The Simple Building Contract is specifically designed for use in the Malaysian construction industry where a straightforward but formal agreement is required for building works. This document is particularly suitable for small to medium-sized construction projects where the scope is well-defined and the complexity of works doesn't warrant a more elaborate contract form. It incorporates essential elements required under Malaysian law, including compliance with the Construction Industry Development Board (CIDB) requirements and local building regulations. The contract provides a balanced approach to risk allocation between parties while maintaining clarity and usability, making it ideal for projects such as individual homes, simple commercial buildings, or basic renovation works. It includes all necessary provisions for project execution, payment mechanisms, and dispute resolution while remaining accessible to parties who may not have extensive legal expertise.
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1. Parties: Identifies and provides full details of the contracting parties (Employer and Contractor)
2. Background: Brief context of the construction project and purpose of the agreement
3. Definitions: Defines key terms used throughout the contract
4. Scope of Works: Detailed description of the construction works to be performed
5. Contract Sum and Payment Terms: Specifies the agreed price and payment schedule, including terms for variations
6. Duration and Completion: Specifies commencement date, completion date, and provisions for extensions of time
7. Contractor's Obligations: Details the contractor's responsibilities, including quality standards and compliance requirements
8. Employer's Obligations: Specifies the employer's responsibilities, including site access and information provision
9. Materials and Workmanship: Standards for materials and work quality, including inspection and testing requirements
10. Variations: Procedures for handling changes to the scope of works
11. Insurance and Indemnity: Required insurance coverage and indemnification obligations
12. Defects Liability: Terms for identifying and rectifying defects during and after completion
13. Termination: Grounds and procedures for contract termination by either party
14. Dispute Resolution: Procedures for resolving disputes, including mediation and arbitration
15. Governing Law: Confirms Malaysian law as governing law and jurisdiction
1. Performance Bond: Required when security for performance is needed, specifying bond terms and conditions
2. Retention Sum: Used when a portion of payment is to be retained as security for performance
3. Liquidated Damages: Included when specific damages for delay need to be pre-agreed
4. Site Safety and Security: Detailed safety requirements for high-risk or complex projects
5. Environmental Protection: Required for projects with significant environmental impact
6. Subcontracting: Included when subcontracting needs to be specifically regulated
7. Force Majeure: Detailed provisions for handling unforeseen circumstances
8. Intellectual Property Rights: Required when design or innovative construction methods are involved
1. Schedule 1 - Scope of Works: Detailed specifications, drawings, and technical requirements
2. Schedule 2 - Contract Sum Breakdown: Itemized breakdown of costs and bill of quantities
3. Schedule 3 - Project Timeline: Detailed project schedule, milestones, and completion dates
4. Schedule 4 - Payment Schedule: Detailed payment terms, installments, and milestone payments
5. Schedule 5 - Insurance Requirements: Specific insurance types and coverage amounts required
6. Schedule 6 - Key Personnel: List of key personnel from both parties with roles and responsibilities
7. Appendix A - Site Plan and Drawings: Technical drawings, site plans, and architectural details
8. Appendix B - Material Specifications: Detailed specifications for construction materials
9. Appendix C - Quality Assurance Plan: Quality control procedures and acceptance criteria
Relevant legal definitions
Agreement
Architect
Certificate of Completion
Certificate of Making Good Defects
Completion Date
Construction Period
Contract Documents
Contract Sum
Contractor
Defects Liability Period
Drawings
Employer
Extension of Time
Final Account
Force Majeure
Letter of Award
Materials
Payment Certificate
Practical Completion
Project Site
Retention Sum
Schedule of Works
Scope of Works
Specifications
Subcontractor
Substantial Completion
Variation
Works
Architect
Certificate of Completion
Certificate of Making Good Defects
Completion Date
Construction Period
Contract Documents
Contract Sum
Contractor
Defects Liability Period
Drawings
Employer
Extension of Time
Final Account
Force Majeure
Letter of Award
Materials
Payment Certificate
Practical Completion
Project Site
Retention Sum
Schedule of Works
Scope of Works
Specifications
Subcontractor
Substantial Completion
Variation
Works
Clauses
Interpretation
Contract Documents
Contractor's Obligations
Employer's Obligations
Commencement and Completion
Contract Sum
Payment Terms
Variations
Extensions of Time
Defects Liability
Insurance
Indemnity
Site Access
Materials and Workmanship
Quality Control
Health and Safety
Environmental Protection
Force Majeure
Suspension
Termination
Dispute Resolution
Governing Law
Assignment
Notices
Warranties
Performance Security
Retention
Liquidated Damages
Subcontracting
Site Conditions
Contract Documents
Contractor's Obligations
Employer's Obligations
Commencement and Completion
Contract Sum
Payment Terms
Variations
Extensions of Time
Defects Liability
Insurance
Indemnity
Site Access
Materials and Workmanship
Quality Control
Health and Safety
Environmental Protection
Force Majeure
Suspension
Termination
Dispute Resolution
Governing Law
Assignment
Notices
Warranties
Performance Security
Retention
Liquidated Damages
Subcontracting
Site Conditions
Relevant Industries
Construction
Real Estate
Property Development
Residential Construction
Commercial Construction
Educational Facilities
Religious Buildings
Small-scale Infrastructure
Renovation and Refurbishment
Property Management
Relevant Teams
Legal
Construction
Project Management
Procurement
Commercial
Property Development
Facilities Management
Risk Management
Operations
Contract Administration
Relevant Roles
Construction Manager
Project Manager
Property Developer
Contract Administrator
Quantity Surveyor
Site Supervisor
Building Contractor
Procurement Manager
Legal Counsel
Property Manager
Facilities Manager
Construction Director
Development Manager
Risk Manager
Commercial Manager
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