Cost Plus Construction Agreement for Germany
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Cost Plus Construction Agreement
"I need a Cost Plus Construction Agreement for a luxury hotel development project in Munich, with a Guaranteed Maximum Price cap of €50 million, construction starting March 2025, including specific provisions for high-end finishes and local heritage building requirements."
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1. Parties: Identification and details of the Employer and Contractor, including full legal names, registration details, and addresses
2. Background: Context of the agreement, brief project overview, and parties' intentions
3. Definitions and Interpretation: Definitions of key terms, including 'Actual Costs', 'Fee', 'Project', 'Works', and interpretation rules
4. Scope of Works: Detailed description of the construction works to be performed, including general obligations and standards
5. Contractor's Obligations: Comprehensive list of Contractor's duties, including workmanship standards, compliance with laws, and project management responsibilities
6. Employer's Obligations: Employer's responsibilities including site access, permits, and information provision
7. Cost Structure and Payment: Definition of Actual Costs, Fee calculation, payment procedures, and cost verification mechanisms
8. Documentation and Cost Records: Requirements for maintaining and submitting cost records, receipts, and supporting documentation
9. Time for Completion: Project timeline, completion dates, and extension mechanisms
10. Variations: Procedures for handling changes to the scope of works and corresponding cost adjustments
11. Quality and Inspection: Quality standards, inspection procedures, and acceptance criteria
12. Defects Liability: Warranty obligations and defect rectification procedures
13. Insurance and Liability: Required insurance coverage and liability allocation
14. Termination: Grounds and procedures for contract termination by either party
15. Force Majeure: Definition and consequences of force majeure events
16. Dispute Resolution: Procedures for resolving disputes, including applicable law and jurisdiction
17. General Provisions: Standard contractual provisions including notices, assignment, and severability
1. Performance Security: Requirements for performance bonds or guarantees, used for high-value projects
2. Subcontracting: Rules and procedures for engaging subcontractors, included when subcontracting is anticipated
3. Environmental Requirements: Specific environmental obligations and compliance requirements, used for projects with significant environmental impact
4. Site Safety and Security: Detailed safety protocols and security requirements, important for complex or high-risk sites
5. Intellectual Property: IP rights and obligations, included when design or innovative construction methods are involved
6. Financing Arrangements: Special provisions related to project financing, used when external financing is involved
7. Liquidated Damages: Pre-agreed damages for specific breaches, optional but common in larger projects
8. Step-In Rights: Employer's right to take over works in specific circumstances, used in critical infrastructure projects
1. Schedule 1 - Works Description: Detailed technical specifications and scope of works
2. Schedule 2 - Site Information: Site details, access points, and known site conditions
3. Schedule 3 - Cost Components: Detailed breakdown of allowable costs and calculation methods
4. Schedule 4 - Fee Structure: Calculation of the Contractor's fee and profit margin
5. Schedule 5 - Project Timeline: Detailed program of works and key milestone dates
6. Schedule 6 - Key Personnel: List of key personnel from both parties and their roles
7. Schedule 7 - Required Insurance: Details of required insurance policies and coverage levels
8. Schedule 8 - Forms and Procedures: Standard forms for variations, payment applications, and certificates
9. Schedule 9 - Quality Management Plan: Quality assurance procedures and standards
10. Appendix A - Drawings: Complete set of construction drawings
11. Appendix B - Permits and Licenses: Copies of relevant permits and licenses
12. Appendix C - Rate Card: Agreed rates for labor, equipment, and materials
Authors
Agreement
Applicable Laws
Approved Subcontractors
Architect
As-Built Documents
Base Cost
Building Permits
Certificate of Completion
Change Order
Commencement Date
Completion Date
Construction Documents
Construction Period
Construction Schedule
Contract Sum
Contractor
Contractor's Fee
Contractor's Personnel
Cost Records
Defects
Defects Liability Period
Deliverables
Design Documents
Direct Costs
Dispute
Employer
Employer's Requirements
Equipment
Extension of Time
Fee Percentage
Final Account
Final Completion
Force Majeure
Good Industry Practice
Guaranteed Maximum Price
Indirect Costs
Insurance Requirements
Intellectual Property Rights
Key Personnel
Materials
Milestone
Notice
Overhead Costs
Payment Certificate
Payment Period
Performance Security
Permits
Plans and Specifications
Project
Project Manager
Quality Standards
Rate Card
Reasonable Costs
Site
Site Conditions
Specification
Subcontractor
Substantial Completion
Supervision
Supporting Documentation
Taxes
Technical Requirements
Termination Date
Time for Completion
Variation
VAT
Work Package
Works
Definitions
Scope of Works
Contract Documents
Contractor Obligations
Employer Obligations
Cost Structure
Payment Terms
Documentation Requirements
Project Management
Time for Completion
Extensions of Time
Quality Control
Health and Safety
Environmental Protection
Site Access
Materials and Equipment
Variations
Change Management
Cost Verification
Progress Reporting
Testing and Inspection
Completion and Handover
Defects Liability
Warranties
Insurance
Indemnification
Force Majeure
Suspension
Termination
Dispute Resolution
Confidentiality
Intellectual Property
Assignment and Subcontracting
Notices
Governing Law
Entire Agreement
Amendments
Severability
Waiver
Third Party Rights
Anti-Corruption
Data Protection
Labor Requirements
Performance Security
Risk Allocation
Site Conditions
Permits and Approvals
Record Keeping
Audit Rights
Personnel Requirements
Commercial Construction
Residential Development
Industrial Construction
Infrastructure Development
Public Works
Healthcare Facilities
Educational Institutions
Retail Development
Hospitality Construction
Mixed-Use Development
Energy and Utilities
Transportation Infrastructure
Legal
Construction
Commercial
Finance
Procurement
Operations
Risk Management
Project Management
Contract Administration
Technical Services
Development
Cost Control
Construction Project Manager
Contract Manager
Legal Counsel
Cost Controller
Quantity Surveyor
Project Director
Commercial Manager
Procurement Manager
Construction Site Manager
Financial Controller
Risk Manager
Technical Director
Chief Operating Officer
Head of Construction
Development Director
General Counsel
Chief Financial Officer
Senior Project Manager
Contract Administrator
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