Your appointment has to strike a balance

The need for an architect becomes clear when “both the client and the architect acknowledge that there is no answer to be found in the rule book… then solving the problem inevitably requires invention.”

Both the architect and the client require a high level of trust to ensure a productive working relationship. The problem of clients expecting work for free from an architect must end if a balance is to be established. Architects must ensure that they understand their client and the agreement between them. It is equally important for the client to understand not only the benefits of an architect but the risks and costs that they undertake to practice. The updated 2017 RIAI standard construction contracts help ensure that the architect gets paid for the services they provide. However these do not go far enough in protecting architects from unpaid fees. ​

Architects provide complex solutions to a multitude of different problems. The value based on an architects work should be based on the skills and knowledge they are able to provide in practical terms. The need for an architect becomes clear when “both the client and the architect acknowledge that there is no answer to be found in the rule book… then solving the problem inevitably requires invention.”1 Architects do not start designing without someone commissioning them to. It is an act which includes an agreement upon the value of their work. If they are given a commission, they know the person/ company for whom they are designing.2 Put simply if they do not receive a commission they do not build. A client may be a person, a couple, or an organisation. Roger Lewis ascertains that “an entity needs two things to be a legitimate client: lawful existence as an entity with authority to enter into enforceable contracts, and money”.3 He goes on to state that great clients respect the architect as a professional, an artist, and as a problem solver. Difficult clients however may think of the architect as a “necessary but obstructive provider of costly services, insensitive to practical or economic issues and periodically incompetent.”4 To avoid this assumption the architect must be truthful with their clients. The need for architectural services are steadily increasing. The architects fee index from 2000 to 2018 shows that architects fees are rising sharply in the UK to levels above pre recession figures. Fig. 1. According to the study small house extensions dominate architects workloads and average fees in this sector have increased in the last 12 months but only for refurbishment work. Architects are now in demand however they risk being trapped by the same working principles as they had before the recession. This recent confidence in the value of their work must be followed by instructions for swift payment. Architecture is probably the only contemporary practice that can still be carried out with a long time horizon in mind, one that breaks free of the frantic rhythm of capitalist economic cycles.5 Architects fees dropped during the 2008 recession which put a lot of practices out of business. The complexity of undertaking a building needs to be explained to some clients. Cliff Moser claims that architects should “learn how to identify and place value on [their] knowledge and understanding and perspective on a problem, and how to leverage [their] client and partner’s understanding of that value and achieve worth for [an architects] participation.” If clients know that an architect is professional “honest and direct, they usually are willing to work through bad times, and they won’t hesitate to be a referral source when things go well.”6 The economy is rising and confidence is high. Architects must take advantage of this new opportunity and redefine their services as a vital aspect of the building process.

fig. 1. Source: Architects fees Bureau. The index value is based on an index where the base year (=100) is the year 2000. It calculated the ‘real value’ of the fees after stripping out the effects of building cost inflation.

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The RIBA plan of work is a helpful resource that stipulates the requirements of the architect at different stages of the construction process. RIBA stage 0 is very important in terms of setting out the agreement of services to be carried out. During this initial stage, an important function of the architect is to understand the reasons which underlie the client’s decision to embark on the project. Doing this will help the architect to make informed decisions about all the key parts of the project. As many possibilities must be considered and discussed with the client before any important decisions are made. The architect will inform and give the client important advice that is relevant to the project. The architect might say that the project is not feasible at the first project meeting because of cost, siting or some other reason. The architect must then get the clients brief. This can be an arduous task if the client is not sure of what they want. It is the architects job to organize what the clients needs from what they don’t need. In an interview with Steven J. Orfield states that architects tend to believe something is important if the client says it’s important.11 He goes on to say that the architect might ask the client, “Are acoustics important to you in this project?” If they respond, “Not particularly,” then the architect checks that off their list. Rather than teaching the client what they need, architects generally ask clients what they want. As an expert testifying to design failures in court, I’ve heard this in testimony a number of times”.12 By understanding the needs of the client the brief will become more thorough and realistic. If the architect gets sufficient information regarding finance, programme and function then they will be able to provide a rough idea of the cost, time and fees. Knowing this information from the outset will help the project run more efficiently.

