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The agreement between owner and contractor sets clear terms between companies and independent contractors. This agreement outlines the scope of work and responsibilities for both parties, and makes sure the owner has clarity on what the contractor will do, what the project involves and how the contractor will get paid. A well structured agreement not only fosters a smooth working relationship and prevents disputes, it also ensures all parties stay compliant with the law.
This agreement between owner and contractor sample and template can improve how you create, manage and share agreements.
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Owners trust contractors with their multi-million or billion-dollar projects, and contractors rely on fair compensation for their intensive work. Having a clear cut agreement between owner and contractor in place is important for any construction deal as it ensures both parties understand the terms of their legal relationship.
This agreement also serves as a reference throughout the project, helping in the inspection and acceptance of completed work. Furthermore, it helps prevent litigation or arbitration by clearly outlining agreed-upon terms and conditions.
Every construction agreement should define the responsibilities of both the contractor and the owner. And while specifics may vary, it's important to include the following sections for any good agreement:
While you have the option to draft your own agreement between owner and contractor, you can also download our agreement sample and template to get started right away.