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AIA Document A133® - 2019
<br />Standard Form of Agreement Between Owner and Construction Manager as Constructor
<br />where the basis of payment is the Cost of the Work Plus a Fee with a Guaranteed Maximum
<br />Price
<br />§ 7.6.11 That portion of the reasonable expenses of the Construction Manager's supervisory or
<br />administrative personnel incurred while traveling in discharge of duties connected with the
<br />Work.
<br />§ 7.7 Other Costs and Emergencies
<br />§ 7.7.1 Other costs incurred in the performance of the Work, with the Owner's prior approval.
<br />§ 7.7.2 Costs incurred in taking action to prevent threatened damage, injury, or loss, in case of an
<br />emergency affecting the safety of persons and property, as provided in Article 10 of AIA
<br />Document A201-2017.
<br />§ 7.7.3 Costs of repairing or correcting damaged or nonconforming Work executed by the
<br />Construction Manager, Subcontractors, or suppliers, provided that such damaged or
<br />nonconforming Work was not caused by the negligence of, or failure to fulfill a specific
<br />responsibility by, the Construction Manager, and only to the extent that the cost of repair or
<br />correction is not recovered by the Construction Manager from insurance, sureties,
<br />Subcontractors, suppliers, or others.
<br />§ 7.7.4 The costs described in Sections 7.1 through 7.7 shall be included in the Cost of the Work,
<br />notwithstanding any provision of AIA Document A201-2017 or other Conditions of the Contract
<br />which may require the Construction Manager to pay such costs, unless such costs are excluded
<br />by the provisions of Section 7.9.
<br />§ 7.8 Related Party Transactions
<br />§ 7.8.1 For purposes of this Section 7.8, the term "related party" shall mean (1) a parent,
<br />subsidiary, affiliate, or other entity having common ownership of, or sharing common
<br />management with, the Construction Manager; (2) any entity in which any stockholder in, or
<br />management employee of, the Construction Manager holds an equity interest in excess of ten
<br />percent in the aggregate; (3) any entity which has the right to control the business or affairs of
<br />the Construction Manager; or (4) any person, or any member of the immediate family of any
<br />person, who has the right to control the business or affairs of the Construction Manager.
<br />§ 7.8.2 If any of the costs to be reimbursed arise from a transaction between the Construction
<br />Manager and a related party, the Construction Manager shall notify the Owner of the specific
<br />nature of the contemplated transaction, including the identity of the related party and the
<br />anticipated cost to be incurred, before any such transaction is consummated or cost incurred. If
<br />the Owner, after such notification, authorizes the proposed transaction in writing, then the cost
<br />incurred shall be included as a cost to be reimbursed, and the Construction Manager shall
<br />procure the Work, equipment, goods, or service, from the related party, as a Subcontractor,
<br />according to the terms of Article 9. If the Owner fails to authorize the transaction in writing, the
<br />IA Document A133 - 2019. Copyright 1991, 2003, 2009, and 2019. All rights reserved. "The American Institute of 23
<br />Architects," "American Institute of Architects," "AIA," the AIA Logo, and "AIA Contract Documents" are trademarks of The LO
<br />American Institute of Architects. This draft was produced at OE:52:26 ET on 10/11/2021 under Order No.2119977997 which
<br />expires on 10/10/2029, is not for resale, is licensed far or
<br />use only, and may only be used in accordance with the
<br />AIA Contract Document Terms of Service. To report copyright violations, e-mail docinf o@aiacontracts.com.
<br />User Notes:
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