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DBIA EXAM 3 LATEST 2024-2025 ACTUAL
EXAM 200 QUESTIONS AND CORRECT
DETAILED ANSWERS WITH RATIONALES
(VERIFIED ANSWERS). ALREADY GRADED
A+
_____ _____ _____ Documents set forth the documents that, if changed, would allow for a change order. - Ans Basis of Design _____ _____ _____ mandates that certain types of contracts be written. - Ans Statute of Frauds _____ _____ _____: defines who is responsible for what portion of the deliverables for the RFQ/RFP. - Ans Matrix of Responsibilities _____ _____ _____: Modifies a mandatory RFP requirement. - Ans Alternative Technical Concepts _____ _____ _____: Subsurface or physical conditions at the site that differ materially from those indicated in the CD - Ans Differing Site Conditions _____ _____ _____: the use of a word in a specific industry. a.) Course of Performance b.) Course of Conduct c.) Terms of Art - ANSc.) Terms of Art _____ _____ _____: Unknown physical conditions at the site, of an unusual nature that differ materially from those ordinarily encountered and generally recognized as inhering in the work
of the character provided for in the contract. - Ans Differing Site Conditions _____ _____ _____: what the parties do during the performance of other similar contracts. a. ) Course of Performance B. ) Course of Conduct c.) Terms of Art - ANSb.) Course of Conduct _____ _____ _____: what the parties do during the performance of this contract. a. ) Course of Performance b.) Course of Conduct c.) Terms of Art - ANSa.) Course of Performance _____ _____ are agreements that address business pursuits. - Ans Teaming Agreements _____ _____ are Payment and performance bonds requires for public works contracts - Ans Surety Bonds _____ _____ contracts satisfy many of the goals behind DB best practices. - Ans Standard Form _____ _____ Insurance: First-party coverage against physical damage to project during construction. - Ans Builder's Risk _____ _____ Insurance: Risk of liability due to injuries to workers. Each state has different statutes. - Ans Worker's Compensation
wins the procurement. - ANSSubsequent _____ and _____ contracts are fundamental to any delivery process. - ANS- Fair - Clear _____ Application: Owner needs to pay once for items negligently omitted. - ANSPractical _____ bond is for benefit of Owner if Contractor defaults. - ANSPerformance _____ bond is for benefit of subcontractors and suppliers - ANSPayment _____ clauses frequently get in the way of efficient implementation of the DSC remedy. - ANSExculpatory _____ clauses often used to deal with the liability ramifications. - ANSIndemnity _____ Damages create substantial financial exposure if something goes wrong. - ANSConsequential _____ Damages: Award what was reasonably expected from the contract. - ANSExpectation _____ for Teaming Agreement: parties must have the insurance required for the Subsequent Agreement in place. - ANSInsurance _____ Law is based on the use of precedent. - ANSCommon _____ Liability Insurance is also known as Errors and Omissions Insurance. - ANSProfessional _____ Meetings are recognized as a way for both parties to benefit from the DB process. - ANSProprietary _____ Specification: Owner dictates exactly how an element is to be designed and constructed. - ANSPrescriptive _____ Specification: Owner only provides the requirement(s) for the end result of an element that will be designed by others. - ANSPerformance ______ _____: Owner causes performance of
work beyond scope of contract but does not recognize contractor's entitlement to a change order. - ANSConstructive Changes ______ Damages: Arise from the consequences of a breach. - ANSConsequential ______ for Teaming Agreement: every party must ensure that they have the requisite qualifications and personnel to perform the Work. - ANSQualifications ______: The act of accepting claims on behalf of another entity. - ANSIndemnification _____-_____: Prime contracting party with Owner. - ANSDesign-Builder _____: a party accepts the other party's offer. - ANSAcceptance _____: a party offers to contract with one another. - ANSOffer _____: the individual forming the contract must have authority to do so - ANSAuthority _____: the party making the contract must be legally able to do so - ANSCapacity _____: value exchanged for performance. - ANSConsideration - defective specifications (Spearin). - Disputes over contract interpretation.
