Construction Management Contract Template for Philippines

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Key Requirements PROMPT example:

Construction Management Contract

"I need a Construction Management Contract for a 20-story commercial building project in Manila, Philippines, with construction starting in March 2025, that includes specific provisions for green building certification and local community engagement."

Document background
The Construction Management Contract serves as the primary agreement between project owners and construction managers for construction projects in the Philippines. This document is essential when owners require professional construction management services to oversee and coordinate complex construction projects. It is particularly relevant for projects requiring specialized expertise in project planning, coordination, and oversight. The contract addresses specific requirements under Philippine law, including compliance with the National Building Code, CIAP regulations, and local government requirements. It encompasses pre-construction services, construction phase management, and post-construction obligations, while incorporating provisions for risk management, quality control, and dispute resolution in accordance with Philippine legal framework. The document is structured to accommodate various project scales and complexities while ensuring compliance with local regulatory requirements and industry standards.
Suggested Sections

1. Parties: Identifies and provides details of the Owner/Employer and the Construction Manager

2. Background: Describes the project context and the Owner's intention to engage the Construction Manager

3. Definitions: Defines key terms used throughout the contract

4. Scope of Services: Details the construction management services to be provided, including pre-construction, construction, and post-construction phases

5. Construction Manager's Obligations: Specifies the duties, responsibilities, and standard of care required from the Construction Manager

6. Owner's Obligations: Outlines the Owner's responsibilities, including provision of information, approvals, and site access

7. Project Timeline: Sets out the project schedule, milestones, and completion dates

8. Compensation and Payment Terms: Details the fee structure, payment schedule, and invoicing procedures

9. Changes and Variations: Procedures for handling changes to scope, schedule, or budget

10. Subcontracting and Personnel: Requirements for subcontractor engagement and key personnel

11. Insurance and Indemnity: Specifies required insurance coverage and indemnification obligations

12. Termination: Grounds and procedures for contract termination

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

14. General Provisions: Standard contractual provisions including notices, governing law, and entire agreement

Optional Sections

1. Performance Security: Required when project value exceeds certain thresholds or when requested by the Owner

2. Environmental Compliance: Necessary for projects with significant environmental impact

3. Local Community Relations: Important for projects in sensitive community areas or requiring community engagement

4. Force Majeure: Detailed provisions for handling unforeseen events, particularly relevant in areas prone to natural disasters

5. Intellectual Property Rights: Required when the project involves unique designs or proprietary methods

6. Government Approvals: Detailed section needed for projects requiring extensive government permits or approvals

7. Safety Management: Enhanced safety provisions for high-risk construction projects

8. Quality Assurance: Detailed quality control procedures for complex technical projects

Suggested Schedules

1. Schedule A - Scope of Services: Detailed breakdown of construction management services and deliverables

2. Schedule B - Fee Schedule: Detailed breakdown of fees, rates, and reimbursable expenses

3. Schedule C - Project Timeline: Detailed project schedule with milestones and critical paths

4. Schedule D - Key Personnel: List of key personnel and their roles, qualifications, and time commitment

5. Schedule E - Required Insurance: Specific insurance requirements and coverage limits

6. Schedule F - Project Specifications: Technical specifications and requirements for the project

7. Schedule G - Forms and Procedures: Standard forms for change orders, progress reports, and other project documentation

8. Schedule H - Site Information: Details about the construction site, access, and existing conditions

9. Appendix 1 - Required Permits: List of required permits and responsible parties

10. Appendix 2 - Safety Requirements: Specific safety protocols and requirements

11. Appendix 3 - Quality Control Plan: Quality assurance and control procedures

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

Relevant legal definitions
Clauses
Relevant Industries

Commercial Real Estate

Residential Development

Industrial Construction

Infrastructure Development

Healthcare Facilities

Educational Institutions

Hospitality and Tourism

Retail Development

Manufacturing Facilities

Transportation Infrastructure

Energy and Utilities

Public Works

Mining and Resources

Relevant Teams

Legal

Construction

Project Management

Operations

Procurement

Quality Assurance

Health and Safety

Risk Management

Commercial

Technical Services

Environmental Compliance

Contract Administration

Document Control

Relevant Roles

Construction Manager

Project Director

Project Manager

Construction Director

Chief Engineer

Contract Administrator

Procurement Manager

Quality Assurance Manager

Safety Manager

Risk Manager

Commercial Director

Legal Counsel

Technical Director

Operations Manager

Site Supervisor

Cost Controller

Planning Engineer

Environmental Compliance Officer

Document Controller

Industries
Civil Code of the Philippines (Republic Act No. 386): Provides the fundamental rules governing contracts, obligations, and property rights in the Philippines. Particularly relevant are Book IV on Obligations and Contracts and provisions on contractors' warranties and liabilities.
National Building Code of the Philippines (PD 1096): Sets the standards and requirements for construction, including structural requirements, permits, and compliance certificates. Essential for ensuring construction meets national standards.
Construction Industry Authority of the Philippines (CIAP) Laws: Governs the licensing and regulation of contractors, including foreign contractors operating in the Philippines.
Labor Code of the Philippines (PD 442): Regulates employment relationships, working conditions, and labor standards that must be adhered to in construction projects.
Occupational Safety and Health Standards (DOLE Department Order No. 198-18): Provides specific safety requirements and protocols for construction work and worker protection.
Environmental Impact Assessment Law (PD 1586): Requires environmental impact assessments for construction projects that may affect the environment.
Government Procurement Reform Act (RA 9184): Applies if the construction project involves government funding or public-private partnerships.
Professional Regulation Commission (PRC) Laws: Governs the practice of licensed professionals involved in construction (engineers, architects, etc.).
Local Government Code (RA 7160): Relevant for obtaining local permits, licenses, and complying with local building regulations.
Contractors' License Law (RA 4566): Regulates the licensing and classification of contractors, including requirements for construction management.
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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