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Write a Construction Contract for a residential property.
Construction Contract for a Residential Property
Table of Contents
Introduction
Parties Involved
Scope of Work
Contract Price and Payment Terms
Duration and Completion
Changes to the Work
Permits and Approvals
Insurance and Liability
Warranties and Guarantees
Dispute Resolution
Termination
Miscellaneous Provisions
Signatures
1. Introduction
This Construction Contract ("Contract") is made and entered into on [Date], by and between [Owner's Full Name], residing at [Owner's Address] ("Owner"), and [Contractor's Full Name], with a principal place of business at [Contractor's Address] ("Contractor"). This Contract sets forth the terms and conditions under which the Contractor agrees to perform certain construction services for the Owner.
2. Parties Involved
Owner: [Owner's Full Name], residing at [Owner's Address].
Contractor: [Contractor's Full Name], with a principal place of business at [Contractor's Address].
3. Scope of Work
The Contractor agrees to perform the following work ("Work") on the residential property located at [Property Address] ("Property"):
Construction of a [describe the type of residential property, e.g., single-family home, duplex, etc.].
Specific tasks include [list specific tasks, e.g., foundation work, framing, roofing, plumbing, electrical, etc.].
All work shall be performed in accordance with the plans and specifications provided by [Architect/Designer Name], dated [Date].
4. Contract Price and Payment Terms
Contract Price: The total contract price for the Work is Ksh [Total Amount].
Payment Schedule: Payments shall be made as follows:
Initial deposit of Ksh [Amount] upon signing this Contract.
Progress payments of Ksh [Amount] upon completion of [specific milestones, e.g., foundation, framing, roofing, etc.].
Final payment of Ksh [Amount] upon substantial completion of the Work and acceptance by the Owner.
5. Duration and Completion
Commencement Date: The Work shall commence on [Start Date].
Completion Date: The Work shall be substantially completed by [Completion Date].
Delays: If the Contractor is delayed at any time in the progress of the Work by any act or neglect of the Owner, or by any changes ordered in the Work, or by labor disputes, fire, unusual delay in deliveries, adverse weather conditions, or any other causes beyond the Contractor's control, the Completion Date shall be extended by a reasonable period of time.
6. Changes to the Work
Change Orders: Any changes to the Work, including additions, deletions, or modifications, must be agreed upon in writing by both the Owner and the Contractor. The cost and time for such changes shall be adjusted accordingly.
7. Permits and Approvals
Permits: The Contractor shall obtain all necessary permits and approvals required for the performance of the Work.
Compliance: The Contractor shall comply with all applicable laws, regulations, and building codes.
8. Insurance and Liability
Insurance: The Contractor shall maintain general liability insurance and workers' compensation insurance in amounts sufficient to cover any potential claims arising from the performance of the Work.
Liability: The Contractor shall be responsible for any damage to the Property caused by the Contractor's negligence or willful misconduct.
9. Warranties and Guarantees
Workmanship Warranty: The Contractor warrants that all Work shall be performed in a good and workmanlike manner and in accordance with industry standards.
Materials Warranty: The Contractor warrants that all materials used in the Work shall be new and of good quality.
Warranty Period: The warranties provided herein shall be valid for a period of [Warranty Period, e.g., one year] from the date of substantial completion of the Work.
10. Dispute Resolution
Mediation: Any disputes arising under this Contract shall first be submitted to mediation.
Arbitration: If mediation fails to resolve the dispute, the parties agree to submit the dispute to binding arbitration in accordance with the rules of the [Arbitration Institution, e.g., Chartered Institute of Arbitrators, Kenya Branch].
11. Termination
Termination by Owner: The Owner may terminate this Contract for cause if the Contractor fails to perform the Work in accordance with the terms of this Contract.
Termination by Contractor: The Contractor may terminate this Contract for cause if the Owner fails to make payments as required by this Contract.
12. Miscellaneous Provisions
Entire Agreement: This Contract constitutes the entire agreement between the parties and supersedes all prior agreements and understandings.
Amendments: This Contract may be amended only by a written agreement signed by both parties.
Governing Law: This Contract shall be governed by and construed in accordance with the laws of the Republic of Kenya.
Severability: If any provision of this Contract is found to be invalid or unenforceable, the remaining provisions shall continue in full force and effect.
13. Signatures
IN WITNESS WHEREOF, the parties hereto have executed this Construction Contract as of the day and year first above written.
Owner:
[Owner's Full Name]
[Owner's Address]
[Date]
Contractor:
[Contractor's Full Name]
[Contractor's Address]
[Date]
Conclusion
This Construction Contract outlines the terms and conditions under which the Contractor will perform construction services for the Owner. It includes details on the scope of work, payment terms, duration, changes, permits, insurance, warranties, dispute resolution, termination, and miscellaneous provisions. Both parties should review and understand the contract thoroughly before signing.
TLDR
A detailed Construction Contract for a residential property in Kenya, covering all essential aspects such as scope of work, payment terms, duration, changes, permits, insurance, warranties, dispute resolution, and termination.
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Answered by mwakili.com