CONTRACTS
We offer different types of contracts depending on the needs, deadlines, budget of the clients and especially the complexity of the projects. Our contracts are based on different types of contracts issued by the Canadian Construction Documents Committee (CCDC).
Fixed price contract
This type of contract is commonly used in the construction industry. It is also known as a turnkey contract. This contract is suitable for clients who have a project whose plans and specifications are clearly defined and precise by professionals. The general contractor assumes the risk as well as any cost overruns that may arise in their bid.
Cost-plus contract
The general contractor undertakes to carry out the work and to periodically submit to the client all invoices related to materials, services, and subcontracting, as well as management and administrative costs. The client assumes the risk of any cost overruns. This type of contract is suitable for clients with a small-scale project or for complex projects whose total cost is difficult to determine in advance.
Contract with guaranteed maximum price
The general contractor is paid based on the actual cost of the work, plus a fixed fee, subject to a maximum price known in advance. Beyond this maximum, the general contractor absorbs all costs. If the maximum is not reached, the contract may stipulate that both parties share the balance. The maximum can only be changed by an amendment to the contract.
Construction Management Contract - for services and construction
The client hires the architect to provide design services and prepare construction documents. The client also hires a construction manager as a consultant who participates in the design process by providing input on constructability, cost estimation, construction scheduling, tendering, coordinating contract negotiations, awarding mandates, procuring materials, and coordinating construction activities.
Fixed-price design-build contract
The client hires a single entity that provides both the design and construction of the project under a single contract. The price is set before the design is completed, and this can create disagreements over the scope of work or construction details that should be included in the fixed price.
(*) The images illustrating the publication years above serve as examples only. We always work with the most up-to-date documents, according to the needs of our clients.
