STANDARD FORM OF SUB-CONTRACT FOR CONSTRUCTION OF BUILDING
THIS AGREEMENT made this ________ day of ________,20______,
__________________________________ (insert the name, address etc. of Sub-Contractor) (hereinafter called ‘the Sub-Contractor’) of the ONE PART
_____________________________________ (insert the name, address etc. of Contractor) (hereinafter called ‘the Contractor’) of the OTHER PART.
The Sub-Contractor and Contractor for the considerations hereinafter named agreed as follows:
- The Sub-Contractor agrees to furnish all material and perform all work as described in the schedule hereto [here name the kind of building] for [here insert the name of owner] hereinafter called the owner at ___________ [here insert the location of the work] in accordance with the general conditions of the contract between the owner and the contractor and in accordance with the drawings and the specifications prepared by ______________________________ ( insert the name of Architect) (hereinafter called ‘the Architect’), all of which general conditions, drawings and specifications signed by the parties thereto or identified by the architect form a part of a contract between the contractor and the owner dated ________, 20_____, and hereby become a part of this contract.
- The Sub-Contractor and the Contractor agree that the materials to be furnished and work to be done by the Sub-Contractor are ___________ [here insert a precise description of the work], preferable by reference to the numbers of the drawings and the pages of the specifications.
- The Sub-Contractor agrees to complete the several portions and the scope of the work herein sublet by the time or times following: [here insert the date or dates and if there be liquidated damages state them].
- The Contractor agrees to pay the sub-Contractor for the performance of his work the sum of Rs. _________ (Rupees _________________) in current funds, subject additions and deductions for changes as may be agreed upon, and to make payments on account thereof in accordance with ____________.
- The Contractor and Sub-Contractor agree to be bound by the terms of the agreement, the general conditions, drawings and specifications as far as applicable to this Sub-Contractor, and also by the following provisions:
The Sub-Contractor agrees:-
- To be bound to the Contractor by the terms of the agreement, general conditions, drawings, and specifications, and to assume towards him all the obligations and responsibilities that he, by those documents, assumes toward the owner.
- To submit to the contractor applications for payment in such reasonable time as to enable the contractor to apply for payment under the terms and conditions of the original agreement with the owner.
- To make all claims for extras, for extensions of time and for damages for delays or otherwise to the contractor in the manner provided in the general conditions for like claims by the contractor upon the owner, except that the time for making claims for extra cost in one week.
The Contractor agrees:-
- To be bound to the Sub-Contractor by all obligations that the Owner assumes to the Contractor under the agreement, general conditions, drawings, and specifications, and by all the provisions thereof affording remedies and redress to the Contractor from the Owner.
- To pay the Sub-Contractor, upon the Certificates of payment, if issued under the schedule of values, the amount allowed to the Contractor on account of the Sub-Contractor’s work to the extent of the Sub-Contractor’s interest therein.
- To pay the Sub-Contractor, upon the certificates of payment is issued otherwise than as in (e), so that at all times his total payments shall be as large in proportion to the value of the work done by him as the total amount certified to the Contractor is to the value of the work done by him.
- To pay the Sub-Contractor to such extent as may be provided by the contract documents or the Sub-Contract, if either of these provides for earlier or larger payments than the above.
- To pay the Sub-Contractor on demand for his work or materials as far as executed and completed, less the retained percentage, at the time the certificate should issue, even though the architect fails to issue if for any cause not due to the fault of the Sub-Contractor.
- To pay the Sub-Contractor a just share of any fire insurance money received by the Contractor.
- To make no demand for liquidated damages or penalty for delay in any sum in excess of such amount as may be specifically named in the Sub-Contract.
- That no claim for services rendered or materials furnished by the Contractor to the Sub-Contractor shall be valid unless written notice thereof is given by the Contractor to the Sub-Contractor during the first ten days of the calendar month following that in which the claim originated.
- To give the Sub-Contractor an opportunity to be present and to submit evidence in any arbitration involving his rights.
- To name as arbitrator under arbitration proceeding as provided in the general conditions the person nominated by the Sub-Contractor if the sole cause of dispute is the work materials, rights or responsibilities of the Sub-Contractor; or, if of the Sub-Contractor jointly, to name as such arbitrator the person upon whom they agree.
The Contractor and the Sub-Contractor agree that—(n) In the matter of arbitration, their rights and obligations and all procedure shall be analogous to those set forth in this contract.
Nothing in this agreement shall create any obligation on the part of the owner to pay to or to see to the payment of any sums to any Sub-Contractor.
IN WITNESS WHEREOF, the parties hereto have executed this agreement the day and year first above written.