General Conditions of Contract for Design and Construction (AS 4902)
When it comes to construction projects, having a clear and comprehensive contract is crucial. The Australian Standard AS 4902 provides a framework for a standard form of contract used for design and construction projects. This article aims to provide an overview of the general conditions of contract for design and construction under AS 4902.
Scope of Work
The scope of work outlines the obligations and responsibilities of the contractor, architect, and owner. This includes various aspects of the project, such as design, procurement, construction, testing, and commissioning. Each party must adhere to the agreed upon scope of work in order to ensure timely completion of the project.
Contract Documents
The contract documents form the foundation of the contract. These documents include the agreement between the owner and contractor, specifications, drawings, and other relevant documents. All parties must have access to these documents and be aware of any changes or revisions made throughout the project.
Contract Price
The contract price outlines the total cost of the project, including all payments and obligations. This includes costs for materials, labour, and any other expenses incurred as part of the project. The contract price may be adjusted if there are any changes to the scope of work or if any unforeseen circumstances arise during the project.
Variations
Variations refer to any changes made to the scope of work during the project. These changes must be in writing and signed by both parties. The variation will be assessed based on the impact it has on the contract price and the schedule of the project.
Progress Payments
Progress payments are made based on the percentage of work completed. These payments ensure that the contractor is paid for the work they have completed up to that point. The amount and frequency of the progress payments are outlined in the contract documents.
Dispute Resolution
In the event of a dispute, the contract outlines the process for resolving it. This may include mediation or arbitration, and all parties must adhere to this process in order to come to a resolution.
Conclusion
The general conditions of contract for design and construction under AS 4902 are designed to provide a comprehensive framework for construction projects. This standard form of contract ensures that all parties are aware of their obligations and responsibilities, and provides a clear process for resolving any disputes that may arise. By having a well-defined contract, construction projects can be completed in a timely and efficient manner.