CAI-NJ February 2021

ipal inspections during construction. On significant construction projects, the engineer/architect will typical- ly be involved during the construc- tion phase.The extent of involvement should be clearly defined and under- stood by the project team before construction begins. Typical services include review of project schedule, construction observation (full-time or part-time), response to RFIs, address- ing unforeseen or hidden conditions, attending weekly project meetings, documenting completed work, pre- paring punch-lists and performing final project close-out reviews. Along with construction observation services, the engineer/architect will often be asked to review contractor invoices or payment requests and to make payment recommendations. This service includes reviewing the contract requirements regarding payments, doc- umenting work completed vs. work invoiced and producing a clear and auditable recommendation as to what amount should be paid. This service is particularly important if the project is being financed with a bank loan. Attorney Throughout a construction project, the association should have some level of legal guidance. The association’s attor- ney should be consulted early regard- ing legal services during a project. If the pending construction project is related in any way to addressing construction defects that were or are subject to litigation, legal guidance is imperative throughout the project. Early in the planning phase of a project, discussions may arise regard- ing ownership of and responsibility for building components (windows,

doors, decks, driveways, etc.), as well as the association’s right to even conduct a project. A written legal opinion on such issues can be an important part of the project record and should guide the project as it moves forward. Guidance may also be needed in considering how a project will be funded. Legal counsel should be sought regarding the asso- ciation’s right to special assess, take loans or draw funds from Reserves. Construction projects will commonly impact the interior of units. Prior to starting any work, the association must understand its right to gain access to individual units, as nec- essary for work such as structural repairs, waterproofing door/window openings or accessing adjacent units. If the project will affect interior finish-

es, such as sheetrock damage or “nail pops”, all parties need to understand the association’s responsibility to make repairs and to refinish those areas. It is often helpful for the attorney to draft a form letter to unit owners and residents, advising them of what the association’s responsibilities are and what work the unit owner will have to address themselves. Once the association selects a con- tractor for the project, the associ- ation’s attorney should prepare a contract between the association and the selected contractor. This can range from a one-page agreement to an extensive form of contract with multi- ple exhibits, addenda, etc. Often, on large projects, there will be multiple iterations of the contract that go back and forth between counsel for the

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