DRAINAGE CONTRACT
THIS DRAINAGE CONTRACT (“Contract”), effective as of the date of the last party
to sign below, is between , having an address at
("Contractor") and , having an address at ("Owner").
For valuable consideration the parties hereby agree as follows:
1. SCOPE OF WORK: Drainage services may include plumbing repair work (for drains,
sinks, toilets, water cylinders, boilers, heaters and pipe lining), and fabrication and
installation of cess pools, septic tanks, storm drains and other sewage disposal and drain
structures. Drainage work may also include the evaluation of soil erosion, erosion control
and proper water run -off of a particular area or worksite. Contractor shall provide all
necessa ry drainage labor and materials, and perform all drainage services described
above and/or as set forth in the plans and specifications signed by both Owner and
Contractor (“Project”). Such plans and specifications are hereby made a part of this
Contract an d may contain pictures, diagrams or measurements of the work area together
with a description of the work to be done, materials to be used, and the equipment to be
used or installed.
2. WORK SITE: The Project shall be constructed on the property of Owner located at
and more particularly described as ________
(hereafter "the Work Site"). Owner hereby authorizes Contractor to commence
and complete the usual and customary excavation and grading on the Work Site as may
be required in the j udgment of the Contractor to complete the Project. Unless called for
in the plans or specifications, no landscaping, finish grading, filling or excavation is to be
performed at the Work Site by the Contractor.
3. TIME OF COMPLETION: Contractor shall co mmence the work to be performed
under this Contract on or before and shall substantially complete the work
on or before . Contractor shall not be liable for any delay due to circumstances
beyond its control including strikes, casualty, acts of God, illness, injury, or general
unavailability of materials.
4. PERMITS: Contractor shall apply for and obtain such permits and regulatory
approvals as may be required by the local municipal/county government, the cost thereof
shall be included as part of the Project price.
5. SOIL CONDITIONS: Contractor shall have no responsibility for the condition of the
soils at the Work Site. Any excavation, filling or other work required by the Owner
other than the usual and customary excavation and grading sha ll be agreed to in a Change
Order for an amount in addition to the Contract Price. Contractor shall not be
responsible for any damages suffered by Owner as a result of the soil conditions at the
Work Site.
6. INSURANCE: Contractor shall maintain general liability and workers compensation
insurance.
7. SURVEY AND TITLE: If the Project is near the Owner’s property boundary, Owner
will point out property lines to the Contractor. If the Owner or Contractor has any doubt
about the location of the property l ines, Owner shall provide Contractor with boundary
stakes through a licensed surveyor. In addition, Owner shall provide Contractor
documentation that Owner has title to the Work Site and shall provide Contractor copies
of any covenants, conditions, or rest rictions that affect the Work Site.
8. CHANGES TO SCOPE OF WORK: Owner may make changes to the scope of the
work, including changes to the plans and specifications, from time to time during the
construction of the Project. However, any such change or modification shall only be
made by written "Change Order" signed by both parties. Such Change Orders shall
become part of this Contract. Owner agrees to pay any increase in the cost of the
Project as a result of a Change Order. In the event the cost of a Change Order is not
known at the time a Change Order is executed, the Contractor shall estimate the cost
thereof and Owner shall pay the actual cost whether or not it is in excess of the estimated
cost.
9. CONTRACT PRICE:
{COST PLUS}
Owner agrees to pay Contractor the actual cost to Contractor of materials plus the s um of
$ for performing the services set forth in the scope of the work.
Contractor shall be paid as follows:
.
OR
{FIXED FEE}
Owner agrees to pay Contractor the sum of $ for performing the se rvices set forth
in the scope of the work. Contractor shall be paid as follows:
.
Contractor shall furnish Owner appropriate releases or waivers of lien for all work
performed or materials provided at the time the next periodic payment shall be due.
10. LATE PAYMENT/DEFAULT: A failure to make payment for a period in excess of
ten (10) days from the due date shall be deemed a material breach of this Contract. If
payment is not made when due, Contractor may suspend work on the job until such time
as all payments due have been made without breach of the Contract pending payment or
resolution of any dispute. Owner agrees to pay a late charge of 1% of all payments that
are more than ten (10) days late plus inte rest at the rate of 1% per month.
11. DESTRUCTION AND DAMAGE : If the Project is destroyed or damaged for any
reason, except where such destruction or damage was caused by the sole negligence of
the Contractor or its subcontractors, Owner shall pay Contractor for any additional work
done by Contractor in rebuilding or restoring the Project to its condition prior to such
destruction or damage. If the estimated cost of replacing work already accomplished by
Contractor exceeds 20 percent of the Contract price, either the Contractor or Owner may
terminate this Contract. Upon termination by either party, Contractor shall be excused
from further performance under this Contract and Owner shall pay Contractor a
percentage of the Contract price in proportion to the amount of work accomplished prior
to the destruction or damag e.
12. ASSIGNMENT : Neither party may assign this Contract, or payments due under the
Contract, without the other party’s written consent. Any such assignment shall be void
and of no effect.
13. INTERPRETATION:
(a) Interpretation of Documents. The Contr act, plans, and specifications are
intended to supplement one another. In the event of a conflict, the specifications shall
control the plans, and the Contract shall control both. If work is displayed on the plans
but not called for in the specifications, or if the work is called for in the specifications but
not displayed on the plans, Contractor shall be required to perform the work as though it
were called for and displayed in both documents.
(b) Entire Agreement. This Contract constitutes the entire ag reement of the parties.
