Delegated Design: Managing Risk and Fulfilling Contractual Obligations-Delegated Design Managing Risk and Fulfilling Contractual Obligation HO2

Delegated Design Managing Risk and Fulfilling Contractual Obligation HO2

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This article, the second part of a two-part series by Kevin O’Beirne, PE, published in the Construction Specifications Institute’s Buffalo-Western NY Chapter newsletter, discusses the process and considerations involved in delegated professional design in construction projects. Delegated design entails assigning specific design responsibilities to contractor-hired licensed professionals for certain project elements, while the owner-hired design professional oversees the overall project.<br /><br />Key points include the necessity for owner and design professional agreement on which elements are delegated, and the importance of clearly specifying the extent and responsibilities of delegated design in the construction contract documents—typically in the specification sections. The article uses pre-engineered metal buildings as a typical example, highlighting challenges such as coordination between contractor-delivered designs and owner-designed elements (e.g., foundations).<br /><br />It emphasizes the importance of requiring professional liability insurance for contractor-hired designers to cover potential negligent acts. The article details specification language outlining qualifications, responsibilities, and certification requirements for contractor engineers responsible for delegated designs. It advocates for performance specifications rather than prescriptive ones to allow flexibility without compromising design intent or liability.<br /><br />A significant portion explains the complex review process for delegated design submittals. These submittals are divided into two categories: the contractor designer’s sealed and signed instruments of service (design drawings, calculations), which the owner-hired professional reviews only to ensure scope, compliance with criteria, and conformity with overall project intent; and shop drawings and product data, which should be reviewed primarily for informational purposes after approval by the contractor and contractor-hired designer. Overly detailed technical review by the owner’s engineer is cautioned against to avoid blurring liability lines.<br /><br />The article also discusses gray areas such as the design of temporary facilities—which are generally not delegated designs—and contractor-proposed alternative designs, which may require being treated as delegated designs via contract change orders. Throughout, clear communication and well-defined responsibilities are emphasized as crucial to managing project risk and professional liability.<br /><br />In conclusion, while delegated design is a useful approach for innovation and managing costs, careful document preparation, insurance requirements, and limited but effective review of submittals are critical to mitigate risks and ensure project success.

Keywords

delegated professional design

construction projects

contractor-hired licensed professionals

owner-hired design professional

construction contract specifications

pre-engineered metal buildings

professional liability insurance

performance specifications

design submittal review process

contract change orders