The Standard Building Contract is a fundamental document used in construction projects throughout England and Wales. It provides a structured framework for managing building works, incorporating essential elements such as payment mechanisms, completion requirements, and risk allocation. This contract type is particularly suitable for medium to large-scale construction projects where detailed contract administration is required. It includes provisions compliant with the Housing Grants, Construction and Development Act 1996 and other relevant legislation, making it a robust tool for managing construction relationships and protecting both parties' interests.
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1. Parties: Identification and details of the employer and contractor
2. Background: Context and purpose of the building contract
3. Definitions: Key terms used throughout the contract
4. Contract Sum: Agreed price and payment terms including provisions under Housing Grants, Construction and Development Act 1996
5. Duration: Project timeline, completion date, and extensions of time
6. Contractor Obligations: Main responsibilities and duties of the contractor including CDM 2015 requirements
7. Employer Obligations: Main responsibilities and duties of the employer including CDM 2015 client obligations
8. Variations: Process for changes to works and their impact on contract sum
9. Insurance and Indemnity: Required insurance coverage and indemnification provisions
10. Quality Standards: Standards of work required under Building Regulations and Supply of Goods and Services Act
11. Health and Safety: Health and safety requirements under CDM 2015 and related legislation
12. Termination: Circumstances and procedures for contract termination
1. Liquidated Damages: Pre-agreed damages for delay, used when specific completion dates are critical
2. Performance Bond: Security for performance, used for high-value projects or where additional security is required
3. Parent Company Guarantee: Additional security from contractor's parent company, used when contractor is subsidiary of larger organization
4. Collateral Warranties: Third-party rights and warranties, used when there are key subcontractors or future purchasers/tenants
1. Schedule 1: Contract Documents: List of all documents forming part of the contract including drawings and specifications
2. Schedule 2: Works Description: Detailed specification of works to be carried out
3. Schedule 3: Programme: Detailed timeline of works including key milestones
4. Schedule 4: Payment Schedule: Payment terms, amounts and dates including notice requirements
5. Schedule 5: Insurance Requirements: Detailed insurance requirements and minimum coverage amounts
6. Appendix 1: Drawings: Technical drawings and plans
7. Appendix 2: Specifications: Detailed technical specifications and standards
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