Jump to Download a Construction Contract Agreement Template - 1. Download a Free Construction Contract Agreement Template. This is the Construction Contract Template download page. You can free download Construction Contract Template to fill,edit, print and sign. The following Printable Construction Contract Templates contain the perfect and the necessary provision. Construction Contract Template Free Download. Free construction forms and contracts available for download to help the professional construction contractor. Proposal and Contract Template Free. Enter your company name on the top of the form to replace the default 'Construction Company Name' label. Be the first to know about the hottest apps. Construction Contract Forms - FindForms.com has thousands of free construction contract forms and attorney-prepared legal documents in the category.

Construction contract templates are an excellent business tool that helps in ironing out all the details before the work begins in order to make sure that the construction work runs smoothly and on time.

Table of Contents

1. The Basics

1. Download a Free Construction Contract Agreement Template

2. The-Basics: What is a Construction Agreement?

Construction Contract Forms Free Download 2016

A Construction Contract Agreement is a written document between a property owner and a general contractor, specifying the construction, renovations, alterations, or other work to be done on the property owner’s home or land. This document outlines which parties will be engaged, the price to be paid, the rights of each party, and the date construction will commence and be completed.

A simple document will identify the following basic elements:

• Owner: The party hiring the general contractor to complete construction on his or her property.
• General contractor: The party responsible for the day-to-day oversight of the construction.
• License number: The general contractor’s state license board number, proving they are a licensed contractor
• Worksite: The address of the property where the construction is to be completed.
• Description of work: A detailed description of the work and construction to be done by the contractor. You can also attach project plans and specifications to the agreement.
• Contract price and payments: The total price to be paid for the work and how and when payments will be made.
• Contract documents: any drawings, blueprints, exhibits or other documents that will part of the contract
• Materials and labor: Which party will supply and pay for the cost of materials and labor.
• Starting and completion dates: The dates the contractor must start construction and have the construction substantially completed by.
• Licensing and permits: Which party will be responsible for obtaining any required licenses and permits.
• Subcontracts: Whether the contractor will hire subcontractors to help perform part of the contractor’s obligations
• Work changes: How any changes to the agreed upon work will be handled once construction has begun.
• Warranties: How long will the contractor warrant that his or her work is free from material defects.

These additional elements can also be included:

• Indemnification: The contractor promises to be responsible for any loss or damages incurred by the owner arising out of his or her work.
• Dispute resolution: Arbitration, mediation, and adjudication are common ways for parties to settle disputes under the contract instead of going through the courts.
• Termination: When the buyer or contractor can terminate the contract.
• Inspection: Allows the owner to examine the work done by the contractor at any time during construction to see if it conforms with the contract terms.
• Insurance: Owners and contractors are both responsible for obtaining insurance to protect against damages and defects, and claims and losses.
• Liquidated damages: An amount per day that the contractor must pay to the owner for each day past the agreed upon completion date that construction is delayed.
• Force majeure: Parties will not be responsible for non-performance due to unavoidable occurrences or circumstances beyond their control (e.g. hurricanes, earthquakes, shortage of materials, change in contract plans).

In 1945, the Georgia Supreme Court found that World War 2 did not constitute force majeure because the war was foreseeable given the world’s political state.

In addition, you can also specify how the worksite should be maintained, including supervision of the workers, storage of materials, and where waste can be dumped.

A Construction Contract Agreement may also be called:

• Construction Agreement
• Construction Contract
• Construction Management Agreement
• Service Agreement for Construction
• Construction Services Contract
• Contract for Construction
• Construction Contractor Agreement
• Contractor Agreement

If you are looking to rent or resell your property after construction is completed, create a custom Lease Agreement or Real Estate Purchase Agreement.

Construction Contract Agreement PDF Sample

The sample construction contract agreement below details an agreement between the owner, ‘Anthony E Cummins’, and the contractor, ‘David C Ortiz.’ David C Ortiz agrees to perform work on the property owned by Anthony E Cummins.

Construction Contract Agreement

3. When Do You Need One?

You should use a Construction Contract Agreement if you are on either end of the process of building, renovating or altering a building or structure. Perhaps you’ve finally decided to build your dream home and start living happily ever after. Happily ever after might have to wait because of unreasonable contractor delays or unexpected, excessively high costs.

