The building envelope failed three years after completion. Now the claim investigation demands answers about structural integrity, building systems performance, and construction defects, all while litigation deadlines approach. The difference between accurate liability determination and costly errors often comes down to whether the engineering assessment followed consensus industry standards.
Engineering due diligence represents far more than a cursory walk-through. According to the ASCE Standard, proper assessment provides “guidelines for assessing the structural conditions of existing buildings” through “preliminary and detailed assessment procedures, materials properties and test methods, and evaluation procedures for various physical conditions of the structure.” This formal framework establishes the foundation for defensible technical findings in insurance claims, risk management decisions, and litigation proceedings.
The Standards Framework
There is a hierarchy of engineering assessment standards that creates the technical foundation recognized by the courts as the industry standard of care. The ASTM E2018-24: Standard Guide for Property Condition Assessments establishes the primary framework with six core objectives involving standardizing property condition assessments for commercial real estate, facilitating consistent content in property condition reports, and establishing reasonable expectations for reporting.
The assessment methodology consists of “a walk-through survey of readily accessible, easily visible components and systems of the subject property,” establishing baseline protocols while more specialized standards address specific building systems requiring detailed investigation.
For structural evaluation, ASCE Manual 158-2024 provides authoritative guidance on structural condition assessment of existing buildings. The comprehensive scope encompasses condition surveys, planning materials evaluation, destructive and nondestructive testing, statistical evaluation of test data, and interpretation of results across concrete, masonry, wood, and metal structures.
Building envelope assessment follows ASTM E2270-14, which establishes “methods and procedures for inspection, evaluation, and reporting for periodic inspection of building facades for unsafe conditions.” According to IIBEC, the industry recommendation is “regular building facade and appearance inspection not to exceed every five years based on various factors in accordance with ASTM E2270.”
Essential Categories for Engineering Due Diligence
A comprehensive engineering due diligence checklist encompasses seven primary categories governed by specific technical standards. These categories are established by ASTM E2018-24, ASCE Manual 158-2024, and related consensus standards.
- Structural Assessments start with ASCE Manual 158 protocols because concrete and masonry issues often hide until they become major problems. Key supporting standards include ACI 201.1R for visual inspection and ACI 224.1R for crack evaluation, but the real value comes from ASTM C42 core testing when you need definitive strength data.
- Building Envelope problems cause the most expensive failures, so facade inspections per ASTM E2270 require a 100% general inspection with detailed assessment of at least 25% of facade areas. The standard also addresses water leakage (ASTM E2128) and air leakage (ASTM E1186), which often work together to create cascading damage.
- Wood and Metal Structures need specialized evaluation protocols since deterioration patterns differ significantly from concrete. In-place testing helps establish actual strength without relying solely on design assumptions, and connection evaluation often reveals the most critical defects.
- Mechanical and Electrical Systems get evaluated together because failures in one system frequently affect the others. Mechanical systems focus on HVAC performance and capacity, while electrical evaluation covers distribution adequacy and code compliance.
- Plumbing Assessments cover water supply systems, drainage adequacy, and fixture conditions. Plumbing failures can cause significant water damage and create liability issues, making thorough evaluations of supply lines, waste systems, and fixture mounting critical for risk assessment.
- Site Components include parking areas, site drainage, exterior improvements, and accessibility compliance. Poor drainage can undermine structural foundations, while parking area failures can create liability exposure and accessibility violations can trigger ADA compliance issues.
- Service Life Assessments follow ISO 15686 standards to predict when building components will need replacement rather than just documenting current condition. This life cycle approach helps with budget planning and prevents surprise failures.
Engineering Due Diligence Checklist for Risk Assessment and Litigation Support
This checklist provides a framework for conducting engineering due diligence that meets forensic standards. The evaluation areas below should be customized based on property type, client objectives, and jurisdictional requirements to create defensible documentation for expert testimony and risk management decisions.
