Shared Flashcard Set

Details

UVIC Engr498
Engineering Law
196
Engineering
Undergraduate 4
03/23/2015

Additional Engineering Flashcards

 


 

Cards

Term

Ch.1.1

 

List the 3 primary features of the Constitution.

Definition

1.the division of powers

2. the creation of the courts

3. the Canadian Charter of Rights and Freedoms

Term

Ch. 1.1

 

Private law falls under what jurisdiction?

Definition

 

 

Provincial

Term

Ch. 1.1

 

List some areas of Private law.

Definition

 

1. Property rights

2. contracts

3.negligence law

4. construction leins

5. (basically al engineering, architecture and geoscience stuff falls in provincial)

Term

Ch. 1.2

 

Do federal courts have jurisdiction over procincial courts?

Definition
No
Term

Ch. 1.2 

 

What is the ultimate level of appeal in Canada?

Definition

 

 

The Supreme Court of Canada

Term

Ch. 1.2

 

What os the $ limit to be ion small claims court in BC?

Definition

 

 

$25,000

Term

Ch. 1.2

 

List the 3 levels of BC Courts.

Definition

 

 

1. Small claims

2. BC Supreme Court

3. BC Courst of Appeal

Term

Ch 1.2

 

What does the 'Charter' do?

Definition

 

 

Establishes individual rights that apply to all canadians and in many cases non-citizens.

Term

Ch 1.5

 

List some reasons for claims and disputes

Definition

 

 

negligence

breach of contract

refusal to pay

(just some)

Term
Construction litigation can often cost more than the claims themselves
Definition

 

 

True. 

 

This is due to the extensive paperwork and large number of parties involved.

Term
What two things help to resolve claims and disputes successfully.
Definition

 

1. Law of contractr

 

2. Law of negligence

Term

Ch. 1.5

 

What are some things to help with the allocation of risk?

Definition

 

 

Contracts

Insurance (shifts risk to third partyh)

Bonds (help against non performance or non payment)

Contractual disclaimers 

 

Term

 

Ch 1.7

 

What are contracts?

Definition

 

Volentary agrements between two or more parties that set out rights responsibilities and liabilities for each party

Term

Ch 1.7

 

Are oral contracts legally enforcable?

Definition

 

Yes

Term

Ch. 1.7

 

What is a tort?

Definition

 

Tort:

 

Acts commited by one party in violations to another.

 

Considered sufficiently wrong to as to give rise to liabilty.

Term

Ch 1.7 

 

What constitutes the majority of torts (most common)

Definition

 

 

Negligence

Term

Ch 1.7

 

What is negligence.

Definition

 

 

Failure to take reasonable care of another.

Term

Ch 1.7

 

Contracts are volentary but Torts are involentary.

Definition

 

 

True.

 

Torts are imposed byu the law.

Term

Ch 1.7

 

What must the plaintiff prove in a Negligence claim?

 

Definition

At the time of event the defendant could have forseen the plaintiff would suffer an injury or loss as a result of the D's failure to take due care.

 

Also, that the D did not meet the standard of care expected in their position

 

Finally, the failure to meet the standard of care was legal cause of the loss suffered by the P

Term

Ch 1.8

 

Is it a good idea to read a case file and assume the same will happen to you?

Definition

 

 

No, get a lawyer

Term

Ch 2 Overview

 

Scope of practice means what?

Definition

 

means regulatory authority have the right to regulate exclusive right of its members to practice in a particular field. For example "proffesional engineering"- P eng.

Term

Ch 2

 

Does each province create a regulatory body to govern each profession?

Definition

 

 

Yup

Term

Ch 2.1

 

What is one of the main obligations of the provincial regulatory bodies.

Definition

 

 

Protection of the right to title. 

Term

Ch 2.1

 

What does right to title mean?

Definition

 

 

For engineers it means that graduates of an engineering program are not entitled to call themselves engineers or professional engineers without first obtaining the right to do so through registration.

Term

Ch 2.1

 

What is the benifits of being a registered member (P Eng)?

Definition

 

 

You get to use the professional title

Term

Ch 2.3

 

Regulatory bodies register members based on what?

3 things

 

 

Definition

 

 

experience, education, examinations

Term

Ch 2.5

 

Does legislation give regulatory bodies the ability to discipline members for incompitence or breaches of codes of ethics

 

 

Definition

 

 

 

Yessir

These disciplinary proceedings are considered quasi-criminal


 

Term

Ch 2 Q's

 

How is the practice of architecture regulated differently than interior decorating

Definition

 

architecture is govered by statute and prohibits practices of the profession by anyone not properly registered

Term

Ch 2 Q's

 

is a disciplinary hearing a criminal proceeding?

Definition

no

 

 

quasi-criminal

Term

Ch 3.0

 

what is conflict of interest?

Definition

 

a situation in which the professional has conflicting obligations to the public, client, employer, profession, him/herself

Term

Ch 3.6

 

 

In BC the code of ethics, when talking abiout duty to the profession says what?

