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Construction Contract

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Microsoft Word (Editable)
Pages
5
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Document Overview

A Construction Contract is a formal, legally binding agreement between a property owner (client) and a contractor for the construction or renovation of a building or infrastructure.

Key Components of a Construction Contract:
1. Parties Involved
2. Scope of Work
3. Project Timeline
4. Contract Price and Payment Terms
5. Responsibilities of the Contractor
6. Responsibilities of the Client
7. Change Orders
8. Warranties and Guarantees
9. Insurance and Bonding
10. Dispute Resolution
11. Termination
12. Force Majeure
13. Indemnity and Liability
14. Completion and Handover

Purpose of a Construction Contract:
1. It clearly defines the roles, responsibilities, and expectations of both the client and the contractor.
2. The contract helps in setting clear timelines and project milestones.
3. The contract specifies payment terms.
4. It offers legal protection for both parties.
5. The contract outlines the mechanisms for resolving any disputes that may arise during the project.

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