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Excavator Contract for Contractor in Texas

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EXCAVATION, BACKFILL, GRADING, AND HAULING CONTRACT

THIS EXCAVATION, BACKFILL, GRADING, AND HAULING 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: Contractor shall provide all labor and materials, and perform all work necessary for the completion of the residence, structure, or improvements as described in the drawings and specifications signed by both Owner and Contractor (“Project”) and more particularly described as

(a) Contractor shall maintain continuous responsibility for proper placement of all bench marks, monuments and reference points and leave the trees, landscaping at the project work site reasonably undamaged.

(b) Contractor shall ensure access of workmen with concrete trucks to the foundation area by storing the topsoil and stockpile backfill taken from all excavated areas at .

(c) Excavation shall be to undisturbed soil and all material of every description existing in the excavation area to the depth of . Maximum allowable excavation grade variance will be inches over each excavated level (if more than one) to allow for rainfall and normal water drainage.

(d) Basement excavations will have approximately inches overdig of the dwelling footing dimensions and establish a degree bank slope to prevent cave-in and allow for installation of footings, foundation walls, piers, drain tile and gravel.

(e) Contractor shall remove all unsuitable earth materials, topsoil and vegetation from excavated areas receiving fill and place fill gravel in sub-grade concrete floor, patio, driveway, sidewalk, and front stoop areas as indicated on the to ensure no settlement.

(f) Contractor will use only backfill material that is reasonably free from roots, debris, rocks larger than inches in diameter and; and deposit backfill material in inch layers against foundation walls in such manner to avoid wall damage and to ensure minimum settlement.

(g) Contractor shall rough grade the dwelling project area to inches below the finished grade elevation.

(h) Contractor shall use to bring the dwelling project area to finished grade elevation that ensures proper water drainage away from the dwelling.

(i) If any rocks larger than are discovered during excavation, Contractor shall place such sized rocks in the .

(j) Contractor shall notify of unusual digging or soil conditions.

(k) Interior areas shall be backfilled as instructed by Owner to reduce settling.

(l) Owner will be responsible for providing hand labor, bracing, guard rails, fencing and other items necessary for the protection of the workmen and public.

(m) Prior to backfilling and grading Owner shall be responsible for removing all construction debris from all excavated and fill areas including but not limited to foundation and concrete flat work forming materials; dewatering, removing old materials, fences and from the site.

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 judgment of the Contractor to complete the Project.

3. TIME OF COMPLETION: Contractor shall commence the work to be performed under this Contract on or before and shall substantially complete the work on or before .

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. INSURANCE: Contractor shall maintain general liability, workers compensation and builder's risk insurance.

6. 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 lines, 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 restrictions that affect the Work Site.

7. CHANGES TO SCOPE OF WORK: Owner may make changes to the scope of the work, including changes to the drawings 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.

8. CONTRACT PRICE:

{COST PLUS}

Owner agrees to pay Contractor the actual cost to Contractor of materials plus the sum 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 services 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.

During the progress of work under this Contract and for 30 days after the work is completed, the owner shall retain: (i) 10% of the Contract Price; or (ii) 10% of the value of the work, measured by the proportion that the work done bears to the work to be done, using the contract price or, if there is no contract price, using the reasonable vale of the completed work. The retained funds shall secure the payment of artisans and mechanics who perform labor or service and the payment of other persons who furnish material, material and labor, or specially fabricated material for any contractor, subcontractor, agent, or receiver in the performance of the Project.

At the time of final payment, Contractor shall provide Owner with a Final bills-Paid Affidavit.

Owner shall pay Contractor the above mentioned retainage within 40 days after the Project is completed and Owner has received from Contractor the Final Bills Paid Affidavit.

9. 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 interest at the rate of 1% per month.

10. 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 damage.

11. 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.

12. INTERPRETATION:

(a) Interpretation of Documents. The Contract, drawings, and specifications are intended to supplement one another. In the event of a conflict, the specifications shall control the drawings, and the Contract shall control both. If work is displayed on the drawings but not called for in the specifications, or if the work is called for in the specifications but not displayed on the drawings, 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 agreement 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 only 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 Texas.

