This is a document covering the terms and conditions of an agreement between a
general contractor and a subcontractor for sheetrock services. These terms and
conditions contain general provisions in respect to the rights and obligations of the
contracting parties as well as terms and conditions which are unique to the sheetrock
services industry. This document contains numerous standard provisions that are
commonly included in these types of agreements, and may be customized to fit the
specific needs of the contracting parties. These terms and conditions should be used in
conjunction with the written agreement between a general contractor and a
subcontractor for sheetrock services.
Sheetrock Terms and Conditions
SHEETROCK TERMS AND CONDITIONS
1. HAZARDOUS MATERIALS
In the event the Subcontractor encounters any hazardous materials while performing the Work,
the Subcontractor may stop the Work until such time a fee has been negotiated between the
General Contractor and the Subcontractor for the removal of the hazardous materials. Hazardous
materials shall mean any material that because of its quantity, concentration or physical chemical
characteristics may pose a real hazard to human health or the environment. Hazardous materials
shall include, but not be limited to, flammable and combustible material, toxic material,
corrosive material, aerosols, compressed gases, mercury, asbestos, bulk fuels, medical waste and
chemical, biological and radiological materials.
2. REMOVAL OF DEBRIS
Upon completion of the Work, the Subcontractor agrees that it shall promptly remove all debris
and equipment from the Premises and leave the Premises in a good state of cleanliness.
In the event a dispute arises under this Agreement, the General Contractor and the Subcontractor
hereby agree to attempt to resolve such dispute with a mutually agreed upon mediator. Such
mediation shall occur in the City of ______________. Any costs and fees other than attorney
fees shall be shared equally between the General Contractor and the Subcontractor. If it proves
impossible to arrive at a mutually satisfactory solution, the General Contractor and the
Subcontractor hereby agree to submit the dispute to binding arbitration in the same city or
region, conducted on a confidential basis pursuant to the laws of the governing jurisdiction.
Any decision or award as a result of any such arbitration proceeding shall include the assessment
of costs, expenses and reasonable attorney's fees and shall include a written determination of the
arbitrators. An award of arbitration shall be final and binding on the General Contractor and the
Subcontractor and may be confirmed in a court of competent jurisdiction. The prevailing party
shall have the right to collect from the other party its reasonable costs and attorney fees incurred
in enforcing this Agreement.
In the event the General Contractor fails to make the payment of Fees to the Subcontractor as
contemplated in the Agreement, the Subcontractor shall have the right to cease all Work at the
Premises until such time the General Contractor makes all payments due and owing to the
Subcontractor. In the event the General Contractor fails to make any payment of fees due and
owing to the Subcontractor within ______ (___) days of such payment being due, the
Subcontractor shall have the right to breach the failure of such payment as a material breach of
the Agreement and shall have the right to terminate the Agreement and not complete the Work
5. COMPLIANCE WITH BUILDING REGULATIONS
The General Contractor agrees that the Subcontractor shall not be held liable or responsible for
the failure by the General Contractor to adhere to any relevant building codes, regulations or
ordinances. The Subcontractor shall not be held responsible or liable for any existing abnormal
or unusual conditions at the Premises.
6. ADDITIONAL WORK
In the event any additional work required to be done by Subcontractor will be provided by the
Subcontractor upon written authorization of the General Contractor. The Subcontractor and the
General Contractor agree that payment to the Subcontractor of any additional work required to
be done shall be negotiated between the Subcontractor and the General Contractor prior to the
commencement of any additional work by the Subcontractor.
The General Contractor and the Subcontractor agree that the Subcontractor may/may not assign
any of the Work contemplated herein to a third party with/without the prior written consent of
the other party.
8. FORCE MAJEURE
Neither the General Contractor nor the Subcontractor is responsible for the failure to fulfil its
obligations under this Agreement or for delay in doing so if such failure or delay is due to
circumstances beyond its control, such as, but not limited to, acts of God, acts of government,
war, riots, strikes, accidents in transportation. The General Contractor and the Subcontractor
agree to immediately provide notice of any such circumstance and hereby undertakes to restore
the status quo as soon as is feasible.