Definition

 

To report hazardous, illegal, unethical professional decisions or practices

Term

Ch 3 End Q's

 

Does duty to public safety govern over buty to the client in all cases?

Definition
yes
Term

Ch 6.0

 

What is a contract?

 

Definition

 

 

Enforcable voluntary agreement between two or more parties.

Term

Ch 6.0

 

Can contracts be oral?

Definition

 

yes

Term

Ch 6.0

 

what is and express term

Definition

 

 

words phrases or conditions that have been discussed and agreed to by the parties

Term

Ch 6.0

 

What is an implied term?

Definition

 

 

Terms that have not been discussed or agreed to between the parties, but which are taken for granted.

Term

Ch 6.0

 

Why have a contract?

Definition

 

 

to set out rights, responsibilities and obligations of the parties involved.

 

Main thing: allocate risk and obligations between parties.

Term

Ch 6.0

 

Who can enforce a contract?

Definition

 

 

Only parties to the contract can enforce the contract.

Term

Ch 6.0

 

What is enforcability?

Definition

 

 

Likelyhood that a court would uphold a contract or a portion of it.

Term

Ch 6.0

 

What could make a contract unenforcable?

Definition

 

 

Flaw in contract

Flaw in formation

Events that occur subsequernt to creation.

Term

Ch 6.0

 

What are the two key principals that determine whether an enforcable contract exist?

Definition

 

 

1. Contract formation consisting of an OFFER and ACCEPTANCE, and CONCIDERATION

 

2. Parties must have legal capacity to contract and an intention to create legal obligations, (the contract must have a lawful purpose)

Term

Ch 6.0

 

What are some events after the creation of a contract that could make it voidable?

Definition

 

 

duress

frustration

impossibility

mistakes

misrepresentation

unconscionability

Term

Ch 6.0

 

who can terminate a voidable contract?

Definition

 

 

party that is not in breach, can also choose to continue.

 

Can also use these events as defence to claims that arise during or following the performance of a contract.

Term

Ch 6.1

 

What is an OFFER?

Definition

 

 

proposal by an offeror to an offoree, containing the essential terms of a proposed conttract.

Term

Ch 6.1

 

What is an ACCEPTANCE?

Definition

 

 

Unequivocal agreement to an offer.

Term

Ch 6.1

 

List some things that may cause disputes to arise in regards to an offer.

Definition

Offer must be capable of acceptance. (vague statement unnaceptable)

 

If offer does not define essential terms such as parties, price, time, performance, and scope..... probably doesnt pass the test.

Term

Ch 6.1

 

In a bidding process, invitation for bids may be considered an offer? (t/f)

Definition
True (mOREIN CHAPTER 10)
Term

Ch 6.1

 

If you decline an offer or counter offer can you later accept it? How could this be possible?

Definition

 

 

NO. It must be revived

Term

Ch 6.1

 

T/F

 

A counter offer is considered a rejection.

Definition

 

 

true

Term

Ch 6.1

 

Why is it a good idea to have negotiations explicitly defined as "in good faith"?

Definition

 

If in good faith, there is a statutory requirement to do so.

 

If not in good faith. either party can simply walk away from negotiations with impunity.

 

 

Term

Ch 6.1

 

When can a party revoke an offer?

Definition
anyttime
Term

Ch 6.1

 

How to revoke an offer?

Definition

 

 

Must explicily say it to the offeree.

Term

Ch 6.1

 

Is the formality of signing or executing the contract necissary?

Definition

 

 

No, it starts as soon as agreement is reached. ( but signed makes much easier to prove)

Term

Ch 6.1

 

How can acceptance be communicated by conduct?

Definition

 

 

By starting the job

Term

Ch 6.1

 

When is procurement useful/needed?

Definition

 

 

During bidding process offeree may need time to evaluate the many offers. It can be requested that the offer be irrevocable over a set amount of time to give offereee time to evaluate the offers.

 

Also used for a said price of a good. must stay that price for a set time.

Term

Ch 6.2

 

How can an offer be irrevocable?

Definition

 

 

must contain an enforcable promise not to revoke.

Term

Ch 6.2

 

What is consideration?

Definition

 

 

Consideration:

something of value, however small, has been given or promised by each party to the contract.

 

example.

Consideration A --> B: do a job

Consideration B-->A: Pay said dollars for job

Term

Ch 6.2

 

Does consideration given by each party have to be equal? what are some issues with this.

Definition

 

 

No. Courts do not consider who got the better deal.

 

Issues: if it's such a bad deal for one party, can possibly get tossed due to that party being "unconscionable"

ie. really stupid

Term

Ch 6.2

 

What should happen if appendments (new considerations ) are added to a contract?

Definition

 

 

For new considerations demanded by one party, the other party should recieve a new consideation also.

Term

Ch 6.2

 

If you are a contractor and cannot meet a deadline without more money, how would you request more money, and still be guarenteed to be paid the extra amount.

Definition

If you request more money (and they say yes) and finish on the date in the original contract. You are not entitled to the extra amount ( original consideration still in effect) (nothing is new)

 

If your want to be smart and make the person be required to pay you, you should say you will now finish one day sooner that originally agreed. This means both parties have recieved a new consideration and the now money must be paid.

