Question

1. Why it is important for engineers to have a basic understanding of contract law?
2. Why is it important for constructors to have a basic understanding of contract law?
3. Why is breach of contract the central focus of all of the parties to a contract?

Answer 1

1)    In a contract, responsibilities and obligations are outlined and agreed upon by the two parties involved. Engineering firms works on project basis with clients and almost every project has a contract. In projects, contractors commonly do contracts with architectural firms either through a joint venture or conventional subcontracting. Knowing the basics of contract law will help the engineer form of contract, can maximize engineer's contribution to the contract process, will protect his rights. It will help engineer to understand the understanding done between two parties.

2)    When any construction or real estate project is concerned, contracts and constructors are an important part of the process. On large civil projects, it is also common for two or more general constructors to bid the work together, either as a temporary partnership or joint venture entity. Constructors need to have a working knowledge of the laws to protect their work, know the boundaries of liability, to know when to contact a lawyer, to follow the contract regulation, quality and specifications, to know which permits are necessary in which circumstances.

3)   Construction contracts has become very specific to the industry and requires the knowledge of an experienced individual in the field, in order to efficiently move the process along and ensure your rights are protected. When a contract has been breached by one of the parties, the other party will have important legal remedies to consider. The non-breaching party may be able to seek compensatory damages for the financial harm suffered; rescind, or cancel, the contract; or request specific performance of the contract, requiring the breaching party to perform their obligations under the contract Contract laws are complex which is why it is important for the parties to a contract to understand contract basics.

Summary- Understanding the basics of contract law protects engineers rights and obligations, and it helps avoid potential lawsuits due to accidental breach of contract. Contract laws are complex which is why it is important for the parties to a contract to understand contract basics.