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Construction Contract
This agreement made this _(1)_ day of ____(2)__________, 19__(3)_,
by and between ________(4)___________, of _______(5)____________, herein referred to as
"owner", and
__________(6)__________, of _________(7)__________, herein referred to as
"contractor".
Owner and contractor in consideration of the mutual covenants
hereinafter set forth agree as follows:
SECTION ONE
STRUCTURE AND SITE
Contractor shall furnish all labor and materials necessary to construct
a ____(8)______, upon the following described property, which owner warrants he owns, free
and clear of liens and
encumbrances: ________(9)___________.
SECTION TWO
PLANS
Contractor shall construct the structure in conformance with the plans,
specifications, and breakdown and binder receipt signed by contractor and owner, and will
do so in a workmanlike manner. Contractor is not responsible for furnishing any
improvements other than the structure, such as landscaping, grading, walkways, painting,
sewer or water systems, steps, driveways, patios and aprons, etc., unless they are
specifically stated in the breakdown.
SECTION THREE
PAYMENT
Owner shall pay contractor the sum of ___(10)___ Dollars ($__________)
in installments as set forth in the escrow instructions or the primary lender's schedule
(whichever is
applicable) signed by owner. In the event any installment is not paid when due, contractor
may stop work until payment is made and for five (5) days thereafter. In the event any
installment is not paid within ten (10) days after it is due, contractor may take such
action as may be necessary, including legal proceedings, to enforce its rights hereunder.
SECTION FOUR
PREPARATION
Prior to the start of construction, owner shall provide a clear,
accessible building site, properly excavated and correctly zoned for the structure, and
shall identify the boundaries of
owner's property by stakes at all corners. Owner shall maintain such stakes in proper
position throughout construction. In the event contractor cannot obtain a building permit
within thirty (30)
days of the date of this agreement, contractor may declare the agreement of no further
force or effect.
SECTION FIVE
UTILITIES
Prior to the start of construction, and at all times during
construction, owner shall provide and maintain, at owner's sole expense, an all-weather
roadway to the building site, and water and electrical service, including 220 amp outlet.
Owner shall, at owner's expense, connect permanent electrical service, gas service or oil
service, whichever is applicable, and tanks and lines to the structure upon acceptable
cover inspection and prior to wall covering. Owner shall, at owner's expense, connect
sewage disposal and water lines to the structure within fifteen (15) days after the rough
plumbing is complete.
SECTION SIX
RESPONSIBILITY
Contractor shall not be responsible for claims arising out of improper
placement or positioning of boundary stakes or house stakes; nor shall contractor be
responsible for damages to persons or property occasioned by owner or his agents, third
parties, acts of God or other causes beyond contractor's control. Owner shall hold
contractor completely harmless from, and shall indemnify contractor for, all costs,
damages, losses, and expenses, including judgments and attorneys fees, resulting from
claims arising from causes enumerated in this paragraph.
SECTION SEVEN
POSSESSION
Owner shall not have possession of the structure until such time as all
payments or other obligations required to them as set forth in this agreement have been
fully paid or performed by them. If possession of structure is taken by owner before the
above obligations are met, without the written consent of contractor, it shall be
considered as acceptance of the structure, by the owner, as complete and satisfactory.
SECTION EIGHT
GENERAL PROVISIONS
Owner agrees to promptly complete the necessary requirements to obtain
financing and to prepare the site for construction. There are no understandings or
agreements between contractor and owner other than those set forth in this agreement and
in the documents referred to in Sections Two and Three. No other statement, representation
or promise has been made to induce either party to enter into this agreement. This
agreement and the documents referred to in Sections Two and Three may not be modified or
amended except by written agreement of the parties. In witness whereof, the parties have
executed this agreement the day and year first written above.
Witnesses Owner
____________(11)_______________ ___________(12)_______________
____________(11)_______________
Witnesses Contractor
____________(11)_______________ ___________(13)_______________
____________(11)_______________
NOTICE
The information in this document is designed to provide an outline that
you can follow when formulating business or personal plans. Due to the variances by many
local, city, county and state laws, we recommend that you seek professional legal
counseling before entering into any contract or agreement.
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