Deck 6: Getting to a Contract

Question 1

A request for quotation may be used as a preliminary step when negotiation is anticipated.

Answer 1

True

Question 2

Standing offers are typically open for a short period.

Answer 2

False

Question 3

What consequences result from tender documents that place risks on parties not well positioned to deal with those risks?

Answer 3

The prices submitted by tenderers will be disproportionately high compared to the risk they are required to bear. Potential bidders will be discouraged from submitting bids.

Question 4

If an owner wants to negotiate with bidders after bids have been submitted, what steps should be taken?

Question 5

In which of the following project delivery models is the contractor most involved throughout the entire life of the project?

A) design-bid-build
B) design-build
C) design-build-operate-finance
D) construction management

Question 6

An owner urgently wants to select a contractor. However, the project details have not been finalized. Therefore, the owner wants to have a few contractors give rough price estimates, and then enter into negotiations with one or more of them. What type of delivery system is most appropriate for this situation?

A) request for qualifications
B) invitation to tender
C) request for quotation
D) request for standing offer

Question 7

A large private developer anticipates a complicated multi-stage residential development to be implemented over a six-year period. It is important that a good working relationship exist between the owner and the contractor because the owner wishes to have a single contractor for all stages. What type of delivery system is most appropriate for this situation?

A) request for qualifications
B) invitation to tender
C) request for quotation
D) request for standing offer

Question 8

Which of the following is good practice for an owner awarding a contract?

A) seeking clarity from a bidder regarding an ambiguity in a bid before awarding the contract
B) awarding the contract based on criteria not stated in the invitation for tenders
C) accepting a bid that does not comply with all the mandatory criteria stated in the invitation for tenders
D) refusing to negotiate with any bidders

Question 9

Which of the following models for project delivery would be inappropriate for a single residence project?

A) design-bid-build
B) design-build
C) design-build-operate
D) construction management

Question 10

If a call for tenders specifically requires that certain work be subcontracted out, and that the names of subcontractors that the contractor intends to use be given in the tender, why might a contractor intentionally omit the name of the subcontractor? What are the risks of doing this?

Question 11

An owner wants to implement a project which requires synergy between many different mechanical systems. How suitable is the construction management model of project implementation for this situation?