13. 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.

14. PERFORMANCE:

(a) Contractor may, at its discretion, engage licensed subcontractors to perform work pursuant this Contract provided Contractor 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.

15. WARRANTY: Contractor's warranty shall be limited to defects in workmanship within the scope of work performed by Contractor and which arise and become known within from the date hereof. All said defects arising after and defects in material are not warranted by Contractor. Owner agrees to inspect the work with Contractor within day(s) following completion of each excavation, backfilling and grading and phase and make a written record of any defects. Contractor shall not be responsible for Owners’/Builders' negligence. Contractor agrees to correct immediately, weather permitting, any defects in the excavation, backfilling or grading work discovered to be due to fault of Contractor. Contractor hereby assigns to Owner all warranties on materials as provided by the manufacturer of such materials.

16. NO WORK COMMENCED: Contractor and Owner affirm that:

(a) no work of any kind (e.g., the destruction or removal of any existing improvements, site work, clearing, grubbing, draining, or fencing of the Property) has commenced or been performed on the Property;

(b) no labor or materials have been ordered or furnished to or on behalf of Owner for use in such construction; and

(c) no contracts or agreements (oral or written) for the furnishing of labor, materials, or services for use in the construction or improvements on the Property have been executed.

17. RECEIPT OF DISCLOSURE STATEMENT: Before execution of this Contract, Owner received from Contractor the disclosure statement required by Section 53.255(b) of the Texas Property Code.

AGREED

CONTRACTOR:

Signature

Print Name & Title

Date

Certificate of Registration Number

Name and Address of License Holder

OWNER:

Signature

Print Name

Date

If married, spouse signature is required.

OWNER’S SPOUSE

Signature

Print Name

Date

IMPORTANT NOTICE: You and your contractor are responsible for meeting the terms and conditions of this contract. If you sign this contract and you fail to meet the terms and conditions of this contract, you may lose your legal ownership rights in your home. KNOW YOUR RIGHTS AND DUTIES UNDER THE LAW.

This contract is subject to Chapter 27 of the Texas Property Code. The provisions of that chapter may affect your right to recover damages arising from a construction defect. If you have a complaint concerning a construction defect and that defect has not been corrected as may be required by law or by contract, you must provide the notice required by Chapter 27 of the Texas Property Code to the contractor by certified mail, return receipt requested, not later than the 60th day before the date you file suit to recover damages in a court of law or initiate arbitration.

The notice must refer to Chapter 27 of the Texas Property Code and must describe the construction defect. If requested by the contractor, you must provide the contractor an opportunity to inspect and cure the defect as provided by Section 27.004 of the Texas Property Code.

KNOW YOUR RIGHTS AND RESPONSIBILITIES UNDER THE LAW.

You are about to enter into a transaction to build a new home or remodel existing residential property. Texas law requires your contractor to provide you with this brief overview of some of your rights, responsibilities, and risks in this transaction.

CONVEYANCE TO CONTRACTOR NOT REQUIRED. Your contractor may not require you to convey your real property to your contractor as a condition to the agreement for the construction of improvements on your property.

KNOW YOUR CONTRACTOR. Before you enter into your agreement for the construction of improvements to your real property, make sure that you have investigated your contractor. Obtain and verify references from other people who have used the contractor for the type and size of construction project on your property.

GET IT IN WRITING. Make sure that you have a written agreement with your contractor that includes: (1) a description of the work the contractor is to perform; (2) the required or estimated time for completion of the work; (3) the cost of the work or how the cost will be determined; and (4) the procedure and method of payment, including provisions for statutory retainage and conditions for final payment.

READ BEFORE YOU SIGN. Do not sign any document before you have read and understood it. NEVER SIGN A DOCUMENT THAT INCLUDES AN UNTRUE STATEMENT.

GET A LIST OF SUBCONTRACTORS AND SUPPLIERS. Before construction commences, your contractor is required to provide you with a list of the subcontractors and suppliers the contractor intends to use on your project.

