Construction Subcontractor Agreement

This Construction Subcontractor Agreement ("Agreement") is made and entered into as of [Month Day, Year], by and between:

[Your Company Name], a [State] corporation with its principal office located at [Your Company Address] ("Contractor"), and [Subcontractor Name], a [State] corporation with its principal office located at [Subcontractor Address] ("Subcontractor").

Both parties agree to the following terms and conditions:

1. Scope of Work

1.1 Project Description: The Subcontractor agrees to perform specific construction work described as interior drywall installation and finishing ("Work") on the project located at [Project Address] ("Project").

1.2 Specifications and Plans: All work shall be performed in accordance with the drawings, specifications, schedules, and plans provided by the Contractor, as well as any applicable building codes and regulations. The Subcontractor agrees to complete the Work in compliance with all such documents.

1.3 Changes in Work: Any changes in the scope of work must be authorized in writing by the Contractor. The Subcontractor shall not proceed with any additional or altered work without prior written approval from the Contractor.

2. Subcontract Price and Payment Terms

2.1 Contract Price: The total compensation for the Work to be performed by the Subcontractor under this Agreement is [$0] ("Contract Price").

2.2 Progress Payments: Payments will be made based on a schedule of values or milestones agreed upon by both parties. The Subcontractor shall submit payment applications in accordance with the agreed payment schedule.

2.3 Retainage: The Contractor may retain [0] from each progress payment, which will be held as security until satisfactory completion of the Work. The retainage will be released upon final acceptance of the Work by the Contractor and the Owner.

2.4 Final Payment: Final payment will be made within [0] days after the completion of the Work, provided that all punch list items are resolved, and all lien waivers, releases, and required documents are submitted.

3. Time of Performance

3.1 Commencement Date: The Subcontractor shall commence the Work on or before [Month Day, Year], or as directed by the Contractor.

3.2 Completion Date: The Subcontractor shall complete all Work no later than [Month Day, Year], subject to adjustments for delays caused by unforeseen circumstances or as agreed upon by both parties.

3.3 Delays: The Subcontractor shall notify the Contractor in writing of any anticipated delays and the reasons for such delays. If the delay is beyond the Subcontractor's control, the Contractor may extend the completion date by a reasonable period.

4. Subcontractor Responsibilities

4.1 Licenses and Permits: The Subcontractor shall obtain all necessary licenses, permits, and approvals required for the performance of the Work. The Subcontractor must comply with all applicable federal, state, and local laws, ordinances, and regulations.

4.2 Labor and Materials: The Subcontractor shall furnish all labor, materials, equipment, and tools necessary to complete the Work, unless otherwise specified in this Agreement. All materials and equipment provided by the Subcontractor shall be of good quality and meet the standards set forth in the project specifications.

4.3 Safety: The Subcontractor is responsible for maintaining safe working conditions and compliance with all applicable safety laws and regulations, including OSHA standards. The Subcontractor shall implement proper safety measures to protect its workers, the Contractor's employees, and the general public.

4.4 Clean-Up: The Subcontractor shall maintain the worksite in a clean and orderly condition during the course of the Work and shall remove all waste materials and debris upon completion of the Work.

5. Insurance and Indemnification

5.1 Insurance Requirements: The Subcontractor shall carry and maintain the following insurance coverage during the performance of the Work:

• Commercial General Liability Insurance: Coverage of not less than $[0] per occurrence and $[0] aggregate.

• Workers' Compensation Insurance: Statutory limits as required by law.

• Automobile Liability Insurance: Coverage for all owned, non-owned, and hired vehicles with limits of not less than $[0] combined single limit.

• Builder's Risk Insurance: Coverage for damage to the work performed by the Subcontractor.

Certificates of insurance shall be provided to the Contractor before commencement of the Work, naming the Contractor as an additional insured where applicable.

5.2 Indemnification: The Subcontractor agrees to indemnify, defend, and hold harmless the Contractor, the Owner, and their respective officers, employees, and agents from and against all claims, damages, losses, and expenses, including attorney's fees, arising out of or resulting from the performance of the Work, to the extent caused by the negligent or wrongful acts of the Subcontractor.

6. Warranties

6.1 Warranty of Work: The Subcontractor warrants that all Work performed under this Agreement will be free from defects in materials and workmanship for a period of [0] years from the date of completion.

6.2 Correction of Defective Work: If any defects in the Work are discovered within the warranty period, the Subcontractor shall, at its own expense, correct such defects within a reasonable time after notification by the Contractor.

7. Termination

7.1 Termination for Convenience: The Contractor may terminate this Agreement at any time for convenience by providing [0] days’ written notice to the Subcontractor. In the event of such termination, the Subcontractor shall be entitled to payment for all work completed up to the termination date.

7.2 Termination for Cause: If the Subcontractor fails to perform in accordance with the terms of this Agreement, the Contractor may provide written notice to cure. If the Subcontractor fails to remedy the default within [0] days, the Contractor may terminate the Agreement and hire others to complete the Work.

8. Dispute Resolution

8.1 Mediation: In the event of a dispute arising out of or relating to this Agreement, the parties agree to first attempt to resolve the dispute through mediation, conducted by a mutually agreed-upon mediator.

8.2 Arbitration: If mediation is unsuccessful, any remaining disputes shall be submitted to binding arbitration in accordance with the rules of the American Arbitration Association (AAA). The arbitration will take place in [City, State].

8.3 Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of [State].

9. Miscellaneous Provisions

9.1 Independent Contractor: The Subcontractor is an independent contractor and shall not be deemed an employee, agent, or partner of the Contractor. The Subcontractor shall be responsible for all taxes, insurance, and benefits related to its employees and operations.

9.2 Assignment: The Subcontractor shall not assign or transfer any rights or obligations under this Agreement without the prior written consent of the Contractor.

9.3 Entire Agreement: This Agreement constitutes the entire understanding between the parties with respect to the subject matter and supersedes all prior agreements or negotiations. Any amendments to this Agreement must be in writing and signed by both parties.

9.4 Notices: Any notice required or permitted under this Agreement shall be in writing and delivered to the respective parties at their addresses listed above, either by certified mail, return receipt requested, or by overnight courier service.

10. Signatures

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

[Your Company Name]

By:

[Your Name]

[Title]

[Month Day, Year]

[Subcontractor Name]

By:

[Full Name]

[Title]

[Month Day, Year]

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