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Construction Cost Plus Contract

Construction Cost Plus Contract Template for Austria

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Key Requirements PROMPT example:

Construction Cost Plus Contract

"I need a Construction Cost Plus Contract for a new commercial office development in Vienna, with construction starting March 2025, including specific provisions for monthly cost reporting and a maximum markup of 12% on verified costs."

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Document background
The Construction Cost Plus Contract is designed for construction projects under Austrian law where the exact scope or costs cannot be precisely determined at the outset. This contract type is particularly suitable for complex construction projects, renovation works, or projects with significant potential for unexpected conditions. It provides a framework for transparent cost management while ensuring fair compensation for the contractor through a predetermined fee or percentage markup on actual costs. The document incorporates requirements from Austrian construction law, including the ABGB and relevant construction regulations, while establishing clear procedures for cost reporting, verification, and project management. It's commonly used in situations requiring flexibility in scope and pricing, while maintaining strict cost control and transparency measures.
Suggested Sections

1. Parties: Identification of the contractor and client, including full legal names, registration details, and addresses

2. Background: Context of the agreement and brief description of the construction project

3. Definitions: Definitions of key terms including 'Cost', 'Fee', 'Works', 'Project', and other contract-specific terminology

4. Scope of Works: Detailed description of the construction works to be performed

5. Contractor Obligations: Primary responsibilities of the contractor including quality standards and project management

6. Client Obligations: Key responsibilities of the client including site access, permits, and timely information

7. Cost Structure: Definition of allowable costs, excluded costs, and calculation of the contractor's fee

8. Payment Terms: Payment procedures, timing, invoicing requirements, and cost verification process

9. Project Timeline: Construction schedule, milestones, and completion dates

10. Quality Control: Quality standards, inspection procedures, and acceptance criteria

11. Variations: Process for handling changes to scope or specifications

12. Records and Audit Rights: Requirements for cost documentation and client's audit rights

13. Insurance and Liability: Required insurance coverage and liability provisions

14. Termination: Grounds and procedures for contract termination

15. Governing Law: Confirmation of Austrian law application and jurisdiction

Optional Sections

1. Environmental Requirements: Special environmental obligations and compliance requirements - include when project has specific environmental impacts

2. Subcontracting: Rules and procedures for engaging subcontractors - include when subcontracting is anticipated

3. Site Security: Special security requirements - include for sensitive or high-security locations

4. Materials Supply: Specific provisions for material procurement - include when client supplies materials or has special requirements

5. Intellectual Property: IP rights and obligations - include when design or innovative construction methods are involved

6. Force Majeure: Provisions for unforeseen circumstances - include for long-term or high-risk projects

7. Dispute Resolution: Specific dispute resolution procedures - include for complex or high-value projects

Suggested Schedules

1. Schedule 1 - Scope of Works: Detailed technical specifications and drawings

2. Schedule 2 - Cost Categories: Detailed breakdown of allowable and non-allowable costs

3. Schedule 3 - Fee Calculation: Formula and examples of fee calculation

4. Schedule 4 - Project Program: Detailed construction schedule and milestones

5. Schedule 5 - Key Personnel: List of key project team members and their roles

6. Schedule 6 - Required Insurance: Detailed insurance requirements and coverage levels

7. Schedule 7 - Form of Payment Application: Template for monthly cost statements and payment applications

8. Schedule 8 - Site Information: Site details, access points, and relevant site conditions

9. Schedule 9 - Quality Management Plan: Detailed quality control procedures and standards

10. Appendix A - Required Permits: List of required permits and responsibilities for obtaining them

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 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





























































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Relevant Industries

Construction

Real Estate Development

Infrastructure

Commercial Property

Industrial Development

Public Works

Residential Development

Healthcare Construction

Educational Facilities

Energy Infrastructure

Transportation Infrastructure

Relevant Teams

Legal

Construction

Commercial

Finance

Procurement

Operations

Project Management

Risk Management

Quality Control

Technical Services

Contract Administration

Relevant Roles

Construction Project Manager

Contract Manager

Legal Counsel

Quantity Surveyor

Cost Controller

Project Director

Site Manager

Commercial Manager

Procurement Manager

Risk Manager

Chief Financial Officer

Operations Director

Construction Director

Estimating Manager

Technical Director

Industries








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, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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