Summary: B152™–2019, Standard Form of Agreement Between Owner and Architect for Interior Design and Furniture, Furnishings, and Equipment (FF&E) Design Services

Summary:

A quick overview of "B152™–2019, Standard Form of Agreement Between Owner and Architect for Interior Design and Furniture, Furnishings, and Equipment (FF&E) Design Services". Learn about Related documents, Changes from previous edition, and dispute Resolution from B152. 

 

Content.

Purpose

Related documents

Changes from the previous edition

Dispute Resolution—Mediation and Arbitration

 

Purpose. 

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. In addition to Basic Services, B152–2019 also contains provisions for Supplemental Services, which are identified as the Architect’s responsibility at the time the agreement is executed, and Additional Services, which may arise as the Project proceeds. 

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.

B152-2019 assumes the Owner will provide separate budgets for the Cost of the Work for Construction and the Cost of the Work for FF&E and the Architect will design the Project to meet these budgets. For use and execution of a document, see its instructions  »

 

B152–2019 is intended to be used in conjunction with AIA Document A151™–2019, Standard Form of Agreement between Owner and Vendor and AIA Document A104™–2017, Standard Abbreviated Form of Agreement between Owner and Contractor. B152–2019 can also be used with Architect-Consultant agreements such as AIA Document C401™–2017

Before transmitting Instruments of Service or other information in digital form, parties should establish protocols for that transmission.

If the Owner intends to pursue a Sustainable Objective, the parties should identify the Sustainable Objective in B152-2019 and use AIA Document E204™–2017, Sustainable Projects Exhibit, to establish the process for creating a Sustainability Plan that will define the parties’ responsibilities for pursuing the Sustainable Objective. 

Additionally, the AIA publishes AIA Document B503™, Guide for Amendments to AIA Owner-Architect Agreements, which discusses a number of topics common to Owner-Architect relationships and provides model language.

If the Owner and Architect agree that the Architect will purchase FF&E on behalf of the Owner with funds provided by the Owner, the duties and compensation related to such services can be set forth in B254™–2019, Standard Form of Architect’s Services: Purchasing Agent Services for FF&E.

 

Changes from the previous edition.

AIA Document B152–2019 contains a number of significant format and content changes from B152–2007. In particular, B152-2019 does not include Pre-Lease Analysis and Feasibility Phase Services. B152-2019 also restructures the Architect’s contract documents and procurement phase services. B152–2019 also reformats the Additional Services article. 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. To avoid the potential confusion caused by having two types of Additional Services, B152–2019 has re-categorized the first type of Additional Services as Supplemental Services. Accordingly, in B152–2019, Supplemental Services refers to services that are not included as Basic Services but that are identified as the Architect’s responsibility at the time the Agreement is executed. Additional Services now refer only to those services that may arise as the Project proceeds.

There are many other changes to foster clarity in the Owner-Architect agreement as well. Described below are highlights of major changes in B152–2019.

Article 1 – Initial Information

§ 1.2 Sustainable Objective. Sustainable design and construction continues to rapidly evolve as owners are increasingly interested in incorporating sustainable features into projects. B152–2019 addresses current industry practices relating to sustainable design. Section 1.2 allows the Owner to identify any anticipated Sustainable Objective it may have for the Project. The Sustainable Objective is the Owner’s goal of incorporating Sustainable Measures into the design, construction, maintenance, and operations of the Project to achieve a Sustainability Certification or other benefit to the environment, to enhance the health and well-being of building occupants, or to improve energy efficiency. If the Owner identifies a Sustainable Objective, the parties will incorporate E204–2019, Sustainable Projects Exhibit, into the Agreement to establish a process for creating a Sustainability Plan that will clearly define the parties’ responsibilities in terms of pursuing the Sustainable Objective. For more information on participating on a project with a Sustainable Objective, please see AIA Document D503™, Guide for Sustainable Projects.

§ 1.4 Use of Digital Data. This section requires the development of protocols for the transmission of Instruments of Service or other data in digital form.

