Construction Subcontract Template for Singapore

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Key Requirements PROMPT example:

Construction Subcontract

"Need a Construction Subcontract for electrical works on a commercial building in Singapore, with a contract value of SGD 2.5 million and works commencing March 2025, including specific provisions for performance bond and liquidated damages."

What is a Construction Subcontract?

The Construction Subcontract is essential for delegating specialized construction works in Singapore's highly regulated construction industry. This document is used when a main contractor needs to engage specialist contractors for specific aspects of a construction project, such as electrical, mechanical, or structural works. It ensures compliance with Singapore's construction laws, including SOPA and safety regulations, while clearly defining responsibilities, payment terms, and quality standards. The agreement protects both parties' interests while maintaining alignment with the main construction contract and local building codes.

What sections should be included in a Construction Subcontract?

1. Parties: Details of the main contractor and subcontractor

2. Background: Context of the main contract and subcontract works

3. Definitions: Key terms used throughout the agreement including references to applicable Singapore construction laws and regulations

4. Scope of Works: Detailed description of subcontract works, compliance with Building Control Act requirements

5. Contract Sum and Payment Terms: Price, payment schedule, and compliance with Building and Construction Industry Security of Payment Act (SOPA)

6. Duration and Programme: Timeframes, milestones, and completion dates

7. Safety and Compliance: Safety requirements under Workplace Safety and Health Act, regulatory compliance

8. Insurance and Indemnities: Required insurance coverage and indemnification provisions

9. Termination: Grounds and procedures for contract termination

What sections are optional to include in a Construction Subcontract?

1. Performance Bond: Required for high-value contracts or risky works, typically 10% of contract value

2. Liquidated Damages: Pre-agreed damages for delay or non-performance, must be genuine pre-estimate of loss

3. Retention: Holdback provisions for quality assurance, typically 5-10% of contract value

What schedules should be included in a Construction Subcontract?

1. Schedule of Works: Detailed scope breakdown and specifications aligned with Building Control Act requirements

2. Schedule of Rates: Breakdown of prices and rates, including provisions for progress payments under SOPA

3. Programme Schedule: Detailed timeline and milestones for the works

4. Safety Requirements: Specific safety procedures and requirements under Workplace Safety and Health Act

5. Insurance Requirements: Details of required insurance coverage including contractors all-risk insurance

6. Quality Assurance Plan: Quality control procedures and standards in compliance with BCA requirements

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
Industries

Building Control Act (Chapter 29): Primary legislation governing building works and construction standards in Singapore, including building plan approval requirements and building safety requirements

Building and Construction Industry Security of Payment Act (SOPA): Regulates payment terms, timelines, claim procedures, and adjudication process for payment disputes in construction contracts

Workplace Safety and Health Act: Mandates safety requirements at construction sites, risk management obligations, and training/supervision requirements

Singapore Contract Law: Common law principles governing contract formation, terms and conditions, breach and remedies

Building Control Regulations: Subsidiary legislation providing detailed requirements for building control

Building Control (Buildability and Productivity) Regulations: Specific regulations focusing on construction efficiency and productivity standards

Code of Practice for Environmental Control at Construction Sites: Guidelines for environmental protection and control measures during construction

Singapore Standard SS580: Code of Practice for Formwork, providing technical standards for construction formwork

BCA Regulations: Building Construction Authority guidelines and regulatory requirements for construction projects

PSSCOC: Public Sector Standard Conditions of Contract - standard form contract for government construction projects

SIA Standard Forms: Singapore Institute of Architects standardized contract forms and conditions

BCA Licensing Requirements: Mandatory licensing and registration requirements for contractors and builders

Environmental Protection Requirements: Environmental laws and regulations affecting construction activities

Foreign Worker Employment Regulations: Laws governing the employment of foreign workers in construction industry

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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