CONSTRUCTION CONTRACT
DATE
This is a Construction Contract by and between
, having a mailing address at , hereinafter collectively referred to as "Owner" and
Hammers For Hire Design/Build Remodeling, having a mailing address at 4525 Northpark Dr. Suite 104, Colorado Springs, CO. 80918, hereinafter referred to as "Contractor". Whereas Owner desires to modify
their above-referenced property hereinafter referred to as “Project” And, Whereas Owner desires to have the project construction and renovations completed by the Contractor and the Contractor desires to provide such construction and renovation services;
Therefore the Owner and the Contractor agree as follows: Contract Documents
The contract documents consist of this contract, construction specifications and the construction draw and/or payment schedule. These contract documents represent the entire agreement of both parties and supersede any prior oral or written agreement.
Scope of Work
The Contractor agrees to remodel the above mentioned “Project” in Colorado Springs, Colorado according to the following specifications;
-------- a detailed breakdown of the scope of work would be inserted here
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Total Project Cost
The cost for remodeling the project as specified in the construction documents shall be set at the sum of ($0), subject to additions and deductions pursuant to authorized change orders and allowances.
Progress Payments
Subject to other provisions of the contract documents the amount of each progress payment shall be computed as follows; 1st Payment upon signing of this construction contract: nd 2 Payment upon completion of 3rd Payment upon completion of th 4 Payment upon completion of 5th And final payment made upon completion of project as specified: $0 $0 $0 $0 $0
In the event that a scheduled payment is not received by the Contractor within 10 working days after delivery of payment demand for work satisfactorily completed, the contractor shall have the right to stop work or terminate the contract at his option. Termination by the Contractor under the provisions of this paragraph shall not relieve the Owner of the obligations of payments to the Contractor for that part of the work performed prior to such termination. Termination by Owner under the provisions of this paragraph shall not relieve the Owner of the obligations of payments to the Contractor for that part of the work performed prior to such termination.
Duties of the Contractor
- All work shall be in accordance to the contract provisions, approved plans and contract specifications. - All work shall be completed in a workman like manner, and shall comply with all applicable national, state and local building codes and laws. - All work shall be performed by licensed individuals (if state required) to perform their said work, as outlined by law. - Contractor shall obtain all permits necessary for the work to be completed. - Contractor shall remove all construction debris and leave the project in a clean, move-in condition.
Owner Communicating with the Subcontractors
The Owner shall communicate with subcontractors, vendors and/or anyone affiliated with this specific project only through the Contractor. If anyone is asked to do additional work by the Owner and it has not been approved by the Contractor, the Owner will take full responsibility for payment, damage, schedule delays and/or anything associated with such change that effects the Contractors work according to this contract.
Change Orders and Finish Schedules
A change order is any change to the original plans and/or specifications. All change orders need to be agreed upon in writing, including cost, additional time considerations, approximate dates when the work will begin and be completed, a legal description of the location where the work will be done and signed by both the Owner and the Contractor before any additional work will be scheduled or completed.
Insurance
The Contractor shall purchase and maintain Workman’s Compensation and General Liability insurance coverage as required by law and deemed necessary for his own protection.
General Provisions
If conditions are encountered at the construction site which are subsurface or otherwise concealed physical conditions or unknown physical conditions of an unusual nature, which differ naturally from those ordinarily found to exist and generally recognized as inherent in construction activities, the Owner will promptly investigate such conditions and, if they differ materially and cause an increase or decrease in the Contractor’s cost of, and/or time required for, performance of any part of the work, will negotiate with the Contractor an equitable adjustment in the contract sum, contract time or both. Unforeseen and/or hidden conditions are not the responsibility of the Contractor and the Owner should be aware that increases in the project cost could be a possibility.
Hazardous Materials, Waste And Asbestos
Both the Owner and the Contractor agree that dealing with hazardous materials, waste or asbestos requires specialized training, processes, precautions and licenses. Therefore, unless the scope of this agreement includes the specific handling, disturbance, removal or transportation of hazardous materials, waste or asbestos, upon discovery of such hazardous materials the Contractor shall notify the Owner immediately and allow the Owner to contract with a properly licensed and qualified hazardous material contractor.
Arbitration of Disputes
Any controversy or claim arising out of or relating to this contract, or the breach thereof, shall be settled by mediation and/or arbitration administered by the Colorado Springs Better Business Bureaus, and judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.
