Construction Managers have long enjoyed the protection provided by the Spearin Doctrine to help insulate them from risks associated with design liability. However, through risk transfer provisions, owners can effectively shed design risk and chip away at the Construction Manager's Spearin protections. The transfer of these risks can occur in several ways, some of which are obvious (i.e., Design-Build project delivery) and others which are more covert, including creatively drafted contract provisions or the assumption of design obligations during performance of the work. This session will examine how risk allocation in Design-Build projects differs from risk allocation in more traditional projects, the potential for risk gaps in Design-Build, Design-Assist and Design Delegation scenarios, and risk mitigation techniques and strategies.
Upon completion of this session, participants will be able to:
- Obtain a critical understanding of how the Spearin Doctrine functions under current case law and in the context of various project delivery methods.
- Obtain an understanding of how design risks are allocated under a variety of project types.
- Gain an understanding of the risks associated with assuming design liability and when such an assumption of design liability is appropriate. In addition, attendees will learn how to recognize design language in construction contracts and strategies to mitigate design risks.