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Get With Guaranteed Maximum Bconstruction Contractb Bb

COST PLUS FEE (WITH GUARANTEED MAXIMUM) CONSTRUCTION CONTRACT BETWEEN OWNER AND CONTRACTOR This Construction Contract (the "Contract " or "Agreement ") is made and entered into.

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How to fill out the WITH GUARANTEED MAXIMUM BCONSTRUCTION CONTRACTb Bb online

Filling out the WITH GUARANTEED MAXIMUM BCONSTRUCTION CONTRACTb Bb is an essential step in formalizing the agreement between the owner and contractor for a construction project. This guide will provide you with clear, step-by-step instructions to navigate the form efficiently and ensure that all necessary information is accurately entered.

Follow the steps to complete the form correctly.

  1. Click ‘Get Form’ button to obtain the form and open it in your editor.
  2. In the first section, enter the date and the names of the parties involved, including the Owner and Contractor. Ensure that the Contractor's business details, including the principal office location, are accurate.
  3. Fill in the project location details as described in Attachment A. This includes specifying the project name and the exact site address.
  4. Next, outline the scope of work being contracted by providing a detailed description of labor, services, and materials required to fulfill the terms of the agreement.
  5. Complete the section for the Contractor's responsibilities, ensuring that all obligations such as supervision, specification, coordination, and securing necessary permits are detailed.
  6. In the Owner's responsibilities section, specify the owner's obligations, including providing plans, ensuring access, and making payments as outlined.
  7. Proceed to the changes section. Here, note the process for any modifications to the scope of work and how they will affect pricing.
  8. After filling out the contract, review the sections concerning default by either party to understand the consequences and actions required in case of a breach.
  9. Sign and date the document at the end. Ensure both the Owner and Contractor's representatives provide their signatures and titles.
  10. Once completed, save the changes, download, print, or share the filled document as necessary.

Start filling out your construction contract online today to ensure a smooth project execution.

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The guaranteed maximum price is the most a contractor can bill a customer for a project. Also known as "not-to-exceed price" contracts, these agreements require customers to compensate contractors for their direct costs and a fixed fee for overhead and profit, but only to a certain threshold.

Using a GMP contract can help customers secure financing more quickly and allow contractors to start the projects right away. It can also allow contractors to start without all the details because the set price limit allows customers to make final decisions on materials and designs as the project develops.

The Guaranteed Maximum Price (GMP) is a contract provision where a sum of money is agreed upon between the contractor and the STA for a project. This amount is a not-to-exceed total cost of the services provided during the construction phase of work including the direct costs, overhead, contingency, and fees (1, 2).

A Guaranteed Maximum Price (also known as GMP, Not-To-Exceed Price, NTE, or NTX) contract is a cost- type contract where the contractor is compensated for actual costs incurred plus a fixed fee subject to a ceiling price.

What Are the Disadvantages of GMP Contracts? A GMP has some disadvantages for both parties. If contractors miscalculated the project costs they will have to incur losses on the project. Yet the contractor does not benefit if they are more efficient and are able to keep costs down.

Using a GMP contract can help customers secure financing more quickly and allow contractors to start the projects right away. It can also allow contractors to start without all the details because the set price limit allows customers to make final decisions on materials and designs as the project develops.

A GMP contract differs from a fixed-price contract, such as a lump sum contract, in that, for the latter, the price remains the same no matter how much a contractor spends to complete the project. GMP contracts are more flexible—the property owner will reimburse the contractor for expenses up to the maximum.

A lump-sum contract is when the price will be for a set amount regardless of what the contractor's actual costs may be. In contrast, with a GMP contract, the owner pays the contractor's actual costs plus the profit. The project costs are capped at the price maximum.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
Privacy Notice
Legal Hub
Content Takedown Policy
Bug Bounty Program
About Us
Blog
Affiliates
Contact Us
Delete My Account
Site Map
Industries
Forms in Spanish
Localized Forms
State-specific Forms
Forms Kit
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate WorkFlow
DocHub
Instapage
Social Media
Call us now toll free:
+1 833 426 79 33
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232