This form is a Construction Contract that may be executed with either a cost plus or fixed fee payment arrangement. The form contains the following additional subject matters and complies with the laws of the State of Florida: scope of work, work site, warranty and insurance.
Miami Gardens Florida Construction Contract Cost Plus or Fixed Fee
Category:
State:
Florida
City:
Miami Gardens
Control #:
FL-00462
Format:
Word;
Rich Text
Instant download
Description
Free preview
How to fill out Florida Construction Contract Cost Plus Or Fixed Fee?
Regardless of one’s societal or professional position, filling out legal documents is a regrettable requirement in the modern world.
Frequently, it's nearly impossible for an individual without any legal expertise to create such documents from scratch, primarily due to the intricate language and legal subtleties they entail.
This is where US Legal Forms becomes invaluable.
Confirm that the template you have found is suitable for your locality since the laws of one state or region may not apply to another.
Review the document and read through a brief summary (if available) of the situations the paper can be utilized for.
- Our service offers an extensive collection of over 85,000 ready-to-use state-specific forms suitable for virtually any legal situation.
- US Legal Forms is also a beneficial resource for associates or legal advisors looking to save time by using our DIY papers.
- Whether you need the Miami Gardens Florida Construction Contract Cost Plus or Fixed Fee, or any other document relevant to your state or region, everything is readily available with US Legal Forms.
- Here's how you can obtain the Miami Gardens Florida Construction Contract Cost Plus or Fixed Fee within minutes using our dependable service.
- If you are already a subscriber, simply Log In to your account to download the appropriate form.
- If you are new to our library, ensure you follow these steps before downloading the Miami Gardens Florida Construction Contract Cost Plus or Fixed Fee.
Form popularity
FAQ
Budget: A fixed-price contract is just that: fixed. The agreed-on price at the beginning of the project is the price at the end. Conversely, a cost-plus contract estimates a project's costs but doesn't set the final price until the project is completed.
Cost plus percentage contract means that as the project costs increase, the fee also increases. This is not typically used because the contractor has no incentive to control costs. In fact, federal government agencies are prohibited from using this type of contract.
Expenses may also include overhead, like research and development costs necessary to meet contractual goals. However, estimating errors, mistakes and costs incurred due to negligence are not covered in most cost-plus contracts. In some cases, the customer may request a cap on total chargeable expenses.
Cost-plus contracts are majorly found in the construction industry where the contractor is reimbursed the number of expenditures made for the contract and fixed percentage fees of the contract cost as the profit made on the contract.
fixedprice contract provides for a price that is not subject to any adjustment on the basis of the contractor's cost experience in performing the contract. This contract type places upon the contractor maximum risk and full responsibility for all costs and resulting profit or loss.
What Are the Differences Among Fixed Price and Cost Reimbursement Agreements? Fixed price (FP) agreements have fixed payments based on a milestone payment schedule or the submission of deliverables. Cost reimbursement (CR) agreements are paid as costs are incurred and invoiced, typically monthly or quarterly.
Unlike a fixed-cost construction contract, a cost-plus construction agreement is a contract in which the owner pays the contractor the actual costs of the materials and labor plus an additional negotiated fee or percentage over that amount.
For these reason I recommend avoiding cost-plus contracts in most cases. They simply carry too many risks for the owner and few benefits. They often lead to cost overruns and disputes over money. It's better to nail down as many costs as possible before starting the job and get a fixed bid.
Disadvantages of cost-plus fixed-fee contracts may include: The final, overall cost may not be very clear at the beginning of negotiations. May require additional administration or oversight of the project to ensure that the contractor is factoring in the various cost factors.
plusfixedfee contract is a costreimbursement contract that provides for payment to the contractor of a negotiated fee that is fixed at the inception of the contract. The fixed fee does not vary with actual cost, but may be adjusted as a result of changes in the work to be performed under the contract.