Traditional Building Contract

Written by geoffrey st. marie
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Traditional Building Contract
In related contracts, architects judge if a project as been properly completed. (construction 2 image by maloni from Fotolia.com)

When developing new properties, landowners may invest in a traditional building contract. This sets the terms for how the main contractor will go about construction as well as establishes the relationships necessary for the completion of the project.

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Players

A traditional building contract involves several parties. First, the contract is between the owner of the prospective property and the contractor building it. Also involved are the architect, subcontractors and the quality surveyor. The latter appraises what materials will be used and how much will be needed. He then formulates them into bills of quantity.

Features

The architect is hired by the owner. The owner then employs the contractor in order to build the structure as designed by the architect. That architect becomes the chief judge for whether or not the project is officially completed. In the event of a problem with the completed building, the owner may be able to sue the contractor for a breach of contract.

Subcontractors

A traditional contract may have either the owner or the contractor deciding upon subcontractors. If the owner decides, they are termed "nominated subcontractors." When the choice is left up to the main contractor, they are called "domestic subcontractors."

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