10 Essential Contract Documents for Construction Projects

10 Essential Contract Documents for Construction Projects

Constructing a solid contract represents one of the first steps toward the success of your project, no matter what you’re building or what client you are working for. A full-fledged construction contract can include as many as 10 documents specifying different aspects of the work. Successful contractors learn how to use all of them.

Construction Contract Agreement

This is the principal agreement between the construction contractor and the private property owner or the contracting officer for a business. It’s the essential component of the bundle of various contract documents-the main document to which most of the other documents attach or refer.

Scope of Work (SOW)

Having a clearly defined scope of the work involved for a project is helpful during the bidding process and later on during the construction sequence.

The Scope of Work document, sometimes known as the Statement of Work, should enumerate all of the work to be done, who is responsible for the work, how the work should be performed (techniques used), and what materials will be used. This is the document that will detail how change orders are handled.

Construction Schedule

The construction schedule is an important component of the larger document and second only to the construction contract agreement. This component allows the contracting client to know how and when the project will be completed and offers them leverage when schedule problems arise. It is also the document that helps the contractor schedule the work. Construction contracts sometimes require updated schedules throughout the construction progress, and they might form the basis for the application for payments by the contractor.

General Conditions

The General Conditions portion of an overall construction contract is the portion that sets forth the right, responsibilities, and relationships between the client and contractors. Most important is the delineation of rights and responsibilities of each party. Continue reading “10 Essential Contract Documents for Construction Projects”