MONITOR THE WORK. Lenders and governmental authorities may inspect the work in progress from time to time for their own purposes.

MONITOR PAYMENTS. If you use a lender, your lender is required to provide you with a periodic statement showing the money disbursed by the lender from the proceeds of your loan.

CLAIMS BY SUBCONTRACTORS AND SUPPLIERS. Under Texas law, if a subcontractor or supplier who furnishes labor or materials for the construction of improvements on your property is not paid, you may become liable and your property may be subject to a lien for the unpaid amount, even if you have not contracted directly with the subcontractor or supplier.

SOME CLAIMS MAY NOT BE VALID. When you receive a written notice of a claim or when a mechanic's lien affidavit is filed on your property, you should know your legal rights and responsibilities regarding the claim.

OBTAIN A LIEN RELEASE AND A BILLS-PAID AFFIDAVIT. When you receive a notice of claim, do not release withheld funds without obtaining a signed and notarized release of lien and claim from the claimant.

OBTAIN TITLE INSURANCE PROTECTION. You may be able to obtain a title insurance policy to insure that the title to your property and the existing improvements on your property are free from liens claimed by subcontractors and suppliers.

LIST OF SUBCONTRACTORS AND SUPPLIERS

SUBCONTRACTORS:

Name Address Phone Number

SUPPLIERS:

Name Address Phone Number

NOTICE: THIS LIST OF SUBCONTRACTORS AND SUPPLIERS MAY NOT BE A FINAL LISTING. UNLESS YOU SIGN A WAIVER OF YOUR RIGHT TO RECEIVE UPDATED INFORMATION, THE CONTRACTOR IS REQUIRED BY LAW TO SUPPLY UPDATED INFORMATION, AS THE INFORMATION BECOMES AVAILABLE, FOR EACH SUBCONTRACTOR OR SUPPLIER USED IN THE WORK PERFORMED ON YOUR RESIDENCE.

WAIVER OF THE LIST OF SUBCONTRACTORS AND SUPPLIERS

AN OWNER IS NOT REQUIRED TO WAIVE THE RIGHT GRANTED BY SECTION 53.256, PROPERTY CODE, TO RECEIVE FROM THE CONTRACTOR AN ORIGINAL OR UPDATED LIST OF SUBCONTRACTORS AND SUPPLIERS.

BY SIGNING THIS DOCUMENT, I AGREE TO WAIVE MY RIGHT TO RECEIVE FROM THE CONTRACTOR AN ORIGINAL OR UPDATED LIST OF SUBCONTRACTORS AND SUPPLIERS.

I UNDERSTAND AND ACKNOWLEDGE THAT, AFTER SIGNING THIS DOCUMENT, THIS WAIVER MAY NOT BE CANCELED AT A LATER DATE.

I HAVE VOLUNTARILY CONSENTED TO THIS WAIVER.

AGREED

CONTRACTOR:

Signature

Print Name & Title

Date

OWNER:

Signature

Print Name

Date

PAYMENT REQUEST AND DISBURSEMENT STATEMENT

PAYMENT REQUEST

Original Contract Price:
Price of any Change Orders:
Total Price with Change Orders:
Percent of Project Completed by Contractor:
Amount due by Owner:
10% Permitted Retainage by Owner:
Amount due by Owner less Retainage:
Past Due Amount:
Total Amount Due:

DISBURSEMENT STATEMENT

LIST OF ALL SUBCONTRACTORS AND SUPPLIERS

SUBCONTRACTORS AND SUPPLIERS TO BE PAID FROM THIS PAYMENT ARE INDICATED BELOW

SUBCONTRACTORS:

Name Address Amount Owed

SUPPLIERS:

Name Address Amount Owed
Enter text✕

What an Excavator Contract for Contractor in Texas Covers

An Excavator Contract for Contractor in Texas is a written agreement that sets the scope, timelines, payment terms, safety obligations, insurance and indemnity, and permitting responsibilities for excavation work on a Texas project. It defines the contractor and subcontractor roles, site access, utility-dig procedures, and liability limits needed for earthmoving, trenching, and grading. The contract often integrates statutory mechanics lien notices and project-specific exhibits such as plans, soils reports, and a payment schedule. When executed correctly it becomes the primary record governing performance, change orders, and dispute resolution for excavation services.

