1. Owner’s Responsibilities. The owner is responsible to supply water, gas, sewer and electrical utilities unless otherwise agreed to in writing. Electricity and water to the site Is necessary. Owner agrees to allow and provide Contractor and his equipment access to the property. The Owner is responsible for having sufficient funds to comply with this agreement. This is a cash transaction unless otherwise specified. The Owner is responsible to remove or protect any personal property and Contractor is not responsible for same or for any carpets drapes, furniture, driveways, lawns, shrubs, etc. The Owner shall point out and warrant the property lines to Contractor, and shall hold contractor harmless and defend and indemnify Contractor for any disputes, claims and/or lawsuits initiated as a result of or in any way relating to errors in the property line or setback locations. Anything required by city inspectors that is not included in the contract will be the homeowner’s financial responsibility.
2. Delays. Contractor agrees to start and deligently pursue work through to completion, but shall not be responsible for delays for any of the following reasons: failure of the issuance of all necessary buildings permits within a reasonable length of time, funding of loans, disbursement of funds into control or escrow, acts of neglect or omission of Owner or Owner’s employees or Owner’s agent, acts of God, stormy or inclement weather, strikes, lockouts boycotts or other labor union activities, extra work ordered by Owner, acts of public enemy, riots or civil commotion, inability to secure material through regular recognized channels, Imposition of Government priority or allocation of materials, failure of Owner to make payments when due, or delays caused by inspection or changes ordered by the lnspectors of authorized Governmental bodies, or for acts of independent contactors, or other causes beyond contractor’s reasonable control.
3. Plans And Specifications. If plans and specifications are prepared for this Job, they shall be attached to and become a part of the Agreement. Contractor will obtain all required building permits but Owner will pay for permits, assesments and charges required by public bodies and utilities for financing or repaying the cost of sewers, storm drains, water service, other utilities, water hookeup charges and the like.
4. Subcontracts. The Contractor may subcontract portions of this work to properly licensed and qualified subcontractors.
5. Completion and Occupancy. Owner agrees to sign and record a notice of completion within five days after the project Is complete and ready for occupancy. If the project passes final inspection by the public body but Owner fails to record Notice of Completion, then owner hereby appoints. Contractor as Owner’s agent to sign and record a Notice of Completion on behalf of Owner. This agency is irrevocable and is an agency coupled with an interest. ln the event the Owner occupies the project or any part thereof before the Contractor has received all payment due under this contract, such occupancy shall constitute full and unqualified acceptance of all the Contractor’s work by the Owner and the Owner agrees that such occupancy shall be a waiver of any and all claims against the Contractor.
6. Insurance and Deposits. Owner will procure a t his own expense and before the commencement of any work hereunder, fire insurance with course of construction, vandalism and malicious mischief clauses attached, such insurance to be a sum at least equal to the contract price with loss, if any, payable to any beneficiary under any deed of trust covering the project, such insurance to name the contractor and his subcontractors as additional insured and to protect Owner, contractor and his subcontractors and construction lender as their interest may appear, should Owner failed to do so. Contractor may procure such insurance as agents for and at the expense of Owner, but is not required to do so. If the project is destroyed or damaged by diaster, accident or calamity, such as fire, storm, earthquake, flood, landslide, or by theft or vandalism, any work done by the contractor rebuilding or restoring the project shall be paid by the Owner as extra work. Contractor shall carry Workers Compensation Insurance for the protection of contractors employees during the progress of the work. Owner shall obtain and pay for Insurance against injury to his own employees and persons under Owner’s discretion and persons on the job site at Owner’s invitation.
7. Right to Stop Work. Contractor shall have the right to stop work if any payment shall not be made, when due, to Contractor under this agreement: Contractor may keep the job idie until all payments due are received. Such failure to make payment, when due, Is a material breach of this Agreement.
8. Clean Up. Contractor will remove from Owner’s property debris and surplus material created by his operation and leave it in a neat and broom clean condition.
9. Limitations. No action of any character arising from or related to this contract or the performance thereof, shall be commenced by either party against the other more than two years after completion or cessation of work under this contract.
10.Validity and Damages. ln case one or more of the provisions of this Agreement or any application thereof shall be Invalid, unenforceable or Illegal, the validity, enforceability and legality of the remaining provisions and any other applications shall not in any way be impaired thereby. Any damages for which Contractor may be liable to Owner shall noti in any event. exceed the cash price of this contract Owner hereby unequivocally and forever waives any and all claims and/or demands for incidental and/or consequential damages against Contractor. ln no event shall Contractor ever be liable to Owner for any Incidental and/or consequential damages.
