Law CCIFP – Questions With Factual Solutions
Define exculpatory and indemnification provisions of contract Correct
Answer - Exculpatory - Absolves a party from responsibility of their own
actions
Indemnification - To hold Harmless (risk insurance usually resolves this)
What is Spear Doctrine - also known as Owner's Warranty Correct Answer -
Under this doctrine the owner implicitly warrants contractor to the fitness of
plans and specifications for purpose intended
Most common type of exculpatory clauses Correct Answer - Inspection,
familiarity of work, no damage for delay
Five used account methods for JVs Correct Answer - 1. Full consolidation
2. Partial consolidation
3. Equity method
4. Expanded equity
5. Cost
Doctrine of Sovereign Immunity Correct Answer - Contract law principle
means that government cannot be sued except for extent it has expressly
consented too
What are the two types of warranties Correct Answer - 1. Express - Can
be written or oral (such as course of dealing) which arises from negotiations
2. Implied - No part of contract terms "caveat emptor" let the buyer beware -
Implied by law
When does a claim exist against an owner Correct Answer - Potential
claim against owner exists when owner fails to follow contract such as failing
to pay on time or failing to give contractor additional time for force majure
What is force majeure Correct Answer - Allows for excusable delay
which can give a party a right to more time or compensation or both for
events beyond control of party
What is FAR 3.10 Correct Answer - Contractor Code of Business Ethics
and Conduct
Define exculpatory and indemnification provisions of contract Correct
Answer - Exculpatory - Absolves a party from responsibility of their own
actions
Indemnification - To hold Harmless (risk insurance usually resolves this)
What is Spear Doctrine - also known as Owner's Warranty Correct Answer -
Under this doctrine the owner implicitly warrants contractor to the fitness of
plans and specifications for purpose intended
Most common type of exculpatory clauses Correct Answer - Inspection,
familiarity of work, no damage for delay
Five used account methods for JVs Correct Answer - 1. Full consolidation
2. Partial consolidation
3. Equity method
4. Expanded equity
5. Cost
Doctrine of Sovereign Immunity Correct Answer - Contract law principle
means that government cannot be sued except for extent it has expressly
consented too
What are the two types of warranties Correct Answer - 1. Express - Can
be written or oral (such as course of dealing) which arises from negotiations
2. Implied - No part of contract terms "caveat emptor" let the buyer beware -
Implied by law
When does a claim exist against an owner Correct Answer - Potential
claim against owner exists when owner fails to follow contract such as failing
to pay on time or failing to give contractor additional time for force majure
What is force majeure Correct Answer - Allows for excusable delay
which can give a party a right to more time or compensation or both for
events beyond control of party
What is FAR 3.10 Correct Answer - Contractor Code of Business Ethics
and Conduct
