Document background
The General Contractor Agreement Cost Plus Fee is a specialized construction contract designed for projects where the final costs cannot be accurately determined at the outset, or where flexibility in scope is required. This agreement, structured under Malaysian law and construction regulations, provides a framework where the contractor is reimbursed for actual costs incurred plus a pre-agreed fee or percentage. It is particularly suitable for complex construction projects, renovation works, or situations where the scope may evolve during execution. The document includes comprehensive provisions for cost verification, progress payments, and change management, while ensuring compliance with Malaysian construction industry requirements, including CIDB regulations and local building codes. This type of agreement is often preferred when transparency in costs is paramount or when the project involves numerous unknown variables that make fixed-price contracting impractical.
