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NASCLAProcurement and Contracting Requirementsmedium

The owner wants to direct-purchase major equipment to save tax, but the contractor is still responsible for coordination and installation. What must be clarified before release?

Correct Answer

C) Responsibility for ordering, delivery risk, warranties, storage, installation, and schedule impacts

Owner direct-purchase arrangements should clarify procurement, risk, warranty, storage, installation, and schedule responsibilities. Other choices ignore the issues that cause scope and payment disputes.

Answer Options
A
Clarify only the owner's preferred supplier name on the release form
B
Clarify only the supplier's ship date, not risk or warranty terms
C
Responsibility for ordering, delivery risk, warranties, storage, installation, and schedule impacts
D
Clarify only the purchase-order number, not delivery or storage responsibility

Why This Is the Correct Answer

Owner direct-purchase arrangements should clarify procurement, risk, warranty, storage, installation, and schedule responsibilities. Other choices ignore the issues that cause scope and payment disputes.

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