How to Memorialize Your Scope of Services

How to Memorialize Your Scope of Services
March 13, 2015 ASCE Member Insurance
How to Memorialize Your Scope of Services

How to Memorialize Your Scope of Services

Recent claims have revealed that a number of engineers have not been memorializing the scope of their services in writing, either in a written contract or even in a written work order. While this may not be problematic if the project proceeds smoothly, projects often involve complications and issues, leaving the client/owner dissatisfied with some aspect of work. Nor is it unusual for serious construction defects to surface after the completion of a project. Thus, the best practice is for you to routinely memorialize the scope of your services in writing, preferably through the use of a written contract.

…without a memorialization, the insured engineer’s scope of services will be a “he said, she said” issue, without any documentation to support either side’s version of the facts.

When defects arise, all of the contractors and design professionals involved with the project will try to deflect blame from themselves by pushing it onto others. An insured engineer will often argue that the issue causing the defect was not within the scope of his or her services. However, such can be difficult, if not impossible, to prove without a memorialization of the scope of services. At
the very least, without a memorialization, the insured engineer’s scope of services will be a “he said, she said” issue, without any documentation to support either side’s version of the facts.

Having a clear description of the work that you are to perform will help all parties avoid any genuine confusion over your scope of the services.

Having a clear description of the work that you are to perform will not only protect you from future arguments for an enlarged scope of the services after a claim, but will also help all parties avoid any genuine confusion over your scope of the services. There is no reason to allow the scope of your services to become an issue of credibility in future litigation, as the cost of expending the necessary time and money to draft a contract is small in comparison to the potential cost of litigation.

Of course, it is important to consult an attorney familiar with the applicable local, state, and federal law when drafting and/or negotiating your contract. However, if you have concerns about how the terms and conditions of the contract may affect coverage, you have access to free consultation through the ASCE Hotline.