Short answer
Architect certification letter liability often surprises firms because the request looks administrative. A certification is a written statement that something is true, and a lender, buyer or tenant may rely on it. If it proves wrong, that party may bring a claim even without a contract with your firm. Have your attorney review the wording and call your agent before you sign.
Why an architect certification letter carries risk
Near the end of a project, an email arrives. A lender needs a letter from the architect certifying that the work is complete and complies with the plans and applicable codes. The deadline is Friday.
A certification states that something is true. If someone relies on it and it turns out to be wrong, they may have a claim. The person relying on it is often a lender, buyer or tenant your firm never had a contract with.
Certifications can also turn a judgment call into what reads like a guarantee. A statement that the work complies with every code is a much bigger promise than a statement based on what you observed. Policy wording varies, so promises beyond the normal standard of care may not be covered.
What standard forms do with certifications
The AIA guide for amending owner-architect agreements explains that certifications in AIA documents are limited to what is within the architect’s knowledge, information or belief. The reason is practical. The architect may not have all the relevant information when asked to certify.
The same guide notes that the owner-architect agreement gives the architect time to review a requested certification before it is due. It also offers a model format that limits who can rely on the certification. You can browse the full set of forms at AIA Contract Documents.
Questions to ask before signing an architect certification letter
- Who is asking, and who will rely on it?
- Does it state facts you personally observed, or facts you would have to assume?
- Does it use words such as “certify,” “warrant” or “guarantee”?
- Is it limited to your knowledge, information and belief?
- Does your contract require you to sign certifications at all?
Example: the Friday lender letter
A small architecture firm finishes a renovation, and the owner’s lender sends a certification form on Wednesday. The form asks the firm to certify full code compliance and lists a deadline of Friday.
The principal sends the form to the firm’s attorney and calls the firm’s agent. The attorney reviews the wording, and the agent explains how the policy may treat a promise beyond the standard of care. The firm replies to the owner with a request to review an alternate form.
This example is hypothetical. Lender responses vary, and coverage depends on the policy terms, exclusions and underwriting.
Who to call before you sign
- Your attorney. The wording of the certification is a legal question.
- Your insurance agent. Ask how your policy may treat the certification before you sign, since it is easier to ask early than to explain later.
What to check
- Does your contract require you to provide certifications?
- Does the form limit the certification to what you personally know or observed?
- Does it name who may rely on it?
- Does it ask you to guarantee compliance with every code?
- Have your attorney and your agent both reviewed it before the deadline?
- Is the Insurance Requirements Check useful for the insurance side of the contract?
Related questions
Can I refuse to sign a lender’s form?
Often you can propose changes or an alternate form. That conversation belongs with your attorney and the owner.
Is a certification covered by my professional liability policy?
It may be, depending on the wording and the claim. Promises beyond the standard of care may not be covered, so ask your agent how your policy reads.
Does the lender need to have a contract with me to bring a claim?
Not always. A party who relied on your statement may allege a claim even without a direct contract. Your attorney can explain how that works where your project is located.