Annex A CONSTRUCTION-AGREEMENT
Annex A CONSTRUCTION-AGREEMENT
Annex A CONSTRUCTION-AGREEMENT
AND WHEREAS the Builder has submitted his offer dated 14 th day of February
2019,
Offering to complete and maintain the Works upon said conditions and in
accordance with the Drawings and Specifications.
AND WHEREAS the Owner has accepted the Builder’s offer conveyed in the
said tender.
IN WITNESS hereof the parties have signed in the presence of the subscribing
witness,
MARJORIE A. BARRETTO
SIGNATURE OF OWNER OR AGENT
In the presence of:
JOSE S. ECHEVERI
Witness
ATONG ANG
SIGNATURE OF BUILDER
GRETCHEN C. COJUANGCO
Witness
GENERAL INFORMATION
2.1 This draft of a contract between the Owner and the Builder is intended to
be used for the construction of small houses which are within the scope of
the Building Guidelines. Buildings outside the scope of the Building
Guidelines are more complicated and any agreement between the Owner
and the Builder should be made using the standard agreements drafted by
the major architectural and engineering of the Philippines.
2.2 A standard contract for the construction of a house will contain drawings
and specifications as approved by the City Engineering Office of Baguio
for the execution of the works which include the house itself and exterior
works such as the septic tank, drainage, water cistern, access roads and
landscaping where required.
2.3.1 A person (the Owner) wishes to construct a house and has purchased
or owns land suitable for the construction of a house.
2.3.2 A designer has been engaged by the Owner to draw plans for the
house.
2.3.3 The plans drawn are in accordance with the requirements of the Board
and the relevant Regulations in all respects, and include adequate
information on items such as structure of the building, electricity,
plumbing, septic tank, drainage, water, cistern and guttering, access
roadways, landscaping and descriptions of the materials to be used.
2.3.6 The designer, the Owner or the Owner’s representative will be required
to inspect the construction to ensure that the Builder carries out the
work in accordance with the plans.
2.3.7 The Builder will be asked by the Owner to provide a price for
constructing the house in accordance with the approved plans and the
price will include all material tools and equipment and labor need to
construct the house including all interior and exterior Works, unless the
Owner decides in writing that certain parts of the Works will not be
carried out by the Builder.
3.1 Commencement of the works.
3.1.1 Date of signing of the contract: February 14, 2019
3.1.2 Date of occupying the site by the Builder: February 29, 2019
3.2 Date of completion of the Works: June 12, 2019
3.3 Minimum workers on the site: 10
3.4 Variations and alterations
3.4.1 The owner has the right to request the Builder to carry out all
variations and alterations from the plans and specifications provided that
such alterations and variations have been approved by the Board in
accordance with the controlling legislation.
3.4.2 The Builder shall price such variations and alterations within
reasonable amount of time of the receipt of the requests by the Owner to
do so. Work shall not be carried out on the alterations and variations until
the Owner and Builder have agreed to the prices charged by the Builder
for such work.
3.4.3 The Builder shall state whether the alterations o variations requested
will lead to an extension of time for the completion of the Works and he/she
shall give the Owner his/her best estimate of the extra time required.
3.7 Relations between the Builder and the Owner
3.7.1 The Builder shall carry out the Works in accordance with the
drawings and specifications and in accordance with any reasonable
instructions by the Owner or his/her representative.
3.7.2 As soon as possible after the signing of the contract between the
Owner and the Builder, the Owner shall inform the Builder the name of
his/her authorized representative who will represent the Owner for the
construction of the Works.
3.7.3 As soon as possible after the signing of the contract the Builder shall
inform the Owner in writing the name of the person who shall be
authorized by the Builder to represent the Builder for the construction of
the Works.
3.7.4 The Owner and the Builder shall inform each other in writing when
there is a change of the persons authorized of the persons authorized to
represent them for the construction of the Works.
3.7.5 All instructions from the Owner or hi/her representative shall
be given to the Builder or his/her representative in writing.
3.8 Payment Schedule.
The Owner shall pay to the builder the following percentages of the total
cost of the contract for the Works as agreed upon between the Builder and
the Owner.
3.8.1 On the signing of the contract a sum sufficient to bring the payments
up to not more than 50% percent depending on the agreed arrangements
between the Owner and the Builder.
3.8.2 Liquidated damages for failure to complete work, wherein the
Contractor is to pay the Owner liquidated damages equivalent to the One-
Tenth of One Percent (1/10 of 1%) of the Contract Price per calendar day
of delay until completion, delivery and acceptance of the said Works by
the OWNER to a maximum amount not exceed 10%.
ACKNOWLEDGMENT
WITNESS MY HAND AND SEAL on the date and place first above written.
JANICE D. NAY-UD
Notary Public