The Stipulated Price Contract is widely used in the United States when project scope can be clearly defined and quantified. It provides cost certainty for owners while allowing contractors to potentially increase profits through efficient project management. This contract type is particularly suitable for projects with well-defined specifications, minimal likelihood of changes, and stable market conditions. The document typically includes comprehensive scope definitions, payment schedules, quality requirements, and risk allocation provisions, all structured to comply with relevant U.S. federal and state contracting laws.
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1. Parties: Identifies and defines all parties to the contract
2. Background/Recitals: States the context and purpose of the agreement
3. Definitions: Defines key terms used throughout the contract
4. Scope of Work: Detailed description of the work to be performed
5. Contract Price: Stipulated price and payment terms
6. Project Timeline: Schedule of work and completion dates
7. Performance Standards: Quality requirements and acceptance criteria
8. General Conditions: Standard terms and conditions
1. Change Orders: Procedures for modifications to scope - recommended for complex projects likely to require changes
2. Liquidated Damages: Predetermined damages for breach - recommended when specific losses can be calculated in advance
3. Force Majeure: Provisions for unforeseen circumstances - recommended for longer-term contracts or high-risk environments
4. Dispute Resolution: Alternative dispute resolution procedures - recommended for high-value contracts or complex relationships
1. Schedule A - Detailed Scope of Work: Comprehensive description of deliverables and specifications
2. Schedule B - Price Breakdown: Detailed cost analysis and payment schedule
3. Schedule C - Project Timeline: Detailed project schedule with milestones
4. Schedule D - Technical Specifications: Detailed technical requirements and standards
5. Schedule E - Insurance Requirements: Required insurance coverage and limits
6. Schedule F - Key Personnel: List of key team members and their roles
7. Schedule G - Forms and Templates: Standard forms for change orders, progress payments, etc.
Relevant legal definitions
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