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Construction Agency Agreement for Philippines

Construction Agency Agreement Template for Philippines

A comprehensive legal agreement governed by Philippine law that establishes and regulates the relationship between a principal and a construction agent. The agreement authorizes the agent to act on behalf of the principal in various construction-related activities, including project management, contractor supervision, and regulatory compliance. It incorporates specific requirements under Philippine construction laws, including the Civil Code provisions on agency, the Contractors' License Law, and the National Building Code, while addressing key aspects such as scope of authority, compensation, liability, and dispute resolution mechanisms.

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Construction Agency Agreement

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What is a Construction Agency Agreement?

The Construction Agency Agreement is a vital document used when a property owner or developer (principal) needs to delegate construction-related responsibilities to a specialized agent in the Philippines. This agreement is particularly relevant for complex construction projects where the principal requires professional representation and management of construction activities. The document establishes the agent's authority to act on behalf of the principal in matters such as contractor selection, project supervision, permit acquisition, and regulatory compliance. It must comply with Philippine legal requirements, including the Civil Code provisions on agency relationships, construction industry regulations, and local building codes. The agreement typically includes detailed provisions on the agent's scope of authority, compensation structure, reporting requirements, and risk allocation, making it essential for both domestic and international construction projects in the Philippines.

What sections should be included in a Construction Agency Agreement?

1. Parties: Identifies the Principal and the Construction Agent, including their complete legal names, addresses, and registration details

2. Background: Explains the context of the agreement, including the Principal's desire to appoint an agent for construction-related activities

3. Definitions: Defines key terms used throughout the agreement, including construction-specific terminology

4. Appointment and Scope: Formal appointment of the agent and detailed scope of authority in relation to construction activities

5. Agent's Authority: Specific powers granted to the agent, including limits on financial commitments and contract signing authority

6. Agent's Duties and Responsibilities: Detailed obligations including project management, contractor supervision, and reporting requirements

7. Principal's Obligations: Principal's responsibilities including provision of information, approvals, and funding

8. Compliance Requirements: Obligations to comply with Philippine construction laws, building codes, and safety regulations

9. Fees and Payment Terms: Agent's compensation structure, payment schedule, and reimbursable expenses

10. Duration and Termination: Term of the agreement and circumstances for termination

11. Liability and Indemnification: Allocation of risks and responsibilities between parties

12. Insurance: Required insurance coverage for both parties

13. Dispute Resolution: Process for resolving disputes, including jurisdiction under Philippine law

14. General Provisions: Standard clauses including notices, amendments, and governing law

What sections are optional to include in a Construction Agency Agreement?

1. Performance Guarantees: Required when the agent needs to provide specific performance guarantees or bonds

2. Intellectual Property Rights: Needed when the agency scope includes design work or technical specifications

3. Force Majeure: Optional but recommended given Philippines' exposure to natural disasters

4. Anti-Corruption Provisions: Required for government projects or when dealing with public entities

5. Confidentiality: Required when dealing with sensitive project information or proprietary designs

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

7. Local Content Requirements: Required when project must comply with local content or employment requirements

What schedules should be included in a Construction Agency Agreement?

1. Schedule 1 - Project Details: Specific details of the construction project(s) covered by the agency agreement

2. Schedule 2 - Fee Schedule: Detailed breakdown of agency fees, commissions, and payment structures

3. Schedule 3 - Required Approvals and Permits: List of necessary regulatory approvals and permits to be obtained

4. Schedule 4 - Reporting Requirements: Format and frequency of progress reports and other required documentation

5. Schedule 5 - Key Personnel: Details of key personnel from both parties involved in the project

6. Schedule 6 - Insurance Requirements: Detailed insurance requirements including types and coverage amounts

7. Appendix A - Power of Attorney: Format of power of attorney granting specific authority to the agent

8. Appendix B - Compliance Checklist: Checklist of regulatory and statutory requirements under Philippine law

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Philippines

Publisher

Ƶ

Document Type

Agency Agreement

Cost

Free to use
Relevant legal definitions













































Clauses









































Relevant Industries

Real Estate Development

Commercial Construction

Industrial Construction

Infrastructure Development

Residential Construction

Healthcare Facilities

Educational Institutions

Hospitality and Tourism

Retail Development

Manufacturing

Energy and Utilities

Transportation

Relevant Teams

Legal

Operations

Project Management

Construction

Procurement

Finance

Risk and Compliance

Property Development

Technical Services

Facilities Management

Contract Administration

Relevant Roles

Project Manager

Construction Manager

Development Director

Property Developer

Real Estate Manager

Facilities Manager

Contract Administrator

Legal Counsel

Risk Manager

Compliance Officer

Chief Operating Officer

Construction Director

Technical Director

Site Supervisor

Procurement Manager

Finance 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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