Construction Contract Agreement

Construction Contract Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

"I need a Construction Contract Agreement under UAE law for a large-scale commercial retail development project in Dubai, with specific provisions for phased completion and multiple subcontractors."

Document background

The Construction Contract Agreement is a fundamental legal document used in the United Arab Emirates for establishing the contractual relationship between project owners and contractors for construction works. This agreement is essential for any construction project in the UAE, whether commercial, residential, or infrastructure-related. The document must comply with UAE Federal Law No. 5 of 1985 (Civil Code) and incorporate relevant emirate-specific regulations. It typically includes detailed provisions for scope of works, payment mechanisms, completion timelines, quality standards, and dispute resolution procedures. The agreement also addresses specific UAE requirements regarding warranties, defects liability periods, and performance obligations. It's particularly important for managing risk allocation, ensuring regulatory compliance, and providing a clear framework for project execution in the UAE construction sector.

Suggested Sections

1. Parties: Identification of the Employer and Contractor, including full legal names, addresses, and registration details

2. Background: Context of the agreement, project overview, and basis for entering into the contract

3. Definitions and Interpretation: Key terms used throughout the agreement and rules for contract interpretation

4. Scope of Works: Detailed description of the construction works to be performed

5. Contract Price and Payment Terms: Amount payable, payment schedule, variations, and payment procedures

6. Project Timeline: Commencement date, completion date, milestones, and extension provisions

7. Contractor Obligations: Key responsibilities including workmanship, materials, compliance with laws and standards

8. Employer Obligations: Responsibilities including site access, permits, approvals, and information provision

9. Materials and Workmanship: Quality standards, testing requirements, and approval processes

10. Variations: Procedures for changes to scope, pricing, and timeline

11. Health and Safety: Safety requirements, procedures, and responsibilities

12. Warranties and Defects: Warranty periods, defects liability period, and remediation processes

13. Insurance and Indemnities: Required insurance coverage and indemnification obligations

14. Force Majeure: Events beyond control, notification requirements, and consequences

15. Termination: Grounds for termination, procedures, and consequences

16. Dispute Resolution: Process for resolving disputes, including UAE jurisdiction requirements

17. Governing Law: UAE law as governing law and related legal requirements

18. General Provisions: Standard boilerplate clauses including notices, amendments, and severability

Optional Sections

1. Performance Security: Requirements for performance bonds or guarantees, used for higher-value contracts

2. Advance Payment: Terms for advance payments and related securities, used when advance funding is required

3. Subcontracting: Rules and procedures for subcontracting, included when subcontracting is permitted

4. Intellectual Property: IP rights and obligations, included when design or innovative methods are involved

5. Environmental Protection: Environmental requirements and procedures, for projects with significant environmental impact

6. Local Content Requirements: Requirements for local content and Emiratisation, for government or semi-government projects

7. Confidentiality: Confidentiality obligations, included for sensitive projects

8. Site Conditions: Provisions relating to site conditions and investigations, for complex site situations

Suggested Schedules

1. Schedule 1 - Technical Specifications: Detailed technical requirements and specifications for the works

2. Schedule 2 - Drawings: Approved construction drawings and design documents

3. Schedule 3 - Bill of Quantities: Detailed breakdown of quantities and prices

4. Schedule 4 - Payment Schedule: Detailed payment milestones and amounts

5. Schedule 5 - Project Timeline: Detailed project program including milestones

6. Schedule 6 - Site Details: Site information, access points, and restrictions

7. Schedule 7 - Key Personnel: List of key personnel from both parties and their roles

8. Schedule 8 - Forms and Procedures: Standard forms for variations, payments, and certificates

9. Schedule 9 - Insurance Requirements: Detailed insurance requirements and minimum coverage

10. Appendix A - HSE Requirements: Detailed health, safety, and environmental requirements

11. Appendix B - Quality Assurance Requirements: Quality control procedures and requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ ��Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Real Estate Development

Infrastructure

Commercial Construction

Residential Construction

Industrial Construction

Healthcare Construction

Education Facilities

Hospitality

Retail Development

Government Infrastructure

Energy and Utilities

Transportation

Mixed-use Development

Sports and Entertainment Facilities

Relevant Teams

Legal

Commercial

Operations

Project Management

Construction

Procurement

Finance

Risk Management

Health Safety and Environment

Quality Assurance

Technical

Business Development

Contracts Administration

Relevant Roles

Chief Executive Officer

Managing Director

Construction Manager

Project Director

Contract Manager

Legal Counsel

Project Manager

Commercial Director

Operations Director

Risk Manager

Procurement Manager

Technical Director

Site Manager

Quantity Surveyor

Chief Financial Officer

Cost Controller

HSE Manager

Quality Assurance Manager

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