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Construction Management Agreement

Construction Management Agreement Template for United States

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Key Requirements PROMPT example:

Construction Management Agreement

"I need a Construction Management Agreement for a large-scale commercial office development in Texas, with a construction value of $50M and specific provisions for sustainability requirements and LEED certification targets to be achieved by March 2025."

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Document background
The Construction Management Agreement serves as the primary contract document governing the professional relationship between property owners and construction management firms in the United States. This agreement is essential when an owner requires professional expertise to oversee complex construction projects, coordinate multiple contractors, and manage project timelines and budgets. The document typically includes detailed provisions for scope of services, compensation structures, insurance requirements, and risk allocation, while ensuring compliance with federal and state construction regulations. Construction Management Agreements are particularly crucial for large-scale projects where specialized oversight and coordination are required to ensure successful project delivery.
Suggested Sections

1. Parties: Identification and details of the Owner and Construction Manager

2. Background: Context of the project and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Scope of Services: Detailed description of construction management services and responsibilities

5. Construction Manager's Responsibilities: Specific duties, obligations, and standard of care required from the Construction Manager

6. Owner's Responsibilities: Obligations and responsibilities of the project owner

7. Compensation and Payment: Fee structure, payment terms, and reimbursable expenses

8. Project Schedule: Timeline, milestones, and completion dates

9. Insurance and Indemnification: Required insurance coverage, limits, and indemnification provisions

10. Termination and Suspension: Conditions and procedures for contract termination or suspension

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

12. General Provisions: Miscellaneous legal provisions including governing law, notices, and assignment

Optional Sections

1. Pre-Construction Services: Detailed scope of services to be provided during the pre-construction phase

2. Value Engineering: Provisions for cost optimization and alternative solutions analysis

3. Multiple Prime Contractors: Coordination requirements when multiple contractors are involved in the project

4. Sustainability Requirements: Special provisions for green building and sustainability objectives

5. Building Information Modeling: Requirements and protocols for BIM implementation

Suggested Schedules

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

2. Schedule B - Fee Schedule: Detailed breakdown of fees, rates, and payment terms

3. Schedule C - Project Schedule: Detailed project timeline, phases, and milestones

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

5. Schedule E - Insurance Requirements: Detailed insurance specifications and coverage requirements

6. Appendix 1 - Project Drawings: Relevant architectural and engineering drawings

7. Appendix 2 - Technical Specifications: Detailed technical requirements and specifications

8. Appendix 3 - Project Safety Plan: Safety protocols and procedures specific to the project

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Clauses



































Industries

OSHA Compliance: Occupational Safety and Health Act requirements for workplace safety and health standards in construction

ADA Requirements: Americans with Disabilities Act compliance for accessibility in construction design and implementation

FLSA Compliance: Fair Labor Standards Act regulations regarding wages, overtime, and employment standards

Davis-Bacon Act: Federal law requiring payment of local prevailing wages on public works projects

NLRA Considerations: National Labor Relations Act requirements regarding labor relations and union activities

EPA Regulations: Environmental Protection Agency standards for environmental impact and compliance

State Lien Laws: State-specific mechanics' and materialmen's lien laws protecting contractors' right to payment

Contractor Licensing: State-specific requirements for contractor licensing and certification

Building Codes: State and local building codes and construction standards

State Environmental Laws: State-specific environmental protection requirements and regulations

Workers Compensation: State-specific workers' compensation insurance requirements and regulations

Prompt Payment Acts: State-specific laws governing timing of payments in construction projects

Local Zoning: Municipal zoning ordinances and land use restrictions

Permit Requirements: Local construction permit and inspection requirements

AIA Standards: American Institute of Architects industry standards and contract documents

CMAA Standards: Construction Management Association of America professional standards and guidelines

AGC Guidelines: Associated General Contractors of America industry guidelines and best practices

Insurance Requirements: Professional liability, general liability, workers' compensation, and builder's risk insurance requirements

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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