Agreement for Constructing a Building (India)
This is a standard construction agreement template between a property owner and a contractor for the building of a residential or commercial structure. It outlines the responsibilities of the contractor regarding labor, materials, and adherence to architectural plans, while specifying the payment schedule and penalties for delays.
AGREEMENT FOR CONSTRUCTING BUILDING
This construction agreement is made on ……day of …….
Between
MR……………………………………………………………..……..,
Address……………………………………….......................... (as owner) of the First Part
And
MR……………………………………………………………………….,
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About this template
What is this template?
This document is a construction services agreement specifically tailored for the Indian legal context. It is not a property sale deed or a joint development agreement, as it focuses solely on the provision of construction services for a fee.
When should you use it?
Use this document when hiring a contractor to build on land you already own. If you are buying a flat from a developer, use an Agreement for Sale under RERA instead.
What's inside
| Clause | Name | What it does |
|---|---|---|
| 1 | Scope of Work | Obliges the Builder to construct the building according to the sanctioned plans and specifications provided by the Owner. |
| 2 | Consideration and Payment | Sets out the total contract price and a milestone-based payment schedule linked to specific construction stages. |
| 3 | Time of Completion | Requires the Builder to complete the entire construction within a specified period of [number] months from the date of commencement. |
| 7 | Defects Liability Period | Holds the Builder responsible for making good any structural defects appearing within 12 months after the date of completion. |
| 10 | Termination | Permits the Owner to terminate the agreement if the Builder abandons work for a continuous period of 15 days. |
Who it's for
- an individual property owner in India hiring a contractor to build a house
- a commercial entity engaging a builder for a small-scale building project in India
How long it runs and how it's signed
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