Instructions: B105™–2017, Standard Form of Agreement Between Owner and Architect

Synopsis. 

AIA Document B105–2017 is a standard short form of agreement between owner and architect. B105–2017 is for use on a project that is modest in size and brief in duration. B105-2017 replaces B105-2007, Standard Form of Agreement Between Owner and Architect for a Residential or Small Commercial Project. For larger and more complex projects, other AIA owner/architect agreements are more suitable. AIA Documents B105–2017 and A105™–2017, Standard Short Form of Agreement Between Owner and Contractor, comprise the Small Projects family of documents. B105–2017 is intended for use with A105–2017, which it incorporates by reference. B105 is extremely abbreviated and is formatted more informally than other AIA agreements. Although AIA Documents A105 and B105 share some similarities with other AIA agreements, the Small Projects family should NOT be used with other AIA document families without careful side-by-side comparison of contents. For all document details and a record of changes, see the summary  »

 

Using B105–2018.

Cover Page.

Date. The date represents the date the Agreement becomes effective. It may be the date that an oral agreement was reached, the date the Agreement was originally submitted to the other party, the date authorizing action was taken or the date of actual execution. Professional services should not be performed prior to the effective date of the Agreement. 

Parties. Parties to this Agreement should be identified using the full legal name under which the Agreement is to be executed, including a designation of the legal status of both parties (sole proprietorship, partnership, joint venture, unincorporated association, limited partnership or corporation [general, limited liability, closed or professional], etc.). Where appropriate, a copy of the resolution authorizing the individual to act on behalf of the firm or entity should be attached. 

Project. The proposed Project should be described in sufficient detail to identify (1) the official name or title of the facility, (2) the location of the site, if known, (3) the proposed building usage, and (4) the size, capacity or scope of the Project, if known. 

Article 1 – Architect’s Responsibilities

At the end of paragraph one, insert a description of any consulting services the Architect will provide. 

Article 6 – Payments and Compensation to the Architect

Insert the amount of, or the method for calculating the Architect’s compensation. Some sample methods of computing compensation are provided below: 

Multiple of Direct Salary Expense. Compensation for services rendered by principals, employees and professional consultants shall be based on a Multiple of Direct Personnel Expense. Direct Personnel Expense is the direct salaries of the architect’s personnel engaged on the project and the portion of the cost of their mandatory and customary contributions and benefits related thereto, such as employment taxes and other statutory employee benefits, insurance, sick leave, holidays, vacations, pensions, and similar contributions and benefits. 

Professional Fee Plus Expenses. Compensation shall be a Fixed Fee of ________ ($__), plus compensation for services rendered by Principals, employees, and professional consultants. 

Stipulated Sum. Compensation shall be a stipulated sum of ________ ($__) 

Percentage of Construction Cost. Compensation shall be based on ________ percentage (__%)of Construction Cost. The Construction Cost shall be the total cost or estimated cost to the Owner of all elements of the Project designed or specified by the Architect and shall include the cost at current market rates of labor and materials furnished by the Owner and equipment designed, specified, selected or specially provided for by the Architect, plus a reasonable allowance for the Contractor’s overhead and profit. In addition, a reasonable allowance for contingencies shall be included for market conditions at the time of bidding and for changes in the Work during construction. The Construction Cost, however, does not include the compensation of the Architect and Architect’s consultants, the costs of the land, rights-of-way, financing or other costs which are the responsibility of the Owner. 

After inserting the amount or method of compensation, insert the amount of the initial payment, which is to be determined by the parties. 

Insert the percentage amount of the administrative fee to be paid to the Architect for reimbursable expenses. 

Insert the number of days at which interest on unpaid invoices will begin to accrue and the rate of interest agreed upon or leave the interest rate blank to select the legal rate of interest. 

Insert the number of months beyond which additional compensation shall be paid for services not completed through no fault of the Architect. 

Article 7 – Other Provisions

Insert any modifications to the standard text of the document, if the modifications are not otherwise inserted elsewhere in the document. For more information about modifying the document, refer to the Modifications section of these Instructions.

 

Executing the agreement.

Persons executing AIA Document B105–2017 should indicate the capacity in which they are acting (i.e., president, secretary, partner, etc.) and the authority under which they are executing the Agreement. Where appropriate, a copy of the resolution authorizing the individual to act on behalf of the firm or entity should be attached.

 

Important.

Modifications. Particularly with respect to professional or contractor licensing laws, building codes, taxes, monetary and interest charges, arbitration, indemnification, format and font size, AIA Contract Documents may require modification to comply with state or local laws. Users are encouraged to consult an attorney before completing or modifying a document.

Reproductions. This document is a copyrighted work and may not be reproduced or excerpted from without the express written permission of the AIA. There is no implied permission to reproduce this document, nor does membership in The American Institute of Architects confer any further rights to reproduce this document. For more information, see the document footer and the AIA Contract Documents® Terms of Service.

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