Term

6.4 

 

List the ways that a contract can be void (5 things)

Definition

 

1. Mistake

2. Misrepresentation

3. Duress

4. Unconscionability

5. Frustration

Term

Ch. 6.4

 

Describe "mistake" (means to void contract).

 

List the 3 features that must be rpresent

Definition

 

Misunderstanding with respect to a term in a contract.

 

1. Must be significant

2. must be mutual mistake

3. must have existed at the time agreement was made

Term

Ch 6.4

 

Desctribe 'Misrepresentation' in terms of voiding a contract.

 

List 3 kinds. 

 

 

Definition

 

 

Untrue factual statement made by one party.

 

Innocent, negligent, fraudulent

Term

Ch 6.4 

 

Describe 'Duress" in terms of voiding a contract

Definition

 

Improper pressure, threats, or coercion used to indude a party to enter contract.

Term

Ch. 6.4 

 

Describe 'Unconscionability' in terms of voiding a contract.

Definition

 

 

Contract that is so unfair, oppressive, or one sided that it would be offensive for the court to enforce it. 

Term

Ch 6.4

 

Describe 'frustration' for viding a contract

Definition

 

occurs when an unforseen event occurs that makes the performance of the contract either impssible or of no value.

Term

Ch 6.5

 

What is a contract amendment?

Can they be oral?

Definition

 

A change or alteratiuon to a contract.

Yes, but its a bit tricky (basically a mini contract so all the same rules apply)

Term

Ch. 7.1

 

List some conditions that makes a failure to perform a breach.

Definition

 

 

- the inability of one party to perform the contract

- inadvertence

- disagreement as the the requirements of the contract

- profit (or lack of)

Term

Ch 7.1 

 

(Contract Breach)

 

Describe 'inadvertence'

Definition

 

 

One party unintentionally failed to carry out an obligation

Term

Ch 7.1

(Contract Breach)

 

What is performance under protest?

 

Definition
Protesting party gives other party writen notice that it will be performing to work on the understanding that it is doing so without prejudice to its right to argure that it is entitled to additional payment for that work
Term

Ch 7.2 

 

What are damages?

Definition

 

 

Refers to the compensation the court awards to an injured party

Term

Ch. 7.2 

 

What is an injunction?

Definition

 

 

Court order for a party to not do somehting

Term

Ch 7.2 

 

What is a declaratory order?

Definition

 

 

Determines rights of parties but does not require parties to do anything.

Term

Ch 7.2 

 

List 3 limitations to damages and desctibe them.

Definition

 

 

1. Mitigation: party who sufgfered injury or loss must take reasonable steps to reduce (mitigate), the injury/loss

 

2. Damages cannot be speculative. (for future profits for example)

 

3. Remoteness: lack of connection between a wrong aand an injury or loss. (if loss was not reasonably foreseeable when making contract, considered too remotre to claim)

Term

Ch 7.3

 

A unilateral termination (one party only) will be one of what two things?

Definition

 

 

A breach of contract

 

or

 

Provoked by breach of contract

Term

Ch 7.3

 

What is a fundamental breach of contract?

Definition

 

 

Goes to root of contract and deprives innocent party of all or substantially all of the benifit of the contract

Term

Ch 7.3

 

Describe a simple breach of contract

Definition

 

 

Does not entitle the innocent partyto treat the contract as ended or permit the innicent party to stop performing their duty of the contract

Term

Ch 7.3

 

What is repudiation?

Definition

 

 

one party tell the other they wont be doing their duty in the conract. Can lead to fundamental breach

Term

Ch 7.3


WHat is anticipatory breach?

Definition
One party tell the other they wont do an obligation thats in the contract
Term

7.3

 

What is a termination clause?

Definition

 

 

Lists the acts by either party that entites the other to be out of the contract

Term

Ch 8.0 

 

If there is a conflict between the literal interpretation of a clause and the intention of the parties, which governs?

Definition
The intention of the parties
Term

Ch 8

 

Give an example of a situation in which expert evidence may be required in order to interpret a clause

Definition
where there is a customary or special meaning, as often occurs with technical docs. in contruction contracts, an expert may be needed to help interpret the contracrt
Term

Ch 9.1

 

Dealing with contract issues what is an agent?

 

What is the principal?

 

 

Definition

 

 

A person authorized to act on the behalf of another party known as the Principal

Term

Ch 9.1

 

Give an example of principal, agent, third party in a construction context.

Definition
Owner, engineer, contractor
Term

Ch 9.1

 

Explain the two kinds of authority a principal has over an agent.

Definition

 

 

-express authority: (actual authority) created by contract(written or not) between principal or agent

 

-apparent authority: (inplied authority) created by representation made by the principal to the third party

 

??

Term

Ch 9.2 

 

What is an indemnity?

 

Give a common example.

Definition

An agreement by one party to bear the financial loss of another party for a specified event.

 

"if this happens, you pay me what i lose"

 

 

-Insurance policy

Term

Ch 9.3

 

What would an extra, and credits do the contract price?

