House Construction Agreement Between Owner Contractor Template for Indonesia

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Key Requirements PROMPT example:

House Construction Agreement Between Owner Contractor

"I need a House Construction Agreement Between Owner Contractor for building a luxury 3-story residence in Jakarta, with special provisions for high-end finishing materials and smart home technology integration, to be completed by March 2025."

Document background

The House Construction Agreement Between Owner Contractor is a crucial legal document used in Indonesia when a property owner engages a contractor to construct a residential property. This agreement is essential for projects ranging from single-family homes to luxury residences, and must comply with Indonesian construction laws, particularly Law No. 2 of 2017 on Construction Services and related regulations. The document outlines the entire construction process, from initial site preparation to final handover, including detailed specifications, quality standards, payment terms, and completion timelines. It incorporates necessary provisions for permits, insurance, warranties, and dispute resolution mechanisms while adhering to local building codes and environmental requirements. This agreement is designed to protect both parties' interests while ensuring smooth project execution within the Indonesian legal framework.

Suggested Sections

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

2. Background: Context of the agreement, including brief description of the construction project and the parties' intentions

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

4. Scope of Work: Detailed description of the construction work to be performed, including general specifications and standards

5. Contract Price and Payment Terms: Total contract value, payment schedule, method of payment, and conditions for payment

6. Timeline and Completion: Project schedule, completion date, milestones, and provisions for extensions

7. Contractor's Obligations: Detailed responsibilities of the contractor, including quality standards, safety measures, and compliance requirements

8. Owner's Obligations: Responsibilities of the owner, including site access, permits, and approvals

9. Materials and Equipment: Specifications for materials, procurement responsibilities, and quality standards

10. Quality Control and Inspection: Quality assurance procedures, inspection rights, and acceptance criteria

11. Warranties and Defects Liability: Warranty terms, defects liability period, and remediation procedures

12. Insurance and Indemnity: Required insurance coverage and indemnification obligations

13. Force Majeure: Provisions for unforeseen circumstances and their impact on the contract

14. Termination: Grounds and procedures for contract termination by either party

15. Dispute Resolution: Procedures for resolving disputes, including mediation and arbitration provisions

16. Governing Law: Specification of Indonesian law as governing law and relevant jurisdictional matters

Optional Sections

1. Variations and Changes: Procedures for handling changes to scope of work or specifications, used when the project complexity suggests likelihood of changes

2. Subcontracting: Terms and conditions for subcontracting work, included when subcontractors are likely to be used

3. Environmental Protection: Specific environmental requirements and compliance measures, included for projects with significant environmental impact

4. Site Security: Special provisions for site security and access control, used in sensitive locations or high-value projects

5. Temporary Facilities: Requirements for temporary structures and facilities, included for larger projects requiring significant site setup

6. Intellectual Property: Protection of designs and technical documents, included when custom architectural designs are involved

7. Local Community Relations: Provisions for managing community impact and relations, used in densely populated areas

8. Performance Bonds: Requirements for performance bonds or bank guarantees, included for high-value projects

Suggested Schedules

1. Schedule A - Detailed Construction Specifications: Comprehensive technical specifications for all aspects of construction

2. Schedule B - Construction Drawings: Approved architectural and engineering drawings

3. Schedule C - Bill of Quantities: Detailed breakdown of quantities and costs for materials and labor

4. Schedule D - Construction Timeline: Detailed project schedule with milestones and critical path

5. Schedule E - Payment Schedule: Detailed payment terms, installments, and milestone-linked payments

6. Schedule F - Material Specifications: Detailed specifications for all construction materials

7. Schedule G - Quality Control Procedures: Specific quality control and testing requirements

8. Schedule H - Safety Management Plan: Detailed safety procedures and protocols

9. Appendix 1 - Required Permits and Licenses: Copies of all necessary permits and licenses

10. Appendix 2 - Insurance Certificates: Copies of required insurance policies and certificates

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

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Construction

Real Estate

Property Development

Architecture

Engineering

Building Materials

Construction Equipment

Insurance

Legal Services

Relevant Teams

Legal

Construction

Project Management

Architecture

Engineering

Procurement

Risk & Compliance

Property Development

Quality Assurance

Health & Safety

Environmental

Finance

Operations

Relevant Roles

Construction Manager

Project Director

Site Supervisor

Contracts Manager

Legal Counsel

Property Developer

Architect

Structural Engineer

Quantity Surveyor

Risk Manager

Insurance Specialist

Compliance Officer

Building Inspector

Environmental Officer

Safety Manager

Procurement Manager

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Authors

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