For the construction law bar, the ubiquitous and widespread use of the American Institute of Architects' (AIA) contracts by public entities, developers, owners, contractors and architects all but assures their continued presence in construction litigation.

On April 27, the AIA issued revised versions of its flagship documents for the first time since 2007. Whether advising a client in advance of commencing work or reviewing for impending litigation, there are several key changes to the new contracts that are important to every practitioner. We address the most significant changes to the owner and contractor agreement, the subcontract and a new form of agreement for sustainable building.

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Agreement Between Owner and Contractor

The A107-2007, the standard agreement between an owner and a contractor, is now the A104-2017. The incorporated A201—the General Conditions of the Contract for Construction—was also revised, but retains the same document number.

Under the new A104, contractors have additional rights to verify the sufficiency of a project's financing. In addition to requiring an owner provide evidence of adequate financing, the contractor is not required to commence work until the owner has provided such evidence. An owner who delays providing evidence must grant an extension of time to the contractor to complete its work.