SUB-CONTRACT FOR THE EXECUTION OF WORKS

 

AN AGREEMENT made the _____ day of _______.

BETWEEN

_________________________ [insert the name, address etc. of contractor] (hereinafter called the contractor) of the one part

and

________________________ [insert the name, address etc. of sub- contractor] (hereinafter called the sub-contractor) of the other part.

WHEREAS:?

1. By an agreement (hereinafter called the principal contract) dated the ________ day of ________ and made between the contractor of the one part and the Calcutta Municipal Corporation (hereinafter called the employer) of the other part the contractor has agreed to execute certain works namely [described shortly works to be executed.]
2. The sub-contractor has been fully informed of the terms of the principal contract in so far as they concern this agreement.
3. The sub-contractor has agreed to execute part of the above-mentioned works namely [describe work to be executed] [or such part of the above- mentioned works as is described in the first schedule hereto] (hereinafter called the said works) in accordance with the terms of the principal contract for the consideration hereinafter set out.

NOW IT IS HEREBY AGREED as follows:

1. The sub-contractor will execute the said works with such variations as the architect of the employer may direct in a workmanlike and thorough manner in accordance with the principal contract and complete the same to the approval of the contractor’s surveyor and will provide at his own cost all materials plant skilled and unskilled labour necessary in the opinion of the contractor’s surveyor for so executing and completing the said works.
2. The sub-contractor will complete the said works and any variations which may be ordered and hand the same over to the contractor on the ______ day of _________ No extension of the time for completing the same shall be made owing to any variations made in the works by order of the said architect of the employer unless the architect in consequence of such variations extends the time allowed to the contractor by the principal contract for the completion of the whole works in which case the contractor’s surveyor may extend the time for completion under this agreement for a period not greater than that allowed to the contractor for the completion of the whole works.
3. If in the opinion of the contractor’s surveyor the sub-contractor fails to proceed with the said works with reasonable speed or does not execute them in a satisfactory manner or in accordance with this or the principal contract or refuses or neglects to make such alterations as the said surveyor may require the said surveyor may serve the sub-contractor with written notice in that behalf and if in the opinion of the said surveyor the sub-contractor neglects or fails to set right the matters complained of in such notice within seven days from the service of such notice the said surveyor may certify in writing to the contractor that the sub-contractor has in his opinion so neglected or failed and thereupon the contractor may by a written notice determine this agreement and may enter upon the said works and may expel the sub-contractor therefrom and may seize and forfeit all the materials and plant belonging to the sub-contractor and being at the time of such entry upon the said works or upon the land adjacent thereto and may use the same to complete the said works either by the contractor himself or by another sub-contractor. In case this agreement is determined by the contractor under this clause the said surveyor shall on the completion of the said works certify in writing to the contractor and to the sub-contractor the cost of such completion and the damages (if any) sustained in his opinion by the contractor through the default of the sub-contractor and he shall also so certify the whole amount which would be payable to the sub-contractor under clause 4 hereof if the sub-contractor had completed the said works less any payments actually made to him thereunder and if the said cost and damages exceed the latter amount then the balance shall be a debt due from the sub-contractor to the contractor and if the latter amount exceeds the said cost and damages then the contractor shall pay the balance to the sub-contractor. In case there shall be at the time the contractor expels the sub-contractor from the said works any wages due from the sub-contractor to his workmen employed on the said works then the contractor may pay such wages and they shall be considered as expenses incurred in completion within this clause.
4. The work executed by the sub-contractor shall be measured up each [week] by the contractor’s surveyor who shall give the sub-contractor his written certificate of the value of such work at the prices set out in the schedule of prices hereto annexed. Each certificate shall be an order to the contractor to pay the amount certified less ten per cent retention money and such payment shall be made by the contractor immediately upon the grant of the next certificate of the architect of the employer under the principal contractor. On completion of the said works to the satisfaction of the said surveyor he shall certify the balance due to the sub-contractor which balance shall be paid to the sub-contractor by the contractor on the receipt by the latter of the next certificate of the said architect.
5. Any dispute or difference between the contractor and the sub-contractor arising under or in connection with this contract or in respect of anything done or purporting to be done under the powers contained herein shall be decided by the surveyor of the contractor who shall notify his decision in writing to the parties and subject as hereinafter mentioned such decision shall be binding and conclusive upon the contractor and the sub-contractor. If the surveyor shall not have notified to either party his decision on any dispute or difference within a period of [three months] after being requested to decide it or if either party shall be dissatisfied with any decision of the surveyor notified to him then that party may within [one month] after the expiration of the said period or within [one month] after receiving notice of the decision (as the case may be) require the dispute or difference to be submitted to an arbitrator to be appointed by the President for the time being of the [appropriate institution] in accordance with the Arbitration Act, 1940 or any statutory modification or re-enactment thereof for the time being in force.

IN WITNESS etc.

[FIRST SCHEDULE]

[Particulars of work to be done]

[SECOND SCHEDULE]

[Schedule of prices]

[Signatures [and seals] of both parties]