Warranty
At the completion of this project, the Contractor shall warranty the project for 1 year against defects in workmanship or materials utilized. All manufacturers warranty on any products and/or fixtures used to complete this specific project will prevail. No legal action of any kind relating to this project, project performance or this contract shall be initiated by either party against the other party after 1 year beyond the completion of the project or cessation of work.
Termination of the Contract
Should the Owner or Contractor fail to carry out this contract, with all of its provisions, the following options and stipulations shall apply: If the Owner or the Contractor shall default on the contract, the non-defaulting party may declare the contract is in default and proceed against the defaulting party for the recovery of all damages incurred as a result of said breach of contract, including all attorney’s and/or legal fee. In the case of a defaulting Owner, the earnest money herein mentioned shall be applied to the legally ascertained damages. In the event of a default by the Owner or Contractor, the non-defaulting party may state his intention to comply with the contract and proceed for specific performance. In the case of a defaulting Owner, the Contractor may accept, at his option the earnest money as shown herein as liquidated damages, should earnest money not cover the expenses to date, the Contractor may make claim to the Owner for all work executed and for proven loss with respect to equipment, materials, tools, construction equipment and machinery, including reasonable overhead, profit and damages applicable to the property less the earnest money.
Attorney Fees
In the event of any arbitration or litigation relating to the project, project performance or this contract, the prevailing party shall be entitled to all attorney fees, costs and expenses.
Acceptance and Occupancy
Upon completion, the project area shall be inspected by the Owner and the Contractor, and any repairs necessary to comply with the contract documents shall be made by the Contractor. The Owner shall not occupy the project area until all the work has been completed, a walk-through has been completed with the Owner and Contractor, all repairs have been completed and the final payment for the project has been received by the Contractor. Occupancy of the project area by the Owner in violation of these terms shall constitute unconditional acceptance of the project and a waiver of any defects or uncompleted work.
Contract Clauses
Please read the following contract clauses very carefully, these items are extremely important pertaining to the signing of this construction contract. If for any reason at all you, the Owner and/or responsible party for singing this contract, do not understand any item in the following clause, please ask the Contractor and/or your legal representative for clarification before you sign.
1. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that during the estimating and pre-planning stages of any project many different ideas and issues are discussed between the Owner and the Contractor and/or the Contractors representative. Upon reviewing and approving the construction specifications and the construction contract pertaining to this specific project the details there-in become final. No work will be performed or items supplied based upon assumptions, thoughts, conversations and/or wishes unless they are specifically mentioned and/or detailed in writing in the approved and signed contract. It is the responsibility of the Owner to take the appropriate time to review every detail pertaining to this specific project and if additions or details need to be made to the final specifications that those items are brought to the attention of the Contractor before the final construction contract is signed. We ask that you take as much time is needed to review your project specifications, looking for specific details that you want to make sure are included and that you expect to be completed as part of this project. The Contractor will negotiate and/or make all necessary changes that are requested by the Owner before the contract is signed. Once the construction contract is signed all specifications and details there-in become final and any changes from those details will require additional charges to the Owner in the form of a standard change order.
2. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that the Contractor, Contractor’s employees, subcontractors, vendors and/or representatives will not, at any time or for any reason move the Owner’s personal belongings. Please be aware that a start date will be provided to the Owner by the Contractor or Contractor’s representative to allow the Owner the appropriate time to schedule and complete the moving of all valuable and/or personal items from the area of this specific project. If the Owner make the personal decision to leave any personal items in the area of this specific project it will not be the Contractor’s, Contractor’s employees, subcontractors, vendors and/or representative’s responsibility to cover, protect and/or move the item and the work will be stopped by the Contractor until the Owner has completed moving the items out of the project area or the Owner has covered the item in whichever means that they feel is appropriate to protect that specific item. If any of the Owner‘s personal items are left in the project area and the item receives any kind of damage including but not limited to dust infiltration, scratches, paint, stained, broken, chipped, knocked over, crushed, cracked etc., it will be the Owner‘s responsibility to schedule, supervise and pay for the damage. If the Owner has any wall hanging items that they are concerned may fall or break from project related hammering, demolition or vibrations they should remove these items no matter if the item is in the project area or not, the Contractor will take no responsibility for items that are damaged or broken because of vibrations or movement caused by the work being completed by the Contractor, Contractor’s employees, subcontractors, suppliers and/or vendors.
