Wednesday, November 11, 2009

Re: Limitation of Liability Clauses -- Contracting through Architect

$50,000 or 5x/10xfee (whichever is greater) is a common limit for design work.  I base this on past research in this area and on review with my insurance carrier.  Everything is subject to debate in court, but its a starting point for negotiation.  If the client wants a higher limit, then you have an excuse to charge more for the work.
 
Jim


From: Chuck Utzman <chuckutzman@gmail.com>
To: seaint@seaint.org
Sent: Thu, November 5, 2009 5:00:00 PM
Subject: Re: Limitation of Liability Clauses -- Contracting through Architect


I limit liability to the amount of my fee & require compensation for third party claims.  IANAL but IMO neither would stand a court test, but the object is to discourage litigation.

.Michel Blangy wrote:
> My clause stipulates X amount of dollars or the engineer's total fee,
> whichever is lesser. What is the enforceability of this type of clause?
>
> Michel Blangy
>
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>
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