CONSTRUCTION CONTRACT

KNOW ALL BY MEN BY THESE PRESENTS:

This CONTRACT made and entered into this ___day of ______________, 2021 in Gapan City
by and between Grace Luy

with postal address at San Vicente Gapan City hereinafter referred to as the OWNER

And

Ernesto A. Concepcion with postal address at lot 1 blk 9 Rose st, New Landsville Subd. Pambuan,
Gapan City Nueva Ecija. Hereinafter referred to as the CONTRACTOR.

WITHNESSETH:

WHEREAS, the CONTRACTOR has presented and warranted itself as capable, competent and duly
licensed to construct and to complete the aforementioned ONE STOREY RESIDENTIAL BLDG. in accordance
with the basic plans and specifications mentioned in Article 1 hereof

WHEREAS, on the basis of the foregoing representation and warranty of the CONTRACTOR, the
OWNER has accepted the offer of the CONTRACTOR to construct the aforesaid building.

NOW, THEREFORE, for and in consideration of the foregoing and warranty of undertaking
hereinafter set forth, the parties hereto agree as follows:

ARTICLE 1. SCOPE OF WORK

The CONTRACTOR shall construct, build and complete the Construction/Renovation strictly in
accordance with the plans and specification prepared by the ARCHITECT herewith attached as Annexes A
& C and made integral parts hereof.

The CONTRACTOR shall furnish all materials, supply all labor, tools, equipment, temporary
facilities, supervision therein and perform all the work required hereunder.

ARTICLE 2. TIME OF COMPLETION

It is that time is an essential element of this contract and, therefore the building must be fully
complete and ready for occupancy within 240 CALENDAR DAYs starting on ______________________
2021

It is also agreed that the Contractor shall endeavor to secure all pertinent permits within the least possible
length of time, which is within 3 weeks; when the plans and documents needed are turned over to him
and/or from the time of signing of the Agreement.
 ARTICLE 3. EXTENSION OF TIME OF COMPLETION

The time of completion of all the works shall only be extended for such period as may be
absolutely necessary, should there be delayed due to the fault of the OWNER, by any substantial additions
or alterations in the work ordered by the OWNER, or his authorized representative under ARTICLE II, or by
force majeure, war rebellion, epidemics, fires, riots, or acts of the civil or military authorities.

An extension of the time shall be effective only upon therefore made in writing by the
CONTRACTOR and duly approved by the ARCHITECT, in case of additions or alterations in the work as
contemplated in Article II, the written request shall be presented by the CONTRACTOR for approval with
the one week’s time following an order of change.

ARTICLE 4. CONTRACT PRICE

The OWNER shall pay the CONTRACTOR for the entire performance of the work herein, in the
manner provided below Article 5, the amount of PESOS: FOUR MILLION S PESOS
(PHP. 3,400,000.00) Philippine Currency. The CONTRACTOR, hereto guarantees the construction of the
building herein, the OWNER shall not incur any expenses beyond the said amount except for any addition
or extra work that may be required and authorized in writing by the OWNER.

ARTICLE 5. PROGRESS PAYMENT AND REVOLVING FUNDS

See Annex “B” for Schedule of payment.

ARTICLE 6. ACCEPTANCE AND FINAL PAYMENTS

Upon receipt of written notice from the CONTRACTOR that the work is ready for final inspection
and acceptance, the OWNER shall promptly make such inspection, and if found the work acceptable under
the contract and that contract is fully performed, he shall promptly issue a final Certificate of Acceptance
over his own signature, starting that the work provided for in this Contract has been completed and is
accepted by him under the terms and conditions thereof, and that the entire balance found to be due to
the CONTRACTOR and noted in said certificate is due and payable.

ARTICLE 7. THE CONTRACT DOCUMENTS.

