Design-Build Institute of America (DBIA) Exam 3 Practice

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• Which description best fits damages that arise as an indirect result of a breach, such as loss of profits or additional costs to serve customers?
• _____ is the value exchanged for performance.
• Which procurement method emphasizes overall value over price when selecting trade subcontractors?
• Which party assumes risk of non-negligent design defects when there are separate contracts with builder and designer?
• _____ risk is one of the major risks on projects.
• During the proposal stage, the objective of using teaming agreements with each team member is to develop and capture an understanding of their relationship and what?
• Which of the following is NOT listed as a type of law?
• In a design-build project, which two parties have a direct contractual relationship?
• Which of the following is NOT one of the four current US Standard Form DB Contracts?
• These are all types of what? defective specifications, disputes over contract interpretation, superior knowledge, breach of implied duties of good faith, fair dealing, and cooperation, and constructive acceleration.
• Which bond is designed to guarantee that labor and materials will be paid even if the contractor defaults?
• Work Product is property of the _____ _____.
• A contract's structure is based on how the ______ is paid.
• Who has the authority to order completion within the original schedule?
• _____ is the requirement that the individual forming the contract must have authority to do so.
• Which case involved promissory estoppel and a lost profits claim in the 5th Circuit?
• Arbitration and mediation results don't provide direct _____.
• A surety issues which type of bond to guarantee contractor performance under the contract terms?
• If there is nothing that confers rights on the Owner to use the work product, the Owner's use can be a copyright violation.
• Which clauses are often used to deal with liability ramifications in contracts?
• Who has the professional standard of care in a design-build relationship?
• Oral contracts can be valid.
• Which of the following is an effect of duress on a contract?
• Which bond provides financial protection to the Owner for non-performance by the Contractor?
• _____ _____ contracts satisfy many of the goals behind DB best practices.
• Constructive Changes: Owner causes performance of work beyond scope of contract but does not recognize contractor's entitlement to a change order.
• In DB project contracts, which principle describes allocating risks to the party best capable of addressing and mitigating the risk?
• In which contract type are most contingencies transparent?
• In Progressive DB, what marks the move to Phase 2?
• What provision would most likely prevent termination for default due to minor or technical issues?
• What does Errors and Omissions Insurance protect against?
• Misrepresentation and fraud in contracting are examples of contracts that are what?
• In contract formation, value exchanged for the promise to perform is called _____.
• Which bond is for the benefit of the Owner if the Contractor defaults?
• Which damages are based on what was reasonably expected from the contract?
• Ordinary _____ _____ _____: Exercise of that skill and judgement which can reasonably be expected from similarly situated professionals.
• How many Implementing Techniques are described?
• In a joint venture, a claimant can pursue each party for what percentage of liability for acts of the joint venture?
• Which contract type features a single price regardless of actual cost?
• At the outset of their relationship, the design-builder and its designer(s) should develop a(n) ______ addressing the key commercial aspects of their relationship.
• In a design-build project, which party is removed from the design and construction interface?
• In Progressive Design-Build, what document contains the proposed price and schedule for project completion?
• Differing Site Conditions refer to conditions that differ materially from what?
• In a copyright infringement scenario, which parties are liable as described?
• Which procurement method is typically characterized by pricing competitiveness with little other evaluation?
• Even if professional negligence is proven, damages recoverable are impacted by the _____ _____.
• Contracts created by conduct that is contrary to public sector are _____.
• Which term refers to pre-agreed damages for a breach, typically to enforce schedule performance?
• Expert testimony is needed to prove the Standard of Care '_____'
• Contracts used on DB projects should be which of the following?
• In a DBIA design-build contract, which role is designated as the Designer(s)-of-Record with responsibilities to communicate with the Owner?
• In the Metcalf case, what additional claims were involved along with breach of good faith?
• Consequential Damages demonstrates the importance of Contractual ______.
• The contract should ensure a clear understanding of how which group will communicate with each other and the Owner, including meetings they are expected to attend?
• Who typically obtains professional liability insurance?
• Standard Form DB contracts are often preferred because they tend to be:
• When performance guarantees are involved, which three attributes should the guarantees have according to the material?
• Which damages type accounts for losses that are a result of the breach, such as business opportunity losses beyond the project itself?
• _____ and _____ contracts are fundamental to any delivery process.
• Which case is described by the sequence: Owner terminates Architect; New Architect uses original work product; Owner and follow-on architect liable for copyright infringement?
• When the subject of a contract is unique, which remedy allows the court to compel performance?
• _____ Law is based on the use of precedent.
• Which contract type is most likely to involve the owner in procurement and price transparency?
• Which clause typically prohibits recovery of damages caused by delays?
• The Spearin doctrine regarding defective specifications is commonly cited as a basis for which type of claim?
