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Construction Management Consultant Agreement Template for Indonesia

A comprehensive agreement governed by Indonesian law that establishes the relationship between a project owner/client and a construction management consultant. This agreement details the consultant's responsibilities in overseeing and managing construction projects, including project planning, coordination, scheduling, cost control, quality assurance, and compliance with local regulations. The document incorporates requirements from Indonesian Construction Services Law (Law No. 2 of 2017) and related regulations, addressing specific local content requirements, professional licensing, and construction industry standards unique to the Indonesian market.

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What is a Construction Management Consultant Agreement?

The Construction Management Consultant Agreement is a critical document used when a project owner requires professional expertise to oversee and manage construction projects in Indonesia. This agreement is particularly important given Indonesia's complex regulatory environment and specific requirements under Law No. 2 of 2017 on Construction Services. The document establishes the consultant's scope of services, responsibilities, and authority in managing construction projects, while ensuring compliance with local regulations, including requirements for professional certification, local content, and construction safety standards. It defines the relationship between the client and consultant, detailing project management methodologies, reporting requirements, fee structures, and risk allocation. The agreement is essential for projects requiring professional construction management expertise, whether for large-scale infrastructure developments, commercial buildings, or industrial facilities.

What sections should be included in a Construction Management Consultant Agreement?

1. Parties: Identification of the Client and the Construction Management Consultant, including their legal details and registered addresses

2. Background: Context of the agreement, project overview, and basis for engagement

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement

4. Appointment and Scope of Services: Formal appointment clause and detailed scope of construction management services

5. Consultant's Obligations: Core duties, professional standards, and specific responsibilities of the consultant

6. Client's Obligations: Responsibilities and obligations of the client, including provision of information and access

7. Project Timeline: Project schedule, milestones, and duration of services

8. Fees and Payment: Compensation structure, payment terms, and invoicing procedures

9. Insurance and Liability: Required insurance coverage and limitation of liability provisions

10. Intellectual Property: Ownership and usage rights of project documents and deliverables

11. Confidentiality: Protection and handling of confidential information

12. Force Majeure: Provisions for unforeseen circumstances and their handling

13. Termination: Grounds and procedures for contract termination

14. Dispute Resolution: Procedures for handling disputes, including mediation and arbitration

15. Governing Law: Specification of Indonesian law as governing law and jurisdiction

What sections are optional to include in a Construction Management Consultant Agreement?

1. Foreign Worker Requirements: Required when international consultants are involved, detailing compliance with Indonesian foreign worker regulations

2. Environmental Compliance: Required for projects with significant environmental impact, detailing environmental management obligations

3. Anti-Corruption and Ethics: Additional compliance requirements for public sector projects or when required by client policies

4. Local Content Requirements: Required for projects subject to Indonesian local content regulations

5. Multiple Phase Provisions: Required when the project is divided into distinct phases with different scopes

6. Subconsultant Provisions: Required when the consultant plans to engage subconsultants

7. Performance Bonds: Required when specific performance guarantees are needed

8. Special Insurance Requirements: Required for high-risk or specialized projects requiring additional insurance coverage

What schedules should be included in a Construction Management Consultant Agreement?

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

2. Schedule 2 - Fee Schedule: Detailed fee structure, rates, and payment milestones

3. Schedule 3 - Project Timeline: Detailed project schedule, milestones, and delivery dates

4. Schedule 4 - Key Personnel: List of key team members and their roles

5. Schedule 5 - Client's Requirements: Detailed technical and operational requirements from the client

6. Schedule 6 - Required Reports and Documentation: List and format of required project reports and documentation

7. Schedule 7 - Insurance Requirements: Detailed insurance requirements and coverage limits

8. Appendix A - Project Site Details: Information about the project location and site conditions

9. Appendix B - Required Forms and Templates: Standard forms for project administration and reporting

10. Appendix C - Quality Management System: Quality control and assurance procedures

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

Jurisdiction

Indonesia

Cost

Free to use

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