The Turnkey Contract is a specialized agreement used when an employer requires a complete, ready-to-use facility or project delivered by a single contractor. This document, governed by Maltese law and EU regulations, is particularly suitable for complex projects where the employer wants to minimize their direct involvement in the technical details and coordination of the project. It allocates comprehensive responsibility to the contractor for all aspects including design, procurement, construction, installation, testing, and commissioning. The contract incorporates specific requirements of Maltese construction law, planning regulations, and environmental standards, while ensuring compliance with EU directives. It's commonly used for industrial facilities, infrastructure projects, and commercial developments where single-point responsibility and guaranteed performance are crucial factors.
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1. Parties: Identification of the Employer and the Contractor, including their registered addresses and company details
2. Background: Context of the project, including brief description of the works and purpose
3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the contract and rules of interpretation
4. Scope of Works: Detailed description of the complete scope, including design, construction, installation, testing, and commissioning
5. Contract Price and Payment Terms: Fixed price, payment schedule, milestones, and payment conditions
6. Time for Completion: Project schedule, key milestones, and completion dates
7. Contractor's Obligations: Comprehensive list of contractor responsibilities including design, procurement, construction, and commissioning
8. Employer's Obligations: Responsibilities of the employer including site access, permits, and approvals
9. Design Responsibility: Allocation of design responsibility and approval processes
10. Quality Assurance and Control: Quality standards, inspection requirements, and testing procedures
11. Testing and Commissioning: Procedures for testing, commissioning, and performance verification
12. Completion and Handover: Requirements for completion, acceptance criteria, and handover procedures
13. Defects Liability: Warranty period, remediation of defects, and maintenance obligations
14. Changes and Variations: Procedures for handling changes and variations to the scope
15. Force Majeure: Definition and consequences of force majeure events
16. Termination: Grounds for termination and consequences
17. Liability and Indemnification: Allocation of risks and responsibilities between parties
18. Insurance: Required insurance coverage and obligations
19. Dispute Resolution: Procedures for resolving disputes including arbitration provisions
20. Governing Law: Specification of Maltese law as governing law and jurisdiction
1. Performance Guarantees: Specific performance guarantees and associated liquidated damages, used when particular performance metrics are crucial
2. Interface Management: Procedures for managing interfaces with other contractors or existing facilities, used in complex projects
3. Environmental Compliance: Specific environmental requirements and obligations, used for projects with significant environmental impact
4. Local Content Requirements: Requirements for local content and employment, used when required by local regulations or project specifics
5. Technology Transfer: Provisions for technology transfer and training, used when required by the employer
6. Intellectual Property Rights: Specific provisions regarding IP rights, used when proprietary technology is involved
7. Step-in Rights: Employer's rights to step in and complete works, used in critical infrastructure projects
8. Confidentiality: Detailed confidentiality obligations, used when sensitive information is involved
1. Schedule 1 - Scope of Works: Detailed technical specifications and scope description
2. Schedule 2 - Site Information: Site details, conditions, and access requirements
3. Schedule 3 - Time Schedule: Detailed project schedule with milestones
4. Schedule 4 - Payment Schedule: Detailed payment terms, milestones, and procedures
5. Schedule 5 - Performance Specifications: Detailed performance requirements and acceptance criteria
6. Schedule 6 - Forms of Guarantees: Templates for various guarantees required under the contract
7. Schedule 7 - Testing and Commissioning Procedures: Detailed procedures for testing and commissioning
8. Schedule 8 - Required Insurances: Details of required insurance coverage
9. Schedule 9 - HSE Requirements: Health, safety, and environmental requirements
10. Schedule 10 - Forms of Certificates: Templates for various certificates including completion certificates
11. Appendix A - Drawings and Technical Documents: Reference drawings and technical documentation
12. Appendix B - Permits and Approvals: List of required permits and responsibilities
Relevant legal definitions
Clauses
Relevant Industries
Construction and Infrastructure
Energy and Power Generation
Industrial Manufacturing
Commercial Real Estate
Healthcare Facilities
Hospitality and Tourism
Information Technology
Telecommunications
Renewable Energy
Manufacturing Plants
Pharmaceutical Facilities
Waste Management
Water Treatment
Transportation Infrastructure
Relevant Teams
Legal
Project Management
Commercial
Procurement
Engineering
Construction
Finance
Risk and Compliance
Operations
Business Development
Technical Services
Quality Assurance
Contract Administration
Relevant Roles
Project Director
Contract Manager
Legal Counsel
Project Manager
Commercial Manager
Construction Manager
Procurement Manager
Technical Director
Chief Executive Officer
Chief Financial Officer
Risk Manager
Compliance Officer
Operations Director
Business Development Manager
Cost Controller
Design Manager
Quality Assurance Manager
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