The importance of trust in contractual relationships is highlighted in a claims study which investigated claims made against construction service providers from 1999 - 2003 by the insurance company Victor O Schinnerer & Company. Their statistics show a considerable amount of claims for a relatively small amount of high risk residential buildings. They state that single and multi family residential projects are of great risk for small and large design firms. The study asserts that smaller design firms “often think that because of their lesser fees on smaller scope projects, they are immune to major claims”.13 Fig. 2. The study was able to show the relationship of profit and risk by the claims made against the building services industry. The study concluded that industrial building are the most risk averse and have a greater chance of billings than claims, whereas multi family housing has a greater chance of claims than billings.14 This study revealed a concise list of repeated mistakes that can end in a claim against the designer. They advised that choosing the right client based on their experience, ties to the community, financial strength and emphasis on quality in design and construction will dramatically reduce the risk of future claims. Along with the client it was advised to choose projects which had a realistic budget and time `frame. It was deemed important to have a role in the contractor selection process and to make sure there are adequately insured and experienced subcontractors on site. It is advised to be wary of providing limited or no construction contract administration. Being proactive on maintenance issues whilst working with the homeowners association can lead to less claims in the future. Other key aspects of risk aversion was to include a mediation clause in the contract and to ensure that there is consistent communication while documenting all relevant activity. Close attention to all these aspects of the building process and more close attention during the procurement stage and contract negotiations will highly reduce the chance of a claim against an architect.

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fig.2. Comparing the Percentages — One way to look at projects as being profitable is to look at the percentage of claims generated by the project type compared to the percentage of reported billings for that project type. Profitable projects have a ratio where the percentage of billings is greater than the percentage of claims. Unprofitable projects have a ratio where the percentage of claims exceeds the percentage of billings.

The relationship between professional and client is built on trust. Disputes can be avoided with deeper collaborative processes and a greater importance being placed on communication. Flora Samuel states that “well rounded architects who are professional, research-focused, innovative and ethical will bring a level of trust to the professional client relationship”.7 Arthur Gensler compares the client architect relationship to a rubber band and states that the “architect should avoid stretching the client too far or too fast otherwise the rubber band might break”.8 He insists that architects and clients should look for ways to stretch each other where the best value is created for everyone and a trusted advisor relationship is formed. The RIAI has a Code of Conduct and it has various regulatory responsibilities under the Building Control Act 2007. It stipulates how one should act when providing an architectural service. There are three main principles to follow which are to prescribe the general obligations of the institute to the day to day work of an architect, uphold the obligations to clients and employers and to uphold your obligations to the profession. Becoming a member of the RIAI brings with it an element of trusted values that is intended to give the client reassurance as to the architects abilities and professionalism. Trust is essential to construction as it is an inherently collaborative process. Sarah Fox states the importance of collaboration within the building process by explaining that although each party has their own individual ‘why’ everyone involved in a project has to work together. “The architect will need to share information and documents and will need to be honest with the other team members as to the resources they have or their client needs”.9 There is a possibility in the construction industry where the complexity of contracts are replaced by trust. This will need a recognition of competence through associations of familiarity, clear evidence and/ or the potential interest based forms of highly visible feed back which will enable the client to manage the risk of trusting their team and to work together for infinitely better results. Arthur Gensler states that to become a trusted adviser an architect must “become a deep listener and consistently engage in a dialogue with [their] client that creates the space to generate value today, tomorrow, and into the future”.10  An architects appointment should not ignore the importance of trust. Implementing the RIAI code of conduct and acting with professionalism will uphold a healthy relationship with future clients.

In order to reduce disputes architects have contracts that define what service they agreed to provide. The most popular contracts in Ireland are the yellow and blue forms. These contracts are prescribed by the construction contracts act (2013). The act applies not only to traditional building contracts and subcontracts, but also to professional appointments for architects and engineers while also applying to contracts for landscaping, repair and maintenance. Niav O’Higgins and Tim Kinney summarize the key aims of the construction contracts act 2013 as ensuring that prompt payment practices are upheld throughout the construction industry. They state that the act achieves this in three ways. Firstly the act requires that all construction contracts include an adequate mechanism for determining the amount to be paid to a contractor, the period for interim payments and when payments will fall due. Secondly the act states that where a payment claim notice is submitted by a sub contractor which is contested by the employer then the employer has 21 days to respond. This notice can be supplied by email rather than by post.15 A subcontractor will need to be paid even if a party higher up the contractual chain has not been paid. Thirdly “the right of suspension for non payment has now been put on a statutory footing”.16 The act states that the party who has downed tools will not suffer the consequences of delay. However the suspension of work must end immediately upon the outstanding payment. These changes are helpful in ensuring full payment for the work completed by the construction professional. The positive outcomes of using a standard form of contract are that they are well established and that they are perceived to be fair. Those who are using these contracts are more aware of their rights and obligations under the contract. The main weaknesses of standard forms are that they can “encourage litigation, they are not sufficiently clear and can create a level of mistrust”.17 The 2017 editions of the RIAI yellow and blue forms of contract are based on the construction contracts act 2013 and the building control (amendment) regulations 2014. There are several updates to the previous 2012 contract which includes a new fifth article regarding notice requirements, particularly regarding payment claims notices. The Yellow and blue form are the most widely used construction contracts in Ireland and are suitable for general use on commercial, industrial and residential sector projects. The fundamental distinction between the two forms “lies in the contracting party who bears what is known as the ‘quantities risk’. In the event that the building works have been incorrectly measured in the contract documents then this risk determines which party suffers the extra cost, or benefits from the reduced cost. 

