Title: Identify the components of a design contract.
Course: Interior Design II (19263-II) > Section: Examining Professional Practices

Identification may include

- explaining the meaning and purposes of a design contract with a client
- listing all components that may be included in a contract, such as
  - names of parties
  - costs/fees
  - references to working documents
  - schedules and/or timelines
  - bonds
  - responsibilities of each party
  - restrictions on each party
  - criteria for handling changes
  - warranties
  - cancellation conditions
- describing the Federal Trade Commission’s (FTC) three-day cooling-off rule
- citing the four main provisions of every valid and enforceable contract:

1. Legality: legal product or service; no fraud or deception
2. Competence: both parties mentally competent and of legal age
3. Agreement: an offer and an acceptance
4. Consideration: exchange of something of measurable value

Process/Skill Questions:

Thinking

- What are the components that should be included in every contract?
- How does the federal three-day right to cancel rule apply to design contracts?
- What are the consequences if the interior designer does not provide the client copies of the three-day right to cancel forms?

Communication

- What communication skills assist with understanding a contract?
- What communication strategies help a professional come to an understanding with a client about the important aspects of the design process?
- What communication skills assist with drafting a valid and enforceable contract?

Leadership

- What leadership skills or techniques assist with negotiating a contract with a client?
- How can a professional communicate effectively in a contract the elements of a design project?

Management

- What resources assist with the use of contracts in interior design work?
- What management techniques can assist in negotiating a contract with a client?
- What steps should be taken to be certain that the terms of a contract are followed throughout a design project?