owner shall be permitted to retain copies, in-
<br />cluding reproducible copies, of Drawings and Specifica-
<br />tions for information and reference in connection with
<br />the Owner's use and occupancy of the Project. The Draw-
<br />ings and Specifications shall not be used by the Owner on
<br />other projects, for additions to this Project, or for com-
<br />pletion of this Project by others provided the Architect is
<br />n~t in default under this Agreement, except by agreement
<br />in writing and with appropriate compensation to the
<br />Architect.
<br />5.2 Submission or distribution to meet official regula-
<br />tory requirements or for other purposes in connection
<br />with the Project is not to be construed as publication in
<br />derogation of the Architect's rights.
<br />
<br /> ARTICLE 6
<br /> ARDITRATIOEi
<br />
<br /> .1 All claim,s, d~putc= and othcr mattcrs in quos, tion
<br /> wean the parties to this Agreement arising out of or
<br />rela ' g to this Agreement or the breach thereof, shall be
<br />decide by arbitration in a, o ance with the Construc-
<br />tion Indu Arbitration RI , of the American Arbitra-
<br />tion Associa' n then ob ''q~ unless the parties mutu-
<br />
<br />joinder or in any o ~ner, any additional person
<br />not a party to this A~r ~ 5 except by written consent
<br /> ce to this A~reement and
<br />si~ned by the Architect, the net, and any other person
<br />sought to be joined. Any conse to arhitration invoivin~
<br />an additional person or persons sE not constitute con-
<br />sent to arhitration of any dispute no escribed therein.
<br />This A~reement to arbitrate and any aS ement to arhi-
<br />trate with an additional person or persons consented
<br />
<br />AIA DOCUMENT Irl51 ABBREVIATED OWNER-ARCHITECT AGREEMENT · JUNE 1978 EDITION . AIA®
<br /> 1978 * THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVENUE, N.W,, WASHINGTON, D.C. 20(X;6 B151-1978 4
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