Contractors Need Green Building Contracts Too
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We previously reviewed a green building contract that can be used to manage the architect-owner relationship. But what about contractors?
As a member of the AGC ConsensusDOCS committee, I had the pleasure of collaborating on the ConsensusDOCS 310 Green Building Addendum, which was recently released:
On Nov. 10, ConsensusDOCS released the construction industry's first and only comprehensive standard contract document addressing the unique risks and responsibilities associated with building green projects -- the ConsensusDOCS 310 Green Building Addendum. The Addendum incorporates contractual best practices to identify the project participants' roles and responsibilities, as well as the implementation and coordination efforts critical to achieving a successful project using green building elements, particularly those seeking third-party green building rating certification. It was drafted to work well not only with the other ConsensusDOCS contract documents, but also with other form contracts.
If you have an opportunity to review or work with ConsensusDOCS 310, I would like to hear your thoughts. Based on conversations with owners, contractors and architects, there seems to be a real need for standardized green building contracts. Simple modifications to your existing contracts are not enough.
What other relationships exist on a green building project that require a contract?
Related Links:
ConsensusDOCS 310 Green Building Addendum (AGC)
Thanks for getting the word out on this Chris. Contractors do, in fact, need to face up to the green building reality.
What happens in a situation where the law requires a bond to be posted for a certain LEED level, the building is constructed, the planned LEED level certification isn't reached, and the bond is forfeited to the state/local government? Does the builder bear the loss? The owner? The bond company?
All good questions and ones that need to be addressed contractually. This is complicated on public projects that may have statutory requirements. These are all good questions that must be dealt with on the front end in my opinion.
Thanks for raising this topic, Chris. I'd be interested in hearing as much about best practices in contract drafting when it comes to projects that incorporate green construction. I am most interested in hearing about how to work with the form contracts (in my experience I have only worked with the AIA docs) but from the owner's perspective. Because form docs tend to be more pro-architect or contractor, I end up drafting extensive riders. I wonder how other attorneys that represent owners are adapting their riders to incorporate new green issues and risks.