Conditions of the Contract


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Use this CSI 3 part SimpleSpecs™ master specification to specify requirements for the Conditions of the Contract, which will govern the overall Work. This section expands on AIA Document A201 – General Conditions of the Contract for Construction, which is incorporated by reference. Other General Conditions may also be utilized, with appropriate modifications.

While this document incorporates American Institute of Architects (AIA) Document A201 – General Conditions of the Contract for Construction, other “General Conditions” documents may be used as well. The Engineers Joint Contract Documents Council (EJCDC) and Design/Build Institute of America (DBIA) offer their own General Conditions. If using these or other documents note that terminology such as “architect” and “engineer” may need to be modified throughout the Project Manual to match those General Conditions. In addition, many owners including school districts and large corporations may have their own General Conditions.

General Conditions are just that – general. For example, they can require the Contractor or Construction Manager to carry insurance, but the specific types and dollar limits of that insurance varies depending on project specifics. Consequently, it is usually necessary to write supplements to incorporate project-specific requirements.

Since this document has such important legal consequences it should be prepared by or in conjunction with the Owner’s legal counsel.

AIA Documents may be obtained from the American Institute of Architects at

This section covers a few common modifications to AIA A201. Other subjects that may need to be included here, depending on project complexity, include:

Bonuses for early completion.

Equal opportunity employment.

Weather delays and insurance and bonds are now handled along with the Agreement as an Exhibit to AIA Document A101 – Standard Form of Agreement Between Owner and Contractor.

Liquidated damages are often misunderstood and should be approached carefully. They are intended to compensate the Owner for any financial losses incurred if the project is not completed on time. For example, a retail space that generates income will cause financial loss to the Owner if a tenant cannot move in on schedule and start paying rent. Additional interim financing costs are another example. But it should be noted that courts have typically upheld liquidated damages where actual losses can be proven and where the liquidated damage amount is realistic.

For more on the conditions of the contract, check out our blog post!

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