MINOR WORKS CONTRACT This contract is for projects less than £15,000 in value excluding VAT.
This Building Contract is Between: HMH Building Services Ltd (hereinafter referred to as “the Builder”) of Partridge House, Pinkney, Malmesbury, Wiltshire SN16 0NZ AND ………………….. (hereinafter referred to as “the Client”) of ……………………………
To Carry out the following works: (Brief description) ……………………………………………………………………………………….. All as per the drawings and schedules attached. (A) Other Documents applicable to this contract: 1. 2. 3. 4.
Attached payment schedule Attached planning drawings Attached schedule of works Attached Build Programme
(B) Contract Value: £…………… exclusive of VAT (C) Variations: The contract value is fixed for the whole works as described in the attached documents and the contractor will carry out the work on an “All Risks” basis save for the following; 1. Any additional costs incurred as a result of foundations being different to those shown on the working drawings. The Builder will advise the Client of any additional costs as a result of the foundations as soon as practicable. 2. Any extras or works not described in the documents requested by the Client. Where possible the Builder will advise the Client of such costs prior to the work being carried out. 3. Additional costs caused as a result of actions or delays by the Client or damage by third parties save for those costs recovered by the Builder’s insurance. 4. Unexpected works and costs which the Builder encounters which would not normally be indicated on the plans or could have reasonably been foreseen. (eg Problems as a result of subsidence to existing walls, asbestos removal) 5. Variation on PC sums. Note that the Builder is entitled to charge up to 20% on top of cost for the procurement of goods specified by the Client out of PC sum items. Page 1 of 6
(D) Commencement and Completion: The work will commence on ……….. The works are to progress broadly as per the attached programme, although due to the nature of the project it is expected that the programme will have to be altered as the job proceeds. Both the Builder and the client warrant that they will work diligently and co-operate in a manner such that the programme is adhered to as much as possible. Should either party without good reason cause excessive delay to the project then they are in breach of this agreement and the other party may claim costs and damages resulting from such delays. The normal working hours of the Builder are 8.00am to 4.30pm Monday to Friday inclusive. The Builder at his discretion may work longer hours to assist/maintain the programme of works on weekdays and Saturday mornings 8.00am to 12.00pm. Except for emergencies and with the agreement of the Client the Builder may also work additional hours. (E) Extension of time: The Builder may request an extension of time only for the following reasons:1. Delay in acquiring materials due to lead times from suppliers allowing that materials can only be ordered once this contract is in place. 2. Delay caused by the Client, eg refusal of access to property. 3. Delays due to bad weather in which case the Builder should notify the Client in good time. 4. Material changes in specification or works following that agreed for the submitted plans. 5. Illness, force majeure or any other event beyond the control of the Builder. 6. Failure of the Client to pay any stage payment when due. (F) Payments: The Client will pay to the Builder such sums as set out in the attached payment schedule and programme on request of the Builder. Should the stages not be completed, then the Builder may still request payment, either adjusted to reflect any unfinished portion assuming there is good reason for that portion not being completed at that point in time, or in full providing that the Builder has completed other works not previously claimed to the value of the unfinished works. On receipt of payment the Builder will issue a receipt to the Client for the value indicating what works the payment covers and any extras or variations and any VAT included with the payment. Should the Client request that the Builder obtains any goods which are deemed special order and requiring advance payment from the Builder then the Builder may request payment from the Client for such items. Eg Deposit on kitchen. The Builder will endeavour to maintain or improve on the programme. Should the Builder achieve the stages for a payment prior to the dates on the programme then he Page 2 of 6
may with a minimum of two days notice, advise the Client and request that the payment be made sooner. The Client will deduct from each payment a retention of 5% of the gross value as indicated in the payment schedule. On completion of the works in the schedule 50% and subject to there being no defects known to both the Builder and the Client, then 50% of the retention is to be paid to the Builder. If there are defects, then the retention will not be paid until the Builder has satisfactorily repaired the defect. The final retention is to be paid to the Builder 3 months following completion of the work subject to any defects which may arise with the work have satisfactorily been repaired by the Builder. The Client must notify the Builder of any defects immediately on discovery of the defect. To avoid frequent visits for minor defects the Builder may at his discretion defer remedial works until a time close to the date the final retention is due so that in the event there are several minor defects they may be dealt with in one visit. Serious defects must be dealt with within seven days of notification.