• For Teaming Agreement, what must every party ensure to perform the Work?
• The implied duties that require good faith, fair dealing, and cooperation are known as:
• Which case is associated with a $48 million design-build housing project at a Marine Corps base, involving differing site condition claims and breach of good faith?
• Injunctive relief is best described as...
• Owner causes performance of work beyond the scope of the contract but does not recognize contractor's entitlement to a change order.
• Which Constructive Changes Step is described as 'Contractor has time or cost impact for something it did not anticipate'?
• _____ describes a party accepts the other party's offer.
• A contract's structure is based on how the contractor is _____.
• Which statement is true about the use of teaming agreements in DBIA practices?
• _____ _____ _____: what the parties do during the performance of other similar contracts.
• Proprietary Meetings are intended to maintain confidentiality while allowing joint benefits. Is this statement true or false?
• Which list correctly identifies the three categories into which Best Practices are organized?
• Which contract type is administratively more complex?
• What is the primary purpose of an exculpatory clause?
• Which term describes a delay caused by conditions beyond the contractor's control that is acceptable under the contract?
• Contracting principles apply to contracts of those working within the _____ _____
• Owners generally bear this risk of unforeseen site conditions through a(n) ____ ____ ____ clause.
• These are all issues for which contract?
• Which damages are used to compensate for services rendered when no contract exists?
• In the bid process, which bond serves as security that the bidder will enter into a contract and provide the required bonds if awarded?
• In a design-build arrangement, who bears the duty to build according to the plans and specs?
• Which pair are two common examples of promissory estoppel?
• Lump Sum contracts typically have no transparency into price.
• Direct Damages or Consequential Damages? 'Lost profits on other projects'.
• Which insurance covers liability to Owner from employee injuries caused by occupational diseases?
• Which option describes the most common arrangement for price certainty in PDB?
• The 'Appropriate' level of definition for Phase 2 in PDB is often ___% - ___% design completion.
• Which concept limits a party's liability for breaches, often excluding types of damages?
• The contract should reflect that Designer-of-Record is regularly and actively involved throughout the project's _____.
• In the Constructive Changes process, a request denied by the owner corresponds to which step?
• Which bond is typically provided to secure the bidder during the bidding process?
• Which party should be regularly and actively involved throughout the project’s execution?
• The statement 'Commercial impracticability is accepted by all courts as a defense' is:
• Full knowledge of all site conditions is never known.
• Which bond is for the benefit of subcontractors and suppliers?
• Which insurance provides first-party coverage for physical damage to the project during construction?
• A rental generator used to provide power to meet an owner's customer needs is an example of which damages category?
• In a joint venture dispute, who is responsible to sort out the respective proportions of liability?
• Which statement about Lump Sum contracts is true?
• A Lump Sum contract typically has no meaningful opportunity for the Owner to be involved in subcontractor procurement.
• Which contract type gives the Owner more involvement in subcontractor procurement?
• Work Product ownership in a Design-Builder context is typically attributed to which party?
• How many Best Practices are described?
• Which document defines who is responsible for what portion of deliverables for RFQ/RFP?
• Which doctrine is associated with implied warranties that the provided plans and specs are accurate and suitable?
• In professional negligence cases, expert testimony is typically needed to prove which concept, often described as the baseline?
• Element of Constructive Acceleration: Contractor gives Owner _____ _____ of the delay and a proper request for a time extension.
• Resolution in disputes over contract interpretation typically involves looking at the requirement through the eyes of a(n) ______ ___.
• Element of Constructive Acceleration: Contractor is entitled to a(n) _____ delay.
• Which bond is secured during the bidding stage to ensure the bidder will enter into the contract at the bid price?
• Which insurance specifically covers liability from professional services?
• Which party bears risk of non-negligent design defects when separate contracts exist with the builder and designer?
• If the contract's subject is unique, which remedies may a court order?
• In the Constructive Changes process, following the Changes Clause to submit its claim for relief corresponds to which step?
• Which doctrine establishes implied warranties that the provided plans and specifications are accurate and suitable for the intended purpose?
• ______ Damages: Arise from the consequences of a breach.
• Which of the following terms may be found contrary to public policy?
• Which contract is most often used in Progressive DB?
• Oral contracts can be valid on what two requirements?
• Contracting parties should proactively and cooperatively identify significant project-specific _____ and clearly identify in the contract how such _____ will be handled.
• Best practices mandate that teaming agreements must be used.
• Which clause is commonly associated with shifting risk and limiting liability in some scenarios?
• Direct Damages or Consequential Damages? 'Cost or repair the damage to the project.'
• Which contract type provides the Owner with broad audit rights?
• _____-_____: Prime contracting party with Owner.
• Damages to customers are classified as which type of damages in contract law?
