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Construction Cost Plus Contract

Construction Cost Plus Contract Template for Switzerland

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Key Requirements PROMPT example:

Construction Cost Plus Contract

"I need a Construction Cost Plus Contract under Swiss law for a hospital renovation project in Zurich, with work starting March 2025, including specific provisions for maintaining medical facility operations during construction and a markup rate of 12% above verified costs."

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Document background
The Construction Cost Plus Contract is particularly suited for complex construction projects under Swiss law where the scope of work cannot be fully defined at the outset, or where flexibility is required due to potential variations during construction. This contract type is commonly used in renovation projects, emergency repairs, or complex construction works where accurate cost estimation is challenging. The document incorporates requirements from the Swiss Code of Obligations, cantonal construction laws, and SIA standards, while establishing clear procedures for cost documentation, verification, and payment. It includes detailed provisions for labor rates, material costs, overhead calculations, and profit margins, along with specific Swiss requirements for construction quality standards and workplace safety. The agreement is structured to provide transparency in cost tracking while protecting both parties' interests under Swiss law.
Suggested Sections

1. Parties: Identification and details of the contracting parties (Client and Contractor)

2. Background: Context of the agreement and brief description of the construction project

3. Definitions: Definitions of key terms used throughout the contract

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

5. Contractor's Obligations: Primary responsibilities and duties of the contractor including quality standards and compliance requirements

6. Client's Obligations: Primary responsibilities and duties of the client including site access and information provision

7. Cost Structure and Calculation: Detailed breakdown of cost components, markup calculation, and allowable expenses

8. Payment Terms: Payment procedures, timing, documentation requirements, and verification process

9. Project Timeline: Construction schedule, milestones, and completion dates

10. Changes and Variations: Procedures for handling changes to scope, costs, or timeline

11. Quality Control: Quality standards, inspection procedures, and acceptance criteria

12. Documentation and Reporting: Requirements for cost reporting, progress reports, and record-keeping

13. Insurance and Liability: Insurance requirements and allocation of risks between parties

14. Warranties and Defects: Warranty provisions and defect rectification procedures

15. Termination: Grounds and procedures for contract termination

16. Dispute Resolution: Procedures for resolving disputes under Swiss law

17. General Provisions: Standard legal provisions including notices, amendments, and governing law

Optional Sections

1. Environmental Requirements: Specific environmental obligations and compliance requirements - include when project has significant environmental impacts

2. Site Security: Special security requirements - include for sensitive locations or high-security projects

3. Subcontracting: Rules and procedures for subcontracting - include when subcontracting is anticipated

4. Force Majeure: Provisions for unforeseeable circumstances - include for long-term or high-risk projects

5. Intellectual Property: IP rights and obligations - include when design or innovative construction methods are involved

6. Confidentiality: Confidentiality obligations - include for projects involving sensitive information or proprietary methods

7. Building Information Modeling: BIM requirements and protocols - include when BIM is being used

8. Public Relations: PR and communication protocols - include for high-profile or public impact projects

Suggested Schedules

1. Schedule 1 - Scope of Works Details: Detailed technical specifications and drawings

2. Schedule 2 - Cost Breakdown Structure: Detailed breakdown of cost components, including labor rates, material costs, and markup calculations

3. Schedule 3 - Project Program: Detailed construction schedule and milestone dates

4. Schedule 4 - Quality Management Plan: Detailed quality control procedures and standards

5. Schedule 5 - Site Information: Site details, access arrangements, and existing conditions

6. Schedule 6 - Key Personnel: List of key personnel from both parties and their roles

7. Schedule 7 - Required Insurance: Detailed insurance requirements and coverage levels

8. Schedule 8 - Forms and Templates: Standard forms for progress reports, cost reports, and change orders

9. Schedule 9 - Health and Safety Requirements: Specific health and safety procedures and requirements

10. Appendix A - Applicable Standards: List of applicable Swiss and international construction standards

11. Appendix B - Permits and Approvals: List of required permits and regulatory approvals

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓƵ | 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

Construction

Real Estate

Infrastructure

Commercial Property

Industrial Manufacturing

Healthcare

Education

Hospitality

Retail

Public Sector

Energy

Transportation

Relevant Teams

Legal

Construction

Commercial

Finance

Procurement

Operations

Project Management

Risk & Compliance

Technical Services

Contract Administration

Relevant Roles

Construction Manager

Project Director

Commercial Director

Contract Manager

Quantity Surveyor

Cost Controller

Project Manager

Site Manager

Chief Financial Officer

Legal Counsel

Procurement Manager

Technical Director

Operations Manager

Risk Manager

Compliance Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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