Louisiana Contractor Business and Law Practice Exam 2026 - Free Contractor Exam Questions and Study Guide

Question: 1 / 400

What type of contract involves one contractor taking on all design and construction responsibilities?

Design/Build

The type of contract that involves one contractor taking on all design and construction responsibilities is the Design/Build contract. This approach streamlines the construction process by having a single entity, the design-builder, handle both the design and the construction phases of a project. This integration fosters better communication, reduces the potential for disputes, and can lead to greater efficiency and cost savings.

Typically, in Design/Build contracts, the contractor collaborates closely with the owner from the project’s inception, allowing for input on design aspects that can influence constructability, budget, and timelines. This cohesive structure can result in a smoother workflow since the contractor is accountable for every aspect of the project, including design integrity and construction execution.

In contrast, other contract types like Lump sum, Fixed price, and Cost-plus each have different structures where responsibilities may be split, or pricing arrangements do not inherently involve taking on comprehensive design and construction roles by a single contractor.

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Lump sum

Fixed price

Cost-plus

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