What provisions should be in a construction contract

Legal Article

What provisions should be in a construction contract

A construction contract is a legally binding agreement between a contractor and a client that outlines the terms and conditions of a construction project. A construction contract should include the following provisions:

  1. Scope of work: The contract should specify the scope of the work to be done, including a detailed description of the materials, labor, and equipment needed for the project.
  2. Timing: The contract should specify the timeline for the project, including the start and completion dates.
  3. Costs: The contract should outline the costs associated with the project, including the price of materials, labor, and any other expenses.
  4. Payment terms: The contract should specify how and when the client will pay for the project, including any progress payments or final payment.
  5. Changes: The contract should outline the process for making changes to the scope of work or the timeline of the project.
  6. Liability: The contract should specify which party is responsible for any damages or injuries that may occur as a result of the construction work.
  7. Dispute resolution: The contract should outline the process for resolving disputes that may arise during the course of the project.
  8. Termination: The contract should specify the circumstances under which the contract can be terminated, such as if the work is not completed on time or if there is a breach of the contract by either party.

It is important to have a written construction contract in place to protect the interests of both the contractor and the client and to ensure that the project is completed in a timely and satisfactory manner. If you are considering entering into a construction contract, it is a good idea to consult with an attorney who can help you draft a contract that meets your needs and complies with applicable laws.