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21 Cards in this Set

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  • Back

Acceleration Cost

Cost incurred by a Contractor when the project is interfered with by the owner, whereas the Contractor must employ more manpower OR work more hours in order to complete the project on time.

If the Contractor contributes to the clause of its own delays, acceleration cost may not be granted


Act of person whom a thing is offered by another whereby he receives the the thing with the intention of retaining it; such intention evident by a sufficient act

Part of the Contract process after an Offer

Writ of Execution

A judicial order that a judgement be enforced


a published false statement that is damaging to a person's reputation; a written defamation

Misfeasance VS. Malfeasance

Misfeasance is a transgression, especially the wrongful exercise of lawful authority.

Malfeasance is wrongdoing, especially by a public official.


An out-of-court oral testimony of a witness that is reduced to writing for later use in court or for discovery purposes (typical in US, Candadian litigation)

Breach of Duty

Cccurs when one person or company has a duty of care toward another person or company, but fails to live up to that standard.

A person may be liable for negligence in a personal injury case if his breach of duty caused another person's injuries

Active Inteference

Action by a party to a contract that causes the other party of the contract to not complete the work of the project on time or in the manner established by the contract writing.

Positive action must be performed on the part of the interfering party as opposed to passive negligence, which is inactive, permissive, or sub-missive.

Lis Pendens

A written notice that a lawsuit has been filed concerning real estate, involving either the title to the property or a claimed ownership interest in it.

Tax Lien

The right of the government to retain possession of property until the tax on it has been paid; If tax is not paid when the land is sold, the lien transfers with the land title to the new owner

Payment of the tax debt will remove the lien

Actual Damages (Actual Loss)

Damages resulting from real and substantial loss, as opposed to those which are merely theoretical, estimated, or anticipated.

Actual damages represent the real and true value of the total loss suffered, as opposed to liquidated damages, which represent an estimated amount calculated as anticipated loss at a future time


Modications to the contract documents issued during the bid period. Addenda become ofcial parts of the contract documents and are legally binding to the signatories of the contract.


parties to a contract are in an adversary or arms-length relationship to one another as a result of the commitment they have made to each other in the contract terms and conditions. This relationship is recognized by the courts and binds the two parties together in that relationship. In layman’s language, it can be considered a relationship of mistrust.

Agent / Agency

a person authorized by another to act for him or her (owner); one who is employed to represent another in business and legal dealings with third persons. Established in writing with all three parties acknowledging the relationship

In a typical agency relationship, three parties are involved: a principal, an agent, and a third party

The Landscape Architect, in a typical contract, is the representative of the owner and not of the agent


A sum of money set aside by the owner to remove a particular portion of work from competitive bid-ding.

Typical of government-subsidized institutions with work that must be competitively bid and with projects in which certain portions of the work are proprietary and, therefore, must be removed from competitive bidding


a material or method used in place of the base material or method specied for the project. In a typical construction contract, the owner chooses the alternate or remains withthe base requirement, giving it control over the total cost of the project.

An alternate differs from an option in that cost is a factor in the selection of an alternate by the owner, whereas an option does not have cost as a factor and the choice is made by the contractor


An exculpatory provision in which one party to an agreement agrees to hold the other party harmless.

That is, one party assumes liability that would normally fall on another party


Doubtfulness; doubtfulness of meaning, duplicity, indistinctness, or uncertainty of meaning of an expression used in a written instrument.

The courts, interpreting a writing, will permit parol evidence to clarify the writing if the writing is in fact ambiguous. However, the courts will not permit parol evidence if the writing is clear, even though it may be in error


improper, illegal, or negligent professional activity or treatment

Anticipatory Breach (Anticipatory Repudiation)

established when a contractor makes a positive and unequivocal (no doubt) statement that it will not or cannot substantially perform the contract or when a contractor, by any voluntary afrmative act, renders substantial performance of its contract apparently impossible.

Based on these two conditions, the owner may terminate the contract immediately or upon completion of a waiting period to determine the contractor’s performance according to the contract writing. In either case, the owner must establish that the con-tractor’s statement is positive and unequivocal. If the owner terminates the contractor for default after a statement which is ambiguous, the owner will be held to have wrongfully defaulted the contractor.

Statute of Limitations

a statute prescribing a period of limitation for the bringing of certain kinds of legal action.