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.
Mississippi Basic Building and Construction Contract between Owner and Contractor is a legal agreement that outlines the terms and conditions of a construction project in Mississippi. This contract serves as a binding document between the owner, who is typically the individual or organization seeking the construction work, and the contractor, who is responsible for executing the project. The Mississippi Basic Building and Construction Contract includes various important provisions to protect the rights and responsibilities of both parties involved. It covers essential aspects such as project scope, timeframe, payment terms, construction details, and dispute resolution. This contract is tailored to the specific requirements and regulations of Mississippi's construction industry. Some common types or variations of the Mississippi Basic Building and Construction Contract between Owner and Contractor include: 1. Lump Sum Contract: This type of contract specifies a fixed total amount for the entire project. The contractor agrees to complete the construction work for this fixed amount, regardless of any cost increases or delays. 2. Cost Plus Contract: Under this contract, the owner agrees to reimburse the contractor for the actual costs incurred during the construction process, including labor, materials, and overhead expenses. Additionally, an agreed-upon percentage or fee is added to cover the contractor's profit. 3. Unit Price Contract: In this type of contract, the owner pays the contractor based on pre-determined unit prices for specific items or tasks of the project. The final payment is calculated by multiplying the unit prices by the quantities of each unit used in the construction. 4. Time and Material Contract: This contract involves the payment of the actual cost of labor, materials, and equipment used by the contractor, along with an agreed-upon hourly or daily rate for the contractor's labor. The specific type of contract utilized for a construction project in Mississippi depends on various factors, such as the complexity of the project, the parties involved, and their preferences. It is advisable for both the owner and contractor to consult legal professionals experienced in Mississippi construction law to ensure compliance and protect their interests throughout the construction process.