(G) Standards: The Builder warrants to the Client that all work will be of a high standard at least compatible with the existing building. The Builder will be responsible for ensuring that all work will comply with Building Regulation requirements. The Builder and his employees will work in a diligent and professional manner at all times on site. The Builder will liase with the Building Inspector throughout the project to ensure that all statutory inspections are carried out and to ensure that the works are carried out properly with a final certificate issued at the close. The Builder will not be responsible or accountable in any way for works carried out by other parties which do not comply, or prevent the Builder from complying with Building Regulations. (H) Defects and Warranty The Builder warrants that the completed work will be of merchantable quality and fit for purpose. The Builder will attend to any defects in the completed work within seven days of notification by the Client at no cost to the Client save that should the defect be found not to be the responsibility of the Builder then the Builder will notify the Client as soon as reasonably practicable and give an indication of costs to remedy the defect. The Client will then have the right to agree costs and pay the Builder as in item (F) above or instruct the services of others at which point the Client will be liable for the Builder’s reasonable costs incurred to that point. The Builder guarantees the structural integrity of the work for a period of 5 years from the completion date subject to normal use and conditions. The Builder warrants all other work for a period of one year from the completion date subject to the Client carrying out proper maintenance to the affected works. Any warranty by the Builder is in addition to the statutory rights of the Client and any manufacturer’s warranty. Page 3 of 6
(I) Insurance and Responsibility for Work In Progress: The Builder will hold valid insurance as required by UK law for public and employers liability. The Builder will also be responsible for damage to the Contract works during construction by third parties except in the following circumstances:1. Damage by the Client and/or members of the Client’s household 2. Damage by visitors to the Client 3. Damage to the works following completion of the affected stage. (J) Health and Safety The Builder will take reasonable precautions to ensure the safety of the Client, members of his household and visitors to the Client which could be affected by the Builder’s operations. The Builder will ensure that the working area is reasonably fenced off and that the working area is kept clean at the end of the working day. The Builder is responsible for ensuring that tools are safely stored and that ladders are removed/blocked at the end of each working day. The Builder will be responsible for the Health and Safety of his employees, subcontractors, visitors to site and other members of the public as per UK Health and Safety legislation. The Client, members of his household and visitors will not access the working area without the prior permission of the Builder whilst working operations are in progress. Neither will they remove any barriers or alter scaffolding erected by the Builder whilst the work is in progress. Asbestos and hazardous materials: Should the Builder encounter hazardous materials requiring removal for which was not aware of at tender stage then the costs for removal or encapsulation would constitute a recoverable extra from the Client. (K) Cleanliness and Client’s Effects.
The Builder will keep the working area as reasonably clean as possible during working time. The Builder will ensure that disruption to the Client is minimised during working operations including keeping the non working area clean of dust and debris from the work operations. The Builder and his employees will not use any tools, equipment or materials of the Client without the Client’s express permission. The Builder will be responsible for any damage to the Client’s property caused as a result of the Builder’s negligence. On completion of the work the Builder will remove all plant, tools, surplus materials, debris from the site and ensure that all dust and dirt as a result of the Builder’s work is removed. Prior to commencement of work the Client is to ensure that any personal effects and possessions are cleared from the working area. The Builder will not accept responsibility for damage to the Client’s property and possessions which ought reasonably to have been removed.
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(L) Access and Facilities
The Client will grant the Builder all access to his property as required to facilitate the works. The Client will make available to the Builder a safe electricity supply for the duration of the works to enable the use of power tools for the work and reasonable welfare facilities (e.g. kettle, hot water) at no cost The Client will make available to the Builder a clean water supply as required to carry out the building operations and provide welfare facilities for the Builder and his staff at no cost The Builder will provide WC facilities on site for himself and his staff. Canteen facilities will not be provided on this contract.
The Builder may terminate this contract for any of the following reasons:
Failure of the Client to pay the Builder on time as per the schedule The Client without reasonable cause delays the Builder from completing the work The Client contravenes his duties within this contract In the event of such termination the Client will pay to the Builder a reasonable sum to cover work carried out to date, the cost of any materials on site or preordered plus the reasonable costs the Builder will incur as a result of early termination and loss of profit.
The Client may terminate this contract for any of the following reasons:
Failure of the Builder to provide a standard of workmanship that it is reasonable to expect. Unnecessary delays to the work by the Builder. Insolvency or Bankruptcy of the Builder Wilful or negligent damage or injury to the Client, members of his household and his property. In the event of such termination the Client will pay to the Builder a reasonable sum to cover work carried out to date plus the cost of any materials on site or preordered less the cost to rectify/repair any defects or damage caused by the Builder.
Early termination by either party must be given in writing stating the reasons for the termination. Settlement figures must be agreed by both parties. If agreement cannot be reached then at joint cost to both the Builder and the Client the services of an independent qualified quantity surveyor must be sought whose decision will be final. (N) Disputes In the event of any unresolved dispute regarding this contract, the works both during building work and after completion, a suitably qualified person acceptable to both parties Page 5 of 6
should be sought for a resolution, the findings of which will be final. The fee for this would be paid jointly by both parties.
We the undersigned agree to be bound under the terms of this contract
Signed…………………………………………………………. On behalf of HMH Building Services Ltd (the Builder) Dated……………………… Signed…………………………………………………………..(The Client) Name in Capitals……………………………………… Dated………………………...
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