11. Asbestos, Lead, Mold, and other Hazardous Materials. Owner hereby represents that Owner has no knowledge of the existence on or in any portion of the premises affected by the Project of any asbestos, lead paint, mold including any types of microbial matter or microbiological contamination, mildew or Fungus), or other hazardous materials. Testing for the existence of mold and other hazardous materials shall only be performed as expressly stated in writing. Contractor shall not be testing or performing any work whatsoever in an area that is not in the Scope of Work. Unless the contract specifically calls for the removal, disturbance, or transportation of asbestos, polychlorinated biphenyf (PCB); mold, lead paint, or other hazardous substances or materials, the parties acknowledge that such work requires special procedures, precautions, and/or licenses. Therefore, unless the contract specifically calls for same, if contractor encounters such substances, Contractor shall immedlately stop work and allow the Owner to obtain a duly qualified asbestos and/or hazardous material contractor to perform the work of Contractor may perform the work itself at Contractor’s option. Said work will be treated as an extra under this contract, and the Contract Term setting forth the time for completion of the project may be delayed. ln the event that mold or microbial contamination is removed by the Contractor, Owner understands and agrees that due to the unpredictable characteristics of mold and microbial contamination, contractor shall not be responsible for any recurring incidents of mold or microbial contamination appearing in the same or any adjacent location subsequent to the completion of the work performed by contractor. Owner agrees to the hold Contractor harmless,and shall indemnify Contractor harmless for any recurrence of mold or microbial contamination. Owner also agrees that Contractor shall not be responsible, and agrees to hold Contractor harmless and idemnify Contractor for the existence of mold or microbial contamination in any area that Contractor was not contracted to test and/or remediate. Further, Owner is hereby informed, and hereby acknowledges,that most insurers expressly discalims covearge for any actual alleged damages arising from mold or microbial contamination. Contractor makes no representations whatsoever as to coverage for mold contamination, though at Owner’s additional expense, if requested in writing, contractor will inquire as to the availability of additional coverage for such contamination or remedlation, and if available, will obtain such coverage if the additional premium is paid for by owner as an extra.
12. Standards of Materials And Workmanship. Contractor shall use and install “standard grade” or “builder’s grade” materials on the project unless otherwise stated ln the Scope of Work, the plans, and/or specifications provided to Contractor prior to the execution of this Agreement. Unless expressly stated in the Scope of Work, Contractor shall have no liability or responsibility to restore or repair the whole or any part of the premises affected by the work of Contractor to be performed herein or by any subsequently agreed upon change order, including as an illustration and not as a limitation, any landscaping, sprinkler system, flooring and carpet, wall coverings, Paint tile, or decorator items.
13. Interest. Overdue payments will bear rnterest at the rate of 1 1/2% per month (18% per annum).
14. Change in the Work. Should the Owner, construction lender, or any public body or inspector direct any modification or addition to the work covered by this contract, the contract price shall be adjusted accordingly.
Modification or addition to the work shall be executed only when a Contract Change Order or Continuation/Addendum has been signed by both the Owner and the Contractor, or where the Contractor/Subcontractor has commenced work relative to the modification or addition and Owner has failed to object to said modification or addition to the work, in writing, certified mail return receipt required, within 72 hours of Contractor’s and/or Subcontractor’s commencement of such modification and/or addition to the work. Any written objections by Owner shall be mailed to Contractor at Contractor’s address as specified in this Agreement.” The change in the Contract Price caused by such Contract Change shall be as agreed to in writing, or if the parties are not in agreement as to the change in Contract Price, the Contractor’s actual cost of all labor, equipment subcontracts and materials, plus a Contractor’s fee shall be the change in Contract Price. The Contract Change Order may also increase the time within which the contract is to be completed.
15. Note about Extra Work and Change Orders. Extra Work and Change Orders or Continuation/Addendums become part of the contract once the order is prepared in writing and signed by the parties prior to the commencement of any work covered by the new change order, or where the Contractor/Subcontractor has commenced said Extra Work and Owner has failed to object to said Extra Work, ln writing, certified mail return receipt required, within 72 hours of Contractor’s and/or Subcontractor’s commencement of such Extra Work. The order must describe the scope of the extra work or change, the cost to be added or subtracted from the contract, and the effect the order will have on the schedule of progress payments. You, the buyer, may not require a contractor to perform extra or change-order work without providing written authorization prior to the commencement of any work covered by the new change order. Extra work or a change order is not enforceable against a buyer unless the change order also identifies all of the following in writing prior to the commencement of any work covered by the new change order, or where the Contractor/Subcontractor has commenced said Extra Work and Owner has failed to object to said Extra Work, in writing, certified mail written reciept required, within 72 hours of Contractor’s/Subcontractor’S commencement of such Extra Work: (i) The scope of work encompassed by the order; (ii) The amount to be added or subtracted from the contract; and (iii) The effect the order will make in the progress payments or the completion date. The contractor’s failure to comply with the requirements of this paragraph does not preclude the recovery of compensation for work performed based upon legal or equitable remedies designed to prevent unjust enrichment.
16. Existing Defects. Contractor is not responsible for existing structural defects, defective soil conditions, or existing code violations. Despite the exercise of reasonable care during construction, conditions may be discovered, the repair of which are outside the scope of this Agreement. The cost to repair such defective conditions will be added as an extra charge to this Agreement by way of a change order or continuation/addendum.
Three-Day Right to Cancel
You, the buyer, have the right to cancel this contract within three business days. You may cancel by e-malling, mailing, faxing, or delivering a written notice to the contractor at the contractor’s place of business by midnight of the third business day after you received a signed and dated copy)’ of the contract that includes this notice. Include your name, your address, and the date you received the signed copy of the and this notice.
If you cancel, the contractor must return to you anything you paid within 10 days of recieving the notice of cancellation. For your part, you must make available to the contractor at your residance, in substantially as good condition as you received it, any goods delivered to you under this contract or sale. Or, you may, if you wish, comply with the contractor’s instructions on how to return the goods at the contractor’s expense and risk. If you do make the goods available to the contractor and the contractor does not pick them up within 20 days of the date of your notice of cancellation, you may keep them without any further obligation. If you fail to make the goods available to the contractor, or if you agree to return the goods to the contractor and fail to do so, then you remain liable for performance of all obligations under the contract.
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