PRELIMINARY DOCUMENTATION REVIEW
- Historical Records Assessment
- Previous property condition assessment reports
- Prior Phase I/II Environmental Site Assessments
- Building permits and certificates of occupancy
- As-built drawings and structural plans
- Maintenance and repair records (5-10 year history)
- Insurance claim history and loss reports
- Code violation notices and compliance records
- Litigation history related to property
- Warranty documentation and guarantees
- Equipment manuals and service contracts
- Regulatory Compliance Documentation
- Fire marshal inspection reports
- Building code compliance certificates
- Environmental compliance records
- OSHA inspection records
- ADA compliance assessments
- Seismic evaluation reports (where applicable)
STRUCTURAL SYSTEMS EVALUATION
- Foundation and Substructure
- Foundation type and condition assessment
- Evidence of settlement or differential movement
- Basement/crawl space moisture infiltration
- Structural crack mapping and documentation
- Soil conditions and geotechnical considerations
- Retaining wall stability
- Drainage system effectiveness
- Superstructure Components
- Load-bearing walls and columns
- Beam and girder conditions
- Floor system integrity
- Lateral force-resisting systems
- Connection details and fastener conditions
- Expansion joint performance
- Evidence of structural modifications
- Building Envelope
- Exterior wall systems and cladding
- Window and door assemblies
- Roof structure and covering
- Flashing and waterproofing details
- Vapor barriers and insulation
- Evidence of water intrusion
- Thermal performance assessment
MEP/FLS SYSTEMS INSPECTION
- Mechanical Systems
- HVAC equipment age, condition, and capacity
- Ventilation system performance
- Ductwork integrity and insulation
- Control systems and automation
- Refrigeration equipment assessment
- Boiler and chiller evaluations
- Energy efficiency analysis
- Electrical Systems
- Main electrical service capacity
- Distribution panel conditions
- Circuit breaker and fuse assessments
- Grounding and bonding systems
- Emergency power systems
- Lighting systems evaluation
- Surge protection assessment
- Plumbing Systems
- Water supply system condition
- Drain, waste, and vent systems
- Hot water generation and distribution
- Fixture conditions and compliance
- Backflow prevention devices
- Gas piping systems (if applicable)
- Sump pump and ejector systems
- Fire and Life Safety Systems
- Fire alarm system testing records
- Sprinkler system inspection and coverage
- Emergency lighting and exit signage
- Smoke detection and control systems
- Fire extinguisher placement and maintenance
- Means of egress evaluation
- Fire-rated assembly integrity
ENVIRONMENTAL DUE DILIGENCE
- Phase I ESA Components
- Historical land use review
- Aerial photograph analysis
- Environmental database search
- Site reconnaissance observations
- Interviews with property personnel
- Recognized Environmental Conditions (RECs) identification
- Vapor encroachment screening
- Environmental Risk Factors
- Asbestos-containing materials survey
- Lead-based paint assessment
- Mold and moisture evaluation
- Radon testing (where applicable)
- Underground storage tank assessment
- Hazardous materials storage and handling
- Wetlands and protected species considerations
CODE COMPLIANCE AND ACCESSIBILITY
- Building Code Analysis
- Current code requirements assessment
- Grandfathered conditions documentation
- Required upgrades identification
- Occupancy classification verification
- Fire separation requirements
- Structural load compliance
- Mechanical code compliance
- ADA Compliance Review
- Accessible route evaluation
- Parking accessibility assessment
- Entrance and doorway compliance
- Restroom accessibility
- Signage and wayfinding
- Elevator compliance (if applicable)
- Communication device accessibility
SEISMIC AND NATURAL HAZARD ASSESSMENT
- Seismic Evaluation
- Building performance level determination
- Structural system vulnerability assessment
- Non-structural component anchorage
- Falling hazard identification
- Probable Maximum Loss (PML) calculation
- Retrofit requirement analysis
- Post-earthquake functionality assessment
- Natural Hazard Considerations
- Flood zone determination
- Wind resistance evaluation
- Snow load capacity
- Wildfire exposure assessment
- Geological hazard review
- Climate resilience factors
CONSTRUCTION DEFECT EVALUATION
- Forensic Investigation Elements
- Design deficiency identification
- Workmanship quality assessment
- Material failure analysis
- Installation sequence review
- Water intrusion investigation
- Building movement documentation
- System performance testing
- Defect Documentation
- Photographic documentation protocols
- Destructive testing requirements
- Laboratory analysis needs
- Expert witness preparation materials
- Cost-to-cure estimates
- Allocation of responsibility analysis
RISK ASSESSMENT AND PRIORITIZATION
- Immediate Concerns (0-1 Year)
- Life safety issues
- Code violations requiring immediate correction
- Active water infiltration
- Structural instability
- Fire protection system deficiencies
- Environmental hazards
- Short-Term Needs (1-3 Years)
- Deferred maintenance items
- System efficiency improvements
- Preventive maintenance requirements
- Code compliance updates
- Energy conservation measures
- Long-Term Planning (3-10 Years)
- Major system replacements
- Capital improvement planning
- Modernization opportunities
- Sustainability upgrades
- Resilience enhancements
COST ESTIMATION AND FINANCIAL ANALYSIS
- Cost Categories
- Immediate repair costs
- Deferred maintenance costs
- Capital replacement reserves
- Code compliance costs
- Environmental remediation estimates
- Contingency allowances
- Professional service fees
- Financial Risk Factors
- Insurance coverage adequacy
- Warranty claim potential
- Litigation exposure assessment
- Business interruption risks
- Regulatory compliance costs
REPORTING AND DOCUMENTATION
- Deliverables
- Executive summary with key findings
- Detailed technical report
- Photographic documentation
- Cost estimate spreadsheets
- Priority matrix for repairs
- Risk assessment summary
- Expert opinion statements
- Litigation support materials (if applicable)
- Quality Control
- Peer review completion
- Technical accuracy verification
- Cost estimate validation
- Legal review (if required)
- Client consultation and clarification
For optimal results, engage multidisciplinary teams including structural engineers, MEP specialists, environmental consultants, and construction defect experts to ensure comprehensive coverage of all technical aspects during the due diligence process.
