The Construction Owner's Representative Contract is essential for construction projects in Indonesia where the project owner requires professional representation to oversee their interests. This document becomes particularly important in complex construction projects where the owner may lack technical expertise or capacity for day-to-day project supervision. The agreement, governed by Indonesian law including Law No. 2 of 2017 on Construction Services and related regulations, establishes the scope of authority, responsibilities, and limitations of the representative's role. It includes crucial provisions for project oversight, quality control, compliance with local regulations, reporting mechanisms, and protection of the owner's interests. The document is designed to ensure effective project management while maintaining compliance with Indonesian construction laws and industry standards.
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1. Parties: Identification of the Owner and the Owner's Representative, including their complete legal details and authority to enter into the agreement
2. Background: Context of the appointment, including details of the construction project and the need for owner's representation
3. Definitions: Key terms used throughout the agreement, including project-specific and technical terms
4. Appointment and Scope of Services: Formal appointment clause and detailed scope of the representative's services
5. Authority and Limitations: Extent and limitations of the representative's authority to act on behalf of the owner
6. Representatives Duties and Obligations: Specific responsibilities including project monitoring, reporting, and quality control
7. Owner's Obligations: Owner's responsibilities including provision of information, approvals, and access
8. Project Documentation: Requirements for maintaining and managing project documentation
9. Reporting Requirements: Frequency, format, and content of required reports
10. Fees and Payment Terms: Compensation structure, payment schedule, and reimbursable expenses
11. Duration and Timeline: Contract period, key milestones, and extension provisions
12. Professional Standards: Required standards of care and professional conduct
13. Compliance with Laws: Obligation to comply with Indonesian construction and related laws
14. Insurance and Liability: Insurance requirements and liability limitations
15. Termination: Grounds and procedures for contract termination
16. Dispute Resolution: Procedures for resolving disputes, including jurisdiction under Indonesian law
17. General Provisions: Standard clauses including notices, amendments, and governing law
1. Performance Security: Required when the project value exceeds certain thresholds or when requested by the owner
2. Health and Safety Obligations: Detailed section needed for high-risk construction projects
3. Environmental Compliance: Required for projects with significant environmental impacts
4. Local Content Requirements: Needed when project falls under Indonesian local content regulations
5. Multiple Project Sites: Required when representation covers multiple construction sites
6. Substantial Completion Procedures: Detailed procedures needed for complex projects
7. Technology and Software Requirements: Needed when specific project management software or technology is required
8. Anti-Corruption Provisions: Enhanced provisions for government-related projects or high-value contracts
1. Schedule A - Scope of Services: Detailed breakdown of all services to be provided by the representative
2. Schedule B - Fee Schedule: Detailed breakdown of fees, rates, and payment terms
3. Schedule C - Project Details: Specific details of the construction project(s) covered
4. Schedule D - Key Personnel: List of key personnel and their roles from both parties
5. Schedule E - Reporting Templates: Standard formats for required reports and documentation
6. Schedule F - Service Levels: Performance metrics and service level requirements
7. Schedule G - Project Timeline: Detailed project schedule and milestones
8. Appendix 1 - Power of Attorney: Format of power of attorney defining representative's authority
9. Appendix 2 - Insurance Requirements: Detailed insurance requirements and minimum coverage
10. Appendix 3 - Compliance Checklist: Checklist of regulatory and statutory requirements
Relevant legal definitions
Clauses
Relevant Industries
Commercial Real Estate
Industrial Construction
Residential Development
Infrastructure Development
Healthcare Facilities
Education Facilities
Hospitality
Retail Development
Manufacturing Facilities
Energy and Utilities
Transportation
Mining and Resources
Data Centers
Mixed-use Development
Relevant Teams
Legal
Project Management
Construction Management
Contract Administration
Quality Assurance
Risk Management
Compliance
Technical Services
Development
Procurement
Operations
Relevant Roles
Project Director
Construction Manager
Owner's Representative
Project Manager
Construction Supervisor
Technical Director
Contract Manager
Quality Assurance Manager
Site Supervisor
Development Director
Facilities Manager
Construction Coordinator
Legal Counsel
Risk Manager
Compliance Officer
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