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Plumbing Subcontractor Agreement

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Plumbing Subcontractor Agreement Powered By Docstoc
					This Plumbing Subcontractor Agreement is made between a contractor and a
subcontractor for the provision of plumbing services. This document contains the
material terms and conditions of the agreement including the scope of services, the
payment details and the term of the agreement. It contains numerous standard
provisions that are commonly included in these types of agreements and may be
customized to address the specific needs of the contracting parties. This document
should be used by plumbing subcontractors and contractors when entering into an
agreement for services.
                      PLUMBING SUBCONTRACTOR AGREEMENT

This agreement (the “Agreement”) is effective as of the ___ day of ______________, 20___
[Instruction: Insert Date] (the “Effective Date”), by and between ___________________
[Instruction: Insert Name of Contractor], _______________________ [Instruction: Insert
Address] (the “Contractor”), and ____________________ [Instruction: Insert Name of
Subcontractor], _____________________ [Instruction: Insert Address] (the "Subcontractor").

WHEREAS, the Contractor and Subcontractor wish to contract with each other to perform
certain plumbing installation work in the primary business area of the other;

NOW, THEREFORE, for good and valuable consideration, receipt and sufficiency of which is
hereby acknowledged, and in consideration of the promises and covenants contained herein, the
parties hereto agree as follows

1. TERM

    A. The term of this Agreement shall be for a period of _____________ (___) years
[Instruction: Insert Term], commencing upon the Effective Date (the “Term”) , unless
otherwise terminated pursuant to paragraph 1(Error! Reference source not found.B) hereof.

    B. This agreement may be terminated by either party upon written notice if:

      i.   Either party breaches a material provision or defaults on its obligations under this
agreement, and upon written notification by the other party, fails to remedy such breach within
(30) days;

     ii. If any representation or warranty made herein shall be found to be false, incorrect or
misleading in any material respect, by omission or otherwise.

     iii.   In the event of insolvency, bankruptcy, liquidation, death, or disability of the other
party.

2. TERRITORY

The territory of this Agreement shall be ______________________________ [Instruction:
Insert Territory] (“Territory”).

3. EXCLUSIVITY

Subject to the terms and conditions of this Agreement, throughout the Term and within the
Territory hereof, each party (the “Contracting Party”) agrees to exclusively use and contract with
the other party (the “Contracted Party”) for the installation and maintenance of [Instruction:
Choose One: residential/commercial/industrial] plumbing fixtures and pipelines by the
Contracting Party. Notwithstanding the foregoing, in the event that the Contracting Party
believes, in the Contracting Party’s reasonable business judgment that the Contracted Party is not
qualified to perform the work at hand, the Contracting Party shall provide the Contracted Party
with five (5) business days’ written notice enumerating why the Contracting Party believes that
the Contracted Party is not qualified to perform the work at hand. If the Contracted Party fails to
provide adequate assurance of the Contacted Party’s qualifications within said notice period, the
Contracting Party may use and contract with a third party to perform said work.

4. COMPENSATION

    A. The Contracted Party shall perform all of the plumbing installation work on the same
pricing and payment terms as it would for its major and preferred customers.

    B. The Contracting Party shall pay all amounts owing to the Contracted Party within thirty
(30) days of receipt of invoicing and all overdue accounts shall be subject to interest at the legal
rate from and after the date of the invoice in respect of which payment is overdue.

    C. In the event that a party (in this section called the “Defaulting Party”) fails to use and
contract with the other party regarding the installation and maintenance of any plumbing fixtures
and pipelines, which pursuant to the terms of this agreement the Defaulting Party was obligated
to grant to the other party, then in addition to any other rights and remedies the other party may
have herein or at law or in equity, the Defaulting Party shall pay to the other party as liquidated
damages, and not as a penalty, an amount equal to _______ percent (____%)[Instruction: Insert
Percentage] of the value of such contract. It is acknowledged and agreed that this amount is
calculated to be a reasonable estimate of the profits that will be lost by the other party.

5. REPRESENTATIONS, WARRANTIES AND INDEMNIFICATION

   A. The Contracted Party represents and warrants that:

      i.   The Contracted Party has the complete power and authority to enter into this
Agreement and that this Agreement constitutes a valid and legally binding agreement
enforceable against the Contracted Party.

      ii. The Contracted Party shall undertake and complete in a timely and good and
workmanlike manner the installation and maintenance of all plumbing fixtures and pipelines to
the same extent and in the same manner as if the Contracting Party had independently contracted
the installation and maintenance of the plumbing fixtures and pipelines.

      iii. The Contracted Party shall maintain, at a minimum, a standard commercial public
liability and property damage insurance with a coverage limit in the amount of
____________________ Dollars ($____________) [Instruction: Insert Coverage Amount].
On such insurance policies, the Contracting Party shall be listed as an additional insured. The
Contracted Party shall also maintain all other State legislated workers’ compensation insurance
coverage and any other insurance as may be reasonably required by the particular customer.

    B. The Contracted Party shall, at its own expense, indemnify, save and hold the Contracting
Party harmless from any and all damages, losses an
				
DOCUMENT INFO
Description: This Plumbing Subcontractor Agreement is made between a contractor and a subcontractor for the provision of plumbing services. This document contains the material terms and conditions of the agreement including the scope of services, the payment details and the term of the agreement. It contains numerous standard provisions that are commonly included in these types of agreements and may be customized to address the specific needs of the contracting parties. This document should be used by plumbing subcontractors and contractors when entering into an agreement for services.
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