FREE Canadian New Home Construction Agreement - Cost Plus
Use this free New Home Construction Agreement - Cost Plus in Canada. It allows to set forth the important terms for the contruction of a new home at cost plus.
Disclaimer:This was not drafted by a attorney & should not be used as a legal document.
NEW HOME CONSTRUCTION AGREEMENT- COST PLUS
This New Home Construction Agreement- Cost Plus ("Agreement") is made on [Date] by and between:
[Name of Owner], having his residence at [Address], ("Owner");
[Name of Contractor], having his residence at [Address], ("Contractor").
WHEREAS: The Owner owns a piece of land("Property) described below and the Owner wishes to retain the Contractor to build a new home on the Property;
NOW THEREFORE, in consideration of the mutual covenants and agreements hereinafter contained, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows:
Construction of Home: The Contractor agrees to build the Home on the Property in accordance with the terms and conditions of this Agreement and in the manner provided for in this Agreement. Contractor will use its best efforts to achieve Substantial Completion of the Home within [Number of months] months after the Commencement Date.
Specifications of Home: The Home shall be constructed in accordance with the layout specified in Schedule "A" hereto and the details and finishes specified in Schedule "B" hereto, and shall be constructed in accordance with the plans and drawings mutually approved by the parties hereto.
Changes: There shall be no changes to the layout, details, specifications, drawings or finishes of the Home unless such changes have been mutually agreed to in writing by the parties hereto.
Access to Home: The Owner shall have access to the Home during construction at reasonable times, provided that Owner gives Contractor reasonably prior notice requiring any such access.
Control over Construction: The Contractor shall have total control over the construction of the Home and shall effectively direct and supervise the construction of the Home so as to ensure conformity with this Agreement.
Contract Price: The Owner agrees to pay Contractor the actual cost to Contractor of all labour (including his own time at the rate of $[hourly rate] per hour), materials, permits and all other proper charges in connection with this Agreement. Contractor shall invoice Owner in accordance with the payment schedule attached hereto as Schedule "C".
Subcontracts, Discounts: The Contractor shall order all materials and shall take out all subcontracts, and shall endeavor to obtain all discounts, the saving to be passed on to Owner.
Lien Holdback: The lien holdback shall be withheld in accordance with the applicable lien legislation when paying for trades, materials and subcontractors.
Insolvency of Owner: If Owner should be adjudged bankrupt, or makes a general assignment for the benefit of creditors because of Owner's insolvency, or if a receiver is appointed because of Owner's insolvency, Contractor may, without prejudice to any other right or remedy Contractor may have, by giving Owner or receiver or trustee in bankruptcy notice in writing, terminate this Agreement. Failure to Pay: The Contractor may notify Owner in writing that Owner is in default of Owner's contractual obligations if the Owner fails to pay Contractor when due any amount sowing under this Agreement.
Compliance with the Applicable Laws: The Contractor shall comply with the laws, ordinances, rules, regulations, or codes which are or become in force during the performance of this Agreement and which relate to the construction, to the preservation of the public health, and to construction safety.
Insurance: Contractor shall obtain and maintain, at its own expense, general contractor’s liability insurance in connection with the construction of the Home.
Governing Law: This Agreement shall be governed by and construed in accordance with the laws of [Province], Canada.
IN WITNESS WHEREOF the parties hereto have executed this Agreement as of the date first written above.