By Bill Blancato, special to North Carolina Construction News. There is an old adage: “Never say never.” This is usually good advice, but when. Although there are several changes to the bond form that can be reviewed on the AIA’s website (Click Here for A Comparison Document), one modification. This document was electronically produced with permission of the AIA and Electronic Format A 1. AIA Document A – Electronic Format.

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These more nuanced provisions of the revised A should help prevent a situation in which the Surety assumes responsibility for completing a project, exhausts the penal sum of the bond before construction is completed and subsequently walks off the job aiia.

If using A, the owner need not request a meeting if it provides notice of potential default to the contractor and surety. A is the most widely-used traditional performance bond in private construction.

Procedural Differences for Claims on Standard Form Performance and Payment Bonds

While AIA A requires notice to the contractor and surety before filing a lien, ConsensusDocs does not require claimants in privity with the contractor to provide notice of their claims before the applicable day period expires. The AIA provides two distinct performance bond forms: A contractor may also demand performance and payment bonds from its subcontractors.


Changes the performance bond requirements with respect to holding a conference between the Owner, Surety and Contractor upon the default of the Contractor. The payment bond form used most frequently on private projects, as well as on many state and local public works, is AIA A Feedback Privacy Policy Feedback.

Procedural Differences for Claims on Standard Form Performance and Payment Bonds – Smith Currie

A GIA is a standard, typical document in the construction. What is a Letter of Intent? The owner also must not be in default under the contract. How can the surety make a proper determination as to the merits of the claim and the range of appropriate defenses in the absence of aiaa facts and documentation?

Home – AIA Bond Forms

About project SlidePlayer Terms of Service. But it is important to be aware that federal, state, and municipal statutes may modify the procedural requirements for a bond claim. Some sureties seek use of alternative payment bond forms such as A Surety Response Important Provisions to Understand: The rationale focused on Paragraphs 6 of the A, which provides: InConsensusDocs published a new standard form performance bond, ConsensusDocs The case Stonington Water Street Assoc.

Under the revised version of A, the process by which an Owner or other obligee can declare a non-performing Contractor or other principal in default has been significantly streamlined.


The second condition precedent differs between A and its predecessor, A Make sure they understand that unmodified A payment bond forms will be harder to obtain. Is the Agreement really Mutual?

Surety industry provided comments and input in the development of the forms but is not the publisher of the forms. Enumerates the information that must be included in a claim against the payment bond, which includes: Home Attorneys Adam C.

Planning, Design and Construction

This form contains similar provisions to the AIA A, but with more modern language. Employee or Independent Contractor? When so furnished, the intent is that this Bond shall be constructed as a statutory bond and not as a common law bond. Other significant changes under the version of the A are: Critically, however, the revised A has added a zia Section 4, which expressly provides that none of the notice provisions set forth in Section 3.

But A does allow the surety itself to request such a meeting. Like all performance bonds, whether standardized or not, the terms of A define performance required by the parties.

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