2022.06.27 - Contract Agreement
2022.06.27 - Contract Agreement
THIS AGREEMENT made on 28th June 2022 between Mrs. Cherry Ann R. Castro (hereinafter called the “Owner”)
as the First Party and Mr. Nico Paulo Turla (hereinafter called the “Contractor”) whose registered address is at
Purok 3 191 Barangay Cuayan Angeles City Pampanga as the Second Party.
Works: Renovation of 2 Storey Residential Unit at Deca Homes Angeles City Pampanga
The Owner is pleased to confirm the award and appointment of the Works to the Contractor. The following terms and
clauses are final and where there is any inconsistency with any earlier documents, cost, rates, conditions, previous
discussions or agreements, then the details herein contained shall supersede all previous documentations and
discussions.
1. Total Lump Sum amount of the Works: PHP 213,800/ - (Two Hundred Thirteen and Eight Hundred
Philippine Peso Only).
This is a LUMP SUM Contract, and the Contractor shall allow for the provision and performance of all items
of Work and quantities necessarily required to be executed and for related and subsidiary works deemed to
be necessary for the completion, execution, proper functioning and operation of the whole of the Works in
reference to APPENDIX A, B, C, and D which forms part of this Contract Agreement.
2. An Advance Payment equivalent to 33% of the Lump Sum amount which includes initial labor food allowance
shall be released to the Contractor against an Official Receipt.
Payment of the balance shall be as per progress of works on site based on material purchase and labor
charges on a weekly basis and payments shall be made by the Owner within 48 hours from the date of the
approved and agreed invoice against an Official Receipt.
5% of the Lump Sum amount shall be retained and to be released upon successful handing over of the Works
by the Contractor to the Owner.
5% of the Lump Sum amount shall be retained and to be released upon completion of Defects and Liability
within a period of 3 Months from the date of handing over of the Works by the Contractor to the Owner.
Repair and Rectification works of the defects shall be attended within a maximum period of 3 days from the
day it was made known to the attention of the Contractor.
Manpower and Rates considered on this Contract shall be as follows:
3. The Contractor to attach all documentation related to procurement of materials and labor charges such as
official receipts, confirmed purchase orders, delivery notes, labor logbook, and site photographs on every
submission of progressive invoice. A proper breakdown of materials to be purchased and labor charges
consumed along with the rates and amounts shall be provided by the Contractor. Any deviation, alteration,
deduction from this Contract Agreement shall constitute a variation to the Lump Sum amount.
a. Week 1:
Site Clearing
Excavation works
Demolition of Kitchen Counter and Sink
Compaction for column and wall footing
Column and wall footing bedding
Steel reinforcement
Concreting of column till kicker level
Concreting of wall footings - including septic tank
Laying of below grade concrete filled CHB walls with steel reinforcements - including
septic tank
Laying and installation PVC drainage pipes for Septic Tank and termination works
Backfilling, leveling, and compaction
Soil poisoning
Preparation and CHB layering
c. Week 3:
Steel trusses installation
Steel gate and windows and ac grilles installation
Roofing and insulations installations
Flashing and gutter installations
Rain water pipe installation
New walls plastering works
New walls painting works
Ground floor kitchen extension gypsum ceiling works
Ground floor kitchen extension floor tiling works
Waterline re-installation works
Kitchen cabinets installation works
Sanitary ware installations
Windows & door repairs
Electrical works
d. Week 4:
Final coat painting works
Tile grout applications
Final inspection by the Owner
Snags and Touch Ups
Testing and commissioning works for the Electrical and Plumbing systems
Unit handing over
5. The Contractor agreed to keep the Completion Date to be final as mentioned under Clause no. 4 without
fail. In case of delays, the Contractor shall take full responsibility on completing the whole of the Works
without any claims or any sort of additional charges to the Owner, unless additional works has been
introduced which can justify cost and time implications. Owner reserves the right to resolve delays in relation
to Clause no. 13 as found to be necessary.
6. The Owner shall be entitled to all finishing and final fix material selections such as tiles, light fixtures, paints,
door ironmongeries, electrical items, sanitary ware, kitchenware and the like. The Contractor shall ensure to
provide and show samples of materials for the Owner’s approval before procurement of any finishing and
final fix materials. Purchase of any of these materials without the Owner’s consent and approval shall be
considered of NIL value on the submission of the Contractor’s progressive invoice and shall be replaced or
rectified at the Contractor’s expense.
7. The Contractor has allowed under his scope included on the Lump Sum amount the following:
7.1 All sort of builder’s work such as wall cut-outs, wall chases, wall coring, floor chasing, floor
coring, and the like
7.2 Protection of the works and of the existing architectural, structural, and utilities components of
the Housing Unit including structural supports
7.3 Regular cleaning and off site waste disposal
7.4 Demolition and removal of unwanted materials on site
7.5 Coordination with the Subdivision Engineering if necessary
8. The Contractor shall not assign the whole or any part of the Works under this Contract nor shall sub-let the
whole or any part of the Works without the written consent of the Owner.
9. The Contractor in good faith and in the absence of the specifications, shall ensure to maintain proper and
standard quality of workmanship as acceptable to the prevailing Standard Practice of Construction in the
industry. Any defects and poor workmanship shall be subject for rectification at the Contractor’s expense.
10. Escalation: No adjustment to the Lump Sum amount shall be made in respect of any increase or decrease in
the Market Rates and Under Quantification related to the Contractor’s goods and materials, consumables or
equipment and on any item under its scope of works as outlined on Appendix D - Bill of Materials of this
Contract.
11. The following shall be deemed to be included on the Lump Sum amount of the Contractor:
11.1 Labour and Cost in connection
11.2 Materials, goods and all Cost in connection
11.3 Fitting and fixing materials and goods in position
11.4 Equipment, tools and all cost in connection
11.5 Waste of materials
11.6 Materials short Lengths
11.7 All cutting and all labors
11.8 All Materials consumables and accessories
11.9 Testing and commissioning
10.10 Establishment charges, deliveries, overhead charges and profit
12. All site measurements have been established by the Contractor before appointment and the same have been
considered on all required materials and consumables purchase on which shall not constitute any sort of
additional material and labor charges to the Owner regardless of the quantities indicated on Appendix D –
Bill of Materials.
13. The Contractor shall allow in his Lump Sum amount rectification and repair works under Defects and Liability
Period due to workmanship and material defects within 3 months from the date of handing over.
14. Either Party may terminate this Contract upon non-compliance to the provisions stipulated in this Contract
which shall be considered as Breach of Contract. Any dispute that may arise shall be settled in a Judiciary
Court under Civil Code of the Philippines or any other applicable law.
15. Documents forming the basis of the Contract Agreement as per order of precedence will be follows:
In witness whereof the parties hereto have caused this Contract Agreement to be executed the day and year first before
written and warrant that they are duly authorized to execute this Agreement in accordance with the laws of the country
in which they are registered or incorporated.