• What is the key concern with Proprietary Meetings in the DB process?
• _____ Damages create substantial financial exposure if something goes wrong.
• How many Best Practices and Implementing Techniques are described in total?
• _____ actually accelerates its performance, thereby incurring excess costs.
• Which bond protects the Owner by guaranteeing completion of the contract scope if the Contractor fails to perform?
• What two things can nullify an offer?
• Betterment Theory in damages law serves to prevent what outcome?
• Damages cannot be speculative and must be proven to what degree of certainty?
• Limitations of liability can impact recovery. True or False?
• Compensation for Subsequence Agreements can be any form including fixed sum, cost plus, hourly rates.
• Direct Damages or Consequential Damages? 'Rental of temporary generator to meet power needs on project'.
• Which concept limits the amount recoverable by liability restrictions?
• _____ clauses frequently get in the way of efficient implementation of the DSC remedy.
• What term describes any party entering into a lower tier or subcontracting agreement with the Design-Builder?
• Which Constructive Changes Step is described as 'Files a request for change order'?
• Terms of Art refers to:
• DB process does not preclude changes. True or False?
• For Teaming Agreement, what must the parties have in place regarding protection?
• Element of Constructive Acceleration: Order by _____ that the project be completed within its original performance period.
• Which insurance covers liability to third parties for BI/PD caused by vehicle accidents in connection with the project?
• During the proposal phase, the design-builder should use written _____ _____ with each team member to develop and capture an understanding of their relationship and key commercial aspects of their relationship.
• In contract law, a contract is formed when there is an offer and a(n) _____.
• Which term describes the party entering into a lower tier or subcontracting with the Design-Builder?
• Contracts should contain a _____ process to facilitate changes and price/time adjustments.
• Which bond primarily ensures that subcontractors and suppliers are paid if the general contractor defaults?
• _____ Specification: Owner only provides the requirement(s) for the end result of an element that will be designed by others.
• Which phrase completes the sentence: The contracts between the Design-Builder and Team Members should address the unique aspects of the DB process.
• Most contingencies are transparent under which contract type?
• In CMAR contracts, did the appellate court decide that Spearin applies?
• An Implementing technique for Execution recommends the Design-Builder and its team to establish and maintain a _____ system.
• Which liability insurance is another term for Errors and Omissions Insurance?
• Which bond protects the Owner against the risk of the contractor's bankruptcy or failure to complete the project?
• Which bond is often requested by Owners to cover the risk of non-payment to vendors and subcontractors if the contractor defaults?
• What are the 2 contract approaches in PDB?
• Contracts used on DB projects should be _____, _____, and _____ and should promote the _____ aspects inherent in the DB process.
• _____ _____ _____ mandates that certain types of contracts be written.
• In a design-build project, which two roles have a direct contractual relationship?
• Designers are by their nature _____ averse.
• In the Trident V. Austin (2003) case, what factor was involved in the dispute?
• In the PDB Process, The Design-Builder collaborates with the Owner during Phase ___ to create or confirm project's basis of design.
• Which attribute is promoted by using standard-form DB contracts?
• These items are examples of Contractual _____.
• 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 _____.
• In the PBD Process, Phase 2 is initiated up acceptance of the _____ _____.
• Which 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.
• Which term refers to the power to bind a party to a contract on behalf of the party?
• DBIA forms contain an exclusion for design services. True or false?
• Which organization is NOT listed among the current US Standard Form DB Contracts?
• What are two examples of an unenforceable contract that is contrary to public policy?
• Which doctrine requires certain contracts to be in writing due to risk of fraud or confusion?
• Which of the following lists the five components necessary for a valid contract?
• Which contract type gives the Owner the ability to be more involved in subcontractor procurement?
• Injunction and infringement actions are two remedies for which type of rights?
• _____ is the requirement that the party making the contract must be legally able to do so.
• Which set correctly lists the five requirements for a valid contract?
• _____ Application: Owner needs to pay once for items negligently omitted.
• Surety Bonds are required for public works contracts to ensure payment and performance.
• The contract between the _____ and the ______ _____ should address the _____ aspects of the DB process, including expected standards of care for design services.
• _____ _____ _____: the use of a word in a specific industry.
• _____ Specification: Owner dictates exactly how an element is to be designed and constructed.
• DBIA Document _____: Standard form of Teaming Agreement between Design-builder and Teaming Party.
• Unknown physical conditions at the site, of an unusual nature that differ materially from those ordinarily encountered, are referred to as.
• What does the Subsequence Agreement define?
• What is a hallmark of Progressive Design-Build compared to traditional methods?
• The Spearin Doctrine is judicially recognized at both state and federal levels. True or False?
• Which case deals with a teaming agreement problem and issues with sign structures meeting contract requirements?
