North Carolina Building Contractor License Practice Exam

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Which of the following would not be considered a contract document?

  1. Proposal

  2. Letter of intent

  3. Turn key

  4. Change order

The correct answer is: Turn key

A turnkey contract typically refers to a type of construction contract where a single entity is responsible for the entire project from design through completion. While it is certainly a type of contract arrangement, it does not fall under the category of a traditional contract document like the others listed. Contract documents usually delineate the specifics of the agreement between parties, including obligations, rights, and responsibilities. In contrast, a proposal serves as a formal offer to enter into a contract and outlines the contractor’s intentions, scope of work, and pricing. A letter of intent indicates the intention of the parties to work cooperatively towards a contract but does not constitute a formal binding agreement until a contract is ultimately executed. A change order is an official document that modifies an existing contract, detailing changes in the scope of work, adjustments in price, or extensions of time. Thus, while a turnkey arrangement is a model for how a project might be completed, it does not represent a specific document involved in the contracting process.