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A. AIA A201 General Conditions, Article 15, Claims and Disputes

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The AIA was founded in 1857 and it is a professional organization for architects in the United States. The AIA's main design-bid-build contract forms between an owner and a contractor (AIA A101, A102, and A103 forms) all incorporate the AIA A201 General Conditions, which include the dispute resolution provisions for these contracts. The AIA's primary construction manager as constructor (CMc) contract forms (AIA A133 and A134) also incorporate the AIA A201 General Conditions. Article 15, “Claims and Disputes,” of the A201 offers the following dispute resolution steps:

 The A201 designates the project architect as the “Initial Decision Maker,” unless otherwise noted in the agreement. The contractor or owner shall issue claims to the Initial Decision Maker for an initial decision on claims within 21 days after occurrence of the event giving rise to the claim or first recognition of the event giving rise to the claim.

 The Initial Decision Maker shall review claims within 10 days of receipt and take one or more of the following actions: (1) request supporting data; (2) reject the claim in whole or in part; (3) approve the claim; (4) propose a compromise; or (5) advise the parties that it is unable to render a decision.

 If the Initial Decision Maker does not render a decision within 30 days of claim submission, the claimant may demand mediation and binding dispute resolution without an initial decision.

 If the Initial Decision Maker requests a party to answer questions or furnish additional supporting data, such party shall respond within 10 days upon receipt. Upon receipt of the response or supporting data, if any, the Initial Decision Maker will either reject or approve the claim in whole or in part [presumably within 10 days from receipt—the A201 does not list a specific duration here].

 Either party may file for mediation of an initial decision at any time. Also, within 30 days of receipt of the initial decision, one party, which is typically the prevailing party of the initial decision, can demand in writing that the other party file for mediation of the initial decision. If such demand is made and the party receiving the demand fails with file for mediation within 30 days thereafter, then the initial decision becomes binding.

 A party can file for binding dispute resolution concurrently with the filing for mediation. Binding resolution shall be stayed pending mediation for a period of 60 days, unless a longer period is agreed upon by the parties or court order.

 Either party may, within 30 days from the date that mediation has been concluded without resolution or 60 days after mediation has been demanded without resolution, demand in writing that the other party file for binding dispute resolution. If such a demand is made and the party receiving the demand fails to file for binding dispute resolution within 60 days after receipt, then both parties waive their rights to binding dispute resolution and the initial decision becomes binding.

 The claim is resolved via binding dispute resolution.

Fundamentals of Construction Claims

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