Definition

 

Credits: decrease

Extras: increase

 

These are terms used to changes made to a contract. They are very common. The cause of the change generally determines who pays.

 

examples. unforseen things, use diff material. design flaws ect..

Term

Ch 9.3

 

If you misinterpret a building code creating a a desaign flaw are you liable?

Definition
not always. if designers interpretation is reasonable, and reasonable enquiries were made, that should exclude liability for negligence. However, the additional reworking is almost always an extra in for the dsigners contract.
Term

Ch 9.3

 

If a contractor completes a job and it ends up being a lot more expensive than originally quoted, can the owner refuse to pay? (and why)

Definition
Yes, they can. Because the contractor must notify you of any changes in the contract, which include impact costs for any changes that may been made
Term

Ch 9.3

 

How might a contractor protect himself from impact costs?

Definition
They reserve the right to claim these costs at a later date (which is in the original contract)
Term

Ch 9.3

 

Why and in what circumstances might a contractor make a change without approval 'Ex. Changing material type, which would result in an increase in cost'

Definition
A contractor can make this change as long as it is previously stipulated in the contract (as a part of impact costs). And this is something that is agreed upon to prevent delays that would affect their agreed upon date of approval.
Term

Ch 9.4

 

What are some additional issues that a subcontractor may be subject to (5): 

Definition

 

1. Subcontract formation through the bidding process

2. Pay if paid clause

3. Encorporation by reference

4. One tier bonds

5. Project delivery

Term

Ch 9.4

 

Describe the 'subcontract formation through the bidding process' issue

Definition
The issue is the subcontractors obligation to fulfil their commitment to working under the prime contractors bid
Term

Ch 9.4

 

Describe the 'pay if paid' clause

Definition
The general contractor only has to pay the sub contractor after they themselves have been paid for the work
Term

Ch 9.4

 

Describe the 'Incorporation by Reference' issue

Definition

As a sub contractor, you must follow the provisions in the prime contract awarded to your general contractor.

 

Ex. standards etc

Term

Ch 9.4

 

What is one thing a sub contractor should do before making a bid to a general contractor

Definition
They should request to review the prime contract carefully - because the are bounded to the provisions in it by the 'Incorporation by Reference' issue
Term

Ch 9.4

 

Describe the 'One-Tier Payment Bonds'

Definition

The general contractor may have to put up 50% of the contract payment up front as a bond before work begins to compensate for labour and subcontractor payment.

 

The subcontractor needs to be within 'one-tier' to qualify is 'claimant' under the bond

 

 

 

Term

Ch 9.5

 

What is an 'Unforseen Conditions'

Definition
A condition that may be known to possibly exist, but that are not expected to occur
Term

Ch 9.5

 

How can an owner minimize risk in terms of unforseen conditions

Definition
They may shift the risk to the contractor during the bidding process by stating that the contractor agrees to accept the risks, which makes them responsible for their own investigations etc.
Term

Ch 9.4

 

What are two problems with shifting the risk to the contractor for unforseen conditions

Definition

1. Little available information on the hidden conditions (sufficient geotechnical reports)

 

2. Courts sometimes recognize that bidding process does not allow for sufficient time to conduct thorough investigations

 

(courts sometimes rule that insufficient time is given, and puts liability on owner) 

Term

Ch 9.6

 

What are specifications

Definition
They detail the work requirements (including the quality and standards of material and workmanship)
Term

Ch 9.6

 

What are some challenges in interpreting specifications (8)?

Definition

1. Inconsistency in terms and language

2. Repetition in material (often containing different information)

3. Incorrect or inconsistent drawing notations

4. Lack of coordination between the drawings and the specifications

5. Use the drawings and specifications without appropriate ammendment 

6. Incorrect use of legal jargon

7. Descriptions containing not only the required result, but also mandating a methodology

8. Using drawings and notes with no written specifications

Term

Ch 9.7

 

Describe the potential confusing surrounding contract authority

Definition
Either party of a contract may appoint an agent to sign and make decisions regarding a contract in representation of the contractor or owner. It should be clearly defined what their role and their authority is in the contract
Term

Ch 9.7

 

Why is timeliness important?

What is a potential consequence of tardiness?

Definition

Duties must be completed in a timely fashion, failure to do so can result in delays to contract completion and impact the ability of either party to complete the contract.

 

These delays can result in impact claims

Term

Ch 9.7 

 

Sufficient number of field reviews is whos responsibility?

Definition

The contract administrator 

 

(Court may rule that the number of field reviews stated in the contract was not enough)

Term

Ch 9 Summary

 

To what extent are 'pay if paid' clauses are enforcable 

a) under all circumstances

b) no circumstances

c) in some cases

Definition
c) in some cases
Term

Ch 9 Summary

 

Under what circumstances is a subcontractor bound by the terms of the prime contract

Definition
Whether or not he or she has read it before bidding if the subcontract clearly states that the subcontractor is bound by the prime contract
Term

Ch 5.0

 

List the three principal of business organization in Canada.

What is a potential 4th?

