As a professional, I have written an article on “what are general conditions in construction contract” that would help you understand the basics of construction contracts.
Construction contracts are legal agreements between the owner and the contractor, outlining the scope, timeline, and cost of a construction project. One of the essential components of a construction contract is the general conditions, which outline the overall procedures, responsibilities, and obligations of both the owner and the contractor during the project`s duration.
Here are some general conditions that are typically included in a construction contract:
1. Scope of work: This section outlines the scope of work that needs to be done. It includes a description of the work, materials to be used, and any specific requirements.
2. Timeframe: The timeframe section covers the duration of the project, including start and end dates, milestone dates, and any penalties for late completion.
3. Payment: This section specifies payment terms, including the total cost of the project, payment schedule, and any penalties for non-payment or late payment.
4. Change orders: Change orders are requests for changes to the project scope, timeline, or cost. This section outlines the process for submitting, approving, and implementing change orders.
5. Warranties and guarantees: This section specifies any warranties or guarantees for the work done, including the duration of the warranty and what it covers.
6. Termination: This section outlines the circumstances under which the contract can be terminated by either party and the process for doing so.
7. Insurance and liability: This section specifies the insurance requirements for both the owner and the contractor, including liability insurance, worker`s compensation insurance, and property insurance.
8. Dispute resolution: This section outlines the process for resolving any disputes that may arise during the project, including mediation, arbitration, or litigation.
In conclusion, general conditions are an essential component of a construction contract. They outline the overall procedures, responsibilities, and obligations of both the owner and the contractor during the project`s duration, including the scope of work, timeframe, payment, change orders, warranties and guarantees, termination, insurance and liability, and dispute resolution. It is crucial to review and understand these general conditions before signing a construction contract to ensure that both parties are protected and have a clear understanding of the project`s requirements and expectations.