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Stage
4: Contract Administration
 This
is the practical stage of building where once again your Architect
will prove to be very useful.
It can be extremely difficult to locate a builder
whose workmanship you are happy with, and who is pleasant to work
with.
You may be fortunate to know a builder
who did a good job for friends.Otherwise, your Architect can normally
suggest a number of builders whose work is generally of a good
standard. Your Architect's suggestion in such cases is invaluable,
because when a competent builder is on the job, you can be far
more confident that the work will be carried out in a professional
manner.
The Contract
Once you have chosen a builder your Architect
can help the selection and preparation of a contract from the
many Standard forms available. It is strongly recommended that
you select a contract recognised by the Royal Australian Institute
of Architects (RAIA). Many other types of contracts are
heavily loaded in the builders favour. A good contract will ensure
that appropriate methods of dispute resolution are open to you
it is also important to make sure that the contract defines the
responsibility of your Architect in the building process.
Then you can sit down with the builder and your
Architect to sign the contract documents.
Starting On Site
If you are renovating, be prepared for
that quaint little laundry to be irreverently torn apart, that
worn-out sink and hot water service to be thrown on to the back
of a truck and that dutiful 1950's pink loo to be split asunder.
Holes will be dug and mounds of earth will appear
and your once-settled site will resemble a war zone.
Be patient and set aside time for regular contact
with your Architect and builder to discuss the progress of the
works, any decisions that have to be made and any changes or improvements
to be effected.
It is with this regular monitoring that the Architect
can establish whether or not the builder is on schedule, and whether
he is entitled to time extensions.
Progress Payments
Most building contracts make provision
for the builder to be paid progressively throughout the construction
works. In some states this is required by law. The builder submits
his claims to your Architect.
Your Architect will assess progress of the work
against the builders claims, and advise you on the amount of the
payment to be made. It is most important that you only pay for
the value of the work done and materials on site.
Variations
By thoroughly defining what is to be
done, your Architect has avoided many areas of confusion which
normally lead to variations. However a few may still exist. A
"variation" is any deviation from the original contract.
Some unethical builders give low tender prices
in the hope a recouping their costs by claiming many variations.
When variations arise, your Architect will mediate
between you and the builder, to reduce the possibility of on-site
friction.
This is another area where your Architect can
save you money by negotiating an equitable variation amount, if
any is reasonable.
If you have contracted direct with a design-and-construct
company, their interest will naturally be in interpreting the
construction document's details in favour of the builder (since
they are one and the same person). Many people find it hard to
be emotionally detached during the ensuing negotiations between
themselves and the building company because their home is such
a core part of their lives.
Completion
Your Architect protects your interests
during the final stages, by issuing a "Notice of Practical
Completion". This notice defines the date from which the building
is handed over to you for your use. It also defines the beginning
d the "defects liability period", during which an amount
of money is retained by you to provide safeguards against defects
arising after the building work is completed.
Practical completion also defines the date a
cessation of the builder's responsibility for insurance of the
works.
Defects Liability Period
During a period after the work
is completed, the builder will remain liable under the terms of
the contract to remedy any defect in workmanship and materials
that may become apparent. Your Architect will assist by noting
these defects at the "Practical Completion Inspection", which
may take many hours.
Your Architect will note jamming doors or windows,
structural cracks in concrete and plasterwork, tiles loose on
walls, gutters incorrectly levelled, and many other irritating
items. He or she may discover faults not noticeable to you. This
is another area where an Architect is useful in protecting your
interests.At the end of the defects liability period, your Architect
will issue a "Final Certificate", which indicates that the
works under the contract have been completed.This is usually the
stage at which your Architect's services will be complete. Don't
be surprised, however, if your Architect is keen to stay in contact,
to make sure that your project has been a long-term success for
you.
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