• _____ _____ are agreements that address business pursuits.
• contractors want benefits of balanced contacts _____, but use of the 'hammer' to shift substantial risk _____.
• Which two parties are involved in the contract addressing the unique aspects of the DB process, including standards of care for design services?
• What is Design-Build Done Right described as in relation to DBIA certification courses?
• Which bond protects the Owner by ensuring contractor performance?
• Agencies have great discretion in running their _____.
• Offers must demonstrate an expression of _____ to contract on certain terms.
• Which option is not one of the three remedies if the Design-Builder fails to meet performance requirements?
• Privity of contract refers to a contractual relationship between which parties?
• Lump Sum contracts often include limited audit rights and undisclosed contingencies.
• In standard contracts, which party typically bears the risk of unforeseen site conditions?
• In design-build, the owner is removed from the design and construction interface.
• Savings need to be addressed under which contract type?
• Which statement correctly differentiates Course of Performance from Course of Conduct?
• Is it permissible for a contract to impose limitations on what damages can be claimed?
• _____ describes a party offers to contract with another.
• In a DB procurement, which agreement covers the subcontractor the parties will enter into if Design-Builder wins?
• Promissory estoppel requires which element besides detrimental reliance on a promise?
• Design-Build Done Right is the _____ of every DBIA certification course!
• What are the 4 current US Standard Form DB Contracts?
• Which insurance covers liability due to injuries to workers, with each state having different statutes?
• Which doctrine states that plans and specs furnished are accurate and suitable for their intended purpose?
• Which option is not a typical function of a Teaming Agreement?
• Which bond guarantees payment to subcontractors and suppliers if the Contractor defaults?
• Which statement best describes Progressive DB's contract structure?
• Which case is described where the appellate court found Spearin applied to CMAR contracts?
• Contracts should reasonably allocate _____ to the party that is best capable of addressing and mitigating the _____.
• Which contract type typically requires addressing savings?
• Which statement best describes the purpose of Teaming Agreements in the design-build process?
• Consequential Damages are distinct from '_____' Damages.
• In the NAVFAC project scenario, why did the Statute of Frauds apply?
• ______: The act of accepting claims on behalf of another entity.
• What are 2 examples of privity of contract needed to sue a party for economic losses?
• Which statement best defines a contract that is enforceable despite being oral?
• Deciding what happens if the relationship ends and the 'off-ramp' is exercised is the most important issue in _____ contracts.
• The Economic Loss Doctrine is applicable to personal injury. True or False?
• Application is determined on a state-by-state basis (not valid in all states). True or False?
• In the context of pursuing opportunities, what term describes early collaboration between firms?
• Which term describes the legal ability to enter into a contract?
• Can a contract legally impose limitations on what damages may be claimed?
• Proprietary Meetings are recognized as a way for both parties to benefit from the DB process. Which term completes the phrase?
• Which statement best describes the relationship of the Designer-of-Record's involvement to project execution?
• _____ _____ _____ Documents set forth the documents that, if changed, would allow for a change order.
• Which term describes a system used to monitor ongoing performance and incentives within the design-build process?
• If the design-builder is expected to meet performance guarantees, the contract should clearly identify _____, and the guarantees should be capable of being _____ and reasonably _____ by a design-builder performing its work in a commercially reasonable fashion.
• Technical requirements are written perfectly and can be subject to different meanings to different people. True or False?
• If expectation damages are not available, which damages reflect what the party would have had if the contract had not existed?
• Contracts should use language that is _____ to those personnel who are administering the project.
• Disincentives are enforceable only if they meet _____ damage prerequisites.
• Which damages are described as an award of a reasonable sum for services rendered?
• Where a contract does not fix a definite price, there must be a definite method for _____ it.
• Which concept modifies a mandatory RFP requirement?
• Owners should perform appropriate _____-_____ tasks.
• What term describes protection for a party who is reliant on someone else's actions?
• Direct Damages or Consequential Damages? 'Lost Profit on the project'.
• _____ contracting rule makes it very difficult to create an Oral contract.
• Which statement about Surety Bonds is accurate?
• Which type of case claims were specifically mentioned as part of the Metcalf case?
• Subsurface or physical conditions at the site that differ materially from those indicated in the CD are called.
• Builder's Risk Insurance can be obtained by which parties?
• Builder's Risk Insurance is best described as which of the following?
• Who has the duty to build what is in the plans and specs?
• Which type of meetings are recognized as beneficial for both parties in the DB process?
• Which of the following is a form of constructive change that accelerates the project schedule?
• What is an example of a contract that the Statute of Frauds mandates to be written?
• The response to an RFP is an example of a(n) _____.
• Which bond is intended to guarantee payment to subcontractors and suppliers during the project?