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Standard Building Contract

Standard Building Contract Template for England and Wales

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Key Requirements PROMPT example:

Standard Building Contract

"Need a Standard Building Contract for a new commercial warehouse construction project starting March 2025, with specific provisions for phased completion and sustainability requirements, governed by English law."

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Document background
The Standard Building Contract is a fundamental document used in construction projects throughout England and Wales. It provides a structured framework for managing building works, incorporating essential elements such as payment mechanisms, completion requirements, and risk allocation. This contract type is particularly suitable for medium to large-scale construction projects where detailed contract administration is required. It includes provisions compliant with the Housing Grants, Construction and Development Act 1996 and other relevant legislation, making it a robust tool for managing construction relationships and protecting both parties' interests.
Suggested Sections

1. Parties: Identification and details of the employer and contractor

2. Background: Context and purpose of the building contract

3. Definitions: Key terms used throughout the contract

4. Contract Sum: Agreed price and payment terms including provisions under Housing Grants, Construction and Development Act 1996

5. Duration: Project timeline, completion date, and extensions of time

6. Contractor Obligations: Main responsibilities and duties of the contractor including CDM 2015 requirements

7. Employer Obligations: Main responsibilities and duties of the employer including CDM 2015 client obligations

8. Variations: Process for changes to works and their impact on contract sum

9. Insurance and Indemnity: Required insurance coverage and indemnification provisions

10. Quality Standards: Standards of work required under Building Regulations and Supply of Goods and Services Act

11. Health and Safety: Health and safety requirements under CDM 2015 and related legislation

12. Termination: Circumstances and procedures for contract termination

Optional Sections

1. Liquidated Damages: Pre-agreed damages for delay, used when specific completion dates are critical

2. Performance Bond: Security for performance, used for high-value projects or where additional security is required

3. Parent Company Guarantee: Additional security from contractor's parent company, used when contractor is subsidiary of larger organization

4. Collateral Warranties: Third-party rights and warranties, used when there are key subcontractors or future purchasers/tenants

Suggested Schedules

1. Schedule 1: Contract Documents: List of all documents forming part of the contract including drawings and specifications

2. Schedule 2: Works Description: Detailed specification of works to be carried out

3. Schedule 3: Programme: Detailed timeline of works including key milestones

4. Schedule 4: Payment Schedule: Payment terms, amounts and dates including notice requirements

5. Schedule 5: Insurance Requirements: Detailed insurance requirements and minimum coverage amounts

6. Appendix 1: Drawings: Technical drawings and plans

7. Appendix 2: Specifications: Detailed technical specifications and standards

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





































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Industries

Housing Grants, Construction and Development Act 1996: Key construction legislation covering payment provisions, statutory right to adjudication, and notice requirements for construction contracts

Construction (Design and Management) Regulations 2015: Regulations governing health and safety in construction, including duties of principal contractors and client obligations

Building Act 1984 and Building Regulations 2010: Primary legislation ensuring buildings meet specific standards and requirements, including building control approval processes

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract, including provisions for exclusion clauses

Supply of Goods and Services Act 1982: Legislation establishing implied terms about quality of work, fitness for purpose, and reasonable care and skill in service contracts

Late Payment of Commercial Debts (Interest) Act 1998: Legislation providing for interest on late payments in commercial transactions and setting payment terms

Defective Premises Act 1972: Legislation imposing duties on those doing work on dwellings to ensure work is done in a workmanlike manner with proper materials

Health and Safety at Work etc. Act 1974: Framework for workplace health and safety in the UK, setting out general duties for employers, employees, and contractors

Party Wall etc. Act 1996: Legislation providing framework for preventing and resolving disputes relating to party walls, boundary walls and excavations

Environmental Protection Act 1990: Legislation controlling pollution and waste management aspects of construction activities

Modern Slavery Act 2015: Legislation requiring commercial organizations to ensure transparency in supply chains and prevent modern slavery in operations

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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