The PROJECT shall be constructed and the work performed in accordance with the Plans (Annex
“A”). The Detailed Scope of Work and Specifications (Annex “C”) attached hereto and made integral parts
hereof.
 ARCTICLE 8. DEFECTIVE WORK AND MATERIALS
Any item mentioned in the Plans or the Detailed Specifications, and not included in the other shall be
deemed included in both and covered by this Agreement. In case of doubt or conflict between any or
some of the items or provisions in the Plans, detailed Specifications (Annexes “A” and “C”) and / or this
Agreement, a liberal interpretation shall be adopted for the benefit and in favor of the OWNER.

The Construction Plans, consisting of the following as prepared by the CONTRACTOR marked as Annex “A”.

1. Architectural Plans.
2. Structural Plans.
3. Plumbing Plans.
4. Electrical Plans.

The CONTRACTOR shall make no change or alteration on the Plans and General Specifications, without
the prior written approval of the OWNER and the OWNER’S representative. A mere act of tolerance
shall not constitute approval.

Defective work shall be made good, and unsuitable materials shall be rejected
Notwithstanding that such and materials have been overlooked by the OWNER’s INSPECTOR and
accepted or estimated for payment. If the work or any part thereof shall be found defective at any
time before the final acceptance of the whole work, the CONTRACTOR shall forthwith made good such
defect in the manner satisfactory to the OWNER. If any material bought on the ground for use in work
or selected for and not in conformity with the Specifications, the CONTRACTOR shall forthwith remove
such materials from the vicinity of the work and any materials furnished which are damaged or
rendered defective by the handling or improper installation by the CONTRACTOR, his agents or
employees, shall be made good and replaced at the CONTRACTOR’s expenses which is hereby
incorporated as part of this Contract.

Any part of the work that has been done and is of the quality required shall be turn down or
removed immediately and rebuilt in accordance with the requirements or
the plans and specifications. Should be CONTRACTOR neglect or delay the execution of faulty works,
the OWNER, may after TEN (10) Days’ notice to the CONTRACTOR and without prejudice to any other
remedy, employ and pay other persons to make good such deficiencies and all expenses consequent
thereon or incidental thereto shall be deducted from any monies due or which any become due to the
CONTRACTOR.

ARTICLE 9. THIRD PARTY LIABILITY

The OWNER shall be held free and harmless from any liability arising from claims of the third
parties arising from the construction, such as but not limited to wages, overtime pay, compensation
for injury or death of laborers and employees of CONTRACTOR or third parties, SSS premium,
Medicare, living allowances, 13th month bonuses, and other social and labor obligations, all of which
shall be for the account of the CONTRACTOR.
 That the OWNER shall not be held liable for any which might incur-any third party arising from
supplier of materials, labor or services rendered for the PROJECT.
Compliance with the laws, the CONTRATOR shall comply all the laws, local or national. With the
city or municipal ordinances and with all government regulations in so far they are binding upon or
affect the parties thereto, the work, or those engaged thereon. The CONTRACTOR shall keep the
OWNER indemnified against all penalties and liability of every kind for breach of any laws, ordinances
or regulations.

In the event of any such claims, the OWNER may withhold final payment to the CONTRACTOR.

ARTICLE 10. CHANGES AND ADDITIONS.

If the OWNER shall written order signed by the OWNER’s representative and OWNER, require any
deviation from the Plans and Specifications or require that any work described in the Plans and
Specifications be omitted, then the CONTRACTOR will carry out such requirements of the OWNER and
shall perform the additional work in a satisfactory and workmanlike manner to the satisfaction of the
ARCHITECT within the time prescribed, who shall certify that such damages are in accordance with
approved prices. The amount so ascertained by the ARCHITECT shall be deducted or added,
whichever the case may be, from the Contract Price, and shall be executed under the conditions
hereof and of the Contract Documents.