Definition

1. Sole ownership

2. Partnerships

3. Corporations - "seperate legal person"

 

4. Joint Venture - "organization where two or more joint ventures act together but retain their separate legal status"

Term

Ch 5.1

 

Is authority within a partnership public information?

Definition
No its not - Authority of partnerships are confidential, and therefore it is assumed that each partner has unlimited authority and liability
Term

Ch 5.3

 

How might an independent business owner reduce the risk involved with running a business

Definition
Creating a legal entity, or corporation limits the personal liablity involved, however, the bank or supplier may require the independent owner to personally guarantee the debts owed on the company
Term

Ch 5.4

 

Who is a corporation owned by

Definition
Shareholders in proportion to their shareholdings
Term

Ch 5.4 

 

Define dudiligence

Definition
Dudiligence is when officer and directors took all advice, reasonable steps to ensure that the corporation was not in breaach of the statute in question
Term

Ch 5 Summary

 

 

What are two steps that directors and officers can take in a corporation to reduce liability

Definition

1. Obtain indemnity from the company

2. Purchase directors/officers liability insurance

Term

Ch 10

 

Describe 'call for tenders'

Definition

A method of forming a contract: A request from a buyer (owner) of goods or services to a group of potential sellers (bidders)

 

the bidders basically propose a contract

Term

Ch 10.1

 

What is the most popular construction project delivery method?

 

Describe it.

 

 

Definition

 Design-bid-build

 

owner/consultant conceptualize and design project.

 

Contractor hired to build through tendering process

 

Consultant inspects construction and owner finances it.

Term

Ch 10.2

 

What is the characteristic of a good contract?

Definition

 

optimum/equal level of risk and obligation for each party.

Term

Ch 10.3

 

After the bidding (tendering) process, is it common for negotiations to happen?

Definition

 

NO. It is illegal in canada to do both tendering and negotiations. Tendering replaces negotiation.

Term

Ch 10.3

 

Its it POSSIBLE to negotiate after a tendering process?

Definition

 

 

Yes, but it must be CLEARLY explained that there will be an inclusion of a negotiation step before the call for tenders happens

Term

Ch 10.3

 

What is the defference between a call for tenders and a request for proposals?

 

Definition

The level of detail varies is the scope of work. 

 

example. Call for tenders may result in a 500000 page report of high level detail, while a request for proposal will have gereric info.

Term

Ch 10.3

 

What is a "delivery system"? 

 

List some.

 

 

Definition

A delivery system is basically a method for a buyer (owner) to find a seller (contractor)

 

Some methods include:

-Request for qualifications

-Invitation to tender (tendering)

- Request for quotation

- Request for standing offers

- Request for proposals

- Letter of interest/Pre-qualification

Term

Ch 10.3

 

Explain "request for qualifications"

Definition

 

 

Process used to choose a project participant based solely on the wualifications of the respondesnt, rather than on other criteria (eg. price).

 

Often used for selecting profssionsals

 

 

 

Term

Ch 10.3

 

Describe "Invitation to tender" (tendering)

Definition

(bidding process)

 

Used when numerous potential sellers can supply goods or services. Owner can evaluate bids against criteria without negotiation.

 

Very formal process. 

 

 

Term

Ch 10.3

 

What is "request for quotation"

Definition

Informal process through which separate requests are made with no formal closing time or tendering closing conditions. In this process further negotiations after a party is selected is common. 

 

This is due to the fact full details are not knows before this process starts. 

Term

Ch 10.3

 

Describe "Request for standing offers"

Definition

 

 

Process through which the buyer prearranges prices, terms, and conditionswith sellers for frequently ordered goods or services.

 

The contract is to supply goods or services at a set or predetermined rate if and when they are needed.

Term

Ch 10.3

 

Describe "request for proposals"

Definition

process through which a buyer invites potential sellers to propose a solution to a particualr problem, but the details in these potential solutions are less well develeped than those in a call for tenders

 

Success of seller usually based on the quality of the solution to the problem, not only price.

Term

Ch 10.3

 

Describe "letter of interest/pre-qualification"

Definition

 

 

Screening process for call for tenders. Saves people from putting in a bunch of effort for a bid when they are not good enough for the job. Determines if a seller is qualified.

Term

Ch 10.4

 

List some procedural issues for formation of contracts.

Definition

- fairness and good faith

-openness or transparency

-the cost of fairness and transparency

 

 

Term

Ch 10.4

 

Describe "fairness and good faith"

Definition

Courts hve held that there is no obligation of fairness in precontractual negotiations between parties. 

 

Confusing topic.

 

process defined in procurement documents does not have to be fair or equal for all parties, but once defined, process must be applied with fairness and good faith.

Term

Ch 10.4

 

Describe "openness or transparency"

Definition
This relates the the openness of reluts of the procurement process. There is no legal requirement to do so. Can often cause issues.
Term

Ch 10.4

 

What is "cost of fairness and transparency"?

Definition

Relates to the fact that sometimes buyers hire "fairness monitors" or other people that make fairness better.

 

 

Term

Ch 10.4

 

Why is it important to follow the rules of the tendering process?

