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    AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where contractor Assumes Risk of Owner Payment) has been rmeuof the following seven specialty contractor groups: vc,leouic contractors Association, National Insulation Associrating contractors of America, Plumbing-Heating-Coolir onditioning Contractors' National Association.

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    AGC Sample Doc 603

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    drobmu
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    AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where contractor Assumes Risk of Owner Payment) has been rmeuof the following seven specialty contractor groups: vc,leouic contractors Association, National Insulation Associrating contractors of America, Plumbing-Heating-Coolir onditioning Contractors' National Association.

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    AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where contractor Assumes Risk of Owner Payment) has been rmeuof the following seven specialty contractor groups: vc,leouic contractors Association, National Insulation Associrating contractors of America, Plumbing-Heating-Coolir onditioning Contractors' National Association.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    1K views9 pages

    AGC Sample Doc 603

    Uploaded by

    drobmu
    AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where contractor Assumes Risk of Owner Payment) has been rmeuof the following seven specialty contractor groups: vc,leouic contractors Association, National Insulation Associrating contractors of America, Plumbing-Heating-Coolir onditioning Contractors' National Association.

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    of 9
    THE ASSOCIATED GENERAL CONTRACTORS OF AMERICA INSTRUCTIONS FOR COMPLETIO! AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGR BETWEEN CONTRACTOR AND SUBGO) ACTOR (Where Contractor Assumes Risk of yment) | Is] | This document is endorsed by ThS fate ‘ontractors, Inc. (ASC). 2000 EDITION The Standard Short Form Agree! ‘Owner Payment), AGC Document NB found in the 1998 Edition of AGC Do documents, AGC 603 and AGC 650, have been approved and endorsed by ASC of the following seven specialty contractor groups: Mechanical Contractors Associctib ’ Contractors Association, National Insulation Assoc ation, National Roofing Contractor 4 Desyrating Contractors of America, Plumbing-Heating-Cool- ing Contractors’ National Association, is intended as a convenient, short-form subcor vided or referenced at the beginning of the a the formats of AGC long form agreements, rately have been left out ofthe text of tf This document replaces AGC*BGSugFEnt No. 603, Short Form Subcontract, which was published in 1987. AGC 603, 2000 Edition, benefitegffaran inclusive development process in which contractors, subcontractors and others offered comments and constrdetk@yobdhack on its language. ‘uctlfor, the format of this short form agreement is distinctive from sument length. In many instances, articles, such as “the,” delib- In AGC 603, payment to the Subs ‘ment for Subcontract Work satisfag 604, Standard Short Form Agree! Risk of Owner Payment), 2000, the parties. fonditioned on the Contractor having received, from the Owner, pay- 1ed. See the discussion in these Instructions, below. AGC Document No. [AGC DOCUMENT NO. 603» STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Were Contractor Assumes Fisk of Owner Payment) {© 2000, The Associalod General Contractors of America GENERAL INSTRUCTIONS Standard Form These instructions are for the information and. con- veniance of the users of AGC 603, 2000 Edition. They are not part of the Agreement nor a commentary on or interpre- tation of the contract form. Itis the intent of the parties to a particular agreement that controls its meaning and not that, of the writers and publishers of the standard form. As a standard form, this Agreement has been designed to estab- lish the relationship ofthe parties in the standard situation. Recognizing that every project is unique, modifications may be required. See the following recommendations for modifi- cations. Legal and insurance Counsel THIS DOCUMENT HAS IMPORTANT LEGAL AND. INSURANCE CONSEQUENCES, AND IT IS NOT INTENDED AS A SUBSTITUTE FOR COMPETENT PROFESSIONAL SERVICES AND ADVICE. CON, ‘SULTATION WITH AN ATTORNEY AND AN INSUR> ANCE ADVISER IS ENCOURAGED WITH RESP TO ITS COMPLETION OR MODIFICATION, TIONS MAY VARY WITH RESPECT APPLICABILITY AND/OR ENFORCEAI ‘SPECIFIC PROVISIONS IN THIS DOC! RANTIES, EXPRESS OR IMPLI ANY WARRANTY OF MERCHS NESS FOR A PARTICULAI CHASERS ASSUME ALL RESPECTTOTHE USE OR MODIFIG MODIFICATION. COMPLETING THE AGREEM Completing Blanks Diamonds (¢) in the margins ing the parties to fill in blanks wi Modifications ‘Supplemental conditig agreement, may be adop for supplements to bet unwanted provisions not be blocked out so