Or maybe you are a local contractor looking to grow your business and take on bigger construction projects. Either way, you’ll want to make sure you have an agreement in writing to act as the blueprint until construction is completed to iron out the wrinkles.

Looking for some remodeling inspiration? Check out HGTV and Pinterest for some ideas you can incorporate into your Construction Contract Agreement.

This agreement allows the parties to put into writing the exact nature and details of the work to be performed, and the responsibilities of each party throughout the course of construction. In addition, it also details the payment terms of the project. In general, there are three different types of pricing arrangements:

Lump sum: Also known as the traditional “fixed price” contract, it is the most common pricing arrangement for construction contracts. In a lump sum contract, the parties agree on a fixed price, based on the contractor’s appraisal of costs of a complete and final design. Lump sum contracts take into consideration all materials, subcontracts, labor, indirect costs, profit, and more.

Cost or cost-plus: In a cost-plus contract, the owner reimburses the contractor for all costs incurred during the construction such as materials and labor. The owner also pays an agreed upon profit margin, usually a flat fee or percentage of total costs.

Unit price: A unit price arrangement involves the parties placing a price on every unit, or relevant piece of work, such as, by item, by cubic yard, by linear foot, or per hour.

Pricing Arrangements	Benefits	Disadvantages
Lump Sum	-Contractor is able to ask for a higher markup in anticipation of unforeseen events -Contractor has larger profit if overestimates total cost	-Contractor bears almost all of the financial risk -Contractor’s underestimation of total costs will lower profit -An overestimate may lower chances of being lowest bidder for the contract
Cost/Cost-Plus	-Accurate accounting of overhead costs and general conditions -Used when there is variability in amount of materials or time	-Costs can rise rapidly -Owner must verify hundreds or thousands of claimed costs -Owner more susceptible to dishonest contractor and fraud
Unit Price	-Accurate estimation of overhead costs and general conditions -Used when there is variability in amount of materials or time	-Final cost unknown until the completion of the project -Creates an unbalanced bid due to contractor’s ability to raise and lower certain item prices

Benjamin Franklin so famously said, “Time is money.” Whichever side you are on, cut down on construction time by having a clear plan with this document.

The construction process also involves many moving parts, and clearly defining which party is responsible for what role allows for the process to go more smoothly. A few of the necessary parts that can be expressly assigned to either party include:

• Obtaining permits – new construction and additions to existing buildings often requires approval by the local authority and obtaining a permit.
• Providing materials – materials for construction can include cement, drywall, wood floors, or paint.
• Buying fixtures – remodeling and construction often involves new fixtures such as a stainless steel stove, Sub-Zero refrigerator, or fancy new chandelier.
• Paying for utilities – sometimes temporary utilities such as generator power, drinking water, and sewage are needed for construction.

4. The Consequences of Not Using One

Say your contractor and his team suddenly stopped working, and he or she is demanding excessive payment for materials and labor not originally agreed upon. Or, your client, the owner, is refusing to pay you after completion of the project. Either way, you’ll want to make sure you have an agreement in writing to protect your rights. If you don’t have an agreement, you risk wasting time and money, not to mention the quality of the construction.

The success of construction depends on clearly defined expectations and schedules. Mistakes or delays affect both owners and contractors negatively, causing owners additional costs because they are unable to use the property for the intended purpose at the intended time, and causing contractors additional costs for labor and equipment.

Owners can protect against delays in construction with a liquidated damages clause in their agreement. Liquidated damages are a set amount per day that the contractor will pay to the owner for each day that construction is delayed. Rather than litigating damages in court, the owner and the contractor can agree in advance on a liquidated damages amount.

In order for liquidated damages to be upheld, the owner’s damages must be uncertain or difficult to determine ahead of time. In addition, the liquidated damages must be a reasonable amount and cannot be a penalty. And the delay in construction cannot be due to circumstances beyond the contractor’s control, such as changes in the work or extreme weather.

