The Cost Plus Fee Construction Contract in Santa Clara is designed to formalize the agreement between the Contractor and the Owner regarding the construction of a residence. This contract specifies that the Owner will pay the actual costs incurred by the Contractor for materials plus an additional fee for services rendered. Key features include detailed provisions for scope of work, site conditions, insurance requirements, and the process for change orders. It emphasizes the importance of obtaining necessary permits and includes clauses for late payments and warranties on workmanship. For attorneys, this form can be useful in ensuring compliance with local regulations. Partners and owners can leverage it to protect their investment and clarify responsibilities. Associates and paralegals may use it to streamline contract drafting and negotiation processes, while legal assistants can assist in managing the documentation and tracking compliance with the agreement's terms. Overall, this form provides a crucial framework for construction projects, promoting transparency and accountability between parties.
Protect Yourself when Working with Custom Home Builders Only work with a licensed contractor. Get the contract in writing. Avoid “lump sum” bids. Talk to several contractors. Tie payments to deliverables. Get proof of payment to suppliers.