Sample Contract Document
Sample Contract Document
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The owner agrees to pay the Architect in accordance with the Architect’s National Code (UAP
Doc. 202) a basic fee of 10 percent (%) of the total estimated project construction cost.
However, the fee shall be adjusted up or down based on the final construction cost. However,
the fee shall be adjusted up or down based on the final construction cost.
1. Upon signing of this Agreement, the Owner-Client shall pay the Architect in the
following manner: The amount of PESOS: Eight hundred six thousand four hundred
pesos (P 806,400) as the minimum payment for Architect’s basic services. However,
monthly retainer fees can be arranged and deducted from the total fees during the
preparation of the different phases of the project up to the completion of Contract
Documents.
3. upon completion and submission of five (5) sets of sighed and sealed Contract
Documents---50% of the Architect’s fee. (Equivalent to 85% of total fee).
5. Upon request of the Architect, the Owner agrees to make partial payments during
each of the various stages of work, provided that such payments are within the
framework of the payments outlined above.
Any payment due the Architect beyond 30 days from receipt of billing shall bear 2% interest
per month.
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All technical description of property, duly certified lot and vicinity plans, contour maps, etc. at
a convenient scale and other relevant data will be furnished by the Client/Owner so that the
design of the project can start immediately.
Any changes and/or revisions requested by the Owner after approval of final design shall be
subjected to compensation agreed by both parties but not less than man hour time charge
plus materials used times a factor of 2.5.
Contract documents shall remain the property of the Architect in accordance with RA 545 and
PD 49 whether the design is executed or not. Additional copies when required will be for
account of the Owner.
Architect Owner-Client
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That the scope of work to be done by the Architect, as herein authorized by the Owner, for the
subject project herein referred to consists of professional services for the following:
1.1 Site planning of the building or buildings including other concomitant structures, as
may be determined by the Owner.
1.2 Designing of a residential house located at Blk 914 Lot 33 Saint Peter St., Phase 8,
Heritage Homes, Marilao, Bulacan.
a. The Architect shall consult with the Owner to ascertain the requirements of the Project
and shall conform such requirements to the owner.
b. He shall discuss to the Owner his budget for the said project for design consideration.
c. He shall request to the Owner to submit the lot plan dully prepared and signed by a
registered Geodetic Engineer. If possible, Land Title included.
d. The Architect shall make ocular inspection of the site to feel the surrounding.
e. He prepares Preliminary Design studies leading to the recommended solution together
with a general description of the Project for the approval by the Owner.
f. He shall submit to the Owner a Statement of Probable Construction Cost base on
Current Cost Parameter.
1. The Architect shall prepare the Design Development Documents consisting of plans,
elevations and other Drawings and outline specifications; to fix and illustrate the size
and character of the entire project in its essentials as to kinds of materials, type of
structure.
2. He shall submit to the Owner a colored Perspective for visual idea of the Project.
3. He shall submit to the Owner the Client’s Confidential Information Record for final
guideline in the preparation of Contract Document Phase.
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1. The architect shall prepare from the approved Design development Documents, the
Construction Drawing and specification setting forth in detail the work required for the
architectural, structural, electrical, sanitary, mechanical, fire protection, service
connected equipment and site work.
2. He shall prepare specifications describing type and quality of materials, finish, and
manner of construction and the general conditions under which the project is to be
constructed.
3. He shall furnish not more than five (5) complete sets of contract drawings, specifications
and general conditions for purposes of building permit.
4. He shall keep the Owner informed of any adjustments to previous Statements of Probable
Project Construction Cost indicated by changes in scope, requirements or Market
conditions.
5. He shall assist the Owner in filling the required documents to secure approval of
Government authorities having jurisdiction over the design of the project.
6. He shall provide complete working drawings and specifications to contractor for Bidding
purposes and the Contractor pay the Architect for all Printed materials.
1. The Architect shall prepare forms contract letting, documents for construction, including
forms for invitation and instruction bidders and forms for bidder’s proposals.
2. He shall assist the Owner in obtaining proposals from Contractors and in awarding and
preparing construction contracts.
3. To the extent provided by the contract between the Owner and the Contractor, he shall
make decisions on all claims of the Owner and Contractor and on all matters relating to
the execution and progress of the work or the interpretation of the Contract Documents.
He shall check and approve samples, schedules, shop drawings and other submissions
only for conformance with the information given by the Contract Documents, prepare
change orders and assemble written guarantees required of the Contractors for
submission to the Owner.
