Paper Contracting: Management Contracting
Paper Contracting is replacing traditional construction contracting on many projects.
A construction manager earns a fee as a consultant, helping the owner:
- Get the right plans and specs
- Prepare bids and contracts
- Evaluate the bids
- Observe day-to-day construction
- Keep the owner informed of progress
- Evaluate payment requests
- Assist with change orders
- And protect the owner from claims
A construction manager earns a straight consulting fee. He does not buy materials, nor does he contract with trades or pay bills. In this case, the owner pays the bills, signs the contracts, and holds subcontractors responsible for their work.
Most of the construction manager's task will come as second nature to experienced traditional contractors. What may not come easy is the management contract between him and the owner.
Construction Manager contracts are very different from traditional prime contracts. They have to be written very carefully to avoid misunderstandings with with property owners and problems with state authorities. This book offers access to construction management contracts that comply with unique laws in all 50 states.