According to Guillermo of Martz Inc, a New Orleans roofing company, he goes to share that there are some construction basics we all should follow and that similar to other kinds of business contracts, there are various provisions of a construction contract. Those provisions describe the terms of the agreement and other details of the project to ensure that each party knows and upholds their part of the deal. While the provisions may sometimes vary, the following are the main elements that every construction contract should cover.
Project Title and Purpose
A construction contract should start by citing the specific type of works to be done and, name of the area where they will be performed. For example, if you are composing a contract for installing lighting fixtures in the bathroom, the title can be ‘’A Construction Contract for Installing Lighting Fixtures in the Bathroom.’’
The purpose of the project can include details like the expected start and completion dates, and addresses of the property owner and contractors. You may also want to include a disclaimer in case you expect certain variable may affect the completion of the job within the given timeline.
An ideal construction contract should also provide a detailed description of the particular works involved in the project. The description should not only focus on the expectations of the property owner but, also the specific works that the contractor has agreed to perform. The contract should describe all the specific activities that the workers will undertake during the project.
In case of any changes to the scope of the work, both parties should agree on the same before they are implemented.
Construction Materials and Labor
A construction contract should also highlight the materials that will be required for the proposed works as well as the party responsible for supplying them. The provision should also outline the cost estimates for those materials. It should also state who will provide the labor and the costs of hiring them.
Other key aspects that an ideal construction contract should also address include liquidation damages, insurance, payment schedule, indemnity, warranties, and a termination clause. Including these provisions will ensure a comprehensive contract where all parties clearly understand their responsibilities and rights.