- Superior knowledge. - Breach of implied duties of good faith, fair dealing, and cooperation. - Constructive acceleration. These are all types of _____ ______ - ANSConstructive Changes - Failing to manage multiple prime contractors. - Overzealous inspections. - Using undue leverage in a negotiation position. These are examples of breaches of _____ _____. - ANSImplied Duties - Liquidated damages. - Limitations of liability. - Improper default terminations. - No damages for delay. -
importance of Contractual ______. - ANSWaivers Contracting parties should proactively and cooperatively identify significant project-specific _____ and clearly identify in the contract how such _____ will be handled. - ANS- risks - risks Contracting principles apply to contracts of those working within the _____ _____ - ANSDB Team contractors want benefits of balanced contacts _____, but use of the "hammer" to shift substantial risk _____. - ANS- upstream - downstream Contracts created by conduct that is contrary to public sector are _____. enforceable or unenforceable? - ANSunenforceable Contracts should contain a _____ process that facilitates and expedites the review and resolution of potential changes to the contract and adjustments in the contract price and time. - ANSfair Contracts should reasonably allocate _____ to the party that is best capable of addressing and mitigating the _____. - ANS- risks - risk Contracts should use language that is _____ to those personnel who are administering the project. - ANSunderstandable Contracts used on DB projects should be _____, _____, and _____ and should promote the _____ aspects inherent in the DB process. - ANS- fair - balanced - clear
- collaborative Contracts used on DB projects should be _____, balanced and clear and should promote the _____ aspects inherent in the DB Process. - ANS- fair - collaborative Damages cannot be speculative, and must be proven to a _____ degree
of certainty. - ANSreasonable DB process does not preclude changes True or False? - ANSTrue DBIA Document _____: Standard form of Teaming Agreement between Design-builder and Teaming Party. - ANS580 DBIA forms contain an exclusion for design services. True or false? - ANSFalse DO NOT Deciding what happens if the relationship ends and the "off-ramp" is exercised is the most important issue in _____ contracts. - ANSPDB Design-Build Done Right is the _____ of every DBIA certification course! - ANScore Designers are by their nature _____ averse. - ANSrisk Direct Damages or Consequential Damages? "Cost or repair the damage to the project." - ANSDirect Damages Direct Damages or Consequential Damages? "Damages to customers." - ANSConsequential Damages Direct Damages or Consequential Damages? "Loss of rental income from tenants." - ANSConsequential Damages Direct Damages or Consequential Damages? "Lost Profit on the project" - ANSDirect Damages Direct Damages or Consequential Damages? "Lost profits on other projects" - ANSConsequential Damages Direct Damages or Consequential Damages? "Rental of temporary generator to meet power needs on project" - ANSDirect Damages Direct Damages or Consequential Damages? "Rental of temporary generator to provide power for the Owner to meet its customer's needs." - ANSConsequential Damages Disincentives are enforceable only if they meet _____
ANS- guarantees - measured - achievable If there is nothing that confers rights on the Owner to use the work product, the Owner's use can be a(n) _____ violation. - ANScopyright If these Best Practices are NOT implemented, there is an increased _____ that the project's performance will be _____ and that some or all of the stakeholders will be _____. - ANS- probability - compromised - disappointed. In DB, the _____ and _____ are in a direct contractual relationship. - ANS- Contractor
- Designer In DB, the _____ is removed from the design and construction interface. - ANSOwner In the PBD Process, Phase 2 is initiated up acceptance of the _____ _____. - ANScommercial proposal In the PDB Process, The Design-Builder collaborates with the Owner during Phase ___ to create or confirm project's basis of design. - ANSPhase 1 Injunction and Infringement action are two remedies for _____ _____ rights. - ANSIntellectual Property Issue with _____ _____ and partnerships: Claimant can pursue each party for _____% of the liability for acts of the joint venture, regardless of which party created the problem. - ANS- Joint Venture - 100% Issue with Joint Venture: Responsibility of _____ to sort out the respective proportions of liability. - ANSdefendants Legal sufficiency for Liquidated Damages: must be a reasonable measure of damages in light of circumstances after the time of the contracting True or False? - ANSFalse AT the time of the
contracting Limitations of liability can impact recovery. True or False? - ANSTrue Lump Sum or Cost Plus/GMP? - Administratively more complex - ANSCost Plus/GMP Lump Sum or Cost Plus/GMP? - limited audit rights and undisclosed contingencies. - ANSLump Sum Lump Sum or Cost Plus/GMP? - Most contingencies are transparent - ANSCost Plus/GMP Lump Sum or Cost Plus/GMP? - no meaningful opportunity for Owner to be involved in subcontractor procurement. - ANSLump Sum Lump Sum or Cost Plus/GMP? - no transparency into price - ANSLump Sum Lump Sum or Cost Plus/GMP? - Owner has ability to be more involved in subcontractor procurement. - ANSCost Plus/GMP Lump Sum or Cost Plus/GMP? - Owner has broad audit rights - ANSCost Plus/GMP Lump Sum or Cost Plus/GMP? - Savings needs to be addressed. - ANSCost Plus/GMP Lump Sum or Cost Plus/GMP? - single price regardless of actual cost - ANSLump Sum Offers must demonstrate an expression of _____ to contract on certain terms. - ANSwillingness Oral contracts can be valid on what 2 requirements? - ANS1. Material terms of contract are clearly established. 2. Parties demonstrate intention to be bound by those material terms Oral contracts can be valid. True or False?