The General Contractor will maintain at its sole cost and expense, fire insurance in an amount of
not less than ______________ ($______) Dollars. Such insurance coverage shall include
construction, vandalism and malicious mischief clauses. The insurance in place by the General
Contractor will name the General Contractor and its subcontractors as additional insureds under
the policy. In the event the General Contractor fails to obtain and maintain such insurance
coverage for the Work to be performed, the Subcontractor may at its sole option purchase such
insurance at the costs of the General Contractor.
The Subcontractor agrees that it will prior to the commencement of the Work and throughout the
duration of the Work obtain and maintain Worker’s Compensation Insurance for the
Subcontractor’s employees. The Subcontractor shall maintain adequate coverage against any
claims which may be made against the Subcontractor for Worker’s Compensations,
unemployment insurance and taxes. The Subcontractor must maintain public liability, property
damage and builder’s risk insurance in the aggregate amount of _____________ ($__________)
Dollars for the duration of the Agreement, with the General Contractor.
The General Contractor hereby agrees to indemnify and hold the Subcontractor, its affiliates,
successors and assigns and its employees, harmless from and against any and all claims which
may arise out of the General Contractor’s Work at the Premises or from the conduct of the
General Contractor’s business at the Premises. The General Contractor further agrees to
indemnify and hold the Subcontractor, its affiliates, successors and assigns and its employees
harmless from and against any and all claims arising from any breach or default in the
performance of any of the obligations on the General Contractor’s part to be performed under the
terms of this Agreement or arising from any negligence of the General Contractor or any of the
General Contractor’s agents, subcontractors or employees and from and against all costs,
including reasonable attorney fees, expenses and liabilities incurred in the defense of any such
claim or any action or legal proceeding brought thereon.
11. GOVERNMENTAL COMPLIANCE
The General Contractor shall be liable and responsible for and shall ensure at all times that the
General Contractor and its employees and subcontractors comply will all local, state and federal
The General Contractor shall at all times while the Work is being performed at the Premises,
ensure that clean drinking water and suitable toilet facilities are available for use.
The amount Fees payable under this Agreement are subject to increase if the cost of Materials
increases by more than __________ (_____%) percent over the amount quoted to the General
Contractor by the Subcontractor between the date of this Agreement and delivery of such
Materials to the Premises for the Work. In the event of such increases, and upon written
documentation establishing the extent of the increase, the Fees will be equitably adjusted.
In the event the Subcontractor requires trenching, excavating, tunnelling or boring to perform the
sheetrock services at the Premises, then prior to commencing the Work the Subcontractor will be
solely responsible for identifying and locating all existing underground utilities that may
interfere with the Work to insure that such services are not damaged by the Subcontractor’s
The Subcontractor will take all reasonable measures necessary to identify and avoid damaging
In the event underground utilities are identified, which may interfere with the sheetrock services
of the Subcontractor, then the Work shall not commence without first obtaining the written
permission from the General Contractor.
The Subcontractor is responsible to protect the work of other trades from damage caused by the
sheetrock services and shall be responsible for the repair of such damage.
14. CHANGES IN WORK
The General Contractor may make changes by altering, adding to, or deducting from the Work
with the fees being adjusted accordingly. Changes to the Work will be in writing by the General
Contractor and agreed to in writing by the Subcontractor.
Any additional Work to be completed by the Subcontractor shall be calculated as follows:
15. SUBCONTRACTOR SIGNS
The General Contractor agrees to permit the Subcontractor to display a sign on the Premises until
all Work is completed by the General Contractor at the Premises.
16. CRACKS IN SHEETROCK/DRYWALL
The primary cause for cracks in sheetrock/drywall is due to settlement. In the event there are
cracks in the sheetrock/drywall installed or repaired by the Subcontractor, the Subcontractor
shall repair same. In the event the cracks in the sheetrock/drywall return after the
Subcontractor fixing same, this is does not warrant the repair was not done properly by the
Subcontractor, it simply means there has been more settlement in the structure.
The Subcontractor agrees to accept responsibility for the prevention of accidents to workers
engaged upon or in the vicinity while performing the sheetrock services at the Premises. The
Subcontractor agrees to adhere to all federal, state, municipal and local laws, rules, regulation,
codes, standards, notices and requirements concerning safety while performing the sheetrock
services and shall be solely responsible for the training of the Subcontractor’s employees and its
sub-subcontractors employees as required to comply with federal and state statues.
All employees of the Subcontractor will wear all appropriate and necessary safety clothing and
shoes at all times while performing the Work at the Premises.
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