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CONTRACT FOR DESIGN AND CONSTRUCTION

SERVICES
This CONTRACT made and entered into by and between

xxxx, Filipino, of legal age, and resident of xxx,


hereinafter referred to as OWNER
and
xxx, Filipino, of legal age, and resident of xxxx
hereinafter referred to as CONTRACTOR

RECITALS:

WHEREAS, the OWNER is the registered owner of a parcel of land


with TCT No. ______________ situated in xxxx and desires to build a two-story
mixed-use building (the PROJECT) thereon;

WHEREAS the CONTRACTOR has offered to design and construct the


said PROJECT in accordance with design, drawings and specifications
approved by the OWNER;

NOW, THEREFORE, the parties hereto, for and in consideration of the


foregoing promises and of the other covenants hereinafter named, agree as
follows:

ARTICLE I
SCOPE OF WORK

1.1 The scope of work to be done by CONTRACTOR for the PROJECT


consists of professional services for the following:

1.1.1 Preconstruction services to come up with the schematic


designs, preliminary drawings, final drawings, materials
specifications, cost estimates, construction schedule,
building permit forms, all signed and sealed by
respective trade professionals.

1.1.2 Execution of the construction of the PROJECT in


accordance with the design, drawings and
specifications, cost estimates, and construction
schedule approved by the OWNER

1.1.3 Securing of permits and clearances from governmental


entities necessary for the completion of the PROJECT,
such as but not limited to, Building Permit, Locational
Clearance, Barangay Clearance, Fire Safety Permit and
Electrical Permit

ARTICLE II
DATE OF COMMENCEMENT AND COMPLETION

2.1 The date of commencement of this CONTRACT is the date from which
the OWNER remits his first payment to the CONTRACTOR.

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2.2 The CONTRACTOR. shall achieve 100% Completion of the entire
Work after One Hundred Eighty (180) days reckoned from Paragraph
2.1, with the following schedule of turn-over:

2.2.1 Rentable space, ground floor November 30, 2016

2.2.1 Whole ground floor February 28,


2017

2.2.2 Second floor April 15, 2017

ARTICLE 3
PROJECT COST AND SCHEDULE OF PAYMENTS

3.1 The Owner shall pay the CONTRACTOR for the CONTRACTOR's
performance of the CONTRACT the total sum of PHILIPPINE PESOS:
xxx(PHP xxxx,000.0), which is inclusive of the following:

3.1.1 All works identified in Article 1

3.1.2 The cost of materials as enumerated and required in


the Cost Breakdown and Materials Specifications, and
fees and charges for permits and clearances;

3.1.2 Cost of Labor to complete the construction and


installation in the highest acceptable quality of all
materials required for the PROJECT;

3.1.3 Other costs including tools, equipment,


transportation, and other incidental costs to
complete the PROJECT

3.2 The downpayment amounting to PHILIPPINE PESOS: xxxx) shall be


made by the OWNER to the CONTRACTOR broken down as follows:

3.2.1 PHILIPPINE PESOS xxxx upon signing of this


CONTRACT

3.2.2 PHILIPPINE PESOS xxx upon approval of the


design, drawing and specifications and signed by
respective trade professionals (Architect, Structural
Engineer, Sanitary Engineer, Electrical Engineer and
Mechanical Engineer)

3.2.3 PHILIPPINE PESOS FOUR HUNDRED THOUSAND


xxxwithin seven days upon receipt of all
government permits and clearances for the
construction of the PROJECT

3.3 A Progress Accomplishment Billing will be submitted to the OWNER by


the CONTRACTOR during the weekly construction meeting which shall
be held every Friday at the ___________________ where the
CONTRACTOR shall report on actual work completed in accordance

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with the mutually agreed schedule and unit price for each item of
work hereto attached as Annex A.

3.4 With each Progress Accomplishment Billing, the CONTRACTOR shall


submit pictures or any other evidence as may be required by the
OWNER to substantiate the actual progress of the PROJECT, without
prejudice to the right of the OWNER to conduct actual site visits to
monitor the actual progress of the construction.

3.5 The OWNER shall pay to the CONTRACTOR not later than five (5)
days from receipt of the billing provided that no progress payments
made shall not be construed as acceptance of the portion of the works
or portion thereof. The OWNER reserves the right to withhold payment
for any work or portion thereof that is not yet completed or was
completed but not in accordance with the specifications.

3.6 An amount equivalent to 5% of the total PROJECT cost or PHILIPPINE


PESOS: xxx shall be retained by the OWNER. The total retention
money shall not bear interest and shall be due for release upon
completion of the punchlist.

