Based in Denver, Colorado, Steve Holloway and his staff have worked as the owner’s contractor standard of care expert on a wide range of projects. It has been our experience that the General Contractor (and trade contractor) most often fails to meet the contractor standard of care. Contractors cause schedule delays and cost overruns by failing to perform their most basic contractual duties. These duties have included failing to:
*Comply with various terms and conditions of the contract documents.
*Employ qualified personnel and/or subcontractors.
*Perform the Work (both direct or indirect) correctly the first (or second, sometimes third) time.
*Submit properly supported time extension-related requests.
*Only bill the Client for the contractor’s excusable and reimbursable performance problems.
*Submit reasonable schedule delay claims that reflect both excusable and non-excusable delays.
We have seen contractors make the mistake of approaching Cost Plus and GMP work as fixed-price work. However, the contractor would be well advised to fully understand the nature and requirements of the A111 contract. Her duties are considerably different than they would be under a fixed-price agreement. Moreover, the contractor should be aware that courts have held the contractor to a higher standard of performance as compared to other types of contracts. This higher standard can be compared in some ways to that of a fiduciary.