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Basic Construction Contract

Basic Construction Contract Template for Hong Kong

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Key Requirements PROMPT example:

Basic Construction Contract

"I need a Basic Construction Contract for a residential renovation project in Hong Kong, starting March 2025, with a contract value under HKD 5 million and specific focus on noise control requirements for residential areas."

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Document background
The Basic Construction Contract is designed for use in Hong Kong construction projects where a straightforward contractual arrangement is needed between an employer and a contractor. It provides a comprehensive framework for managing construction projects while ensuring compliance with Hong Kong's legal requirements, including the Buildings Ordinance (Cap. 123) and Construction Industry Council guidelines. This document is particularly suitable for medium-sized construction projects where standard terms and conditions are appropriate, incorporating essential elements such as payment mechanisms, variation procedures, and dispute resolution methods. The contract template can be adapted to various construction scenarios while maintaining core protections for all parties involved.
Suggested Sections

1. Parties: Identification and details of the contracting parties (employer and contractor)

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

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the contract

4. Scope of Work: Detailed description of the construction work to be performed

5. Contract Sum and Payment Terms: Agreement on price, payment schedule, and payment mechanisms

6. Timeline and Completion: Project schedule, completion dates, and mechanisms for extensions of time

7. Contractor's Obligations: Key responsibilities and duties of the contractor

8. Employer's Obligations: Key responsibilities and duties of the employer

9. Materials and Workmanship: Quality standards and requirements for materials and work

10. Variations: Process for handling changes to the scope of work

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

12. Defects Liability: Obligations regarding defects and remedial work post-completion

13. Termination: Circumstances and procedures for contract termination

14. Dispute Resolution: Procedures for handling disputes between parties

15. General Provisions: Miscellaneous legal provisions including notices, governing law, and entire agreement

Optional Sections

1. Performance Bond: Required when project value or risk profile necessitates additional security

2. Liquidated Damages: Included when specific compensation for delay needs to be pre-agreed

3. Retention: Used when holding back a portion of payments is required for quality assurance

4. Subcontracting: Needed when subcontractors are likely to be engaged

5. Site Conditions: Important for projects where ground conditions or existing structures may impact work

6. Environmental Requirements: Required for projects with significant environmental impact

7. Health and Safety Requirements: Detailed section needed for high-risk construction projects

8. Force Majeure: Detailed provisions for unforeseen events, particularly relevant in complex projects

Suggested Schedules

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

2. Schedule 2 - Contract Price Breakdown: Detailed breakdown of costs and bill of quantities

3. Schedule 3 - Project Timeline: Detailed program of works and key milestone dates

4. Schedule 4 - Site Information: Site plans, access details, and relevant site conditions

5. Schedule 5 - Insurance Requirements: Detailed insurance specifications and coverage requirements

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

7. Schedule 7 - Forms and Certificates: Standard forms for payment applications, variations, and certificates

8. Appendix A - Technical Specifications: Detailed technical requirements and standards

9. Appendix B - Drawings: Construction drawings and design documents

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 Development

Infrastructure

Commercial Property

Residential Property

Industrial Construction

Civil Engineering

Building and Construction

Property Management

Architecture

Relevant Teams

Legal

Construction

Operations

Commercial

Procurement

Risk and Compliance

Project Management

Contract Administration

Business Development

Property Development

Relevant Roles

Project Manager

Construction Manager

Contract Administrator

Legal Counsel

Commercial Director

Development Manager

Site Manager

Quantity Surveyor

Construction Director

Procurement Manager

Risk Manager

Compliance Officer

Operations Manager

Chief Executive Officer

Managing Director

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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