The Contractor will take responsibility and cover the expense of repairing any damage caused by or related to this specific project to items that are fixed to the property such as but not limited to concrete, flooring, drywall, paint, windows, doors, etc. The Contractor and/or Contractor’s representative will complete a thorough walk-through of the site with the Owner at which time all existing damage will be noted, photographed and singed off by the Owner as existing.
3. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that the Owner will take full responsibility for pet(s), children, friend(s), themselves and/or family during the off hours when the Contractor is not working on the site such as but not limited to holidays, weekends and after 5pm on normal work days. Because the Contractor does not have the ability to supervise site visits during off hours the responsibility becomes the Owner‘s to not allow individuals to walk in, on or around the project site unless the Owner is willing to take full
responsibility for any and all damages and/or injuries that may occur. The Contractor will meet normal industry standards to maintain a clean and safe working environment but cannot guarantee that the Owner‘s pet(s), children, friend(s), themselves and/or family will be knowledgeable, careful and/or take responsibility for their own actions for all incidents that may take place during off hours when the Contractor does not have the ability to guide and/or safeguard the project area. Please be aware that the Contractors daily work hours are 8am to 5pm, Monday through Friday and the Contractor does not allow work on weekends or national holidays unless prior arrangements have been made with the Owner.
4. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that if for any reason during the project the Owner makes the decision to take personal time off from their employment and/or a scheduled personal vacation to watch or be on site during a certain aspect of the project, it is to their personal discretion to do so and the Contractor will not be held liable for time lost due to unforeseen schedule changes that may result in a change of plans or schedule pertaining to the specific portion that the Owner wanted to be on site for. As a general contractor we experience schedule changes daily and cannot guarantee that things will always go as scheduled.
5. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that the Contractor does not work on any type of pay clause and will not reimburse the Owner in any way for a project that may go beyond the projected completion date. The Contractor may experience many changes during a construction project including things that are added and/or changed by the Owner and because of the nature of this type of business it is impossible to project an exact completion date. The Contractor will make every effort to keep the Owner informed of schedule changes and do a professional job of managing the project to complete the overall project in a timely manner.
6. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that the Contractor will not be responsible for any kind of pet(s) that the Owner may have no matter the breed, species, type, size or nature. The Owner will be responsible to properly maintain and secure the pet(s) at all times during normal working hours of the project. If for any reason the pet(s) is left unattended and it is lost, injured, stolen or killed it will not be the Contractor’s, Contractor’s employees, subcontractors and/or vendors responsibility. The Contractor will not work or allow any other person to work in an environment that is deemed unsafe because of a pet(s) that is aggressive or shows aggression to any person working on this project. If an Owner’s pet is left unattended and any person(s) working on this project are injured by the Owner‘s pet(s) it will be the Owner‘s responsibility to pay all medical and/or personal expenses that result from the injury caused by the Owner‘s pet(s).
7. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that if this project includes any type of phone, satellite, alarm system, CAT5 or networking changes, the Owner will be responsible for contacting, scheduling and supervising the work to be completed by the appropriate service provider. The Contractor will not move, alter, extend or change any wiring that is based upon a service type of system such as phone, cable, alarm system or satellite. The Contractor does have the resources to move, add or change CAT5, network and similar low voltage wiring and if requested by the Owner during the design/estimating stage and if listed in the specifications for this project those items can be scheduled, supervised and completed by the Contractor or Contractor’s subcontractor.
8. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that construction, repairs and/or renovations of any type, project size or scope of work creates dust and debris. Dust and debris are standard and the Contractor, Contractor’s employees and/or subcontractors will comply with normal industry standards to maintain a clean and dust free jobsite. The Contractor will supply all materials and labor to complete dust masking and daily site cleaning including trash/debris pick-up, proper disposal and broom sweeping daily. A dust free environment cannot be guaranteed and a light dust throughout the entire interior of the home, depending on the size of the project should be expected and anticipated by the Owner(s). The Contractor will provide basic house cleaning throughout the project area but not extending into any other room unless the additional areas are a specified project area outlined within the project specifications. The Contractor does not include any type of carpet or HVAC duct cleaning of any type. The Contractor does have professional resources that can be recommended to the Owner but the Contractor is in no way affiliated with the references and will take no
responsibility for any pricing, work ethics or damage caused by the referral. The basic house cleaning that will be provided as a standard service by the Contractor will not include moving of any personal items and will include dusting, vacuuming and wiping down surfaces.
9. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that the Contractor does not maintain an employee or supervisor on the project site during the entire work day. The Contractor or Contractor’s employee does meet all workers associated with the project on the project site each morning to start the work for that day, the Contractor or Contractor’s employee will make multiple visits to the project site during the day to check for quality, meet subcontractors and/or vendors, discuss issues with the Owner and/or meet building inspectors. At the end of each work day the Contractor or Contractor’s employee will visit the project site to validate the site is clean, verify scheduled work is completed and the property is locked and safe.
10. By signing this contract the Owner and/or Owner’s representative has been notified and/or is aware that because of the nature of construction and especially remodeling construction it is normal for aspects of the project to change which can create time delays during the project that are not in the immediate control of the Contractor. When working with older or pre-built structures it is very normal for structural members or components such as but not limited to headers, trimmers, king studs, walls studs, sheathing, plumbing, gas line, electrical etc. to be discovered inside of the existing structure that may require changes to the original design. The Contractor will evaluate the issue and present appropriate solutions to the Owner for their approval. Be aware this may initiate a change order.
11. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that for the Contractor to properly manage and maintain this project the Contractor and/or Contractor’s representative must have access to the property during normal business hours of operation. The Contractor will install a hanging lock box on the front or rear door. The lock box can only be accessed by the Contractor and/or Contractor’s employees. The Contractor will not work based upon the agreement that the Owner will open the project site each day or that the property will be unlocked each day for access even in the event that the Owner is not employed and is expected to be home each day the Contractor must still be given a key to access the property. The Contractor can replace the entry knob with a temporary one during the course of the project at the Owner‘s request.
12. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that in the event that any portion of this specific project includes the matching of an existing item the Contractor cannot guarantee that the item will match exact. Because of factors such as but not limited to time of manufacturing, dye color changes, hand mixing procedures, application, normal fading or wear and tear, time of the season and age of original product it is impossible for the Contractor, Contractor’s employee, subcontractor and/or vendor to match any item exact. The Contractor, Contractor’s employee, subcontractor and/or vendor will comply with normal industry standard and match all items as closely as possible. Be aware that items such as stain, paint, wall textures and hand finishes will be completed to the best of the Contractor’s or subcontractors ability and will only be completed once. The process of matching will not be an ongoing process and unless a special fee is specified in the contract specifications to allow for matching procedures to extend past the one application then any other attempt to match an item will be completed at an additional expense to the Owner.
If the Contractor or subcontractor recognizes an item that may be difficult to match during the initial design stage, that item will be brought to the attention of the Owner and at that time a decision will be agreed upon concerning matching techniques and the different fees that may be associated. The fee will be agreed upon and included as a specified line item in the contract specifications. The Contractor or subcontractor will complete the matching technique only two times for the specified fee, if the item cannot be matched to the Owner‘s approval after the second attempt the Owner will have the opportunity to explore other means of matching at their own expense. The Contractor will require the Owner‘s written acceptance and approval on all tangible items such as but not limited to tile, carpet, fixtures etc., once the Owner approves items are installed or during the installation process, if the Owner realizes that the product does not match and that they do not want the Contractor or subcontractor to continue with the installation that the expense for removal, labor to seek new products or complete the product replacement
will be the responsibility of the Owner and no additional work will be completed until the new product is verified and the Owner has approved and signed a standard change order form for the additional expense. The Owner does not have the right to demand replacement of any item that is specifically detailed in the contract specifications unless it is not the item specified. If the Owner demands a product to be removed or replaced that has been specifically detailed out in the contract specifications it will only be removed or replaced once the Owner has approved and signed a standard change order and agrees to pay the additional expense required. If the Owner(s) demand a product to be removed and/or replaced even in the event it is specifically detailed in the contract specifications and the Owner does not agree to pay the additional expense to change the item, the item that was originally specified in the contract will be installed to allow the Contractor or Contractor’s subcontractor to comply with the signed contract and complete the project, in this case the Owner will need to complete the removal and/or replacement of the item(s) at a time after the specified project is completed and the Contractor has been paid in full according to the contracts specified payment schedule. In the event the Owner has provided the Contractor will model numbers, brands, samples, color numbers, color names, manufacturers or similar specifications and once the Contractor installs the product and it is found that it is not the right product or does not match the existing it will be the responsibility of the Owner to pay the additional expense to remove and/or replace the product as long as the Contractor can verify that the product or item installed matches the numbers, colors and/or specifications given to the Contractor by the Owner.
13. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that it is a normal occurrence for interior and/exterior concrete to crack and/or move. Concrete is a porous product combining natural products the majority of which is water as a part of its make-up and chemistry. This region is extremely harsh on concrete in reference to the extreme cold temperatures that concrete must withstand. It is normal for small cracks to develop in concrete as it dries and over time as it moves with the earth that it rests on. If concrete is completed as a specified portion of this project and cracks or breaks develop it will be inspected by the Contractor and/or professional concrete subcontractor responsible for the installation to determine if it is normal or something has occurred that may require attention including replacement. The Owner cannot demand any concrete to be removed and/or replaced based upon their personal opinion; the issue will have to be inspected by professionals that work in the industry to make the final decision. If the Owner feel that the final decision regarding any issue with the concrete is not satisfactory it will be their responsibility, on their personal time and at their personal expense to receive a second opinion. If the Owner decides to obtain a second opinion the source of the second opinion must be a professional currently working in the concrete trade as an installer of concrete, have been established in business for at least 5 years in Colorado, be fully licensed and insured as a concrete contractor here in the state of Colorado, not be personally affiliated with the Owner in anyway and be prepared to put all information pertaining to the specific issue in writing on their own business letterhead. The Contractor must be on site during the inspection for any information to considered valid pertaining to the Owners second opinion. Once the second opinion has been received the Contractor will schedule an appointment to meet with the Owner and at that time all information will be discussed and a resolution decision will be made that both parties agree on. If a resolution decision cannot be agreed upon arbitration may be taken as the next step.
14. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that they, the Owner will not ask any person related to this specific project to complete work for them personally without first obtaining the Contractor’s permission to do so. If the Owner fails to abide by this clause and does ask a subcontractor and/or subcontractor’s employees to help with and/or complete work for the Owner personally, the Owner is aware that they will take full responsibility for any damage, injury, death and/or any issue that arises from the non-permitted work. (Non-permitted means that the Owner does not have the Contractor’s approval for the work to be completed)
15. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that if they decide to complete work regarding management and/or actual physical labor pertaining to this specific project and they have not contacted the Contractor to allow the Contractor to address and/or discuss the situation that the Owner takes that responsibility upon themselves and no money or fees will be deducted or credited back to the Owner from the original contracted price.
16. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that if during the course of this specific project something is found to be damaged, broken and/or missing that the burden of proof is on the Owner to contact the Contractor and to have the ability to clearly show that the damage or concern is related to this specific project and/or work being complete there-in. If the issue is a legal issue the Owner should contact the appropriate law enforcement immediately and contact the Contract thereafter. The Contractor will not be expected to take immediate responsibility for issues that arise during the course of this specific project. A reasonable amount of proof must be shown and the burden will not solely rest on the Contractor to evaluate and/or investigate the situation, if action is taken properly by the Owner in a professional and reasonable manner the Contractor will work in conjunction with Owner to resolve any issue. (This does not mean monetarily unless it is found to be the Contractor’s responsibility after the investigation)
17. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that during the course of this project materials such as but not limited to lumber, drywall, finish trim, etc. will be supplied by the Contractor and/or appropriate subcontractor to complete certain aspects of this project. By signing this contract the Owner agrees that all materials that are left over or considered extra because that portion of the project that they were needed for is complete, will remain the property of the Contractor unless an agreement is made in writing that states otherwise. Be aware that construction materials are always ordered and/or purchased with a consideration for waste and/or damage but the job cost that the Owner is being charged is based on exact square footage, lineal footage, square yardage, etc.
18. By signing this contract the Owner and/or Owner‘s legal representative has been notified and/or made aware that any products, fixtures, appliances and/or anything pertaining to this specific project that is supplied by the Owner will not be covered by the Contractor’s and/or subcontractors warranty. The installation of above mentioned products, if completed as a specification of this contract by the Contractor and/or subcontractor, will be warranted. (Installation only, this does not include parts that may be needed) If a product as described in the paragraph above is provided by the Owner and found to be or becomes defective, all fees for removal and replacement will be the responsibility of the Owner.
NOTICE: This is a legal document that creates binding obligations. If not understood, consult an attorney.
_____________________________________________________________________________________ Owner(s) Date _____________________________________________________________________________________ Contractor Date