A Primer: The Basic Trichotomy - Owner, Design Professional, Contractor
The customary three party relationship is frequently misunderstood because there is no formal contract between the two most active parties - the engineer and the contractor. The engineer develops and documents the design concept and their efforts are end-result oriented. The contractor, whose efforts are about how the construction process is carried out, has control over the "means and methods" of construction. Each has a separate contract with the owner. It is the function of construction documents to illustrate and explain customary divisions of functions and responsibilities; to the extent that they do that the lesser the chances for misunderstandings and mistakes.

"Furnish and Deliver" Documents
CASE has a series of 16 documents that cover much of what the structural engineer has to contract for. However, sometimes there are needs for other types of contracts. One of these is procurement contracts (sometimes called "furnish and deliver" documents) which are used when the owner purchases materials and equipment directly from the supplier for use on an engineer-designed project. These documents present an alternative to the standard purchase order forms provided by suppliers. The Engineers Joint Contract Documents Committee (EJCDC) has a series of these forms available. Both the CASE forms and EJCDC documents are available from ACEC at www.acec.org and click on the link to "Contract Documents".

What if You Want to Accept an Indemnity, Guarantee or Assumption of Liability Provision From a Client?
It is not your professional function to assume these. However, if you decide to, you should first consult with your attorney or insurance counselor so you can understand the additional exposure involved and the extent to which a special rider to your insurance policy may provide protection. Standard policies will not apply to these assumptions of liability; a special endorsement must be obtained. Insurance is usually available to the owner to cover most of the risks about which he is concerned.

Property Insurance Provided by the Owner
The owner of a project is usually required to provide property insurance to cover his interest and those of the contractor, engineer and engineer's consultants. It insures against the usual perils and includes builder's risk insurance. It should include a general description of the losses insured against and property covered. It should be in the amount of full replacement cost rather than insurable value.

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