STP Unit 4: Contract Documents and Construction Law

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This unit equips supervisors with a working knowledge of construction contracts, legal responsibilities, and regulatory frameworks. Participants will learn how contract documents shape project relationships, protect parties from risk, and establish procedures for dispute resolution. By understanding these principles, supervisors are better prepared to navigate contractual obligations and contribute to project success.

By the end of this unit, participants will be able to:

1. Explain the purpose and structure of common construction contracts.
    
2. Identify the roles, responsibilities, and relationships defined by contract documents.
    
3. Recognize the supervisor’s role in contract compliance, safety obligations, and quality standards.
    
4. Compare different dispute resolution methods and their application in construction.
    
5. Understand the use of liens, bonds, and insurance as protection tools in construction projects.
    
6. Apply knowledge of contract requirements and regulatory issues to real-world supervisory scenarios.
    

• Contractual Relationships
   
  • Owner–Architect/Engineer, Owner–General Contractor/Subcontractor, Owner–Prime Contractor, Owner–Construction Manager, and Owner–Design/Build structures.
     
  • Clarification of responsibilities, authority, and communication pathways.
     
• Roles and Responsibilities
   
  • Designated representatives and their authority.
     
  • Responsibilities for testing, inspections, scheduling, safety representation, insurance, and substantial completion.
     
  • Liabilities for defective work, noncompliance, and safety documentation.
     
• Alternative Dispute Resolution (ADR)
   
  • Movement away from litigation toward arbitration and mediation.
     
  • Benefits and drawbacks of ADR methods.
     
  • Supervisor’s role in preventing disputes through proactive communication and documentation.
     
• Standard Contracts and Forms
   
  • Commonly used forms: AGC, AIA, EJCDC, CSI, federal and state agencies.
     
  • Benefits and drawbacks of standardized forms for owners, contractors, and supervisors.
     
  • Introduction to ConsensusDocs and their use in modern project delivery.
     
• Government Regulatory Issues
   
  • Federal, state, and local influences on construction projects.
     
  • HR, environmental, and safety requirements.
     
  • Equal opportunity and affirmative action policies.
     
  • Consequences of regulatory violations for supervisors and firms.
     
• Liens, Bonds, and Insurance
   
  • Liens: purpose, types, waivers, and releases.
     
  • Bonds: performance and payment bonds as legal remedies.
     
  • Insurance: coverage types, risk allocation, and supervisor responsibilities.
     

• In-Class Assignments
   
  • Worksheets using ConsensusDocs to locate and interpret contract clauses.
     
  • Exercises comparing standardized contract forms and identifying implications for supervisors.
     
  • Case scenarios applying liens, bonds, and insurance principles to realistic jobsite conditions.
     
• Jobsite Assignments
   
  • Review active project contracts to identify roles, responsibilities, and compliance requirements.
     
  • Evaluate current jobsite conditions against safety, insurance, and regulatory requirements.
     
  • Reflect on dispute scenarios and how proactive supervisor action could avoid escalation.