In episode 040 of The Civil Engineering Podcast, I interview John Lowe author of A Guide to Managing Engineering and Architectural Design Services Contracts – What Every Project Manager Needs to Know.  During the episode, Johns outlines the top 10 items that civil engineering professionals should be aware of with respect to Engineering and Architectural Design Services Contracts. Here are some of the questions I ask John: Tell us more about Accounts Receivable and the impact they have on projects? What do you mean by creating a Culture of Awareness to Professional Liability Issues? What is Stop Work Authority? Why is shop drawing review important? Quotes to think about: Here are the “Top Ten” considerations that are the most critical when dealing with Engineering and Architectural Design Services Contracts: 10. Accounts Receivable When a client falls behind in paying, this can be the precursor of other problems. It frequently can mean that they are running out of money or are unhappy with the Consultant’s services. Either way, immediate action is called for in order to find out what the problem is and how to get it fixed. 9. Purchase Orders The Standard Terms and Conditions (fine print) that come with purchase orders are not for the Consultant’s benefit.  Accepting them can void professional liability insurance coverage. 8. Create a Culture of Awareness to Professional Liability Issues Most civil engineers don't think about professional liability issues while they are doing the design. They only do so once there is a claim on one of their projects. Consider having weekly lunch seminars on liability law topics in your office so that you and your staff members  are aware of these issues at all times. 7. Contractor Requested Changes from Contract Document Requirements Be very careful when a contractor request changes from contract document requirements. These changes are almost always requested to benefit the contractor. Acceptance of these changes rarely inures to the benefit of the design professional or the Owner. 6. Stop Work Authority To stop a project almost always initiates a host of complex, expensive, and time consuming activities that frequently have professional liability and legal consequences. As the lead civil engineer, you must be aware of who has the authority to stop your projects when you are reviewing your contracts. 5. Shop Drawing Review A proper shop drawing review is extremely important.  Inadequate shop drawing review can have consequences ranging from increased project cost to loss of life. 4. Scope of Work It's only with a clear scope of work that the expectations of all parties can be expected. Everyone that is involved in the project, should have a copy of the detail scope of work so that they don’t miss something that was included or start adding scope to the work that was excluded during the negotiations. 3. Expectation Management Many clients will expect perfection from the Consultant.  Unless this expectation is properly managed from start to finish, having a successful project is highly unlikely. 2. Constructability Review There should always be a constructability review.  The best time to have one is at the preliminary design phase, but always before advertising for bids. Otherwise, the review will occur during bidding or construction with potentially costly consequences. 1. Documentation  No matter how much documentation is prepared, when problems arise, most project managers will agree that they wished that there had been more documentation and that it had been better. Remember the Chinese Proverb, “The faintest of ink is more powerful than the strongest memory.” More details in this episode…