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Unit price contracts are a legitimate method for an owner to only pay for what was installed. If the estimated quantities are bogus, that's the owner's fault and a smart contractor will look for those items.
We generally use the VEQ clause in a spirit of equity or both parties will not have a method for Equitable Adjustment.
Having the whole bid process kicked due to one contractor gaming the system is the Owner's fault. Any unit price bid can be valued by using any estimated quantity the Owner wants even if it isn't the quantity used in the bidding process.
Unit Price Bid Schedules Pose Challenges for Contractors and Owners
Bruce Jervis, Esq., Senior Editor Construction Claims Advisor Construction contracts sometimes call for payment on a unit price basis. For certain types of work, this makes a great deal of sense. Precise quantities of repetitive work items are unknown and the contractor will be paid only for th...
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