This state specific form addresses issues for subcontract work including: identifying the parties, identifying the jobsite, describing the work, scheduling the work, payment amount, payment schedule, change orders, contractors delay in commencing work, late payments, dispute resolution, excusable delay, concealed conditions, insurance, and contract interpretation.
Palmdale California Subcontractor's Agreement
State:
California
City:
Palmdale
Control #:
CA-00481-CPK
Format:
Word;
Rich Text
Instant download
Description
Free preview
How to fill out California Subcontractor's Agreement?
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FAQ
The general contractor must pay subcontractors within seven days of receiving a progress payment relating to that subcontractor's work. Timeframes can be changed by the written contract and the good faith dispute for withholding payment also applies.
Subcontractors undertake work that a contractor cannot do but for which the contractor is responsible. Subcontractors can be anything from an individual self-employed person - eg a plumber carrying out work for a building contractor - to a large national organisation.
The prime contractor is responsible for managing its subcontracts, per FAR 42.202(e)(2). The prime contractor is primarily responsible for subcontract award, technical and financial performance, monitoring, and payment to the subcontractor for the work accomplished under subcontract terms.
An individual is an independent contractor in California only if they meet all three (3) requirements of the test: The worker remains free from managerial direction and control related to the worker's performance. The worker performs duties outside the scope of the company's course of business.
Contractors are responsible for supplying the necessary equipment, material, labor, and services to complete your project. They hire specialized subcontractors to perform either a portion or all of the work. Contractors use Subcontractor Agreements to protect themselves and the subcontractors they hire.
The two most common methods for protecting against subcontractor default are subcontractor bonds and subcontractor default insurance. Both are used to manage the risk of subcontractor default but there are differences in how they work, who bears the risk and what parties are protected.
6 Tips for Dealing With Subcontractor Default Prequalify Your Subs. Before you take pricing or solicit bids from subcontractors you need to make sure they are capable of completing the work, both physically and financially.Know the Signs.Craft a Plan.Put It in a Contract.Protect Yourself.Termination of Contract.
The contractor then subcontracts the work to companies lacking the proper documentation and credentials, who perform the work for less than the original contract.
Another consideration is whether the subcontractor has its own general liability insurance, workers compensation insurance and subcontractor license. A contractor who hires an uninsured or unlicensed subcontractor may be liable for any injuries or lawsuits stemming from the subcontractor's actions.
Generally, once a subcontractor is listed the general contractor may not substitute another subcontractor for the same work. California Public Contracts Code §4107 provides that no prime contractor whose bid is accepted may substitute another subcontractor in place of the subcontractor listed in the original bid.
