PreConstruction Document

PRECONSTRUCTION DOCUMENT

Document Analysis (for preparer)

This PreConstruction Document serves as a binding pre-construction agreement and information package that records the parties, project identification, scope of work summary, payment structure, schedule parameters, key obligations, and risk allocation prior to commencement of construction activities. It contains formal recitals, an explicit scope of work, payment and invoicing requirements, term and termination mechanics, confidentiality protections, governing law, and integration language. Two parties sign: the contracting Contractor and the Owner/Client.

Parties and Project Identification

Client Name:

Contractor Name:

Project Name:   Project Address:

WHEREAS (Recitals)

WHEREAS, Client desires to procure preconstruction services and certain preliminary design, coordination, and estimating services in relation to the Project described above; and

WHEREAS, Contractor represents that it possesses the necessary licenses, experience, personnel, and expertise to perform preconstruction services and to prepare documentation and estimates necessary to permit commencement of construction; and

NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties agree as follows.

Scope of Work

Scope includes, without limitation: review of existing documents, constructability review, value engineering options, cost estimating, scheduling input, identification of long-lead items, permit and utility coordination, recommended procurement approach, and preparation of preconstruction deliverables suitable for permitting and bid procurement.

Payment Terms

Invoices will be issued in accordance with the Payment Schedule. Client shall pay undisputed invoices within the number of days specified below; disputed items shall be raised in writing with supporting documentation within fourteen (14) days of invoice receipt, but payment of undisputed amounts remains due.

Late payments shall bear interest at the rate of % per month (or the maximum allowed by law, if lower), commencing after a grace period of days from due date.

Term and Termination

This Agreement commences on and continues until unless earlier terminated in accordance with this Section.

Upon termination for cause, Contractor shall be paid for work performed, documented costs, and reasonable demobilization charges, less any setoffs for Client damages directly resulting from Contractor breach. Termination for convenience by Client shall require payment for all services performed through the effective termination date plus reasonable wind-down costs.

Confidentiality

Each party shall keep confidential and shall not disclose to any third party any proprietary or confidential information of the other party disclosed in connection with the preconstruction services, except as required by law or as necessary to perform the obligations under this Agreement. Confidential information does not include information that is or becomes publicly available other than by breach of this Agreement, or that is independently developed without use of the other's confidential materials.

Change Orders & Additional Services

All alterations to the Scope of Work shall be documented by a written change order signed by both parties that specifies the change, associated cost, and schedule impact. Contractor shall not be obligated to perform work beyond the agreed Scope without a signed change order.

Insurance, Permits and Compliance

Contractor shall maintain insurance customary for preconstruction services, including general liability and professional liability where applicable, and shall furnish certificates upon request. Contractor shall comply with applicable laws, codes, ordinances, and permit conditions in performing the services; Client shall be responsible for permit fees and approvals unless expressly allocated to Contractor in writing.

Indemnification

Each party shall indemnify and hold harmless the other from claims, liabilities, and costs arising from its own negligent acts, omissions, or willful misconduct in connection with this Agreement. Indemnification obligations shall be subject to the indemnitor's available insurance coverage to the extent applicable.

Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to principles of conflicts of law.

Entire Agreement

This instrument and any attached exhibits constitute the entire agreement between the parties with respect to the subject matter hereof and supersede all prior negotiations, proposals, representations, and agreements, whether written or oral. Any amendment must be in writing and signed by authorized representatives of both parties.

Miscellaneous Provisions

If any provision of this Agreement is held invalid or unenforceable, the remaining provisions shall remain in full force and effect. Neither party may assign its rights or obligations under this Agreement without the prior written consent of the other party, except to an affiliate or successor entity in connection with a sale of substantially all assets or a merger.

Acknowledgment

The undersigned represent and warrant that they are duly authorized to execute this PreConstruction Document on behalf of the party for whom they sign, and that execution of this Document constitutes a binding obligation of that party.

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