AIA Contract Series · ARE 5.0 Exam Prep · Updated May 2026
AIA B101 explained for ARE 5.0
A plain-language breakdown of the Owner-Architect Agreement — what it covers, how services are structured, and why it matters for your exam.
What is AIA B101?
The AIA B101 — formally titled Standard Form of Agreement Between Owner and Architect — is the primary Owner–Architect agreement. It establishes the architect’s scope of services, compensation, and responsibilities from the beginning of a project through construction completion.
While A201 is the rulebook for construction, B101 defines what the architect is engaged to do, how much they will be paid, and what happens if things go wrong. The 2017 edition is the version tested on the ARE 5.0.
Why B101 appears on PcM and PjM
B101 is most heavily tested on Practice Management and Project Management because it directly governs the business and professional side of architecture. Here is how each division connects to it:
PcM
Covers the architect’s standard of care, liability, insurance requirements, ownership of instruments of service, and how a firm structures its agreements with clients.
PjM
Defines the five phases of basic services, additional services, the architect’s responsibilities during each phase, and how scope changes affect compensation.
Contract relationship map
B101
C401
contract
A101
A201 — incorporated
The architect administers the A201-based construction contract but has no direct contractual relationship with the contractor. The owner has no direct contract with the architect’s consultants.
The five phases of basic services
B101 organizes the architect’s basic services into five phases. These are heavily tested on the ARE:
Phase 1
Schematic design (SD)
The architect develops initial design concepts, prepares schematic drawings, and provides a preliminary cost estimate. The owner must approve SD documents before the architect proceeds to the next phase.
Phase 2
Design development (DD)
The architect refines the design, coordinates with consultants, and develops the project in greater detail including systems, materials, and assemblies.
Phase 3
Construction documents (CD)
The architect prepares complete drawings and specifications for bidding and construction. These may become part of the Contract Documents when incorporated into the Owner–Contractor agreement.
Phase 4
Procurement / bidding
The architect assists the owner in obtaining bids, answers questions from bidders, and issues addenda. The architect helps evaluate bids but the owner makes the final selection.
Phase 5
Construction administration (CA)
The architect visits the site, reviews submittals, responds to RFIs, certifies payments, and issues the certificate of substantial completion. The architect acts as the owner’s representative during construction, with authority limited to what is defined in the agreement — the architect has authority to act on behalf of the owner only to the extent provided in the contract (B101 §3.6.1.2). The architect does not control the contractor’s means and methods.
Key concepts to know for the exam
Instruments of service
Who owns the drawings?
The architect retains ownership of all instruments of service (drawings, specs, models) even after the owner pays for them. The owner receives a license to use them for the specific project only. If the owner terminates the architect for convenience and wishes to continue using the drawings, a licensing fee may be required and is typically addressed in the agreement.
Standard of care
What standard is the architect held to?
The architect must perform services consistent with the professional skill and care ordinarily provided by architects in the same community under similar circumstances. B101 does not require perfection — only reasonable professional care.
Supplemental services
Services identified at contract execution
Supplemental services are identified and listed in B101 at the time of contract execution — for example, programming, interior design, BIM management, or LEED documentation. They are part of the agreement from the start but outside the five basic phases.
Additional services
What falls outside basic services?
Additional services arise after the project begins due to changes, unforeseen conditions, or expanded scope — such as extensive revisions due to owner changes or post-occupancy evaluation. They require additional compensation. Many require written authorization before proceeding (§4.2.1), though some may proceed with notice to avoid project delay (§4.2.2).
Compensation
How is the architect paid?
B101 allows several compensation methods: stipulated sum, percentage of construction cost, or hourly rate. The method is agreed upon in the contract. Reimbursable expenses (printing, travel, consultants) are billed separately.
Over-budget redesign
What happens when bids exceed the owner’s budget?
Under B101 §6.7, if bids exceed the owner’s budget, the architect may be required to revise the construction documents without additional compensation — unless the overage results from market conditions or other factors beyond the architect’s control. This is one of the most tested budget-related concepts on PjM.
Common exam traps
- The architect owns the instruments of service — not the owner, even after full payment.
- If the owner terminates for convenience and wants to use the drawings, a licensing fee must be paid.
- The architect does not guarantee the contractor’s work or the accuracy of cost estimates.
- Many Additional Services require written authorization, though some may proceed with notice to avoid project delay — per B101 §4.2.1 and §4.2.2.
- The architect’s site visits are periodic — not continuous inspection. This is a key liability distinction.
- Supplemental services are agreed at contract execution; Additional services arise during the project. These are different categories.
- If bids exceed the budget, the architect may have to redesign without additional compensation unless the overage is due to market conditions beyond their control.
- B101 references A201 for construction administration duties — but A201 is not part of the Owner–Architect agreement. They are separate documents.
Exam tip
When an ARE question asks about the architect’s obligations to the owner, check whether it involves basic services (covered by B101) or construction administration conduct (governed by A201). Many questions test whether candidates understand where one document ends and the other begins — and that A201 is part of the Owner–Contractor agreement, not the Owner–Architect agreement.
How B101 relates to other AIA contracts
B101 works alongside A101 (Owner-Contractor Agreement) and A201 (General Conditions). Together these three documents form the core of the AIA contract system. B101 references A201 for construction administration duties — meaning the procedures governing how the architect administers the construction contract are set out in A201. However, A201 is not part of the Owner–Architect agreement — it is part of the Owner–Contractor agreement. Understanding this distinction is one of the most important and most tested concepts across PcM, PjM, and CE.