that the deleted materials are illegible. The parties should be clearly aware Of the material deleted from the standard form. It is a good practice for both parties to si ‘modifications and supplements. and date all Photocopying the Completed Agreement up to nine (9) photocopies of a whether signed or unsigned, for parties in connection with a spet duction of this document in unless the purchaser has off sion of The Associated Gon in Carlyle Street, Suite 200, (703) 548-3118; fax (703) 548- at www.age.org, “The date of the Agreement and ider fes and the Project are essential information to be accu- rately inserted, Article 1 SUBCONTRACT WORK Here the parties insert a brief description of the Subcon- tract Work. Article 2. SUBCONTRACT AMOUNT Here the parties are to insert the amount to be paid for the Subcontract Work. Retainage is to be a percentage equal to the percentage retained from the Contractor's pay- ment by the Owner for Subcontract Work. Article 3 INSURANCE ‘The parties should determine the specific Subcontractor coverages and limits of liability required for the project, and attach this information as Exhibit E. 'AGC DOCUMENT NO. 60s « STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where Contactor Assumes Fk of Owner Payment) (© 2000, The Associated General Contactors of America Article 4 BONDS Here the parties indicate ifthe Subcontractor shall furnish surety bonds for the Project. The form of the bond shall be provided in Exhibit F and through a surety mutually agree- able to the Contractor and Subcontractor. Article 5 EXHIBITS Here specific exhibits are incorporated by reference. The parties are to indicate the number of pages for each exhibit. ‘The Subcontract Work represents Exhibit A. The Prime ‘agreement, Drawings, Specifications, General, Special, Sup- plementary and other conditions represent Exhibit B.Itis rec- ommended that the complete listing by title, date and number of pages be provided in this Exhibit. Progress ‘Schedule represents Exhibit C. Alternates and Unit Pricos represent Exhibit D. Insurance provisions represent Exhibit E, Bonds represent Exhibit F. A space is provided to rofor- fence an additional exhibit, if needed by the parties. Article 6 SAFETY from the Owners ill depend on ‘The Subcontractor is to establish a safety program that conforms to the requirements of governmental aul Article 8 TIME Time is of the essence for both pa Schedule, its details and changes are submit Subcontractor reasonably in advance of peri Contractor will prepare the schedul Contractor's work (the Performar revise and update as necessarg contract Amount which is defin Subcontract sibility of the Sti shall be extended Dp Jayed.wfithout the fault of or respon- rAcior, the time for Subcontract Work Rapge Order. Article 10 PAYMENT 10.1 SCHEDULE OF VALUES The Subcontractor is required to submit a schedule of values saffactory to the Contractor not more than 18 days fror fate of this Agreement, 10.2 PROGRESS AND FINAL & iS Para- ‘graph does not condition the Subé receipt of payments by the within seven days after t! from the Owner for the Subh tractor for the Subcor enables the Cont t to secure the payment a" for a particular project, t-specific factors. ELD The Subcontractor’s appli- be rejected for any of the three rea stitutes a waiver of all claims by the Sub- ubcontractor is stil lable for warranties, oF jing or defective work discovered after pay- OWNERS ABILITY TO PAY Upon request, the Thtractor has the right to receive from the Contractor io?mation the Contractor obtained relative to the Owner's Rancial ability to pay for Contractor's work. The Contractor oes not warrant the accuracy of the Owners information. Article 11. INDEMNITY ‘The Subcontractor shall indemnify and hold harmless Contractor, Contractor's subcontractors, Architect/Engineer, ‘Owner and their agents, consultants, employees and others from all claims for bodily injury and property damage that ‘may arise from the performance of the Subcontract Work. Article 12 CONTRACTOR'S RIGHT TO PERFORM ‘SUBCONTRACTOR’S RESPONSIBILITIES AND TERMINATION OF AGREEMENT 12.1. FAILURE OF PERFORMANCE This Paragraph governs the Contractor's recourse when the Subcontractor fails to perform, inciuding notice to cure. Ifthe Contractor per- forms work under these provisions or subcontracts its per- formance, it has the right to charge the cost thereof to the ‘Subcontractor, who is liable for such payment including rea- sonable overhead, profit and attorney's foes, AGC DOCUMENT NO. 603 + STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where Contractor Assumas isk of Owner Paymon!) (© 2000, The Associated General Contractors of America 12.2 TERMINATION BY OWNER This Paragraph pro- ides that, in the event the Owner terminates the prime agreement, the Contractor, after providing written notifica- tion, may terminate the Subcontract. 12.3 TERMINATION BY CONTRACTOR This Para- graph addresses termination of the Subcontractor by the Contractor for cause. 