Managing Client Expectations to Reduce Professional Liability Risk

January 2008

Educational Advertising Section Provided by the Design Professional group of the XL Insurance companies

Instructions

• Read the article "Managing Client Expectations to Reduce Professional Liability Risk"
• Complete the questions below, then fill in your answers.
• Fill out and submit the AIA/CES education reporting form in the magazine, securely online, or print the form to receive one AIA learning unit.

Questions:

Program Code: 018SPONA
LU: 1

1. If the client brings unrealistic expectations to a project, the design professional's challenge is to find a way to fulfill those expectations.
a. True
b. False

2. Which one of the following can help a design firm evaluate a client’s level of experience in the design and construction process?
a the client’s frequent use of project jargon
b. how the client treats his/her subordinates
c. what the client writes into the contract
d. whether the client is on time for project meetings

3. The project pyramid depicts all of the following project constraints, except:
a. cost.
b. schedule.
c. delivery method.
d. scope.

4. During construction, the A/E firm’s most valuable risk-management asset will likely be the:
a. insurance provider.
b. A/E firm’s managing principal.
c. project manager.
d. A/E firm’s accounting head.

5. An inadequately defined scope of services can be the result of:
a. hastily drawn-up contracts.
b. contract documents copied from previous contracts.
c. generic contract language.
d. all of the above.

6. Any change that affects the scope, schedule, or cost of a project should:
a. be put in writing by the design team and approved by the client in writing.
b. not be implemented until a 3-day “buyer’s remorse” period has passed.
c. make the project cheaper, faster, or better.
d. be approved by a senior partner of the design firm.

7. Which one of the following is not included in the scope of services?
a. services the design professional will perform for a basic fee
b. services the design professional will perform but will not be held liable for
c. services available to the client for an additional fee
d. services excluded because the consultant doesn’t provide them, the client has refused them, or the client has sought those services from a third party

8. The client representative report should be prepared:
a. as each major construction phase begins.
b. each time there’s a significant change of project personnel.
c. monthly.
d. weekly.

9. An effective way for project team members to understand the exact extent of services required for a job is to:
a. include scope status as an action item in every internal meeting.
b. tack project drawings to the wall in the A/E offices.
c. make an audiotape of each project meeting with the client. o d. hire an impartial consultant to evaluate the scope of services.

10. An effective loss prevention course of study should, at the very least, include the following topics:
a. Selecting the right client, building better teams, best practices in public project management.
b. Identifying and allocating risk, negotiating to succeed, managing time and project starts.
c. Liability knowledge, effective hiring practices, negotiating to succeed.
d. Reviewing contracts, documentation, outsourcing.

 

Originally published in the January 2008 issue of Architectural Record.