Joanne Wojcik recently wrote an article for Business Insurance about the increased exposure associated with green building projects. In particular the article focuses on guarantees associated with LEED certification, a situation that may be difficult to avoid when certain public agencies mandate such certification.
Because of the potential for liability, the Washington-based American Institute of Architects recommends that design professionals not guarantee that their projects will meet any type of LEED certification standards, said Edward B. Gentilcore, a partner at Duane Morris L.L.P. in Pittsburgh, who chaired a panel at the institute’s April sustainability summit, which was held in conjunction with the Associated General Contractors of America. He also helped craft the Green Building Addendum, or industry-specific contract terms, that institute members can use.
In fact, guaranteeing LEED certification upon completion of a project would void coverage under most professional liability insurance policies, Mr. Musica said.