ARTICLE IV
GENERAL PROJECT SPECIFICATIONS

4.1 The CONTRACTOR shall proceed with the construction in accordance


with the following general specifications:

4.1.1 STRUCTURAL
Concrete Class A footing, column, beam,
and slab
Steel Bars Grade 33
Concrete Hollow Blocks (CHB)4 CHB interior wall
5 CHB exterior wall
4.1.2 ROOFING AND TINSMITHRY
Steel Trusses
.40 mm thick rib-type long span roofing with insulation

41.3 ARCHITECTURAL FINISHES


A. Tiles
a. .60 m x .60m tiles on bedroom, rentable space
function area, utility room, and office
b. .30 x .30 m floor tile ceramic on T&B
c. .30 x .30 m wall tile ceramic on T&B

B. Carpentry
a. Inside ceiling 3/16 Hardiflex nailed on 1 x 2
ceiling joist
b. Outside ceiling Spandrel nailed on 1 x 2 ceiling
joist

4.1.4 ELECTRICAL
Wiring 2-2.0mm2 THHN wire for lighting
2-3.5mm2 THHN wire for convenience outlet
Columbia
Brand or equivalent

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4.1.5 PLUMBING All plumbing materials to be used are PVC
(polyvinyl
chloride) pipe for sewer and drainage ppr
(polypropylene pipe for water supply)

4.1.6 PAINTINGS flat latex, with patching compound first


coating, semi-
gloss, top coat, color shade per approval of the
OWNER,
Boysen brand or equivalent.

ARTICLE V
RESCISSION, CANCELLATION, TERMINATION OF CONTRACT

5.1 The OWNER shall be entitled to rescind, cancel and terminate this
CONTRACT upon the occurrence of any, some or all of the following
events:

a. The CONTRACTOR shall have incurred a negative slippage of


more than fifteen percent (15%) based on the work schedule;

b. The CONTRACTOR shall have refused to comply with the order


of OWNER concerning the proper execution of the Works, or
shall have committed a breach of any of the stipulations, clauses,
terms and conditions specified in this CONTRACT;

c. The CONTRACTOR abandons the Project, or fails to deliver to


the Project site equipment, materials or personnel required for
the performance of the Works;

d. The CONTRACTOR fails to pay for its labor and materials;

e. The CONTRACTOR becomes bankrupt, insolvent or has made an


assignment for the benefit of creditors, or is placed under
receivership or liquidation; or

f. OWNER considers the continued performance of the Works by


the CONTRACTOR prejudicial to the interest of the OWNER

5.2 Should the OWNER terminate this CONTRACT for reasons not
attributable to the CONTRACTOR, the OWNER shall pay to the
CONTRACTOR a sum which bears the same ratio as the cost of the
works at the time of the termination bears to a reasonable estimated
cost of the work satisfactorily completed as determined by the OWNER.

ARTICLE VI
OTHER PROVISIONS

6.1 No failure or delay on the part of either party to exercise any right,
power or privilege hereunder shall operate as a waiver thereof, neither
shall any single or partial exercise of any right, power or privilege
hereunder preclude any other, or further exercise thereof, or the
exercise of any other right, power or privilege.

4 | Contract for Design and Construction Services


6.2 If any stipulation, clause, term or condition of this CONTRACT is held
invalid or contrary to law, the validity of the other stipulations, clauses,
terms and conditions hereof shall not be affected thereby.

6.3 The parties hereby agree to amend or modify any provision of this
CONTRACT, which might be declared invalid or contrary to law, to
conform with the subject and objective thereof.

6.4 Nothing in this CONTRACT shall be construed as establishing the


relationship of an employer and an employee between the
CONTRACTOR and OWNER or any of their respective staff. The
CONTRACTOR shall at all times be personally and directly liable and
shall hold the OWNER free and harmless from any and all claims or
liabilities arising from the acts or conduct of its employees

IN WITNESS WHEREOF, the parties hereto have hereunto set their


hands this ___________ day of ____________ 2016, in _____________________
Philippines.

Contractor Owner

Signed in the presence of:

_____________________ ______________________

------------------------------------------------------------------------------------------------------------
--------

REPUBLIC OF THE PHILIPPINES)


_______________________________________) SS.

ACKNOWLEDGMENT

BEFORE ME, a Notary Public for and in ____________________________________


personally appeared the following persons, with their respective government
Issued IDs, to wit:
GOVT. ISSUED I.D. ISSUED ON
ISSUED AT

who are known to me and to me known to be the same persons who


executed the foregoing instrument, and they acknowledge to me that the
same is their own free and voluntary act and deed, as well as the free and
voluntary act and deed.

The foregoing instrument pertains to a Design and Construction Contract


consisting five (5) pages, including the page on which this Acknowledgment
is written, to which the annexes are attached, all signed by the parties hereto
and their instrumental witnesses.

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WITNESS MY HAND AND SEAL this ____ day of _________________
2016, in the ______________________________ Philippines.

Doc. No. ___


Page No. ___
Book No. ___
Series of 2016

6 | Contract for Design and Construction Services

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