Definition

Breaking the rules can result in large fines and penalties.

 

 

Term

Ch 10.4

 

How is a contractor selected in the tendering process?

Definition

 

Subject to terms and conditions of the call for tenders, buiyer must normally accept the lowest bid. 

 

With out stipulation, picjing the non-lowest bid can result in big consequenses.

Term

Ch 10.4

 

Describes the steps involved in the bidding process.

Definition

1. Prep of the bid documents: get drawings, specifications, conditions, instructions ect for bidders. and invitation to bidders

 

2. Submission of bids: Sellers prepare responces to invitation. Not usually much time for this step. 

 

3. Receipt and examination of bids: After closing time of bids. Buyer examines bids and sees if its legit.

 

4. Contract Award: Winner gets contract. 

Term

Ch 10.4

 

What is bid shopping?

Definition

Practice of using a price submitted by one party to obtain a lower price from another party. Can cause legal action.

 

Generally considered unethical but not necissarily illegal.

Term

Ch 10.4

 

If a bidder makes an error and underestimates the price, can they withdraw the bid?

Definition

No. Once a bid is submitted the bidder must honor it and pay the additional costs.

 

Often buyers accept the mistake and will go to the next bidder as they dont want the pottential damages associated with the changes.

Term

Ch 10.4

 

List some advantages/disadvantages of design-build

Definition

Buyer conceptualizes project, hires one party to design and build.

 

Advantages:

-Buyer gets "one stop shopping"

-Integratinf designer and builder fosters cooperation

 

Disadvantages:

-concern over level of permissible buyer intervension in design

- Concern for integrity of inspection process

- Possible conflict of interest on the part of the consultant, since consultant is paid by the contractor whose work the consultant is reviewing.

Term

Ch 10 Q's

 

What can a buyer do in tendering situation without risking legal liability?

A. Accept bids that do not comply with a material req. of the call for tenders

B. It can negotiat with the bidders after tenders close

C. Use criteria other than price in deciding on the successful bidder, as long as the criteria are disclosed

D. Use undisclosed criteria in deciding on the successful bidder

Definition

 

 

C

Term

Ch 10 Q's

 

Describe the buyers advantages and disadvantages of using a familiar procurement process.

Definition
Buyers familiarity enables him to be comfortable with the chosen delivery system and to understand it. Negative: using the same system without evaluating its appropriateness may lead to use of a less approptiate system
Term

Ch 10 Q's

 

When preparing contract documents for tender purpose, what should and engineer include?

Definition
All relivant information which may assist a contractor in preparing a bid.
Term

Ch 10 Q's

 

Discuss the statement 

"It is always best to hire consultants who have the lowest price"

Definition
Price is opnly one factor, the quality of the service providor is crucial to success
Term

Ch 10 Q's

 

If tender docs state that submitted bids are irrevocable until a specified date, what does this mean?

Definition

 

 

A bidder can withdraw his bid before tenders cloe, but not after.

Term

Ch 10 Q's

 

Describe the nature and effect of the privilege clause/

Definition

 

 

Permits an owner to accept or reject all of the bids, but it does not permit an owner to utilize undisclosed criteria in awarding a bid.

Term

Ch 10 Q's

 

If an engineer wh ois supervising a contract tender recieves inquiries from a prospective bidders before the close of bids, what action should be taken?

Definition
Answer the Q fully and fairly and pass on to all other bidders the same information by issuing an addendum
Term

Ch 10 Q's

 

Describe the impact of international treaties on gov tendering practices

Definition
int. treaties can impose additional requirements on gov to follow certain rules or not inlcude criteria, such as local preferences in a tender call
Term

Ch 10 Q's

 

If durring the tender period an engineer discovers deficiencies or errors in the tender documents, which actions should he/she take?

Definition
Immediately notify the buyer and all the tenderers of the potential difficulty, providing amending info by way of addenda where possible.
Term

Ch 11.0

 

What is a cost-plus payment type?

Definition
The contractor gets paid the agreed amount for goods/services, plus a percentage of profits and overhead (usually to a maximum number)
Term

Ch 11.1

 

What is a standard form contract?

 

What are some pros/cons

Definition

These are general contracts made for common types of jobs. 

 

They are good because they are cheap (premade) but can often not coverall aspects necissary. They often need to be tailoted for a specific use which costs money

Term

Ch 11.2

 

Describe a fixed-price contract.

Definition

 

 

Goods and services are provided for a lump sum amount, including overhead and profit.

Term

Ch 11.2

 

Wat is a unit price contract?

Definition

 

 

Payment is given per unit or quantity of material or work. eg. $1000/ tonne of gravel

Term

Ch 11.2

 

Explain the alliance agreement type of contracts. what is the intention?

Definition

typically involves all major parties including the owner ect.. all parties agree that there will be no liability for poor performance or defective work, and that all parties will share in th success and failure of the project.

 

Intended to difuse historically adversairial relationship of parties in construction projects.

Term

Skipped:

 

Public-private partnersips

Definition
Term

Ch 11.6

 

List and describe some standard clauses in contracts.

