Owner Contractor Agreement for Canada

Owner Contractor Agreement Template for Canada

A comprehensive legal agreement governed by Canadian law that establishes the contractual relationship between a property owner and a general contractor for construction services. The document outlines the scope of work, payment terms, project timeline, responsibilities of both parties, change order procedures, insurance requirements, and dispute resolution mechanisms. It incorporates relevant provincial construction lien legislation, workplace safety requirements, and industry-standard practices while providing specific provisions for project execution, quality standards, and risk allocation between the parties.

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What is a Owner Contractor Agreement?

The Owner Contractor Agreement serves as the primary contract document for construction projects in Canada, establishing the legal and working relationship between property owners and general contractors. It is essential for projects of all sizes where an owner engages a contractor to perform construction work, whether for new construction, renovation, or improvement projects. The agreement incorporates requirements from provincial construction laws, including lien legislation, prompt payment rules, and workplace safety regulations. This document typically includes detailed provisions for scope of work, payment terms, project schedule, change management, insurance requirements, and dispute resolution procedures. It is designed to protect both parties' interests while ensuring clear communication and risk allocation throughout the project lifecycle.

What sections should be included in a Owner Contractor Agreement?

1. Parties: Identification and details of the Owner and Contractor, including legal names and addresses

2. Background: Context of the agreement and brief description of the project

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Work: Detailed description of the work to be performed by the Contractor

5. Contract Price and Payment Terms: Agreement on pricing, payment schedule, and invoicing procedures

6. Project Schedule: Timeline for completion, milestones, and any liquidated damages for delays

7. Contractor's Obligations: Key responsibilities including labor, materials, equipment, permits, and compliance

8. Owner's Obligations: Owner's responsibilities including site access, approvals, and information provision

9. Changes and Change Orders: Process for requesting, approving, and implementing changes to the work

10. Insurance and Bonds: Required insurance coverage and performance/payment bonds

11. Warranties and Representations: Contractor's warranties on workmanship and materials

12. Health and Safety: Safety requirements and responsibilities

13. Termination: Conditions and procedures for contract termination

14. Dispute Resolution: Process for resolving disputes between parties

15. General Provisions: Standard legal provisions including governing law, notices, and assignment

What sections are optional to include in a Owner Contractor Agreement?

1. Environmental Requirements: Specific environmental obligations and compliance requirements, used for projects with significant environmental impact

2. Subcontractors: Rules and procedures for subcontracting, used when subcontractors are expected

3. Equipment and Materials Storage: Requirements for on-site storage, used for larger projects with significant material storage needs

4. Site Security: Security requirements and responsibilities, used for high-security or sensitive locations

5. Quality Control: Specific quality management requirements, used for complex or high-precision projects

6. Progress Reports: Detailed reporting requirements, used for larger or more complex projects

7. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term or high-risk projects

8. Intellectual Property: IP rights and obligations, used when design or innovative solutions are involved

9. Liquidated Damages: Specific damage calculations for delays or deficiencies, used in time-sensitive projects

10. Indigenous Peoples Considerations: Special provisions for projects affecting Indigenous lands or requiring Indigenous participation

What schedules should be included in a Owner Contractor Agreement?

1. Schedule A - Scope of Work: Detailed technical specifications and requirements

2. Schedule B - Contract Price Breakdown: Detailed pricing, including unit prices and allowances

3. Schedule C - Project Schedule: Detailed timeline with milestones and critical path

4. Schedule D - Required Insurance: Specific insurance requirements and coverage limits

5. Schedule E - Key Personnel: List of key project team members and their roles

6. Schedule F - Site Plan and Access Requirements: Site logistics and access details

7. Schedule G - Forms: Standard forms for change orders, payment applications, and certificates

8. Schedule H - Health and Safety Requirements: Detailed safety procedures and requirements

9. Schedule I - Warranty Requirements: Detailed warranty terms and procedures

10. Schedule J - Equipment and Materials Specifications: Detailed specifications for major equipment and materials

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Publisher

Genie AI

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Commercial Construction

Residential Construction

Industrial Construction

Infrastructure Development

Healthcare Construction

Educational Facilities

Retail Construction

Hospitality Construction

Manufacturing Facilities

Government/Public Works

Mining and Resources

Transportation Infrastructure

Relevant Teams

Legal

Operations

Procurement

Finance

Risk Management

Project Management

Contract Administration

Business Development

Construction Management

Quality Assurance

Relevant Roles

Project Manager

Construction Manager

Contract Administrator

Legal Counsel

Risk Manager

Procurement Manager

Chief Financial Officer

Operations Director

Development Manager

Facilities Manager

Construction Superintendent

Estimating Manager

Commercial Manager

Project Control Manager

Quality Assurance Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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