A building and construction contract must fulfill the same requirements as any other type of contract in regard to the following necessary elements:
" an agreement;
" between competent parties;
" based upon the genuine assent of the parties;
" supported by consideration;
" made for a lawful objective; and
" and in the form required by law.
Such a contract generally provides not only for the construction of the project, but also for many matters that are incidental to the project. Thus, it may provide for the carrying of liability, workers' compensation, and fire insurance policies, designating which party is responsible for obtaining particular insurance. A building and construction contract will typically specify the duties, responsibilities, and liabilities of each of the parties, as well as those of any employed architect or engineer. The amount and method of compensation is, of course, an important part of such a contract.
Oregon Basic Building and Construction Contract between Owner and Contractor is a legally binding agreement that outlines the terms and conditions for a construction project in the state of Oregon. It establishes the rights, obligations, and responsibilities of both the owner and the contractor involved in the project. The contract ensures a clear understanding between the parties involved and helps in avoiding disputes and disagreements during the construction process. Some key components that are typically included in an Oregon Basic Building and Construction Contract between Owner and Contractor are: 1. Project Scope: This section defines the specifics of the construction project, including the description of the work, project plans and design details, and any specific requirements or considerations. 2. Timeline and Schedule: The contract specifies the start and completion dates for the construction project, along with any milestone deadlines and project phasing, if applicable. 3. Deliverables and Performance: It outlines the expected deliverables, materials, and quality standards for the project, ensuring that the contractor meets all the defined specifications. 4. Payment Terms: This section specifies the agreed-upon payment terms, including the amount, frequency, and method of payments. It may also include provisions for change orders, retain age, and any penalties for delays or non-compliance. 5. Insurance and Liability: The contract typically requires the contractor to carry the necessary insurance coverage, such as general liability and workers' compensation insurance, to protect both parties in case of any accidents or damages during the construction process. 6. Dispute Resolution: It establishes procedures for resolving disputes, such as mediation or arbitration, in case any conflicts arise during the project. This ensures that both parties have a fair and efficient process in place to handle disagreements. 7. Termination Clause: The contract may include provisions that allow either party to terminate the agreement under certain circumstances, such as non-performance, breach of contract, or unforeseen circumstances. Different types of Oregon Basic Building and Construction Contracts may include: 1. Lump Sum Contract: In this type of contract, the contractor agrees to complete the project for a fixed lump sum amount, regardless of the actual costs incurred during the construction process. 2. Cost Plus Contract: This contract type is based on the actual costs of labor, materials, and overhead, with the owner paying the contractor the cost incurred plus an agreed-upon fee or percentage for profit and overhead. 3. Design-Build Contract: In this contract, the contractor is responsible for both the design and construction of the project. This streamlines the process by having a single entity responsible for both aspects. 4. Unit Price Contract: This contract involves payment based on specific units of work completed, such as per square foot or per hour of labor, as agreed upon between the owner and the contractor. These are some common types of Oregon Basic Building and Construction Contracts between an owner and a contractor. It is important for both parties to carefully review and understand the terms before signing the contract to ensure clarity and a successful construction project.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
