This construction agreement template has 25 pages and is a MS Word file type listed under our legal agreements documents.
Sample of our construction agreement template:
CONSTRUCTION AGREEMENT This Construction Agreement (the "Agreement") is effective as of [DATE], BETWEEN: [FIRST PARTY NAME], (the "Owner") a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE] with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME], (the "Contractor") a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE] with its head office located at: [YOUR COMPLETE ADDRESS] NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: THE WORK The Contractor agrees to furnish and pay for all supervision, contract administration, services, labor, materials, equipment, tools, and other costs necessary to perform all requirements of the Contract Documents (as hereinafter defined) for the scope of work described in Exhibit A, a form of which is attached hereto, said Work (hereinafter defined) to be performed as part of the Owner's Project located at [PROJECT LOCATION] (the "Project"). The Contractor shall perform the Work in a workmanlike manner and in strict accordance with this Agreement. The Contractor shall be solely responsible for all construction means, methods, techniques, sequences, procedures, and safety precautions or programs, and for supervising, coordinating and performing all of the Work. The Agreement contains the general terms and conditions which will govern all future specifications and scope intended to be issued to and performed by the Contractor with respect to the Project. The Parties acknowledge and agree that the Project involves several discrete "phases" of Work, and each phase to be performed by the Contractor shall be incorporated into this Agreement by an amendment executed by both Parties. Each amendment shall be consecutively numbered (e.g., Exhibit A1, Exhibit A2) and shall describe and detail: (i) the scope of Work to be performed; (ii) the cost of the Work (as defined in Section 5) and the Contractor's Fee (as defined in Section 4) for the Work to be performed; (iii) any attendant and requisite changes to the Project Schedule, Preliminary Schedule of Values, required completion dates, Liquidated Damages, or fees; and (iv) any other changes to the Agreement terms and conditions necessitated by the particular phase of Work. All Work described and incorporated in any Exhibit A hereto shall be collectively referred to as the "Work". The Contractor agrees that [PROJECT MANAGER'S NAME] shall serve as the Project Manager of the Contractor for the Work, and, in that capacity, he shall be responsible for personally managing and administering the performance of the Contractor's obligations under this Agreement, subject to his continuing employment by the Contractor and the needs, staffing and skill requirements of the specific Project stage. The Project Superintendent of the Contractor for the Project will be mutually agreed upon by the Parties. Provided they remain in the employ of or otherwise affiliated with the Contractor, the persons referenced in this section shall not be replaced without the prior written approval of the Owner. The Owner shall have the right to approve persons proposed as replacements for the Project Manager and Project Superintendent. The Owner's approvals under this section shall not unreasonably be withheld. Furthermore, the Contractor agrees that the primary members of the Contractor's Project team will be available to perform the Work on throughout its duration. The Contractor agrees that throughout the Project's duration, the Contractor will have sufficient resources available to perform and complete the Work in accordance with the Project Schedule (as defined in Exhibit D). Furthermore, the Contractor represents and warrants that any labor or other agreement it may have with its employees or any entity representing them does not expire prior to the Guaranteed Completion Date [SPECIFY GUARANTEED COMPLETION DATE], provided however, that the Collective Bargaining Agreements governing craft labor required for the performance of the Work do contain wage escalation provisions that may increase wage rates, and, accordingly, the costs of labor over the course of the Project. Copies of these agreements will be made available to the Owner upon request. CONTRACT DOCUMENTS The Contract Documents shall be defined as the following, which are all incorporated herein by this reference: This Agreement. Scope of Work or "Work," including without limitation the Drawings and Specifications listed therein, attached as Exhibit A. Preliminary Schedule of Values, attached as Exhibit B, provided solely as a preliminary estimate of cash flow needs for the Owner. Form of Waivers and Releases, attached as Exhibit C. Project Schedule, attached as Exhibit D. Contractor Rates as of the effective date of Agreement: Craft Rates, Equipment Rates and Fabrication Rates, attached as Exhibit E. Form of Subcontractors' Express Warranties, attached as Exhibit F. In the event of conflicts or inconsistencies between the Contract Documents, this Agreement shall take precedence over the Scope of Work (including without limitation its Drawings and Specifications), the Drawings shall take precedence over the Specifications, and larger-scale detailed Drawings shall take precedence over smaller-scale general Drawings. In the event of any remaining conflicts or inconsistencies between the Contract Documents, the Contractor shall perform the higher quality and the greater quantity of the Work, except as directed in advance of the Work in writing by the Owner to do otherwise. TOTAL PRICE The Owner shall pay the Contractor for the Contractor's performance of its obligations under this Agreement the Cost of the Work (as defined in Section 5) plus the Contractor's Fee (as defined in Section 4). CONTRACTOR'S FEE The Contractor's Fee shall be as specified in Exhibit A (the "Contractor's Fee"). The Contractor's Fee shall be compensation for all of the Contractor's costs not included in the Cost of the Work. In the event that change orders and/or added or deleted Work increase or decrease the total Cost of Work over the sum specified in Exhibit A, then the Contractor's Fee shall be increased or decreased in accordance with the formula set forth in Section 10.1.2 for all amounts over or below said threshold. COST OF THE WORK The Cost of the Work shall be limited to costs reasonably incurred by the Contractor in the proper performance of the Work (as further described below), which shall exclude any components supplied by the Owner or others. The Contractor's equipment, labor and supervision shall be billed in accordance with the Contractor's then current rate schedules. (The version effective as of the execution date of this Agreement is attached hereto as Exhibit E.) All remaining costs shall be at rates comparable to the standard paid at the place of the Project. The Contractor is directed to employ a [NUMBER OF HOURS]-hour work week and not utilize overtime or premium time rates or incur material or equipment expediting costs, unless the Owner has approved the use of such overtime or premium time or expediting costs in writing in advance. In addition, the Contractor shall keep the Owner regularly apprised of crew sizes and shall provide written monthly reports documenting actual versus estimated man-hours expended in the course of the Work. The Cost of the Work shall include only the items set forth in this Section 5, as follows: Wages of construction workers directly employed by the Contractor to perform the construction of the Work at the site or in Contractor's fabrication facilities. Wages of construction workers directly employed by the Contractor to perform the construction of the Work at locations other than the site, provided that the nature and scope of such off-site Work is approved in writing in advance by the Owner.