No other agreements, oral or written, pertaining to the work to be performed under this
Contract exists between the parties. This Contract may only be modified by a written
agreement signed by both parties.
(c) Governing Law. This Contract shall be interpreted and governed in accordance
with the laws of the State of Michigan.
14. ATTORNEYS’ FEES AND COSTS: If any party to this Contract brings a cause of
action against the other party arising from or relating to this Contract, the prevailing party
in such proceeding shall be entitled to recover reasonable attorney fees and court costs.
15. PERFORMANCE:
(a) Contractor may, at its discretion, engage licensed subcontractors to perform work
pursuant to this Contract provided Contracto r shall remain fully responsible for the
proper completion of the Project.
(b) All work shall be completed in a workman -like manner and in compliance with
all building codes and applicable laws. To the extent required by law, all work shall be
performed by individuals duly licensed and authorized by law to perform said work.
(c) Contractor agrees to remove all debris and leave the premises in broom clean
condition.
16. WARRANTY: Contractor's warranty shall be limited to defects in workmanship
within th e scope of work performed by Contractor and which arise and become known
within one (1) year from the date hereof. All said defects arising after one (1) year and
defects in material are not warranted by Contractor. Contractor hereby assigns to
Owner all warranties on materials as provided by the manufacturer of such materials.
AGREED:
CONTRACTOR:
Signature
______________________________
Print Name & Title
________________
Date
____________________
License Number
_______________________________
Name and Address of License Holder
OWNER:
Signature
______________________________
Print Name
______________
Date
*Optional notice required only for home solicitation sales:
NOTICE TO BUYER
You, the buyer, may cancel this transaction at any time prior to midnight of the third
business day after the date of this transaction. See the attached notice of cancellation form
for an explanation of this right. Additionally, the seller is prohibited fr om having an
independent courier service or other third party pick up your payment at your residence
before the end of the 3 -business -day period in which you can cancel the transaction.
Notice of Cancellation
____________________________ (enter date of t ransaction)
____________________________ (date)
You may cancel this transaction, without any penalty or obligation, within 3 business days
from the above date.
If you cancel, any pr operty traded in, any payments made by you under the contract or
sale, and any negotiable instrument executed by you will be returned within 10 business
days following receipt by the seller of your cancellation notice, and any security interest
arising out of the transaction will be canceled.
If you cancel, you must make available to the seller at your residence, in substantially as
good condition as when received, any goods delivered to you under this contract or sale; or
you may if you wish, comply with the instructions of the seller regarding the return
shipment of the goods at the seller's expense and risk.
I you do make the goods available to the seller and the seller does not pick them up within
20 days of the date of your notice of cancellation, you may retain or dispose of the goods
without any further obligation. If you fail to make the goods available to the seller or if you
agree to return the goods to the seller and fail to do so, then you remain liable for
performance of all obligations under t he contract.
To cancel this transaction, mail or deliver a signed and dated copy of this cancellation
notice or any other written notice, or send a telegram to ____________________________
(name of seller), at ____________________________ (address of sell er's place of business)
not later than midnight on ____________________________ (date).
I hereby cancel this transaction.
____________________________ (date)
_____________________________ (buyer's signature)
* Optional provisions required only for home improvement installment contracts:
1. The contract must be titled Home Improvement Installment Contract
2. The following notice and information must be included:
Notice to buyer: (1) Do not sign this contract before you read it. (2) You are entitled to a
completely filled -in copy of this contract. (3) Under the law, you have the right to pay off in
advance the full amount due and, under certain conditions, to obtain a partial refund of the
finance charge. (4) You may rescind or cancel this contract, not later than 5 p.m. on the business
day following the date thereof by giving written notice of rescission to the contractor or his agent
at his place of business given in the contract or by mailing the notice or cancellation to the
contractor to his place o f business given in the contract by depositing a properly addressed
certified letter in a United States post office or mail box, but if you rescind after 5 p.m. on the
business day following, you are still entitled to offer defenses in mitigation of damage s and to
pursue any rights of action or defenses that arise out of the transaction.
The cash price of the goods and services which are the subject matter of the sale is
____________________________.
The amount of the buyer's down payment is $____________ .
This includes an allowance given by the contractor of $_____________.
The amounts paid in money is $___________.
The amount paid in goods, described as ____________________________, is $___________.
The unpaid cash balance is $___________.
Insurance Premium Payments (if applicable):
a. Type of insurance: ____________________ Term of insurance: ___________ Premium paid:
$___________ To be procured by: Buyer Contractor
b. Type of insurance: ____________________ Term of insurance: _________ __ Premium paid:
$___________ To be procured by: Buyer Contractor
The amount of official fees, if any, is $___________.
The principal amount financed is $___________.
The amount of the finance charge is $___________.
The time balance, which is the su m of the principal amount financed and finance charge, payable
by the buyer to the contractor is $___________.
The number of installments required is ___________.
The amount of each installment is $___________.
The due date or period of each installment is ___________.
The time sale price, which is the total of the cash price of the goods and services or services, the
finance charge, and the amounts, if any, included for insurance premiums and official fees, is
$___________.
If any installment substantia lly exceeds in amount any prior installment other than the down
payment, the following legend must be included:
This contract is not payable in installments of equal amounts. Followed, if there be but 1
larger installment, by: An installment of $_________ __ will be due on
____________________________, or if there be more than 1 larger installment, by: Larger
installments will be due as follows: ____________________________ (Insert the amount or
amounts of every larger installment and its due date).
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