The American Institute of Architects (AIA) creates over 200 contract templates used throughout the construction and architectural industries. These contracts are popular because they reflect the industry consensus on terms and procedures and have become the most widely used standard contract formats. In addition to many General Contractors, these contract templates are so popular that even some states and municipalities default to them.
In addition to the contract templates, the AIA has also developed numerous Surety Bond forms which integrate with the contracts. For bid bonds, the “AIA A310” is commonly specified in an Invitation to Bid as the required Bid Bond format. Integrity Surety uses a “Conforms to AIA A310” format as our generic and default bid bonds. If we’ve approved a bid bond and no form is provided or specified within the Invitation to Bid, this is the bid bond format we use.
For Performance and Payment Bonds, AIA publishes the “AIA A312” form. Though technically separate bonds, the Performance and Payment forms both carry the same form number and are usually both issued in pairs, to cover the contractor’s (or subcontractor’s) performance, and the obligation to pay subcontractors and material persons and laborers.
Sureties are comfortable with the AIA A312 bond forms, as they are flexible but also sets out very clear conditions to the parties in regard to default and provide rights and obligations for both the Obligee and the Surety. These conditions and obligations include those imposed on the Obligee, which must be satisfied in order to allow the Surety company to choose and perform the best remedy for the claim.