Definition

a) Scope of work: Contract must clearly define the scope of the services and materials to be provided. Usually done through details specs and drawings

 

b) Contract time: applies to both parties. schedule is important

 

c) changes: need to define methof for modifying general terms and scope of work as circumstances may change

 

d) Damages and bonuses: Liquidated damage clauses define amount payable for specific things

 

e) Warranty: contractual promise to repair defects in goods and services for a specific period

 

f) termination: set out circumstances under which the parties can terminate the contracts before completion

 

g) indemnification: each party indemnifies the other against their negligence or breach of contract

 

h) exclusion, limitation, waiver clauses: clause that purports to completely exclude the damages or remidies available to the innicent party upon the occurrence of specified events

Term

Ch 11 Q's

 

Describe the circumstances where a contractor is able to seek increased unit prices.

Definition

 

when there is a significant change in quantities from the estimate provided by the owner.

Term

Ch 12.0

 

Define Tort.

Definition
breach of duty to care for another party where the breach causes injury or loss to that party, independant of whether the two parties involved have a contract for which the law provides remedy
Term

Ch 12.0

 

What re the two categories of torts?

Definition

 

Unintentional and intentional

Term

Ch 12.0

 

What must the plaintif prove in a negligence claim to be successful?

Definition

1. the defendant owed the plaintif duty of care

2. The defendant breached that duty

3. the plaintif suffered loss of damage

4. The breach was the proximate cause of the plaintiffs loss (causation)

Term

Ch 12.1

 

What is duty of care?

Definition

is an element of negligence based upon reasonable forseeability. 

 

If at the time he commited negligent act, the D could have reasonably forsaw that the P might suffer loss or damage, then a duty of care is owed to the plaintiff

Term

Ch 12.1

 

Does an engineer designing for an owner in a bidding process owe duty of care to the successful contractor?

Definition
Yes
Term

Ch 12.1

 

Can a negligent contractor plame a designer for failing to point out a mistake they made? who can?

Definition
No. But the owner can fault the designer for the mistake. Designer owes a contractural duty to owner but not contractor.
Term

Ch 12.1

 

Can negligence claims be filer for econimic loss?

Definition
No. If all that is lost is money from negligence it cannot be claimed. Must seek a breach of contract for these losses.
Term

Ch 12.1

 

What is one way an engineer can reduce the risk of negligence claims. explain

Definition

They can use contractual limitation and exclusionary language. 

 

can restrict the duties owed to buyer. 

 

 

Term

Ch 12.2

 

What is breah of duty. What is another name for it?

Definition

aka Standard of care.

 

Menas the level of skill and care required to a person. generally based on the level of skill and care expected of a reasonable and competent member of that profession or occupation.

Term

Ch 12.2

 

How is Breach of duty generally argued in the courts?

Definition

 

Expert witness is usually called to claim that a normal person in that profession should have forseen the danger.

Term

Ch 12.3

 

What is the 'but for' test for proximate cause?

Definition

'but for' the act, the results would not have occured

 

 

"Would the damage or injury have occured without the negligent action of the defendant?"

Term

Ch 12.3

 

What is proximate cause in regards to negligence?

Definition

 its the most significant cause that plays role in producing the damage or injury. (probable, does not need to be beyond a reasonable doubt)

 

this would be the person responsible for the negligence

 

 

 

Term

Ch 12.4

 

What is the difference between the losses associated with contractual breaches and negligence breaches

Definition

contractual breach: the compensation can be made for just monetary loss

 

negligence breach: there must be damage (to vehicle for ex) or injury

Term

Ch 12.5

 

List three categories of misrepresentation

What is the most serious? 

Definition

1. Innocent

2. Negligent

3.  Fraudulent **** most serious

Term

Ch 12.5

 

What is special about negligible misrepresentations in tort law

Definition
It is one of the best recognized exceptions to the rule that pure economic losses are not actionable
Term

Ch 12.5

 

What is a good defense against negligence misrepresentation claims

Definition
Lack of causation - reliance is required, for example, if there is no reliance then the claimant would have followed the same course of action with or without the erronious information
Term

Ch 12.5 

 

With innocent misrepresentation, what may the defendant be entitled to? (Contractual)

Definition

Remedy of rescission - the cancellation of contract

 

The best thing you can get out of an innocent misrepresentation is the cancellation of the contract

Term

Ch 12.6

 

What are the four requirements for fraud?

Definition

1. Untrue fact

2. Defendent knows its untrue

3. He intended to induce the plaintiff to act upon this untrue fact

4. the plaintiff does act and suffers damage

Term

Ch 12.7

 

What is a Fiduciary Duty?

Definition
A fiduciary duty is a heightened duty to care for the interest of another party in priority to ones own interest and a duty not to act against the interest of another party.
Term

Ch 12.7 

 

List some circumstances where Fiduciary Duties apply?

