Engagement and Payment of Consultants
and Subconsultants

A Guideline


 

TABLE OF CONTENTS

    Page
SECTION 1

ETHICAL CONSIDERATIONS

1.1 Introduction
1.2 Principles

1 - 1
1 - 1

SECTION 2

TERMS OF ENGAGEMENT

2.1 Introduction
2.2 Scope of Assignment
2.3 Fees

.

2 - 1
2 - 1
2 - 2
SECTION 3

TERMS OF PAYMENT

3.1 Introduction
3.2 Terms of Payment

3 - 1
3 - 1

SECTION 4

OTHER CONSIDERATIONS

4.1 Introduction
4.2 Organization
4.3 Errors and Omissions Insurance
4.4 Scope and Fee Changes
4.5 Resolution of Disputes



4 - 1
4 - 1
4 - 2
4 - 2
4 - 3

APPENDICES
APPENDIX A

Definitions

APPENDIX B Client/Prime Consultant/Subconsultant Agreements
FOREWORD

Members of the Association are required to conform to the Code of Ethics in every respect including the business practices that they use in the conduct of their professional practice. They must enter into agreements with fairness and good faith and undertake only those assignments which they are competent to perform by virtue of their training and experience.

Many projects require skills and expertise which are beyond the in-house capability of a single professional firm. Such projects require a team of qualified professionals drawn together through agreements between consultants which reflect the needs of the particular project. The terms of engagement and payment in the agreements between the Prime Consultant and Subconsultants can seriously impact the quality of the finished project and the long range interests of the Client.

It is APEGGA's objective in publishing this Guideline, to encourage consistent ethical conduct in the negotiation of the terms of agreements between consultants. The Guideline is also intended to be the basis on which allegations of unprofessional conduct in this area will be adjudicated by the Discipline Committee.

The concepts described in this Guideline represent a standard of practice that all members are encouraged to adopt. Variations in its application can be made to accommodate special circumstances without detracting from its intent. It is not a legal document and is not intended to supersede or replace contractual arrangements designed to satisfy specific situations.