Which document is commonly used for lump-sum pricing under AIA standard form documents?

Which document is commonly used for lump-sum pricing under AIA standard form documents?

• A. AIA A101
• B. AIA A102
• C. AIA A103
• D. AIA A104

Answer: (A)

Lump-sum pricing fixes a single total price for the entire project based on a clearly defined scope. The AIA standard form that formalizes this fixed-price approach between owner and contractor is AIA A101. It sets the entire contract price, outlines the payment schedule, handles changes through formal change orders, and allocates risk with the contractor bearing the cost risk for defined scope. This makes A101 ideal when the owner wants price certainty and the scope is well defined at the outset, and bids or estimates can be tied to that complete scope. Other AIA forms are designed for different pricing methods—such as unit-price contracts, where price depends on measured quantities, or cost-plus arrangements (sometimes with a GMP or fee)—situations where the final price can change as work progresses or quantities and costs aren’t fixed from the start.

Lump-sum pricing fixes a single total price for the entire project based on a clearly defined scope. The AIA standard form that formalizes this fixed-price approach between owner and contractor is AIA A101. It sets the entire contract price, outlines the payment schedule, handles changes through formal change orders, and allocates risk with the contractor bearing the cost risk for defined scope. This makes A101 ideal when the owner wants price certainty and the scope is well defined at the outset, and bids or estimates can be tied to that complete scope. Other AIA forms are designed for different pricing methods—such as unit-price contracts, where price depends on measured quantities, or cost-plus arrangements (sometimes with a GMP or fee)—situations where the final price can change as work progresses or quantities and costs aren’t fixed from the start.