Why a Clear Excavator Contract Matters

A clear excavator contract reduces scope disputes, clarifies risk allocation for underground utilities, and documents insurance and bonding requirements. It protects payment rights under Texas mechanics lien law and helps manage safety and regulatory compliance on-site.

Why a Clear Excavator Contract Matters

Who Typically Uses This Contract

Excavation contractors, general contractors, project owners, and civil engineers commonly use this agreement to coordinate site work and define responsibilities.

  • Excavation Contractors — Field crews and project managers use the contract to confirm scope, working hours, equipment needs, and indemnity obligations.
  • General Contractors — Use contract terms to integrate excavation milestones into the broader construction schedule and manage payment flow.
  • Owners / Developers — Rely on the contract to ensure permitting, inspections, and insurance are secured before excavation begins.

The contract aligns operational tasks, safety rules, and payment triggers so project stakeholders can reduce delays and preserve lien and indemnity rights.

Core Elements to Include in a Professional Excavator Contract

A complete excavator contract contains provisions that control scope, cost, timing, safety, and legal remedies. Draft each section to reduce ambiguity and ensure enforceability under Texas law.

Scope of Work

Detailed description of excavation tasks, excavation limits, depths, shoring requirements, and exclusions such as contaminated soils or concealed utilities; attach drawings and bid documents.

Schedule and Milestones

Start/completion dates, interim milestones, weather allowances, and procedures for time extension requests and liquidated damages if applicable.

Payment Terms

Unit rates or lump-sum pricing, progress payment schedule, retainage percentage, invoicing requirements, and conditions for final payment and acceptance.

Insurance and Bonding

Required commercial general liability, auto, workers' compensation, umbrella limits, and performance or payment bond requirements with certificate naming the owner as additional insured.

Indemnity and Liability

Mutual indemnities, limitation of liability, and allocation for damages from utility strikes or subsurface conditions; include notice and cure provisions.

Change Orders

Written change order procedure with scope change pricing, authorization chain, and schedule impact assessment; work performed without approved change order may be unpaid.

Step-by-Step: Completing the Excavator Contract

Follow these steps in order to prepare, review, sign, and distribute the contract for a Texas excavation project.

  • 01
    Prepare Documents: Gather drawings, permits, and insurance certificates to attach as exhibits.
  • 02
    Define Scope: Write precise excavation boundaries, depths, and excluded items.
  • 03
    Review Terms: Owners and contractors check payment, indemnity, and change order language.
  • 04
    Execute Signatures: All parties sign and date; retain executed copies for records and liens.

How to Configure an Online Contract Workflow

Set up fields and signer routing in your eSignature platform to match authorization and project roles before sending the contract for signature.

Field Configuration
Signature Fields Place signature, printed name, title, and date fields for each party.
Sequential Routing Set signer order so owner signs after contractor or vice versa.
Conditional Fields Use conditional fields for insurance or bond numbers when applicable.
Attachment Requirements Require upload of COI, permits, and bonds before final signature.

Digital Signing and eSubmission Practicalities

Choose a platform that supports legal e-signatures, secure storage, and appropriate authentication for your project.

  • Document Formats: PDF and Word DOCX accepted
  • Authentication: Email, SMS code, or advanced methods
  • Integrations: Supports CRM and project platforms

Verify platform compliance with ESIGN/UETA and, if handling health or sensitive data, ensure a HIPAA BAA is available and executed.

Where to Send, File, and Store the Executed Contract

Identify primary recipients and filing destinations so the contract is enforceable and accessible to all stakeholders.

  • Owner File: Owner retains original executed contract for project records.
  • Contractor Record: Contractor stores signed copy with insurance and change orders.
  • County Records: Use county clerk records for lien filings when necessary.
  • Digital Archive: Store secure electronic copies with audit trail and access controls.

