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General Contractor Agreement for Philippines

General Contractor Agreement Template for Philippines

A General Contractor Agreement under Philippine law is a comprehensive legal document that establishes the terms and conditions between a property owner or developer and a general contractor for the execution of construction works. This agreement, governed by Philippine civil and construction laws, outlines the scope of work, payment terms, timeline, quality standards, and responsibilities of all parties involved. It includes specific provisions required by Philippine regulations, such as compliance with the National Building Code, CIAP requirements, and local construction permits. The agreement also addresses important aspects such as worker safety, environmental compliance, and dispute resolution mechanisms within the Philippine legal framework.

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What is a General Contractor Agreement?

The General Contractor Agreement is a crucial document used in the Philippine construction industry when engaging a primary contractor for construction projects. This agreement is essential for projects ranging from commercial buildings to infrastructure developments, establishing the legal and operational framework for the construction relationship. It must comply with Philippine laws including the Civil Code, the Contractors' License Law (RA 4566), and regulations from the Construction Industry Authority of the Philippines (CIAP). The document typically includes detailed specifications about the project scope, timeline, payment terms, quality standards, and compliance requirements. It's particularly important as it defines the responsibilities and liabilities of both the owner and the contractor, while ensuring adherence to local building codes, safety standards, and environmental regulations. The agreement serves as the primary reference document throughout the construction process and provides mechanisms for handling changes, disputes, and project completion.

What sections should be included in a General Contractor Agreement?

1. Parties: Identification of the Owner and the General Contractor, including complete legal names, addresses, and registration details

2. Background: Context of the agreement, including brief project overview and contractor's representations of capability

3. Definitions: Defined terms used throughout the agreement, including technical construction terms and contract-specific definitions

4. Scope of Work: Detailed description of the construction work to be performed, including general obligations and deliverables

5. Contract Price and Payment Terms: Total contract value, payment schedule, terms of payment, and procedures for progress payments

6. Project Timeline: Construction schedule, completion dates, milestones, and provisions for extensions of time

7. Contractor's Obligations: Specific responsibilities including labor, materials, equipment, permits, and compliance with laws

8. Owner's Obligations: Responsibilities of the owner including site access, approvals, and owner-supplied materials if any

9. Quality Standards and Inspection: Quality requirements, inspection procedures, and acceptance criteria

10. Safety and Environmental Requirements: Safety protocols, environmental compliance, and waste management obligations

11. Insurance and Bonds: Required insurance coverage, performance bonds, and warranty bonds

12. Warranties and Defects Liability: Warranty terms, defects liability period, and remediation procedures

13. Variations and Changes: Procedures for handling change orders and variations to the scope of work

14. Subcontracting: Terms and conditions for engaging subcontractors and the contractor's liability for subcontracted work

15. Force Majeure: Provisions for handling unforeseen circumstances and their impact on the contract

16. Termination: Grounds and procedures for contract termination by either party

17. Dispute Resolution: Procedures for resolving disputes, including mediation and arbitration provisions

18. Governing Law: Specification of Philippine law as governing law and jurisdiction

19. General Provisions: Standard contractual provisions including notices, amendments, and severability

What sections are optional to include in a General Contractor Agreement?

1. Retention Money: Terms for withholding and releasing retention money, used when project value exceeds certain thresholds

2. Liquidated Damages: Provisions for damages due to delays or non-performance, included when specific completion dates are critical

3. Site Conditions: Provisions dealing with unforeseen site conditions, included for projects with significant groundwork

4. Materials Storage and Security: Requirements for materials storage and security arrangements, included for projects with significant material costs

5. Intellectual Property Rights: Provisions regarding design rights and other IP, included when custom designs or innovative methods are involved

6. Foreign Currency Provisions: Terms for handling foreign currency payments, included when international suppliers or contractors are involved

7. Environmental Impact Management: Detailed environmental management requirements, included for environmentally sensitive projects

8. Community Relations: Provisions for managing community impact and relations, included for projects in densely populated areas

9. Government Approvals: Specific provisions regarding government permits and approvals, included for projects requiring special permits

What schedules should be included in a General Contractor Agreement?

1. Schedule A - Scope of Work: Detailed technical specifications and drawings of the work to be performed

2. Schedule B - Bill of Quantities: Itemized list of quantities, unit prices, and total costs

3. Schedule C - Project Timeline: Detailed construction schedule with milestones and critical path activities

4. Schedule D - Payment Schedule: Detailed breakdown of payment terms, including progress payment milestones

5. Schedule E - Key Personnel: List of key personnel from both parties with roles and responsibilities

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

7. Schedule G - Safety Requirements: Detailed safety procedures and requirements

8. Schedule H - Quality Control Plan: Detailed quality control procedures and standards

9. Appendix 1 - Technical Drawings: Complete set of technical drawings and specifications

10. Appendix 2 - Permits and Licenses: Copies of all required permits, licenses, and certifications

11. Appendix 3 - Form of Performance Bond: Template for the required performance bond

12. Appendix 4 - Form of Progress Report: Template for monthly progress reports

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

Cost

Free to use
Relevant legal definitions

















































Clauses









































Relevant Industries

Construction

Real Estate Development

Infrastructure

Commercial Property

Industrial Manufacturing

Hospitality

Healthcare

Education

Retail

Residential Development

Mining

Energy

Transportation

Telecommunications

Government and Public Works

Relevant Teams

Legal

Operations

Procurement

Finance

Project Management

Construction Management

Risk Management

Quality Assurance

Health and Safety

Commercial

Technical Services

Property Management

Compliance

Contract Administration

Relevant Roles

CEO

Construction Manager

Project Director

Contract Administrator

Legal Counsel

Procurement Manager

Chief Financial Officer

Operations Director

Risk Manager

Site Supervisor

Quality Control Manager

Safety Officer

Project Engineer

Commercial Director

Development Manager

Compliance Officer

Technical Director

Cost Controller

Property Manager

Facilities Manager

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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