Project Management Consultancy Agreement
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Document Overview
A Project Management Consultancy Agreement is a formal contract between a client (developer, organization, or property owner) and a Project Management Consultant (PMC) engaged to plan, coordinate, and oversee the successful execution of a construction or development project. It defines the consultant’s role, authority, scope of work, fees, and obligations throughout the project lifecycle.
Purposes:
To officially appoint a consultant to manage and coordinate all project activities.
To outline the scope of project management services and performance expectations.
To specify payment terms, timelines, and deliverables.
To protect both the Client and Consultant by defining legal rights, liabilities, and dispute mechanisms.
To ensure the project is delivered within the agreed cost, time, and quality standards under Kenyan law.
Key Components:
1. Parties – Identifies the Client and the Project Management Consultant.
2. Appointment – Formalizes the engagement for a specific project.
3. Scope of Services – Lists project planning, coordination, supervision, and reporting duties.
4. Fees and Payment Terms – Defines consultant’s fees, reimbursement, and payment schedule.
5. Obligations of Each Party – States duties, cooperation, and responsibilities of both sides.
6. Duration – Specifies the effective period of the contract.
7. Liability and Insurance – Covers negligence, indemnity, and insurance obligations.
8. Confidentiality and Ownership – Protects project data and defines ownership of documents.
9. Termination – Outlines conditions and notice period for contract termination.
10. Dispute Resolution – Provides for negotiation, mediation, and arbitration under the Arbitration Act, 1995.
11. Governing Law – Declares the agreement subject to the laws of Kenya.
12. Execution – Provides signature lines for both parties and witnesses.
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