AIA Adopts Integrated Project Delivery Documents
Kegler Brown Construction Newsletter June 1, 2008
ConsensusDOCS took the lead in 2007 by adopting the ConsensusDOCS 300 series of forms dealing with a collaborative project delivery system, often times referred to as Integrated Project Delivery (“IPD”), where all members of the construction team sign a single contract document and work together in the best interests of the project.
Now the American Institute of Architects (“AIA”) has followed suit and created its own IPD documents – in two different forms. The first (A295) is designed for those less familiar with IPD and is basically an owner-contractor GMP arrangement that talks about how the parties will work together at various stages of the project.
The second form (C195) creates a single-purpose LLC with the owner, architect and contractor acting as primary members. It blurs traditional lines between design and construction and all participants find themselves “in the same boat” together.
The designer and contractor have two opportunities to profit – first, if they meet project goals outlined by the group or second, if actual cost is less than the estimated target cost.
Unlike the ConsensusDOCS 300, the AIA documents are not a multi-party agreement. Nevertheless, they still require a high degree of trust and may be best suited to a sophisticated owner on a complex project with regular and trusted “partners.”