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CONSTRUCTION MANAGEMENT

10 Essential Contract
Documents for Every
Construction Project
Scoping, Schedules, and Construction
Costs Are Key

BY JUAN RODRIGUEZ Updated December 24, 2017

Constructing a solid contract represents one of the


first steps toward the success of your project no
matter what you're building. This list explains the
documents that are typically a part of every
construction contract. There are also numerous
other exhibits or forms that you can use in
combination with these documents.

01 Contract Agreements and Contracts

•••

This agreement is used by the contracting officer or


owner and the contractor. It's an essential
component of the contract documents. It's the main
document to which most other documents attach or
reference.

Continue to 2 of 10 below.

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02 Statement of Work (SOW)

•••

Having a solid scope of the work involved is helpful


during the bidding process and later on during the
construction sequence. A well-defined scope can be
used to determine the amount of work needed to
complete the project.

Continue to 3 of 10 below.

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03 General Conditions

•••

This contract document defines obligations


regarding the execution of the project as well as
each party's rights. Overhead costs, what to claim,
and your entitlements must be included in this
portion of the contract.

04 Special Conditions

•••

This is usually an extension of the contract and an


addendum to the general conditions. It should
specify certain conditions and clauses that pertain
to each particular project or job. Pay special
attention to specific instructions and requirements
on how to perform the work.

Continue to 5 of 10 below.

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05 Bill of Quantities

This document is formed by the list of diverse trades


and materials that will form part of the construction.
Sometimes this document is not required by the
contracting officer.

06 Drawings

•••

All contracts should include a set of drawings that


form part of the job to be performed. These drawings
are usually the latest and most recent available and
must be received by the contractor prior to the date
of commencement. They must include all drawings
from consultants, and they'll constitute the entire
project that's being contracted.

Continue to 7 of 10 below.

07 CSI MasterFormat Outline

This is the technical requirement to complete,


execute, and/or perform every little task or supply
every material being incorporated into the
construction project. It will add intelligence to the
construction drawings, specify common standards,
explain deviations that have been accepted, detail
materials that have been accepted, and cite the
required testing for all materials. Specifications are
usually made by referencing construction standards
and codes.

08 Creating Construction Schedule

•••

The construction schedule is an important


component of the document. The contracting office
will know how and when the project will be
completed by reviewing this part. Construction
contracts sometimes require updated schedules
throughout the construction progress, and they
might form part of the monthly or agreed term
for application for payments.

Continue to 9 of 10 below.

09 Costs in the Construction Industry

•••

This is a breakdown of all items being incorporated in


the construction project. It's usually the base of the
application for payment. It can be detailed per item
or in a lump sum form that doesn't specify individual
items.

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This is an essential part of the contract because it


provides a guarantee to the owner that the
contractor has the means and the economic backup
to perform under the terms of the construction
contract. It will include specific types of coverages,
required bonding, and all insurance protections
available to the owner, the contractor and third
parties.

Do You Need More?


You can also include details on when to issue stop-
work orders, information about liens, staffing
requirements, safety instructions, and excusable
events and how they can be identified. Every
contractor or builder should explore the possibility of
additional documents depending on their industry
and trade specification. The goal of these documents
is to establish a way to solve claims and issues and
to provide the legal body that will be used to present
claims and solve the potential conflict in the case of
any legal action.

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