What Technology is Helping Assessment Reviews in 2026?
Digital Tool Adoption in Construction
- Construction industry assessment practices are incorporating digital tools while formal standards integration continues to develop.
Reality Capture and 3D Visualization
- Reality capture tools that provide 3D visualization of construction sites are now used by contractors on large projects, supported by software integrations. These technologies allow for digital documentation methods in project assessment, replacing traditional photography and manual measurement techniques.
AI-Driven Documentation Management
- Engineering firms can now utilize AI technologies to automate document organization, data extraction from inspection reports, and categorization of deficiency findings. These automated systems reduce manual processing time and improve consistency in documentation processes required for due diligence activities and litigation support.
Standards Gap and Compliance Considerations
- Current authoritative standards (ASTM E2018-24, ASCE Manual 158-2024, ASTM E2270-14) remain focused on traditional assessment methodologies. This creates a gap between emerging practice and codified standard of care relevant for litigation. Engineering assessments incorporating advanced technology should maintain documentation proving compliance with established consensus standards while leveraging digital tools for enhanced analysis.
Proactive Risk Assessment
Regular engineering assessments prevent building component failures and reduce liability exposure. The International Institute of Building Enclosure Consultants (IIBEC) recommends facade and appurtenance inspections every five years per ASTM E2270. Documented assessment cycles demonstrate due diligence to insurers, regulators, and courts.
Corporate risk managers should prioritize assessments based on failure consequences when budgets are limited. Structural systems, weather-exposed building envelopes, and life-safety systems require regular evaluation following ASCE and ASTM protocols. Lower-risk components can follow extended inspection cycles based on documented performance history, allowing organizations to allocate resources where liability exposure is greatest.
Building the Assessment Team and Scope
Successful engineering due diligence requires assembling the right technical experts and defining clear scope boundaries before beginning the assessment. The team composition depends on building complexity and client objectives, while scope definition prevents budget overruns and ensures all parties understand deliverables.
Complex building assessments require coordination across multiple disciplines. Structural engineers evaluate load-bearing systems per ASCE Manual 158-2024, while building envelope specialists assess facades per ASTM E2270-14. Mechanical engineers review HVAC systems, and materials testing specialists conduct destructive and nondestructive testing following ASCE protocols. The American Council of Engineering Companies (ACEC) provides fee development tools and guidelines for establishing consulting budgets based on similar projects, helping firms scale assessments appropriately.
Complex building assessments should involve:
- Structural engineers for load-bearing systems evaluation per ASCE Manual 158-2024
- Building envelope specialists for facade assessment per ASTM E2270-14
- Mechanical engineers for HVAC system evaluation
- Materials testing specialists for destructive and nondestructive testing protocols referenced in ASCE standards
Defining scope boundaries at the outset prevents scope creep and establishes clear expectations for insurance claims, litigation support, or risk management applications. This includes establishing which building systems require detailed investigation versus visual assessment, determining destructive testing protocols, and clarifying reporting requirements.
Final Steps for Due Diligence
Engineering due diligence conducted to forensic standards provides defensible documentation for insurance claims, risk management decisions, and potential litigation. Comprehensive photographic documentation, systematic testing protocols following ASTM standards, and detailed contemporaneous notes create the foundation for expert testimony. Claims managers and attorneys should verify that assessment reports cite specific ASTM, ASCE, ACI, and ISO standards throughout the methodology section, as these references establish adherence to recognized court-accepted protocols.
Professional objectivity requires presenting findings based on physical evidence and engineering analysis. Statistical evaluation of test data and standardized interpretation procedures ensure technical conclusions withstand scrutiny during expert qualification and legal proceedings. Assessment reports lacking standards citations or clear methodology face significant challenges in litigation contexts.
Contact Rimkus for your engineering due diligence, forensic investigation, and litigation support needs.
This article aims to offer insights into the prevailing industry practices. Nonetheless, it should not be construed as legal or professional advice in any form.