Key Deadlines and Timing Expectations

Track statutory and contractual deadlines for notices, payments, lien preservation, and record retention to preserve rights and avoid penalties.

Notice to Owner:

Send preliminary notice per contract or jurisdictional requirements before filing a lien.

Progress Payments:

Invoice per scheduled milestones; owner typically pays within agreed term.

Final Payment:

Submit final invoice with release of claims or lien waivers as required.

Lien Filing Window:

File within the statutory deadline for the jurisdiction to preserve lien rights.

Record Retention:

Keep executed contracts and attachments for the applicable retention period.

Project Milestones from Contract to Closeout

Sequential milestones help stakeholders monitor progress, approvals, and final acceptance during excavation work.

01

Contract Execution

Agreement signed and dated; obligations commence on effective date.

02

Pre-Start Conditions

Permits, utilities located, and insurance confirmed before mobilization.

03

Milestone Inspections

Periodic inspections and photo documentation at defined stages.

04

Final Acceptance

Owner inspects, issues punchlist, and processes final payment.

Common Preparation Mistakes to Avoid

  • Vague scope descriptions that omit depth, limits, or excluded subsurface conditions lead to disputes and unpaid change orders.
  • Failing to attach required permits, insurance certificates, or bond documents delays mobilization and can void insurance coverage.
  • Using inconsistent party names or titles across documents can complicate lien filings and contract enforcement.
  • Permitting to begin without confirmed utility locates increases risk of strikes and costly indemnity claims.

Penalties and Risks of an Incorrect Contract

Lost Lien Rights: Late or incorrect notices can forfeit the right to file a mechanics lien.
Payment Delays: Unclear invoicing requirements or missing change orders may delay or reduce payments.
Increased Liability: Absent indemnity or insurance limits may expose parties to unlimited claims.
Regulatory Fines: Noncompliance with local excavation or environmental rules can incur fines.
Contract Termination: Material breaches can lead to termination and costly disputes.
Dispute Costs: Ill-defined dispute resolution increases litigation or arbitration expenses.

Real-World Examples of Excavation Contract Use

These examples illustrate how clauses and practical steps resolve common project scenarios.

Site Preparation for Subdivision

A developer contracted a civil excavator for grading and utilities

  • Unexpected rock required an approved change order
  • The written change order defined extra unit rates, was signed electronically, and preserved payment rights for the contractor.

Utility Strike Dispute

A contractor struck an unmarked line despite a locate request

  • Parties referred to the contract indemnity and notice clauses
  • The contract's notice, insurance, and dispute-resolution steps reduced litigation and allocated repair costs per the agreement.

Practical Tips to Ensure an Accurate and Enforceable Contract

Adopt consistent practices to reduce disputes, maintain compliance, and speed approvals on excavation projects.

Document Attachments Thoroughly
Attach drawings, soil reports, permits, and COIs to the contract. Explicit exhibits eliminate ambiguity about site conditions and scope, reducing change-order disputes.
Require Pre-Mobilization Checks
Make permits, utility locates, and insurance certificates conditions precedent to mobilization so the project cannot start until key protections are in place.
Use Clear Change Order Processes
Specify that no extra work is compensable unless authorized in a signed change order. Define how to price and approve emergency excavations to avoid unpaid claims.
Preserve Payment Remedies
Include lien preservation steps, prompt invoice requirements, and retainage release criteria so parties can enforce payment rights if needed.

eSignature Vendor Comparison for Executing Excavation Contracts

Key pricing and feature criteria for commonly used eSignature vendors. signNow appears first per comparative guidance; verify competitor details with each vendor before purchase.

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Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial, no credit card Verify with vendor Verify with vendor Verify with vendor Verify with vendor
Bulk Send Available (Business Premium) Verify with vendor Verify with vendor Verify with vendor Verify with vendor
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No envelope cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently Asked Questions About the Excavator Contract

Answers to common questions about forming, signing, and enforcing an excavator contract in Texas and similar U.S. jurisdictions.


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