4. He will make periodic visits to the site to familiarize himself generally with the progress and
quality of the work and to determine in general if the work is proceeding in accordance
with the Contract Documents. He will not be required to make exhaustive or continues
on-site inspections to check the quality of the work and he will not be responsible for the
Contractor’s failure to carry out the construction work in accordance with the Contract
Documents. During such visits and on the basis of his observations progress of the work,
will endeavour to guard the Owner against defects and deficiencies in the work
Contractors, and he may condemn work as failing to conform to the Contract
Documents.
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5. Based on his observations and the Contractor’s Application for Payment, he will
determine the amount owing to the Contractor and he will issue Certificates for Payment
in such amounts. These Certificates will constitute a representation to the Owner, based
on such observations and the work has comprising the Application for Payment that the
work has progressed to the point indicated.
By issuing a Certificate for Payment, the Architect will also represent to the Owner that, to the
best of his knowledge, information and belief that, to the best of his knowledge, information
and belief based on what their observations have revealed, the quality of the work is in
accordance with the Contract Documents. They will conduct inspections to determine the
dates of substantial and final completion and issue a final certificate for Payment.
6. The Architect shall provide a Project Engineers to act as full-time supervisor, coordinators
and to implement all the drawings in contract document as submitted by the architect.
The project Engineers shall do all works from bidding and all matter related to execution and
progress of the work or interpretation of the Contract Documents with the direct monitoring by
the architect at all time.
3.01 That the CLIENT agrees of PROFESSIONAL FEES of TEN (10%) PERCENT OF THE TOTAL SITE
DEVELOPMENT & CONSTRUCTION COST for the Architectural-Engineering and Master Planning
for the development cost of the site.
3.02 That payments to the Architect on account of his fee shall be made by the Client as
follows:
a. Acceptance fee of 5% of the Professional Fees (P 40,320) upon signing of this Agreement
before we proceed with further studies of the project and to cover the expenses being
shoulder by the architect at the moment.
b. Upon the completion of the Schematic Design Services, after submission of the
Schematic Design to the Owner, a sum equal to P 80,640, computed upon a reasonable
estimated construction cost of the structure.
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c. Upon the completion of the Design Development Services, after submission of the
Schematic Design to the Owner, a sum sufficient to increase the total payments on the
fee to 20% of the Basic Fee computed upon the same estimated construction cost of the
structure.
d. Upon the completion of the Contract Documents Services, after submission of the
Contract Documents to the Owner, a sum sufficient to increase the total payments on
the fee to 50% percent of the Basic Fee computed upon a reasonable estimated
construction cost of the structure.
3.03 Since the Construction Period is indefinite and no target period of accomplishment, the
remaining amount shall for the Supervision Fees which shall be paid Monthly bases during the
construction period of 8-12 months.
4.01 The Owner shall provide full information as to his requirements for the Project.
4.02 He shall designate, when necessary Project Engineer authorized to act in his behalf. He
shall examine documents submitted by the Architect and render decisions pertaining thereto
promptly, to avoid unreasonable delay in the progress of the Architect’s work. He shall observe
the procedure of issuing orders to contractors only through Architect.
4.03 He shall furnish or direct the Architect to obtain at the Owner’s expense, a certified survey
of the site, giving, as required, grades and lines of streets, alleys, payments, and adjoining
property; rights of way, restriction, boundaries, and contours of the building site; locations,
dimensions and complete data pertaining to existing buildings, other improvements and trees,
full information as to available service and utility lines both public and private and boring test
and pits necessary for determining sub-soil conditions.
4.04 He shall pay for structural, chemical, mechanical, soil mechanics or other tests and reports
as may be required for the project.
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4.05 He shall pay for design and consultancy services on acoustic, communication, electronic
and other specialty systems as may be required by the Project.
4.06 He shall arrange and pay for such legal, auditing, and insurance counselling services and
taxes as may be required for the Project or by the government.
4.07 He shall pay all reimbursable expenses incurred in the project as called for in Article 7
and all taxes (not including income tax) that the government may Impose on the Architect, as
a result of the services rendered by the Architect, as a result of the services rendered by the
Architect on the project whether the services were performed as an individual practitioner, as
a partnership or as a corporation.
4.08 If the Owner observes or otherwise becomes aware of any defect in the Project, he shall
give prompt written notice thereof to the Architect.
