|Statement||Donn E. Hancher.|
|Series||National Cooperative Highway Research Program Synthesis of highway practice,, 195, Synthesis of highway practice ;, 195.|
|Contributions||National Research Council (U.S.). Transportation Research Board., American Association of State Highway and Transportation Officials., National Cooperative Highway Research Board., University of Kentucky. Dept. of Civil Engineering.|
|LC Classifications||TE180 .H27 1994|
|The Physical Object|
|Pagination||60 p. ;|
|Number of Pages||60|
|LC Control Number||93061549|
In particular, the need for state DOTs to buy a warranty for a well-built project is questioned. As an alternative, this paper introduces the warranty option, which gives the DOT the right to buy a warranty only if it becomes necessary at the end of construction. This option is exercised if the performance on site warrants by: TRB’s National Cooperative Highway Research Program (NCHRP) Report Guidelines for the Use of Pavement Warranties on Highway Construction Projects is designed to help guide state departments of transportation (DOTs) in establishing pavement warranty programs. Another type of explicit warranty frequently given in construction projects is a warranty of a product or system directly from the vendor who manufacturers and/or distributes it. These warranties are not contained in the construction contract itself, although the terms of the contract may require the contractor to furnish the Size: KB. Warranties in Construction Contracts: Contractor's Drafting Considerations Contractor's counsel should not allow the contractor's warranty obligation to be expanded to warrant that the Work will comply with all building codes, rules and regulations, because it is the.
use of warranties on highway projects: a real option perspective Since the introduction of warranty provisions in federal highway jobs, more and more state departments of transportation (DOTs) have considered the use of such provisions to protect their initial investment. Since the use of warranties could indirectly lead to Federal funding being used for maintenance, the FHWA disallowed their use on highway construction projects. In , the FHWA sponsored a team of American pavement experts on a tour of European countries. This tour revealed many innovative contracting practices, including the use of warranties. Contractor vs. Owner: Negotiating Warranties in Commercial Construction Michelle Schaap, New Jersey Law Journal October 2, In the commercial construction setting, warranties can be written to commence as of substantial completion, final completion, date of beneficial use, date of installation or some other agreed-upon triggering event. At a minimum, some form of implied warranty exists in every construction contract. You can disclaim some of these through contract terms, but the rest of the implied warranties, such as the warranty of good workmanship, are part of your construction contract no matter what.
A Practice Note discussing warranty obligations in a construction contract that must be carefully drafted by the contractor's counsel to avoid the contractor assuming risks it did not contemplate or account for in its price. This Practice Note describes the types of warranty obligations generally found in construction contracts and provides guidance to contractor's counsel on what to demand. Overview of Warranty Accounting. A business may have a warranty policy, under which it promises customers to repair or replace certain types of damage to its products within a certain number of days following the sale date. If the company can reasonably estimate the amount of warranty claims likely to arise under the policy, it should accrue an expense that reflects the cost of these. TRB's National Cooperative Highway Research Program (NCHRP) Synthesis Use of Warranties in Road Construction will be of interest to administrators, engineers, designers, and contractors involved with highway design and construction and the procurement process for these services. Experiences with use of warranties in Europe and the United States are cited and the potential impacts. Typically as contractors gain experience in warranties, construction costs decrease due to a better understanding of risk and the use of innovative construction techniques. [6, 8, 9] Cost effective innovations have been utilized to speed up construction activities without sacrificing quality.