Here are some common causes of delays in construction:

• Adverse weather
• Material shortages
• Changes in design
• Restrictive regulations
• Transportation delays
• Delays in obtaining permits
• Labor strikes

Including a liquidated damages clause is not without risks. The amount agreed upon may not be enough to cover the full amount of damages that the owner suffered. Or it may be greater than the amount a court would have ordered. However, with a liquidated damages clause, the owner can be assured that he or she will recover some amount for delay in construction, and the contractor can limit his or her exposure.

A simple Construction Contract Agreement could help prevent and resolve some of these issues:

Owner	Contractor
Commencement and completion delays	Payment delays
Imbalanced risk allocation	Imbalanced risk allocation
Poor performance	Additional labor costs
Unsatisfactory or wrong work	Additional material costs
Work changes	Work changes
Loss of use of home	Lost profits
Early termination	Early termination

With the recent surge in worldwide economy, more and more businesses are opening. With the establishment and growth of many businesses, the construction industry has greatly benefited, especially in developing countries, you can see a lot of buildings being constructed. Even on a smaller scale, you could see a lot of people constructing or renovating their homes.

When employing the help of a construction company, you would need to clearly lay out all the terms of your relationship. This would prevent any disagreements that could happen. You need to be sure that you have a construction agreement with your contractor. Confused as to what goes into these agreements? Well, we have construction sample agreement forms that you can look at below.

Construction Agreement Template

Construction Contract Agreement Template

Construction Contractor Agreement Template

Construction Management Agreement Template

Building Construction Agreement Forms

Building Construction Labour Contractor Agreement

Building Construction Agreement in PDF

Residential Construction Agreements

Model Residential Construction Contract

Residential House Construction Contract

Commercial Construction Agreements

Standard Construction Agreement in PDF

Construction Contract Forms Free Download For Windows 10

Subcontractor Construction Agreements

Standard Subcontract Agreement for Construction

Construction Subcontract Agreement

Construction Contract Agreements

Residential Construction Agreement

Construction Management Agreement

Standard Form of Construction Management Agreement

What Is a Construction Agreement Form?

Whenever there is a need to hire the services of a construction contractor, you would need to have a set of arrangements that need to be met by both parties. You can’t just go into a construction relationship without going through the negotiation process first. Before starting the project, you would need to sit with each other and agree on the terms of the business relationship that you are going to have. In order for the terms to be legally binding, you would need to put it into writing. The document where these terms will be written is called a construction agreement.

In a construction agreement, all the duties and responsibilities of both parties, especially that of the contractor, would need to be clearly outlined. In the agreement, you should give a concise description of the work that needs to be done. The document also outlines the total cost of the project as well as the payment terms. The construction agreement form has to contain all the necessary provisions needed in a contract for it to effectively serve its real purpose — to protect all parties involved in the project. In a construction project, it is not only the client and the contractor; the contractor may seek the help of subcontractors. You may also need to make a construction loan to help in the funding of the project. For all these transactions, you would need to have a construction agreement so that everything is clear between all parties involved.

The Importance of Standardizing Construction Agreement Forms

In order to have a smooth working relationship in a construction project, you would need to have a construction agreement between all the parties. In these projects, the parties involved would often opt to use a standard form of construction agreement. Listed below are some of the benefits of using sample forms for your next construction project:

• The standard construction agreement forms is the result of negotiations from various sectors of the construction industry. This means that all factors associated with doing a construction project have been taken into consideration. The standard construction agreement form was formed as a result of multiple negotiations from a number of people in the industry, so you are sure to have an agreement that is as comprehensive and fair as possible.
• The standard construction agreement form offers familiarity. When the forms in the construction industry are standardized, the people using the forms would become familiar with it, including the important clauses that go with it. Because of this familiarity of the terms that go in these documents, there is a lesser possibility of disputes that could happen.
• The standard construction agreement form makes the whole tendering process easier. By having a standard form for everyone, it becomes easier to compare and assess the terms that are written in it. All processes involved in the relationship, such as pricing and payment, would be done significantly faster.

