The Standard Construction Agreement is essential for any construction project in England and Wales where parties need to establish clear contractual terms. It provides a comprehensive framework covering all aspects of the construction process, from initial works to completion and defects liability. This document type is particularly valuable for projects requiring detailed specification of works, payment mechanisms, and risk allocation. The agreement ensures compliance with key legislation including the Housing Grants, Construction and Regeneration Act 1996 and incorporates industry best practices.
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1. Parties: Identification and details of the contracting parties
2. Background: Context and purpose of the agreement
3. Definitions: Key terms used throughout the agreement
4. Scope of Works: Detailed description of works to be performed
5. Contract Sum: Price and payment terms including provisions under Housing Grants, Construction and Regeneration Act 1996
6. Programme: Timeline and completion dates for the construction works
7. Contractor Obligations: Key responsibilities including quality standards under Supply of Goods and Services Act 1982 and CDM Regulations 2015
8. Employer Obligations: Client responsibilities including those under CDM Regulations 2015
9. Variations: Process for changes to scope and associated cost/time implications
10. Defects: Liability and rectification procedures under Defective Premises Act 1972
11. Insurance: Required insurance coverage and liability limits
12. Termination: Grounds and procedures for contract termination
13. Dispute Resolution: Procedures for resolving disputes including statutory adjudication rights
1. Design Responsibility: Required when contractor has design obligations, including professional indemnity insurance requirements
2. Performance Bonds: Security for performance, typically for high-value projects
3. Parent Company Guarantee: Additional security from parent company when contractor is subsidiary of larger group
4. Third Party Rights: Rights under Contracts (Rights of Third Parties) Act 1999 and collateral warranties
1. Schedule of Works: Detailed specification of works including drawings and technical requirements
2. Programme Schedule: Detailed timeline, milestones and completion dates
3. Payment Schedule: Payment amounts, dates and notice requirements
4. Insurance Requirements: Required insurance types, levels and specific coverage details
5. Site Information: Details about the construction site including surveys and reports
6. Forms of Collateral Warranties: Template warranties for third parties including funders, purchasers and tenants
7. Health and Safety Requirements: Specific H&S obligations under CDM Regulations 2015
Relevant legal definitions
Clauses
Relevant Industries
Relevant Teams
Relevant Roles
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