Conditions of Quote Acceptance
1. Our main obligations
The contractor will carry out the works in accordance with
(a) the plans and the specifications agreed: and
(b) the law.
2. Owners obligations
Please note the owner is obligated to go ahead with the contract once its signed. In any circumstances the owner decides to cancel before start of the project a penalty of $500 will be applicable.
You must pay the contractor the contract price by way of the progress payments on page 1 If you do not make a
payment within 5 days of demand, you are in serious breach of this contract.
4. Access and use of facilities
(a) give the contractor uninterrupted access to the site to carry out the works; and
(b) provide the contractor with adequate access to available water, electricity, toilet and washing facilities.
Before the contractor is obliged to start the works you must give the contractor written evidence:
(a) that you own or are otherwise entitled to have the works carried out on the site;
(b) of any easements, covenants and encumbrances affecting the works on the site;
of your ability to pay the contract price- and
(d) of all necessary building and planning approvals having been received.
The contract period commences on the date the contractor commences the works.
6. Our warranty
The contractor will carry out the works in a good and workmanlike manner. In addition to your rights under law, the contractor warrants that the works and the materials supplied are free of defects at the time the works are completed.
Subject to law, the contractor does not have to fix or remedy:
a> any problem caused by misuse, abuse, wear and tear, normal shrinkage or movement;
(b) equipment made by others; or
(c) any defect in, or problem caused by work, materials or equipment supplied by you.
7. Our right to fix
If at any time you claim the works are defective, you must tell the contractor by written notice, as soon as possible. If the contractor accepts responsibility, the contractor has the right to fix a defect, but must do so within 28 days after you give notice.
8. Surplus materials
Unless otherwise stated:
(a) only suitable new materials will be used in the works; and
(b) demolished materials and surplus materials are the contractor’s property.
The contractor is not responsible for any delay caused by something beyond the contractors sole control including any failure by you to:
(a) make a selection; or
(b) give reasonable access to the site.
The contract period will be extended by the duration of the delay.
10. Variations at your request
If a variation is requested, the contractor will give you a written quote detailing the price and estimated time to do it. If you agree to the quote, the contractor will then carry out the variation.
11. Unforeseen circumstances
The contractor is not responsible for any problem with the site that is only revealed when carrying out the works. The contractor will request a variation for any extra work
required to fix the problem. If you do not agree to the contractor’s request, then the contractor may end this contract.
12. Work by you
You must have the site ready when required by the contractor.
13. Prime cost and provisional sums items
You must select all prime cost items or item required for a provisional sum item when required by the contractor. Each prime cost item and provisional sum item must have an allowance stated next to it.
For a prime cost item or a provisional sum item, the allowance does not include the contractor’s margin.
In relation to each prime cost item or provisional sum item, you must pay the actual costs and, if the actual cost is more than the allowance, the contractor’s margin is applied to the difference and both are added to the contract price. Adjustments to the contract price must be made at the next progress payment.
14. Practical completion
The contractor must:
(a) reach practical completion by the end of the contract period, as extended; and
(b) give you a written notice of practical completion. The notice of practical comp/et/on is to state the date of practical completion and set out the contractor’s final progress claim.
On practical completion, you must:
(a) inspect the works with the contractor, and
(b) give the contractor a written, signed list of any defective or unfinished work.
If you do not inspect the works with the contractor within 2 days of receiving the notice of practical completion, you must immediately pay the amount of the final progress claim.
The contractor may subcontract any part or the whole of the works. You must not give instructions to or make inquiry of the contractor’s subcontractors or workers.
All materials are at your risk once delivered to this site.
The contractor will have public liability insurance of at least $5m. You will ensure that you are similarly insured.
18. Whole agreement
Subject to law, these conditions and the plans and the specifications comprise this contract which contains the whole agreement between you and the contractor.
19. Prevailing documents
These conditions, the plans and the specifications have precedence in that order if there is any inconsistency between them.
20. Default interest
If you fail to make any payment under this contract on time, the contractor will charge you interest at the interest rate payable on Supreme Court judgments from time to time on what is unpaid after then.
21. Debt collecting costs
You must pay any debt collecting costs (and commission) the contractor pays to recover, or in attempting to recover. an overdue payment from you as a debt due and owing.
22. Retention of title
Property in the works does not pass to you until it has been paid for in full.
The contractor owns all copyright (which term also includes moral rights) in the works, the plans, the specifications and the workshop drawings created by the contractor.
If you give the contractor any sketch, plan or other document which infringes someone else’s copyright, you indemnify the contractor against all claims and costs.
24. Your joint and several liability
If there is more than one of you then:
(a) all your obligations are joint and several;
(b)the contractor only has to give notices to one of you: and
(c) only one of you need accept a quote or sign a notice, and then all are bound.
If you are in breach of this contract, the contractor may suspend the carrying out of the works. The exercise 0/the right to suspend does not affect the right to terminate for the same breach.
The contractor must recommence the carrying out of the works within a reasonable time after you have given written notice to the contractor that you have remedied that breach.
If either party is in serious breach of this contract, the party not in breach may give the other party a written request to remedy that breach.
If the breach is not remedied within 2 days, the party not in breach may end this contract by giving written notice to that effect.
Should you become insolvent, then the contractor may end this contract by giving written notice to that effect.
28. Effect of ending this contract
If this contract is ended for any reason you must pay to the contractor the price of the work carried out to the day this contract is ended.
Where a price is not agreed for an additional charge or omission from the work, the amount of Goods and Services Tax attributable to the value for that supply is to be added in the price calculated under the terms of this contract.
In this contract (and where appearing in italics):
“contract period” means the period of time to carry out and complete the works stated on the front page as extended under Clause 8;
“contract price” means the contract price stated on the front page;
“contractor” means the contractor named on the front page:
“contractor margin” means the percentage stated on the front page;
“practical completion” means when the works are finished except for minor defects or minor omissions:
“site” means the address where the work is to be done as detailed on the front page;
“you’ and “your” means the owner named on the front page; and
‘Works “means the works