Hi all, I am a licensed architect working for a big organization in NYC, my day to day work does not really involve architectural design and there will be no conflict of interests for me to take a side job.
I have never personally stamped drawings or done DoB permitting before. Recently an interior designer friend reached out and asked me to prepare a set of permit drawings and need to stamp them. It is a rather straightforward 3-bed condo unit renovation project on the UES, and it does not involve in any load bearing/structural alterations. However, i am contemplating whether or not to take it because of potential professional liability issues. It seems that i am able to obtain professional E&O insurance as a sole proprietor, but i am still concerned about getting sued by the Condo/GC/Client since i do not know any of them, and i don't know the risks if no MEP engineer stamps the drawings. My preferred route would be to establish a PLLC in NY state but that would take ~3 months.
Any advice is appreciated, thank you.
Lenka Ilic, RA
May 31, 24 7:48 pm
You can as well buy Professional Liability Insurance as a Sole Proprietor (takes a 2-3 weeks to sort it out), and once you have your legal formation fully settled, you can switch the insurance to your PLLC. There is an option to buy insurance retrospectively, backwards. Let's say you haven't bought an insurance on time, and you are buying it for an X amount of months backwards, paying "today" for the past period and it counts as if you bought it back in the day, on such and such day. I just talked to my insurance agent today, and was surprised to learn so. Indemnification Agreement is a great way to approach those situations - as long as the parties are willing to sign it. I had a situation where a party promised verbally to sign an IA but after they consulted their attorney they "changed" their mind.
93lt
Jun 3, 24 10:41 pm
Thank you! This is very helpful. I have not talked with any insurance agents as I got my quotes online..
BulgarBlogger
Jun 3, 24 11:04 am
I do so much apartment work in NYC. This is very liability work, especially if you know/trust the GC. The work usually gets reviewed by the Condo/Coop's own architect/engineer anyway and they issue comments based on the alteration agreement in place. Sometimes they go overboard. You should review that document anyway. Other issues that arise are asbestos/lead, adequate electrical service (especially in pre-war buildings), and leaks.
93lt
Jun 3, 24 10:40 pm
Thank you! Yes, I trust my interior designer/pm friend, but I don't know the GC or the condo board and its engineer. My friend does not know about getting DoB's plan approval either, and I have personally not done that before (previous residential firm I worked at usually had expeditors).
I read the alt agreement and it seems generic - similar requirements with other UES coop/condos I worked on previously.
I decided against taking the job, as the annual insurance premium would be ~$1000 and I need to carry it for 3 years - length of statute of limitations. I figured the fee would be $3000 - $5000.
BulgarBlogger
Jun 4, 24 2:36 pm
well if you don't want this project, I'd be happy to take it on lol
Hi all, I am a licensed architect working for a big organization in NYC, my day to day work does not really involve architectural design and there will be no conflict of interests for me to take a side job.
I have never personally stamped drawings or done DoB permitting before. Recently an interior designer friend reached out and asked me to prepare a set of permit drawings and need to stamp them. It is a rather straightforward 3-bed condo unit renovation project on the UES, and it does not involve in any load bearing/structural alterations. However, i am contemplating whether or not to take it because of potential professional liability issues. It seems that i am able to obtain professional E&O insurance as a sole proprietor, but i am still concerned about getting sued by the Condo/GC/Client since i do not know any of them, and i don't know the risks if no MEP engineer stamps the drawings. My preferred route would be to establish a PLLC in NY state but that would take ~3 months.
Any advice is appreciated, thank you.
You can as well buy Professional Liability Insurance as a Sole Proprietor (takes a 2-3 weeks to sort it out), and once you have your legal formation fully settled, you can switch the insurance to your PLLC. There is an option to buy insurance retrospectively, backwards. Let's say you haven't bought an insurance on time, and you are buying it for an X amount of months backwards, paying "today" for the past period and it counts as if you bought it back in the day, on such and such day. I just talked to my insurance agent today, and was surprised to learn so. Indemnification Agreement is a great way to approach those situations - as long as the parties are willing to sign it. I had a situation where a party promised verbally to sign an IA but after they consulted their attorney they "changed" their mind.
Thank you! This is very helpful. I have not talked with any insurance agents as I got my quotes online..
I do so much apartment work in NYC. This is very liability work, especially if you know/trust the GC. The work usually gets reviewed by the Condo/Coop's own architect/engineer anyway and they issue comments based on the alteration agreement in place. Sometimes they go overboard. You should review that document anyway. Other issues that arise are asbestos/lead, adequate electrical service (especially in pre-war buildings), and leaks.
Thank you! Yes, I trust my interior designer/pm friend, but I don't know the GC or the condo board and its engineer. My friend does not know about getting DoB's plan approval either, and I have personally not done that before (previous residential firm I worked at usually had expeditors).
I read the alt agreement and it seems generic - similar requirements with other UES coop/condos I worked on previously.
I decided against taking the job, as the annual insurance premium would be ~$1000 and I need to carry it for 3 years - length of statute of limitations. I figured the fee would be $3000 - $5000.
well if you don't want this project, I'd be happy to take it on lol