§ 1.4.1 This new section requires the parties to develop protocols for the use of, and reliance on, a building information model or portion thereof. Use of, or reliance on, a building information model without established protocols will be at the using or relying parties’ sole risk. 

Article 7 – Cost of the Work

§ 7.8 and § 7.10 Architect’s Redesign Obligation. B152–2007 required the Architect to provide redesign services without additional compensation if the lowest bona fide bid or negotiated proposal exceeded the Owner’s budget for the Cost of the Work. This obligation remains in B152–2019, however, language has been added in Article 1 to require the Owner to identify separate budgets for the Cost of the Work for FF&E and the Cost of the Work for Construction, and for the Architect’s obligation to provide redesign services pertaining to those separate budgets to happen independently. Additionally, exceptions have been added to each of these sections stating that the redesign services shall be compensated as an Additional Service if the lowest bona fide bid or negotiated proposal exceeds the Owner’s budget due to market conditions the Architect could not reasonably anticipate. This approach is more similar to that take under the Federal Acquisition Regulations’ design within funding limitations obligation, where an architect’s redesign efforts would be compensated if the unfavorable bids or proposals exceeding the budget are the result of conditions beyond the architect’s reasonable control. (Design Within Funding Limitations 48 CFR 52.236-22).

Article 10 – Termination or Suspension

§ 10.6 Costs Attributable to Termination. This provision has been revised to clarify that costs payable to the Architect under a termination for convenience include costs attributable to the Architect’s termination of consultant agreements.

§ 10.7 Termination Fee. A fill-point has been added for the parties to identify the termination fee that the Owner would pay to the Architect in the event of a termination for convenience or if the Architect terminates because of an extended suspension of the Project.

§ 10.8 One-year Termination. A provision was added that terminates the Agreement one year from the date of Substantial Completion, unless otherwise stated in the Agreement. There are a number of provisions throughout the Agreement, such as Article 8 Copyrights and Licenses, where the terms and conditions will survive Termination of the Agreement.

Article 12 – Compensation

§ 12.1 Compensation for Programming. A fill-point has been added to allow the parties to identify compensation for the Architect’s Programming Services.

§ 12.2 Compensation for Interior Design and FF&E Design Services. Fill points have been added to allow the parties to identify separate compensation for Interior Design and FF&E Design Services.

§ 12.6 and § 12.7 Calculation of Progress Payments For Percentage Basis Compensation. The schedule for percentage-based compensation has been broken into separate schedules for compensation for Interior Design Services and FF&E Design Services. Language has also been added to clarify how progress payments to the Architect are calculated when the parties have chosen a percentage basis as the method of compensation. Progress payments are calculated by applying the percentages set forth in Article 12 to the Owner’s most recent budget for the Cost of the Work for Construction or Cost of the Work for FF&E, as applicable. Section 6.2 requires the Owner to update its budgets throughout the course of the Project. Section 12.8 also clarifies that once a progress payment is made, it shall not retroactively be adjusted based on subsequent increases or decreases to the Owner’s budgets.

 

Dispute Resolution—Mediation and Arbitration.

This document contains provisions for mediation and arbitration of claims and disputes. Mediation is a non-binding process but is mandatory under the terms of this agreement. Arbitration may be mandatory under the terms of this agreement. Arbitration is binding in most states and under the Federal Arbitration Act. In a minority of states, arbitration provisions relating to future disputes are not enforceable but the parties may agree to arbitrate after the dispute arises. Even in those states, under certain circumstances (for example, in a transaction involving interstate commerce), arbitration provisions may be enforceable under the Federal Arbitration Act.

The AIA does not administer dispute resolution processes. To submit disputes to mediation or arbitration or to obtain copies of the applicable mediation or arbitration rules, contact the American Arbitration Association at (800) 778-7879 or visit the website at adr.org.

Was this article helpful?
1 out of 1 found this helpful

Articles in this section

See more
For document related questions:
For technical support:
Our helpline hours:
8:30am - 6:00pm EST Monday to Friday