5.1 That the cost of the work or Project Construction Cost as herein referred to, means the cost
of the completed structure to the Owner including plumbing and electrical fixtures, mechanical
& air con equipment, generators, pumps, elevators, escalators, firefighting equipment,
automatic fire sprinklers system, communication and sound system elements attached to the
building and all items indicated in the drawings, specified or designed by the Architect. Other
items if designed and planned by the Architect, such movable closets, cabinets, pieces of
furniture, covered walks, grotto, pools, landscaping and other items of similar nature are to be
paid separately by the Owner to the Architect as stipulated in Art. 7.02. The Project Construction
Cost, however, does not include any Architect’s fee or engineer’s fee or the salaries of the
construction inspectors. When labor or materials are furnished by the Owner below its market
cost, the cost of the work shall be computed upon such current market cost.
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6.1 The “Basic Fee” and “Basic Rate” referred to in Article 3, applies to construction work done
by a contractor or contractors on the basis of a lump sum contract or lump sum contracts.
Construction work let on any cost-plus- fee basis, or on any basis other than the lump sum
contract basis, where the Architect has to render more than the regular or basic services shall
be the subject of a special additional charge commensurate with the special services required.
Such special charge shall be in addition to the Basic Fee provided herein.
7.1 Government Taxes on Services: The Architect’s Fee as stipulated in Article 3 is net to the
Architect. Any tax that the government may impose on the Architect as a consequence of the
services performed for the Project (exclusive of income tax) shall be Basic Fee provided herein.
7.2 Different Periods of Construction: that if portions of the building are erected at different
periods of time, thus increasing the Architect’s construction phase period and burden of
services, charges pertaining to services rendered during the construction phase shall be
doubled. It is understood that a suspension of construction for a period of not exceeding six (6)
months shall not be covered by this provision.
7.3 Separate Services: that if the Owner requires the Architect to design or plan movable closets,
cabinets, pieces of furniture, covered walks, grotto, pools, landscaping and other items of similar
nature, the Owner shall pay the Architect additional compensation in the amount of Fifteen
Percent (15%) of the construction cost of the above work.
7.4 Other Professional Services: that the Architect’s fee includes normal structural, electrical,
sanitary and mechanical engineering services, but not include services for survey, soil
exploration and laboratory tests which are on the account of the Owner as stipulated in Article
4.04. Other services that may be need in order to complete the project such as acoustic
engineers, mural painters, sculptors and interior decorators are to be recommended by the
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Architect for the Owner’s approval and cost for these services are to be paid by the Owner and
not deductible from the Architect’s Fee.
7.5 Extra Sets of Contract Documents: that the Architect is to furnish the Owner five (5) sets of
Drawings, Specifications, and other Contract Documents. Cost for printing or reproduction of
extra sets of Contract Documents when required by the Owner or his representatives is to be
paid by the Owner.
7.6 Changes Ordered by Owner: if the Architect is caused extra drafting and other expenses
due to changes ordered by the owner, after the approval of the preliminary design phase, the
Architect shall be paid such expenses and services involved as per the agreed amount by both
parties but not less than the amount equivalent to the direct cost of consultant fee and
personnel salaries plus cost of material times a multiplier of 2.5.
ARTICLE 9. ESTIMATES
Since the Architect has no control over the cost of labor and materials, or competitive bidding,
he does not guarantee the accuracy of any Statements of Probable Construction Cost, or any
Semi-Detailed or Detailed Cost Estimates.
All signboards of contractors, sub-contractors, jobbers, and dealers that will be placed at the
job site during the process of construction shall be approved by the Architect as to size, design,
and content. After the completion of the project, the Owner or his lessee shall consult the
Architect in the design and size of all signboards, lettering, directories, and display boards that
will be placed on the exterior or public area in the building, in order to guard the Owner’s interest
that nothing will be install in the building that would mark the function and aesthetics of the
structure.
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All designs, drawings, specifications, and copies thereof, prepared and furnished by the
Architect in connection with subject project pursuant to this Agreement, are instruments of
professional service. As instruments of service they are the property of the Architect whether the
work for which they are made may be executed or not, and are not to be reproduced or used
on other work except by written agreement with the Architect.
All questions in dispute under this Agreement shall be submitted in accordance with the
provisions of the Philippines Law of Arbitration and provided for in Art No. 876.
The Parties to this Agreement hereby agree to full performance of the covenants
Contained herein.
IN WITNESS WHEREOF, the parties to this Agreement have on the day year first above given,
hereunto set their hands at the bottom of this page and on the left-hand margin of
All the other pages of this Agreement.
By:
___________________________________________________________________________________
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