The Civil Work Contract Agreement is a fundamental document used in Saudi Arabia's construction industry to establish legally binding relationships between project owners and contractors. This agreement is essential for any construction or infrastructure project in Saudi Arabia, ensuring compliance with local laws, including Saudi Labor Law, Building Codes, and Sharia principles. The document comprehensively covers project execution details, from scope definition to completion criteria, incorporating necessary safeguards for both parties while adhering to Saudi regulatory requirements. It's particularly crucial for managing risk, establishing clear responsibilities, and providing a framework for project delivery in accordance with Saudi Arabian standards and practices. The agreement typically includes detailed technical specifications, payment mechanisms, and dispute resolution procedures tailored to the Saudi legal environment.
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1. Parties: Identification and details of the contracting parties (employer and contractor)
2. Background: Context of the agreement and brief description of the project
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Work: Detailed description of the civil works to be performed
5. Contract Price and Payment Terms: Payment amount, schedule, and methods of payment
6. Duration and Timeline: Project completion timeframe, milestones, and schedule
7. Contractor's Obligations: Detailed responsibilities and duties of the contractor
8. Employer's Obligations: Responsibilities and duties of the employer
9. Materials and Workmanship: Quality standards and specifications for materials and work
10. Safety and Environmental Requirements: Safety protocols and environmental compliance measures
11. Supervision and Inspection: Rights and procedures for work supervision and quality control
12. Variations and Changes: Procedures for handling changes to scope or specifications
13. Warranties and Defects Liability: Warranty terms and defect rectification obligations
14. Insurance and Indemnities: Required insurance coverage and indemnification provisions
15. Force Majeure: Provisions for unforeseen circumstances and their handling
16. Termination: Grounds and procedures for contract termination
17. Dispute Resolution: Procedures for resolving disputes including arbitration provisions
18. Governing Law: Specification of Saudi law and Sharia principles as governing law
1. Performance Security: Requirements for performance bonds or guarantees, used for high-value contracts
2. Advance Payment: Terms for advance payments and their security, included when advance payments are agreed
3. Subcontracting: Rules and limitations for subcontracting, included when subcontracting is permitted
4. Intellectual Property Rights: IP provisions, included when design or technical innovations are involved
5. Confidentiality: Confidentiality obligations, included for sensitive projects
6. Site Conditions: Specific site-related provisions, included for complex site conditions
7. Local Content Requirements: Saudi local content requirements, included for government or large projects
8. Equipment Supply: Provisions for equipment supply and maintenance, if equipment is a major component
1. Schedule 1 - Scope of Work: Detailed technical specifications and drawings
2. Schedule 2 - Bill of Quantities: Itemized list of quantities and prices
3. Schedule 3 - Project Timeline: Detailed project schedule and milestones
4. Schedule 4 - Payment Schedule: Detailed payment terms and milestone payments
5. Schedule 5 - Site Information: Site details, access requirements, and conditions
6. Schedule 6 - Quality Assurance Plan: Quality control procedures and standards
7. Schedule 7 - HSE Requirements: Health, safety, and environmental requirements
8. Schedule 8 - Required Permits: List of required permits and responsibilities
9. Appendix A - Insurance Requirements: Detailed insurance coverage requirements
10. Appendix B - Form of Performance Security: Template for performance security/bond
11. Appendix C - Testing and Commissioning Procedures: Procedures for work testing and acceptance
Relevant legal definitions
Clauses
Relevant Industries
Construction
Infrastructure Development
Real Estate
Industrial Development
Commercial Development
Residential Development
Public Works
Transportation
Utilities
Energy
Mining
Healthcare Infrastructure
Education Infrastructure
Relevant Teams
Legal
Operations
Commercial
Project Management
Construction
Procurement
Finance
Risk & Compliance
Health Safety & Environment
Quality Assurance
Technical Services
Contract Administration
Relevant Roles
Project Manager
Construction Manager
Contract Manager
Legal Counsel
Chief Executive Officer
Operations Director
Commercial Director
Technical Director
Site Engineer
Quantity Surveyor
Procurement Manager
Risk Manager
Finance Director
Compliance Officer
HSE Manager
Quality Control Manager
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