It is essential to know how to put a realistic cost on a project so that appropriate fees can be charged. In order to achieve this objective, carefully documented records must be kept to show how well the practices own cost and time targets are achieved. The most important part of these records are staff time sheets. It is not unusual for architects to input a proportion of their time to other work when they begin to see that they are in danger of exceeding the budgeted figures. David Chappell ascertains that “the only clear result is that the practice builds up a set of unreliable records and it will continue to underestimate time periods”.18 By having a realistic idea of cost and time then the architect can confidently price up their work. Architects can set their compensation as a percentage of project costs. However these costs are not known fully until after the architect has completed most of his or her services. The RIAI yellow form contract describes a retainer /deposit in the RIAI agreement “the percentage or lump sum charge includes a retainer of  ‎€_ + VAT payable in advance of the architect commencing work”. This ensures the architect will get some compensation before commencing work on a project. Although the architect is still at risk of doing work and not getting paid. Mark Stephens states that “there’s a long way to go from this retainer/ deposit until the completion of the first work stage”.19 The revised American institute of architects B101-2017 owner- architect agreement defined compensation as a percentage of the owners budget for the cost of work. The progress payments for each stage of the services are calculated by multiplying the percentages as stated in the contract by the owners most recent budget. This way of working was based on the fact that the owners budget is known from the outset of the project and the owner is required to update it as the project progresses.20 The RIAI contracts need to go further to protect the architect from being unpaid for the work they have completed. In fact Mark Stephens suggests why “risk a load of time, effort and money producing work and then not getting paid for it. Especially when the reason your not getting paid has nothing to do with you.” In order for architects to strive for more design freedom and control of the building industry their “clients and [their] partners need to support and pay [them]; they also need to understand and leverage [the architects] value through the course of the engagement and project.21 The AIA B101-2017 offers the architect protection if the owner opts to not build the project or a part of it, The contract states that when compensation is on a “percentage basis and any portions of the project are deleted or otherwise not constructed, compensation for those portions of the project shall be payable to the extent services are performed on those portions”.22 Mark Stephens goes a step further and claims there is only one “viable option for you not to be exposed when a client bails out without paying and that is an upfront payment for the entire amount of each work stage”.23 He advises architects to not do any work or get involved in any way with a client until that upfront payment arrives in full. 

Architects should expect full and prompt payment for the services that they deliver. The economy is strong and architects can choose to engage clients that understand the long term benefits of employing their services. The relationship between the architect and the client should be beneficial to both parties. Trust is integral to this relationship and ensures that disputes are kept to the minimum. The RIAI standard construction contracts should go further to ensure that the architect gets paid in full. ​

1Archidea. “A dialogue with the landscape:”  Accessed December 10, 2018.
2 Multiple Authors, “The Client Issue 12,” San Rocco, Spring 2017,
3 Roger K. Lewis, A Candid Guide to the Profession. Rev. ed.  (Cambridge: The MIT Press, 1998.), Kindle edition, 235.
4 Ibid P. 236
5 Multiple Authors, “The Client Issue 12,” San Rocco, Spring 2017,
6 Gensler, Lindenmayer, 50 years of hard-learned lesson in building a world-class professional services firm  (Wilson Lafferty, 2015.), Kindle edition,
7 Ibid.
8 Ibid.
9 Sarah Fox, How to Write Simple and Effective Consultant Appointments in Just 500 Words (500 Words Ltd, 2017 p.46)
10 Gensler, Lindenmayer, 50 years of hard-learned lesson in building a world-class professional services firm  (Wilson Lafferty, 2015.), Kindle edition,
11 “A Top Building Researcher Asks: Why is Architecture Afraid of Science?,” Common\Edge, December 10, 2018,
12 “A Top Building Researcher Asks: Why is Architecture Afraid of Science?,” Common\Edge, December 10, 2018, 
13 Victor O. Schinnerer & Company. “Claims Study; Living with Habitability Claims” Accessed December 10, 2018.
14 Ibid,
15 Cunningham, T. (2017) The RIAI Standard form of contract 2017: an overview. Dublin Institute of technology. P. 6
16 Construction Contracts Act- Briefing (Niav O’Higgins, Arthur Cox)
17 Ibid.
18 Chappell, Dunn, The architect in practice, .
19 Mark Stephens, Architect Like a Star; Never let a recession beat you again (CreateSpace Independent Publishing Platform, 2016), 
​20 “Calculating the architect’s fee: Is there a better way?,” AIA, December 10, 2018, https://www.aia.org/articles/202726-calculating-the-architects-fee-is-there-a-b.
21 Cliff Moser, Architecture 3.0: The Disruptive Design Practice Handbook (Abingdon: Routledge, 2013), Kindle edition, .
22 “Calculating the architect’s fee: Is there a better way?,”
23 Stephens, Architect Like a Star, 25.