Owner and Design Builder Agreement Lump Sum - 415

This is a firm fixed price agreement. This popular design-build agreement between Owner of the construction project and the Design-Builder (aka builder, general contractor, constructor, construction manager) conveniently integrates contractual best practices with general terms and conditions and construction agreement terms into one document. Design-build projects are where an Owner of the construction project expects the Design-Builder to provide design services (Basic and possibly Additional Services) as well as the building services.

The general conditions of this construction document include the responsibilities allocated to each party and address critical construction law contract issues. The contract issues include: the parties relationship and responsibilities to each other, definitions of key terms, scope of work and execution obligations, design delegation, worksite conditions, differing site conditions, contract price, contract documents, contracts review, submittals, subcontracts, permits and taxes, time, changes, schedule changes, payment, payment schedule, final completion and final payment, indemnification (defend and hold harmless against all losses), insurance and bond, termination for convenience, termination for cause, claims and notice, waiver of consequential damages, dispute resolution and mitigation, construction defects, choice of law, venue, and much more. The included construction law contract issues are fair for Owners or developers of the project as well as Constructors. Parties can modify the terms of the agreement for their individual project needs and state law requirements.

This document presumes that the Design-Builder will be hiring a Design Professional (architect or engineer) to provide design services (Basic and possibly Additional Services). This agreement can be used for those Design-Builders that do not internally possess licensed design capabilities. The ConsensusDocs 420 Design-Builder Agreement with a Design Professional should be used in connection with this document to cover that Designer-Owner relationship. This agreement requires the ConsensusDocs 400 Preliminary Agreement Between Owner and Design-Builder in order to develop the Owner’s program and some schematic design documents. The Owner is included in project communications and maintains decision making unless the Owner delegates responsibilities to the Design Professionals.