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Back-to-back subcontract

When a sub-subcontractor is used, the prime contractor may have a back-to-back subcontract to reduce risk. This subcontract ensures the prime contractor gets paid if the sub-subcontractor doesn't pay the sub-contractor. It also minimizes the prime contractor's liability.

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Relevant Contract Types

🏚️ Sub-subcontract

A sub-subcontract is a contract between a subcontractor and a sub-subcontractor in which the subcontractor delegates some of its obligations under the original contract to the sub-subcontractor. The sub-subcontractor is then responsible for performing those delegated obligations.

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Relevant Contract Types

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