Definition

1.One party ("the fiduciary") has the ability to exercise some discretion or power

 

2. The fiduciary can unilaterally exercise that power or discretion so as to affect the beneficiary's legal or practical interests

 

3. The beneficiary is peculiarly vulnerable to or at the mercy of the fiduciary

 

4. A fiduciary relationship does not normally arise between arm's lenght commerical parties

Term

Ch 12.8

 

What is Trespass?

What kind of tort is this in relation to?

Definition

the unauthorized entry onto the land of another person

 

it is a strict liability tort - meaning that in order to prove liablity, the plaintiff need only prove that the defendent entered or encroached onto the plaintiffs land without authorization. 

 

 

Term

Ch 12.8

 

What four things must be proven to find liability in nuisance?

Definition

1. The defendent made a non natural use of his land

 

2. The defendent brought onto his land something which was likely to do mischief if it escaped

 

3. The substance in question escaped

 

4. damage was caused to the plaintiffs cause as a result

Term

Ch 12.9

 

What is duty to warn?

Definition
Professionals owe a duty to warn of impending damage to person or property
Term

Ch 12.10

 

What is product liability?

Definition

The liability of the manufacturer to a consumer for a defective product

 

(if the consumer buys it directly from the manufacterer)

 

because of this, the consumer must go after the manufacterer under tort law instead of contract law if they didn't buy it straight from da factoray

Term

Ch 13.2

 

What is the limitation period for commencing legal action in BC for:

1. injury to person or property

2. breach of contract  

3.tort causing economic loss

Definition

 

1. injury to person or property - 2 years

2. breach of contract - 6 years

3.tort causing economic loss - 6 years (misrep)

 

the limitation begins when the plaintiff knows about about the damage or breach, or ought to have known through reasonable diligance

Term

Ch 13.2

 

List and explain three potential protections from liability that a professional can use?

Definition

1. The parties to a conract can generally agree to a shorter (or longer) time period than is contained in the statute by agreeing to limit liability for claims to the following:

 

- a defined time period (e.g. six years from substantial completion of the construction project or delivery of the software)

 

-a defined financial limit (e.g. 250000 dollars)

 

- insurance available at the time 

 

- the re-performance of the services or

 

- a combination of the above

 

2. Each limitation statute contains an "ultimate" limitation period, beyond which claims cannot be brought even for latent defects (as short as 10 years or as long as 30 years)

 

3. The defendant can purchase insurance, recognizing that this must generally be maintained throughout his or her lifetime, because professional liability insurance is issued on a claims-made basis 

 

Term

Ch 13.3

 

What is several liability?

Definition

Where the plaintiff is partially at fault. The parties are responsible only for their portion of the loss

 

If its entirely a different parties fault, the plaintiff can try to recover the entire amount from any of the at fault paties

Term

Ch 13.4


What is vicarious liability?

 

 

Definition
Liability of one party for the fault of another, based on the premise that those who profit from an activity, should also be liable for losses for that activity
Term

Ch 18

 

What are two things that a contractor/subcontractor can do to encourage payment from an owner

Definition

1. Register a construction lien

2. Sue them under contract law

Term

Ch 18.1

 

What is the process in starting a construction lien claim?

Definition

1. Filing 1 or more documents with the land registry office (depends on what province you are in)

 

** very prudent to get legal advice first thing or you might lose your lien rights **

Term

Ch 18.1

 

What is perfecting a lien?

Definition
A legal action to prove that work was performed or material was supplied or the specific improvment that the contractor made complied with all of the requirements of the construction lien act
Term

Ch 18.4

 

Describe Trust Provisions?

Definition

The trust provisions of the construction lien statute outline the responsibility of the general contractor to pay the sub contractor their wage.. the responsibility is deferred from the owner to the lower tier by doing this

 

 

failing to do so, results in heavy fines or even jailtime! don't doo itt

Term

Ch 18.5

 

Describe "holdback" or retainage in construction lien law

 

Definition
The owner may be required withhold money (typically 10%) from the contractor/sub contractor (depending on what province your in).. This is paid either at (or a certain time after) substantial completion of milestones or project.. depending on provincial legislation
Term

Ch 21

 

What are some implied terms in the common law employment contract

Definition

1. the employees obligation of fidelity (loyalty)

 

2. the employees duty of competence

 

3. the employers duty to give adequate notice of termination or to pay severence in an amount equal to the salary and benefits that would accrue during the notice period

Term

Ch 21

 

What are some specifications of a trade secret or confidential information?

Definition

- it is or may be used in a particular industry

- it is not widely known in that industry

- it has value because it is not widely known

- The company tries to maintain it as a secret through reasonable efforts

 

 

Term

Ch 21

 

Describe a restrictive covenenants (in regards to employement law)

Definition
It is a non compete agreement - a period of time laid out on your intitial employement contract not to work for a competitor after employment is terminated
Term

Ch 21

 

What three reasons for refusal of work would not be classified as insubordination (therefore not just cause for termination)?

Definition
Any work that is demeaning, unsafe or beyond the scope of employement agreement
Term

Ch 21

 

What is constructive dismissal

Definition
Employer changes employment contract to the detriment of the employee and the employee refuses to accept changes (able to claim for severance)
Term
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Definition
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