Remodeling Agreements

Construction Agreement for Residential Home

Remodeling Contract Agreement

Agreement for Commercial Construction/Maintenance Services

Construction Loan Agreement Forms

Residential Construction Loan Agreement

Multistate Construction Loan Agreement

Commercial Construction Loan Agreement

Construction Management Agreement Forms

Construction Project Management Agreement

Risk Factors Involved in a Construction Agreement

In any relationship between two entities, especially one which involves some kind of money or value, there is often some kind of risk involved. Especially in the construction industry, there is a lot of risk that needs to be addressed carefully. For instance, the price of some materials that will be used in the project are laid out in the agreement. When there is a change in the price of that material, the original price that was agreed on and written in the contract sticks. If the price increases at a future time, the seller assumes that risk. If it decreases, the buyer carries the risk and would have to settle with the higher price that was outlined in the agreement.

In order to manage the risks that come with doing a construction project, all parties involved would need to have an agreement that addresses all these issues. These agreements can be seen as an organized system of distributing risks to all people that take part the transaction. This way, the agreement now functions as a construction contract. In a construction project, it is not only the price that is an identifiable risk. There are several other risks that need to be taken into consideration when making a construction agreement.

• Time. If the project cannot be completed on time, resulting in attendant loss, then the agreement would need to appoint who will shoulder the costs, how it will be measured, etc.
• Design. If the design that was agreed on during the negotiation process was not followed, then what actions are need to be done and what will be done to repair it.
• Act of God. An “act of God” is an event that nobody has control over. This includes natural disasters, such as storms and earthquakes, which could damage or delay the construction. In this case, the agreement needs to determine which party will shoulder the cost involved.
• Funding. Funding could become a problem during the construction process. There could be a delay on the lender’s side. This issue must be addressed in the agreement.
• Regulatory risks. When venturing into a construction project, the government is usually involved. You would need to get the necessary permits and approval on the design. If there is failure in this regard, the agreement has to detail who will be responsible for the costs.
• Unexpected conditions. There will always be unforeseen situations that would happen during the construction process. When this involves additional cost, identify which party would be responsible for taking care of the costs involved.

Prime Contract Construction Agreements

Agreement Between Owner & Contractor for Construction

Standard Form of Contract for Limited Construction

Construction Subcontract Agreements

Subcontractor Agreement Template

Standard Subcontractor Agreement

Subcontract Agreement for Building Construction

Short Form Subcontract

Road Construction Agreements

Road Preservation, Use and Repair Agreement

Road Development Agreement

Tips in Making a Construction Agreement Form

It is a major decision to take on a construction project. You would need to first determine what you want done in your home or building, how you want it to look like, how you will get the necessary funding for the project, and so on. You get the point: a construction project is not really something that is ordinarily done on a whim. Thought must be placed in making the decision. It may be as small as renovating your kitchen or building an entirely new room for your house. Whatever it is, you would need to be clear with your contractor on the terms of the project. You can do this by having a construction agreement.

However, you may be confused as to what goes into these documents. You may have no idea where to start. Chris brown heartbreak on a full moon zip file download. You must remember that the contents of the agreement are the necessary terms in order to have a good working relationship with your contractor so you have to put effort and thought into making them. Good thing we provide you with sample agreement forms that you can use for your construction project. To further help you in writing an airtight construction agreement, here are some useful tips that you can use:

• Write down the parties involved. This is pretty obvious but mind you, it’s important, or rather, the importance of getting it right, could not be stressed enough. You would need to make sure that the agreement is between the client and the contractor.
• Provide a description of the work. Be as specific as possible so that disputes are avoided. By providing a written description of the job, contractors can easily refer back to it if needed.
• Outline the price and payments. Money is a big issue when it comes to undertaking any project, so make sure that the payment terms are clearly set out in the agreement.
• Write down the important dates. Some important dates that need to be included in the agreement are the start date and the end date or completion of the project. Include the penalties that will be enforced when it is not completed on time. Also, take into consideration the unexpected things that could cause delay.
• Write down who is responsible in getting permits and insurances. There are many legal documents that are involved in a construction project and you would need to point out who gets them and who will pay for them.
• Outline the warranties. There will be a period of time where contractors are expected to fix anything that happens to the project. Mention that in the agreement.
• Mention how to handle disputes. Because litigation is expensive, you may want to consider arbitration. Take a look at these sample arbitration agreements for a guide.

A construction agreement is a vital part in any construction project. It often spells the difference between a smooth working relationship and a dispute that could result in litigation. When looking for one to use for your own construction project, save time and don’t hesitate to use our sample agreement forms.