12.4 TERMINATION BY SUBCONTRACTOR This Par- ‘graph details the circumstances under which the Subcon- tractor may terminate the Agreement and the recoverable costs. Article 13. CLAIMS AND DISPUTES 13.1 CLAIMS The Subcontractor shall give the Con- tractor written notice of al claims within seven days of the ‘Subcontractor’s knowledge of the fact giving rise to th event. 13.7 DIRECT DISCUSSION The parties are encour- aged to settle thelr disputes through direct discussions. If these discussions are not successful, the parties must attempt mediation as a condition precedent to any other form of binding dispute resolution (Paragraph 198) Any disputes rot resolved by mediation are to be decided by the dispute resolution process selected in Paragra 13.9 _ OTHER DISPUTE PROCT either arbitration or litigation to sé direct discussions nor mediation This Article states that ina neutral manner, since t by the parties as an Axgressiot [AGC DOCUMENT NO. 603 « STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where Contractor Assumes Risk of Ownor Payment) (© 2000, The Associated General Contractors ot Amarica Job No ‘Account Code: THE ASSOCIATED GENERAL CONTRACTORS OF AMERICA AGC DOCUMENT NO. 603 STANDARD SHORT FORM AGREEMENT E=gs™™ BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where Contractor Assumes Risk of Owner Payment) a ‘This document is endorsed by The Associated Specialty Contractors, inc. (ASC), an posed of the following seven specialty contractor groups: Mechanical Contractors Asso Electrical Contractors Association, National Insulation Association, National Roofing This Agreement is made this day of . —/ _, byand between # Dar went Tenn CONTRACTOR, and @ Tire mad roy ‘SUBCONTRACTOR, SX . borage) PROJECT: oF - . REALE OWNER: RY . Cenp mPa) ARCHITECTIENGINEER: PF ) - + 1 SUBCONTRACT WORK To the extent torm 1d Contractor (prime agreement) apply tothe ‘work of Subcontractor, Contractor assumes, rifts, duties, and redress that Owner assumes toward Contractor. In an identical way, Sudeont =c1o/ all obligations, rights, duties, and redress that Contractor assumes toward Owner and,athers ss the event of conflicts or inconsistencies betwoon provisions ofthis Agroement and the prigve ara att ern. Subcontractor shall perform Subcontract Work under the general direction of Contracto BCI so Contractor may fulfill obligations to Owner. Sub- ‘contractor shall provide Subcontragt Wark th the Progress Schedule to be prepared by Contractor after consultation with Subcont 2 *Ltiing {0 time, Subcontractor shall give timely notices to authori- tios pertaining to Subcontract Work its, foes, licenses, assessments, inspections, testing and taxes necessary to complete Sudcontragt Wos ide iene ‘Brat Desepion of Suaconiaa Wor) . 25 more fully described in Exhibit A . 2 SUBCONTRACT AMOUNT Contractor agyey tantractor for satisfactory and timely performance and completion of Subcontract Work: + Rotainage shall be percent (____ 4), which is equalto # the percentage retained from Contractog ner for Subcontract Work, yraintain insurance that will protect Subcontractor from claims arising out of ‘Subcontractor operations under this fether the operations are by Subcontractor, or any of Subcontractors consult- ants or subcontractors or anyong ftiy employed by any of them, or by anyone for whose acts any of them may be a G limits of fabiity as set forth in Exhibit E. 4 BONDS Subcontractor Q shall this Agreement, and throyg . fally agreeable to Contractor and Subcontractor, to secure faithful performance of Sub- Deontractor payment obligations related to Subcontract Work. incorporated by reference and made part of this Agreement EXHIBIT A: Suboo — pages. EXHIBIT 8: Pring Drawings, Specifications, General, Special, Supplementary, and other condllions, and addenda, é ‘and rumbr pages) EXHIBIT ©: RéOg " — oe pages. + EXHIBIT D: Al ‘and Unit Prices, include dates when alternates and unit prices no longer apply pages. @ EXHIBIT E: Insurahce Prpvisions, ee pages. + EXHIBIT F: Bonds, pages) # EXHIBIT_: Other —— pages. # ‘AGC DOCUMENT NO. 603 + STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Were Contractor Assumes Rsk af Owner Payment) {© 2000, The Associod Genoral Contractors of America 6 SAFETY To protect persons and property, Subcon- -—«10.2.-: PROGRESS AND FINAL PAYMENTS Progress pay- tractor shall establish a safely program implementing safety ments, less retainage, shall be made to Subcontractor, for measures, policies and standards conforming to (1) those Subcontract Work satisfactorily performed, no later than seven required or recommended by governmental and quasi (7) days after receipt by Contractor of payment from Owner governmental authorities having jurisdiction and (2) require- for Subcontract Work. Final payment of the balance due shail ments of this Agreement. Subcontractor shall keep project site ‘be made to Subcontractor no later than seve WY) days after clean and free from debris resulting from Subcontract Work. receipt by Contractor of final payment froy for Sub- contract Work. These payments are subjet 7 “ASSIGNMENT Subcontractor shall not assign the lien waivers, affidavits, warranties, gua Whole or any part of Subcontract Work or this Agreement with rl ‘out prior written approval of Contractor. 