Standard of Care Provision – Contract Tip of the Week

Q: I’ve heard conflicting opinions about including a standard of care provision in my contract. What are your thoughts and recommendations?

A:  The law recognizes that professionals must exercise reasonable judgment and skill when performing their services on behalf of clients. Professionals should not, however, typically be expected to provide perfect or flawless services, nor to guarantee or warrant the results of their services. Design professionals may change that ordinary standard of care, either in their contracts or through their conduct. Therefore, we think it’s generally prudent to clarify your intent by including a standard of care provision in your contract. By way of example, AIA B101-2007 includes the following:

The Architect shall perform its services consistent with the professional skill and care ordinarily provided by architects practicing in the same or similar circumstances. The Architect shall perform its services as expeditiously as is consistent with such professional skill and care and the orderly progress of the Project.

The standard of care wording may differ slightly in each state, but this type of provision is generally applicable nationwide.

The Risk Specialty Group and RLI Design Professionals are pleased to feature our Contract Tip of the Week series. Each week, we’ll review a question submitted by a design firm relating to the subject of contracts. Keep in mind, though, that these discussions are general in nature and in making specific business decisions, it’s important to review your options with a knowledgeable attorney.