Associated General Contractors of America

New Alternative Construction Management Agency Standard Agreement Document

The ConsensusDocs Coalition is publishing a new Construction Management Agency standard agreement. The ConsensusDocs 831 Agreement Between Owner and Construction Manager (CM Does Not Provide General Conditions) provides an alternative to the recently released ConsensusDocs 830 Agreement, in which the CM provides General Conditions.

The new agreement was created to provide greater clarity in defining costs, fees and profit to avoid potential claims. Current standard contracts vary greatly in defining fees, profit and overhead on general conditions items. This agreement was structured to minimize those disputes.

“The new agreement provides needed clarity in determining fees, costs and profit to assist Owners and CMs. Current standard CM Agency contracts, other than the recently-released ConsensusDocs 830, do a poor job of delineating fees, costs and profit, which inevitably leads to payment issues,” comments Melissa Beutler, Vice-Chair of the ConsensusDocs Drafting Council.