8 TIME 8.1 TIME IS OF THE ESSENCE Time Is of the essence {or both parties. The parties agree to perform their respective ‘obligations so that the Project may be completed in accor- dance with this Agreement, 8.2 SCHEDULE In consultation with Subcontractor, the Contractor shall prepare the schedule for performance of Cor tractors work (Progress Schedule) and shall revise arf update such schedule, as necessary, as Contractor's york progresses. Subcontractor shall provide Contractor with scheduling information proposed by Subcontractor J6 contract Work and shall revise and update progresses. Contractor and Subcontractor shall 1 for any reason not the fault of Sub- ubcontractor does not receive a progress ptractor within seven (7) days after the date faue, oF it Contractor has failed to pay Sub- Subcontractor reasonably in advance of 16% fa reasonable time for Subcontract Work sat- ance, Contractor shall have the right to formed, Subcontractor, upon giving seven (7) essary, change the time, order and prio 3 notice to Contractor, and without prejudice to and portions of Subcontract Work shall b Duljon to any other legal remedios, may stop work until matters relative to Subcontract Wor ecbived. Subcontract Amount and time of performance shall 4djusted by the amount of Subcontractors reasonable and ified cost of shutdown, delay and startup, and shall be “affected by an appropriate Change Order. 9 _ CHANGE ORDERS When Comrgetdr drders in ing, Subcontractor, without nulifying thiAgfeems make any and all changes in Subcontract Work, the Subcontract Amount or time of perfor authorized by a Change Order. No adjustmenAs 10.5 WAIVER OF CLAIMS Final payment shall constitute waiver ofall claims by Subcontractor relating to Subcontract ‘Work, but shall in no way relieve Subcontractor of liability for been ordered by Contractor. A Chang 2 warranties, or for nonconforming or defective work discovered instrument prepared by Contractor api Sight. after final payment tractor stating their agreement upor B tract Work. I commencement and/or 10.6 OWNER’S ABILITYTO PAY Work is delayed without the faul tractor, the time for Subcontraét 10.6.1 Subcontractor shall have the right upon request to ‘Change Order to the extent obtained LCD receive trom Contractor such information as Contractor has Progress Schedule shall by obtained relative to Owner's financial ability to pay for Con- tractor's work, including any subsequent material variation in such information. Contractor, however, doos not warrant the accuracy or completeness of information provided by Owner. 10 PAYMENT 104 SCHEDULE! 10.6.2 If Subcontractor does not receive the information ref- iden (15) days from the date of __erenced in Subparagraph 10.6.1, Subcontractor may request information from Owner and/or Owner's lender. 2 [AGC DOCUMENT NO. 603 « STANDARD SHORT FORM AGREEMENT BETWEEN CONTRACTOR AND SUBCONTRACTOR (Where Contactor Assumes Risk of Owner Payment) (© 2000, The Associated General Contractors of America 11. INDEMNITY To the fullest extent permitted by law, ‘Subconiractor shall defend, indemnify and hold harmless Con- tractor, Contractor's other subcontractors, Architecv/Engineer, ‘Owner and their agents, consultants, employees and others {as required by this Agreement from all claims for bodily injury ‘and property damage that may arise from performance of ‘Subcontract Work to the extent of the negligence attributed to ‘such acts or omissions by Subcontractor, Subcontractor’s sub- contractors or anyone employed directly or indirectly by any ‘of them or by anyone for whose acts any of them may be liable. 12 _ CONTRACTOR'S RIGHT TO PERFORM SUBCON- ‘TRACTOR’S RESPONSIBILITIES AND TERMINATION OF AGREEMENT 12.1 FAILURE OF PERFORMANCE Should Subcontrac- {or fail to satisty contractual deficiencies or to commence and ‘continue satisfactory correction of the default with diligence or ‘promptness within three (3) working days from receipt of Con. tractor’s written notice, then Contractor, without prejudice 9 any tight or remedies, shall have the right to take whatere steps it deems necessary to correct deficiencies and charge ‘or property, Contractor may proceed as above but Contractor shall give Subcontractor notice. the fact as a precondition of cost recovery, ‘Agreement shall be terminated and diately stop Subcontract Work, to the extent of Contractor recovery on Subcont under the prime agreement. Contractor agrog with Subcontractor, at Subcontractors expey coution of any Subcontractor claim arising 9 i nation and to permit Subcontractor to pre the name of Contractor, for the use 9(t Boontractor fails to commence and satstacforkp0

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