Do you have a construction project that you are soon planning to undertake? Well, if yes, it is important to note that you must draft a construction contract if you want a flawless process and timely completion. If you are an immigrant planning to invest in the country, it would also help to contact Criminal immigration lawyers for advice so that you a get a more in-depth insight on criminal offenses that could send your dream project down the drainage through deportation or inadmissibility.  Projects can also be unnecessarily expensive if no document stipulates how the work should be handled and in what period. 

A well-drafted contract will help you define everything in specific terms while listing each party’s obligations to avoid any future misunderstandings that can lead to either civil or criminal litigation. A valid contract will also provide you with water-tight evidence in any case the other party acts in contravention of the same.

What are some of the factors that you should consider when preparing a construction contract? Well, they include but aren’t limited to the following:

  • Attorney’s fees

The first thing that you should consider when drafting a construction contract is the other party’s attorney fees, which can be expensive, especially if you are prone to breaching contracts. At times, your agreement may need a court of law enforcement, which is very expensive in the long run. We recommend avoiding such a clause because it can stall the whole project if a dispute arises at the early stages. 

  • Payment method, terms, and penalties

Highlighting the payment methods, terms, and penalties is important as you can tailor the same to your then financial situation. For instance, if availing a lump sum payment isn’t possible because of inconvenience or hefty transactional charges, you should include the option for installments prior to avoid payment disputes that can stall work progress. You can also highlight reasonable penalties in any case you anticipate irregular payment patterns. 

  • Time frame

Before setting a provisional completion date, it is imperative that you call all parties to discuss the work scope and delivery timeframes for each party. The time frame clause should also include delivery of construction goods and a buffer time in case of unforeseen calamities such as a pandemic, lousy weather, or volatile political atmospheres in case the project runs for an extensive period of up to more than one year. 

  • Resolution of anticipated disputes

Lastly, your contract must also consider providing a clause for resolution of anticipated disputes in any case they arise when the contract is still enforceable. It would help if you choose an arbitration clause, meaning that you’ll prefer to settle the matter out of court for an expedited process. Remember, disputes arise even between the most cordial and professional relationships, and yours isn’t an exception. Moreover, settling a matter out of court is less costly, and all aggravated parties will likely endorse the outcome. However, it is also imperative to note that once you’ve included an arbitration clause as the sole dispute resolution method, you may not go to court because that equates to a waiver on your right to move to court.