- ANSTrue Ordinary _____ _____ _____: Exercise of that skill and judgement which can reasonably be expected from similarly situated professionals. - ANSStandard of Care Owner
ANSDesigner(s)-of-Record The contract should ensure that there is a clear understanding as to how the _____ _____ will communicate with each other and the Owner, including meetings that each party is expected to attend. - ANSTeam members The contract should reflect that Designer-of-Record is regularly and actively involved throughout the project's _____.
- ANSexecution The contracts between the _____ _____ and _____ _____ should address the _____ aspects of the DB process. - ANS- Design-Builder - Team Members - unique The design-builder and its designer(s) should develop a(n) _____, at the outset of their relationship, of the key _____ aspects of their relationship. - ANS- understanding - commercial The Economic Loss Doctrine is applicable to personal injury. True or False. - ANSFalse The key concern with proprietary meetings is how to run the meetings ensuring _____. - ANSfairness The response to an RFP is an example of a(n) _____. - ANSOffer The Spearin Doctrine is judicially recognized at both state and federal level. True or False? - ANSTrue This chapter has ___ Best Practices and ___ Implementing Techniques. - ANS- 3 - 18 What 2 things can nullify an offer? - ANS1. Varying/additional terms 2. Counteroffers What 3 categories are the Best Practices organized into? - ANS1. Procurement 2. Contracting 3. Execution What are 2 common examples of Promissory Estoppel? - ANS1. Subcontractor bids 2. Teaming relationships
What are 2 examples of an unenforceable contract that is contrary to public policy? - ANS- Duress - Misrepresentation and Fraud What are 2 examples of privity of contract needed to sue a party for economic losses? - ANS1. delay damages 2. Cost to correct defects What are 3 remedies if the Design-Builder fails to meet performance requirements? - ANS1. Actual Damages 2. Liquidated Damages 3. "Make good" What are the 2 contract approaches in PDB? - ANS1. Single contract approach
- Two-contract approach What are the 2 methods in which trade subcontractors be procured? - ANS1. Best Value 2. Low Bid What are the 4 current US Standard Form DB Contracts? - ANS1. DBIA 2. Consensus Docs 3. AIA 4. EJCDC What are the 4 types of law? - ANS1. Contract Law 2. Tort Law 3. Statutes and regulations 4. Common Law What are the 5 requirements for a valid contract? - ANS1. Offer 2. Acceptance 3. Consideration 4. Capacity 5. Authority What case is this? - Design-Builder terminated for default when it could not obtain a bond. - Owner claims rebid and delay cost. - Used PDB two-contract approach. - ANSWallkill Medical V. Sweet Constructors (2008) What case is this? - Failure of sign structures to meet contract requirements. - deals with teaming agreement problem. - ANSURS Corporation V. Transpo (2015) What case is this? - NAVFAC project. - Party's $5.2 million price used by other party in bid, but the project is awarded to other. - Statute of Frauds
Progressive DB? - ANSGMP Which of the following terms may be found contrary to public policy? a.) Indemnity b.) Limitations of Liability c.) Advanced waivers of lien rights. d.) No damages for delay. e.) All of the above. - ANSe.) All of the above. Who obtains professional liability insurance? - ANSA/E Work Product is property of the _____ _____. - ANSDesign-Builder
