Chapter 8 of 12Part III: Contract and Design
In California the contract with your architect is not optional. Since January 1, 1996, state law has required architects to have a written contract with the client before starting work, and it lists what that contract must contain. Knowing the list turns contract review from a legal chore into a checklist. This chapter goes through the required items, the extras the California Architects Board recommends and a practical way to read a draft.
The rule and its exceptions
Business and Professions Code section 5536.22 requires the contract to be signed before services begin, unless the client states in writing that work may start first. The law does not require a written contract in a few situations: when the services are free, when the client is a prior client with the same kind of services and payment terms, when the client waives it in writing after being told about the requirement, when the client is an engineer or land surveyor, and for public agencies that use their own contracts. The Board still recommends insisting on a written contract in every case.
The eight required items
| Required item | What to look for in the draft |
|---|---|
| A description of the project | Matches your brief: address, scope, rough size and purpose |
| A description of the architect’s services | Phases listed; construction observation and bidding help stated as in or out |
| The basis of compensation and method of payment | Fee model, amounts or rates, payment schedule |
| Names, addresses and license number of the architect; name and address of the client; project address | License number matches your check in Chapter 5 |
| The procedure for additional services and contract changes | How extras are requested, priced and approved in writing |
| The procedure for either party to end the contract | Notice required and how the final payment is calculated |
| Ownership and use of the instruments of service | Who may use the drawings and files later, including if the architect is replaced |
| A notice in at least 12-point type that architects are licensed and regulated by the California Architects Board, with its address | Present and legible |
If any of these is missing from a draft, ask for it. The architect is the one required to include them.
Items the Board recommends adding
The Board suggests that the contract go further and spell out both sides’ responsibilities. From its list, these matter most on a San Francisco home project:
- a schedule with the key dates, including third-party approvals such as Planning and DBI review;
- an estimated construction budget, what it includes and a contingency for changes and delays;
- the point at which your approval is needed before the next phase starts;
- an itemized list of basic services and the fee for each;
- a definition of reimbursable expenses and how they are authorized;
- the consultants likely to be needed and how they are hired and paid;
- payment due dates, any retainer and how it is applied;
- a procedure for disputes, such as mediation or arbitration.
The owner has duties too. The Board lists providing information and decisions on time, property information such as surveys and soils reports unless the architect is hired to get them, and a clear description of what you want.
Standard forms and custom contracts
Many architects use standard agreements published by the American Institute of Architects; others write their own or have an attorney draft them. Either is fine. The Board reminds owners that they may question and negotiate terms before signing, even on a printed form, and that because it is a binding legal document you may want an attorney to review it.
Reading a draft in one sitting
- Check the eight required items against the table above.
- Mark every place where a cost could change: extras, reimbursables, hourly work, redesign.
- Read the ownership clause with a future change of architect in mind.
- Read the termination clause and work out what you would owe if you stopped after each phase.
- Compare the services list with the answers you got in the interview.
- Write down your questions and send them all at once.
After you sign
Keep the original signed copy. The Board recommends confirming decisions from meetings by email or memo, keeping copies of everything you sign or hand over, and recording each payment. Those habits are what make the contract useful if a disagreement ever comes up.
Tip: Do not make side agreements with consultants or contractors about the design without telling your architect. The Board’s guide flags this as a common source of trouble.
With a contract in place, the design work begins. The next chapter follows it from first sketch to permit drawings: From Sketch to Permit Set: The Design Phases.