Guide letter 28: Advice to client - execution of contract

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Guide letters provide advice about matters architects should consider when composing letters to the parties involved in architectural projects.

1. When and how?

1.1 Prior to completing the contract documents you must obtain information from your client regarding certain matters for the execution of the contract.

2. Content

Advise:

  • if the client is a company, the client should check their articles of association with their legal adviser regarding who is authorised to execute the contract and whether this must be done under company seal
  • length of time needed for execution (for large projects for initialling each contract document considerable time must be allocated)
  • number of sets of documents to be executed (usually two: one for each party, but on occasion other sets may be required) – copies can be made for day-to-day use after signing.

Request:

  • advice on who is to sign
  • confirmation of proposed place, date and time, to suit all parties.
3. What happens next?

3.1 Prior to execution of the contract, the documents will need to be stamped as contract documents and copied. You should arrange for this to ensure compliance and maintenance of time schedules. Issue original signed sets (by hand or registered mail) to the client (one or two, as predetermined) and the contractor and retain one copy for contract administration in your office. Your office copy does not need to be signed as long as it is in other respects identical to the signed version.

3.2 Copying, collating and checking contract documents is onerous and time-consuming and adequate fee allowances should be made to cover these tasks.

4. Are there other possibilities?

4.1 Have your client and/or the contractor execute the documents when you are present. This can help ensure that execution is correct and complete.

5. What can happen if you don't?

5.1 Poorly prepared and executed documents can lead to confusion in interpretation of the contract and questions as to whether a valid contract exists.

6. Copies

6.1 Architect's file

Disclaimer

This content is provided by the Australian Institute of Architects for reference purposes and as general guidance. It does not take into account specific circumstances and should not be relied on in that way. It is not legal, financial, insurance, or other advice and you should seek independent verification or advice before relying on this content in circumstances where loss or damage may result. The Institute endeavours to publish content that is accurate at the time it is published, but does not accept responsibility for content that may or has become inaccurate over time. Using this website and content is subject to the Acumen User Licence.

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