This form is a Construction Contract that may be executed with either a cost plus or fixed fee payment arrangement. The form contains the following additional subject matters and complies with the laws of the State of Florida: scope of work, work site, warranty and insurance.
Description: A Construction Cost Plus Contract Template with labor is a legally binding agreement commonly used in the construction industry. This contract outlines the terms and conditions between a contractor and a client for a construction project. It details how the contractor will be compensated for the labor and materials required for the project. This contract template provides a comprehensive framework for calculating and managing construction costs by incorporating the cost-plus pricing method. Under a cost-plus contract, the contractor is paid for the actual costs incurred during the construction process, including labor, materials, subcontractors, and overhead expenses. Additionally, an agreed-upon percentage or fee is added to the total cost to cover the contractor's profit margin. Various types of construction cost-plus contract templates with labor can be tailored to suit different project requirements. Some commonly known types include: 1. Fixed Percentage Cost Plus Contract Template with Labor: This template specifies a fixed percentage fee, agreed upon between the contractor and the client, to be added to the actual construction costs. For example, if the project's total cost is $100,000, and the agreed-upon fee is 10%, the contractor will be reimbursed $110,000. 2. Cost-Plus with Guaranteed Maximum Price (GMP): This type of contract template sets a maximum limit on the reimbursable construction costs. The contractor must complete the project within the agreed-upon price, regardless of the actual costs incurred. If the actual costs are lower than the GMP, the contractor retains the surplus. 3. Cost-Plus with Shared Savings Contract Template with Labor: In this contract type, the contractor is incentivized to complete the project under the established budget. If the actual costs are lower than the estimated budget, both the client and the contractor share the savings, usually on a predetermined percentage basis. When using a construction cost plus contract template with labor, it is essential to consider factors such as project scope, timeline, materials, labor rates, overhead expenses, and any specific conditions that may affect the cost calculations. Careful attention should be given to the language and terms within the template to protect the interests of both parties involved. By utilizing a well-drafted construction cost plus contract template with labor, construction professionals can establish a clear understanding of payment terms, cost reimbursement mechanisms, change order procedures, dispute resolution, and other essential provisions necessary to ensure a successful construction project.Description: A Construction Cost Plus Contract Template with labor is a legally binding agreement commonly used in the construction industry. This contract outlines the terms and conditions between a contractor and a client for a construction project. It details how the contractor will be compensated for the labor and materials required for the project. This contract template provides a comprehensive framework for calculating and managing construction costs by incorporating the cost-plus pricing method. Under a cost-plus contract, the contractor is paid for the actual costs incurred during the construction process, including labor, materials, subcontractors, and overhead expenses. Additionally, an agreed-upon percentage or fee is added to the total cost to cover the contractor's profit margin. Various types of construction cost-plus contract templates with labor can be tailored to suit different project requirements. Some commonly known types include: 1. Fixed Percentage Cost Plus Contract Template with Labor: This template specifies a fixed percentage fee, agreed upon between the contractor and the client, to be added to the actual construction costs. For example, if the project's total cost is $100,000, and the agreed-upon fee is 10%, the contractor will be reimbursed $110,000. 2. Cost-Plus with Guaranteed Maximum Price (GMP): This type of contract template sets a maximum limit on the reimbursable construction costs. The contractor must complete the project within the agreed-upon price, regardless of the actual costs incurred. If the actual costs are lower than the GMP, the contractor retains the surplus. 3. Cost-Plus with Shared Savings Contract Template with Labor: In this contract type, the contractor is incentivized to complete the project under the established budget. If the actual costs are lower than the estimated budget, both the client and the contractor share the savings, usually on a predetermined percentage basis. When using a construction cost plus contract template with labor, it is essential to consider factors such as project scope, timeline, materials, labor rates, overhead expenses, and any specific conditions that may affect the cost calculations. Careful attention should be given to the language and terms within the template to protect the interests of both parties involved. By utilizing a well-drafted construction cost plus contract template with labor, construction professionals can establish a clear understanding of payment terms, cost reimbursement mechanisms, change order procedures, dispute resolution, and other essential provisions necessary to ensure a successful construction project.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
