STANDARD FORM OF AGREEMENT BETWEEN CONTRACTOR AND OWNER FOR CONSTRUCTION OF BUILDING
THIS AGREEMENT made the _______ day of ______ 20______.
BETWEEN
__________________________________ ((insert the name, address etc. of Contractor), (hereinafter called ‘the Contractor’) of the ONE PART
AND
__________________________________ (insert the name, address etc. of owner) (hereinafter called ‘the Owner’) of the OTHER PART.
WITNESSETH:
that, the Contractor and the Owner for the consideration hereinafter named agrees as follows:
- SCOPE OF THE WORK: The Contractor shall furnish all the materials and perform all the work shown on the drawings and described in the specifications entitled _______ here insert the caption descriptive of the work as used on the drawings and in the other contract documents] prepared by _______ acting as and in these contract documents entitled the architect; annexed hereto and shall do everything required by this agreement, the general conditions of the contract, the specifications and the drawings.
- TIME OF COMPLETION: The work to be performed under this contract shall be commenced on ______ and shall be substantially completed by ______ [here insert stipulation as to liquidated damages, if any].
- THE CONTRACT SUM: The owner shall pay the Contractor for the performance of the contract, subject to additions and deductions provided therein, in current funds as follows _________ [state here the lump sum amount unit prices, or both, as desired in individual cases].Where the quantities originally contemplated are so changed that application of the agreed unit price to the quantity of work performed is shown to create hardship to the Owner or the Contractor, there shall be an equitable adjustment of the contract to prevent such hardship.
- PROGRESS PAYMENTS: The Owner shall make payments on account of the contract as provided therein, as follows: (i) On or about the _____ day of each month ______ per cent of the value, based on the contract prices, of labour and materials incorporated in the work and of materials suitably stored at the site thereof up to the ____ day of that month, as estimated by the architect, less the aggregate of previous payments; (ii) and upon substantial completion of the entire work, a sum sufficient to increase the total payments to per cent of the contract price _____ [insert here any provision made for limiting or reducing the amount returned after the work reaches a certain stage of completion].
- ACCEPTANCE AND FINAL PAYMENT:
- Final payment shall be due ______ days after substantial completion of the work provided the work be then fully completed and the contract fully performed.
- Upon receipt of written notice that the work is ready for final inspection and acceptance, the architect shall promptly make such inspection, and when he finds the work acceptable under the contract and the contract fully performed he shall promptly issue a final certificate over his own signature, stating that the work provided for in this contract has been completed and is accepted by him under the terms and conditions thereof, and that the entire balance found to be due to the contractor, and noted in said final certificate, is due and payable.
- Before issuance of final certificate the contractor shall submit evidence satisfactory to the architect that all pay-rolls, material bills, and other indebted- ness connected with the work have been paid.
- If after the work has been substantially completed, full completion thereof is materially delayed through no fault of the contractor and the architect so certifies, the owner shall, upon certificate of the architect, and without terminating the contract make payment of the balance due for that portion of the work fully completed and accepted. Such payment shall be made under the terms and conditions governing final payment, except that it shall not constitute a waiver of claims.
- THE CONTRACT DOCUMENTS: The general conditions of the contract, the specifications and the drawings, together with this agreement, form the contract, and they are as fully a part of the contract as if hereto attached or herein repeated. The following is an enumeration of the specifications and drawings:
IN WITNESS WHEREOF the par ties hereto have executed this agreement, the day and year first above written.
