Selection of type of contract

Having explained the several types of contractual relationships that can exist among the parties to a construction contract, we now turn to consideration of the types of contract for construction services. We wish to separate these two issues, as they are separate decisions that must be made by the owner, even though some types of contracts are better suited for certain types of project delivery systems. This section, then, explains how the contractor is chosen and the basis for payment for each of the contract types. In a later section, we consider in detail the process for selecting and paying the contractor.