AIA Document B152–2019 is a standard form of agreement between Owner and Architect for interior design and furniture, furnishings, and equipment (FF&E) design services. B152–2019 requires the Architect to provide Programming Services and Basic Services, which include Schematic Design, Design Development, Construction Documents, FF&E Documents, Construction Procurement, FF&E Procurement, Construction Contract Administration, and FF&E Contract Administration. B152-2019 has been structured so Architects providing only interior design services or only FF&E design services can easily redact the services they are not performing.
This agreement may be used with a variety of compensation methods, including percentage of the budget for construction cost and stipulated sum. B152–2019 is intended to be used in conjunction with A151™–2019, Standard Form of Agreement between Owner and Vendor and A104™–2017, Standard Abbreviated Form of Agreement between Owner and Contractor. For all document details and a record of changes, see the summary »
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, close 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 – Initial Information
§ 1.2 Initial Information is provided in Section 1.2. The parties should take care to be as explicit and detailed as possible with respect to the relevant Initial Information.
Article 2 – Architect’s Responsibilities
§ 2.3 Architect’s Insurance Requirements. Section 2.3 contains a new provision wherein the parties may set forth the types and limits of insurance the Architect is required to carry for the Project. Specifically, B152–2019 lists General Liability, Automobile Liability, Workers’ Compensation, and Professional Liability.
Article 4 – Scope of Architect’s Basic Services
§ 4.9 FF&E Contract Administration Phase Services. Section 4.9.5 requires the Architect to conduct a preliminary inspection of FF&E within 7 days of delivery to the site for the purpose of verifying the delivery and quantities. Section 4.9.6 also requires the Architect to perform a follow-up inspection to provide the Owner with its recommendation as to whether the FF&E should be accepted or rejected.
Article 5 – Supplemental and Additional Services
As noted above, B152–2007 included two types of Additional Services: 1) Additional Services that were identified and contracted for at the time the Agreement was executed, and 2) Additional Services that arose as the Project proceeded. B152–2019 re-categorizes the first type of Additional Services as Supplemental Services. In B152–2019, Additional Services only refers to those services that may arise as the Project proceeds.
Article 9 – Claims and Disputes.
§ 9.2.3 Select from three choices of binding dispute resolution: (1) arbitration, (2) litigation or (3) another method that the parties must identify. Other types of dispute resolution include a dispute resolution board or a mini-trial. For additional information about other methods of dispute resolution, refer to The Construction Industry’s Guide to Dispute Avoidance and Resolution or visit adr.org for more information.
Article 12 – Compensation
§ 12.1 and § 12.2 Insert the basis of compensation for the Architect’s Programming Services and the Architect’s Basic Services, including Interior Design Services and FF&E Design Services.
Sections 12.1 and 12.2 allow the parties to identify the basis of the Architect’s compensation, the most common of which are the stipulated sum method and the percentage basis method. There are a number of other methods for computing compensation for architectural services. Four of these methods are time-based, reflecting in different ways the time spent by the Architect on the Project:
Multiple of Direct Salary Expense in which direct salaries of designated personnel are multiplied by a factor representing benefits, overhead, and profit.
Multiple of Direct Personnel Expense, in which the salaries plus benefits of designated personnel are multiplied by a factor representing overhead and profit.
Professional Fee Plus Expenses, in which the salaries, benefits, and overhead of designated personnel are the expense and the fee may be a multiplier, percentage or lump sum representing profit.
Hourly Billing Rates, in which salaries, benefits, overhead and profit are included in the rate for designated personnel.
Other methods, while they may be indirectly related to time expended on the Project, do not use time as a factor in the calculation:
Multiple of Consultants’ Billing, in which Consultants’ bills are multiplied by a factor representing the Architect’s administrative costs, overhead, and profit.
Square Footage, in which the square footage of the structure is multiplied by a pricing factor.
Unit Cost, in which the number of certain units such as rooms, acres, etc., is multiplied by a pricing factor.
Royalty, in which compensation is a share in the Owner’s income or profit derived from the built facility.
The AIA makes no recommendation as to the appropriateness of any of these methods of compensation on a particular project, nor does the AIA suggest that the foregoing list includes all methods that are possible, practical or in actual use. The use of any of the compensation methods described above, singly or in combination with other methods, is a business decision for the Architect and the Owner. Further, the AIA makes no recommendations and has no guidelines or schedules that specify the amount of compensation an architect should be paid.
Sample language is provided below for several of the most widely used methods of compensation.
If a Multiple of Direct Salary Expense is used, include multipliers using words and numerals in the following insert:
Compensation for services rendered by principals and employees shall be based on a multiple of ________ (__) times Direct Salary Expense, which shall be defined as the direct salaries of the Architect’s personnel engaged on the Project excluding any costs of mandatory or customary contributions and benefits. Compensation for services rendered by Consultants shall be based on a multiple of ________ (__) times the amounts billed by Consultants.
If a Multiple of Direct Personnel Expense is used, include multipliers using words and numerals in the following insert:
Compensation for services rendered by principals and employees shall be based on a multiple of ________ (__) times Direct Personnel Expense. Compensation for services rendered by Consultants shall be based on a multiple of ________ (__) times the amounts billed by Consultants.
If a Professional Fee Plus Expenses is to be used, include the dollar figure and the appropriate multipliers (using words and numerals) in the following insert:
Compensation shall be a Fixed Fee of ________ ($__) plus a multiple of ________ (__) times Direct Personnel Expense. Compensation for services rendered by Consultants shall be based on a multiple of ________ (__) times the amounts billed by Consultants.
Alternatively, the fee (representing profit) may be calculated as a multiplier or percentage.
If Hourly Billing Rates are used, include the cumulative amount for salary, benefits, overhead, and profit to fix each rate using words and numerals in the following insert:
Compensation for services rendered by Principals and employees shall be based upon the hourly billing rates set forth below:
- Principals’ time at the fixed rate of ________ ($__) per hour. For the purposes of this Agreement, the Principals are: (List Principals, such as owners, partners, corporate officers, and participating associates.)
- Supervisory time at the fixed rate of ________ ($__) per hour. For the purposes of this Agreement, supervisory personnel include: (List managerial personnel by name or job title, such as general manager, department head or project manager.)
- Technical Level I time at the fixed rate of ________ ($__) per hour. For the purposes of this Agreement, Technical Level I personnel include: (List those personnel by name or job title who are highly skilled specialists, such as job captains, senior designers, senior drafters, senior planners, senior specifiers or senior construction administrators.)
- Technical Level II time at the fixed rate of ________ ($__) per hour. For the purposes of this Agreement, Technical Level II personnel include: (List those personnel by name or job title who hold intermediate-level positions relative to Technical Level I, such as professionals awaiting licensure and managers of clerical staff.)
- Technical Level III and clerical personnel time at the fixed rate of ________ ($__) per hour. For the purposes of this Agreement, Technical Level III and clerical personnel include: (List those personnel by name or job title who occupy junior-level positions, such as word processor or office assistant.)
- Compensation for services rendered by Consultants shall be based on a multiple of ________ (__) times the amounts billed by Consultants.
No sample language is provided for compensation based on square footage, unit cost or royalty. Parties choosing one or more of these methods should craft their own language based on the particulars of the Project.
§ 12.3 See methods of compensation shown above for Section 12.1.
§ 12.4 See methods of compensation shown above for Section 12.1.
§ 12.5 See methods of compensation shown above for Section 12.1, if other than a percentage of the invoiced amount.
Article 13 – Special Terms and Conditions
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.
The persons executing AIA Document B152–2019 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.
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.
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