The Standard Builders Contract is a fundamental document used in the Philippine construction industry for formalizing construction project agreements between property owners/employers and contractors. It is particularly suitable for both commercial and residential construction projects of various scales, incorporating essential requirements from Philippine construction law, including the Civil Code, Contractors' License Law, and National Building Code. This contract type provides comprehensive coverage of construction-specific considerations such as permits, warranties, payment structures, and quality standards, while allowing flexibility for project-specific requirements. The document serves as a crucial risk management tool, ensuring clear allocation of responsibilities and establishing procedures for common construction project scenarios such as variations, delays, and defects resolution. It is designed to be compliant with Philippine jurisdiction requirements while following international best practices in construction contracting.
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1. Parties: Identification of the Owner/Employer and the Contractor, including their complete legal names, addresses, and registration details
2. Background: Context of the agreement, brief project description, and basis for entering into the contract
3. Definitions and Interpretation: Definitions of key terms used throughout the contract and rules for contract interpretation
4. Scope of Works: Detailed description of the construction works to be performed, including general obligations of the Contractor
5. Contract Price and Payment Terms: Amount payable, payment schedule, retention money, and payment procedures
6. Time for Completion: Project timeline, completion date, and provisions for extensions of time
7. Contractor's Obligations: Specific duties including workmanship, materials, safety, compliance with laws, and supervision
8. Owner's Obligations: Responsibilities including site access, permits, approvals, and payment obligations
9. Quality and Standards: Required quality standards, inspections, testing, and acceptance procedures
10. Variations: Procedures for managing changes to the scope of work and corresponding price adjustments
11. Defects Liability: Defects notification period, remediation procedures, and warranties
12. Insurance and Indemnity: Required insurance coverage and indemnification obligations
13. Force Majeure: Events beyond parties' control and their consequences
14. Suspension and Termination: Rights and procedures for suspending or terminating the contract
15. Dispute Resolution: Procedures for resolving disputes, including mediation and arbitration
16. General Provisions: Standard clauses including notices, governing law, and entire agreement
1. Performance Security: Required for larger projects or when specified by the Owner - details requirements for performance bonds or guarantees
2. Advance Payment: Used when advance payments are required - includes terms for advance payment and corresponding security
3. Subcontracting: Include when subcontracting is anticipated - specifies conditions and approval requirements
4. Equipment and Temporary Works: For complex projects requiring significant temporary works or equipment
5. Environmental Compliance: Required for projects with significant environmental impact - details environmental obligations
6. Health and Safety Requirements: Detailed safety requirements for high-risk or complex projects
7. Quality Assurance System: Detailed quality management requirements for large or complex projects
8. Site Security: Specific security requirements for sensitive or high-security locations
9. Testing and Commissioning: Detailed procedures for projects requiring complex testing or commissioning
10. Intellectual Property Rights: Required when design elements or proprietary methods are involved
1. Schedule 1 - Scope of Works: Detailed technical specifications, drawings, and work requirements
2. Schedule 2 - Contract Price Breakdown: Detailed breakdown of the contract price, including bill of quantities
3. Schedule 3 - Project Timeline: Detailed construction schedule, milestones, and completion dates
4. Schedule 4 - Payment Schedule: Detailed payment terms, milestone payments, and payment procedures
5. Schedule 5 - Key Personnel: List of key personnel from both parties, including qualifications and responsibilities
6. Schedule 6 - Required Insurance: Detailed insurance requirements and minimum coverage amounts
7. Schedule 7 - Forms and Certificates: Standard forms for variations, completion certificates, and other notifications
8. Schedule 8 - Site Information: Site details, access points, existing conditions, and utilities
9. Schedule 9 - Permits and Approvals: List of required permits and party responsible for obtaining each
10. Schedule 10 - Quality Standards: Specific quality standards, testing requirements, and acceptance criteria
Relevant legal definitions
Clauses
Relevant Industries
Construction
Real Estate Development
Infrastructure
Commercial Property
Residential Development
Industrial Construction
Public Works
Hospitality
Retail Development
Healthcare Construction
Relevant Teams
Legal
Operations
Construction
Commercial
Procurement
Risk Management
Technical
Finance
Project Management
Business Development
Relevant Roles
Construction Manager
Project Director
Contracts Manager
Legal Counsel
Project Manager
Site Supervisor
Quantity Surveyor
Commercial Manager
Procurement Manager
Chief Executive Officer
Operations Director
Risk Manager
Technical Director
Development Manager
Finance Manager
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