ARTICLE 11. SAFEGUARDS

The CONTRACTOR shall provide safeguards and other facilities for the protection of the OWNER,
ARCHITECT and the general public. The CONTRATOR shall be responsible for, and indemnify and save
harmless, the OWNER and the ARCHITECT from and against all losses, expenses, judgments, court
costs, attorney’s fees, demands, payment suits, actions, recoveries, decrees, executions and claims of
every nature and description brought and / or recovered against the CONTRACTOR or the OWNER, by
reasons of any builder, agents, servants, laborers or employees hired by him. The CONTRACTOR shall
be responsible for, and shall bear all costs and expenses, caused by losses, damages, to fire and
injuries (including death at time resulting therefrom) accidentally sustained by any person or persons
and for injury or damages to property, arising out of, in connection with the execution of the work
covered but his Contract.

ARTICLE 12. GUARANTEE AFTER COMPLETION;

The CONTRACTOR shall guarantee all works after completion of the PROJECT until ONE (1) YEAR
from the date of final acceptance. All defects within said guaranteed period shall be replaced and
made good by the CONTRACTOR at his own expense. However, defects caused by wear and tear,
force majeure, international or accidental breakage shall not be included in this guarantee. All
electrical and bathroom fixtures are not included to said guarantee.

And if the CONTRACTOR fails to act within thirty (30) CALENDAR DAYS upon request of the notice to
rectify the defects in materials and labor employed, the ARCHITECT or the OWNER may, at his
discretion, have the work done by another CONTRACTOR, and charge all expenditures to the former
CONTRACTOR.

However, nothing in this section shall in any way affect or relieve the CONTRACT of his
responsibility to the correctness as stability of the entire construction.

IN WITHNESS WHEROF, the parties hereto, through their respective duly authorized
representatives, have hereunto set their hands on the date and place first above mentioned.

By:

____________________________________________________________________________________
Miss GRACE LUY ERNESTO A. CONCEPCION
Owner Architect/Contractor

SIGNED IN THE PRESENCE OF:

____________________________ ______________________________
 SCHEDULE OF PAYMENT AMOUNT DUE SIGNATURE

Feb ____ 2021 (35% DOWN PAYMENT) 1,190,000.00

March 15,2021 157,000.00

March 30,2021 157,000.00

April 15,2021 157,000.00

April 30,2021 157,000.00

May 15, 2021 157,000.00

May 30 2021 157,000.00

June 15, 2021 157,000.00

June. 30 2021 157,000.00

July 15, 2021 157,000.00

July. 30 2021 157,000.00

August 15, 2021 157,000.00

August. 30 2021 157,000.00

September 15 2021 157,000.00

September 30 2021 169,000.00

Note:
Subject to change for much earlier on case to case basis
 Annex “C”.

SPECIFICATION AND SCHEDULE OF FINISHES

PROJECT : ONE STOREY RESIDENTIAL BUILDING

OWNER : GRACE LUY
LOCATION : VILLA CECILIA, BAYANIHAN GAPAN CITY
ARCHITECT : ERNESTO A. CONCEPCION

FLOOR ELEVATION
1 Garage = 0.80m
2 Laundry Area/Dirty Kitchen = 1.40m
3 Living,Dining Room , Kitchen, Bedroom 3 = 1.60m
4 Bedroom 1&2 = 2.0m
FLOOR FINISHES
LIVING,DINING,KITCHEN,FAMILY ROOM,BEDROOMS
60 cm x 60 cm granite floor tiles
TOILET & BATH ROOMS
60 cm x 60 cm cm rustic floor tiles
LANAI/PORCH
40X40 cm rustic floor tiles
GARAGE
40X40 cm rustic floor tiles

WALLS
Combination of Stucco & Smooth plastered finish (All over)
30cmx60cm glaze wall tile for toilet and bathroom
GT Stone Wall Cladding for exterior wall accent

ELECTRICAL LIGHTINGS
Led Pinlights (for general lightings)
Wall lamps for exterior lightings (selected areas)
Strip led light for cove lightings
royu brand for switches and conduits or equivalent
royu or columbia wires for general electrical wirings
(#2.0mm² for lighting lay-out, #3.5mm² for power lay-out, #22mm² service feeder)
Pvc electrical pipe for conduit embedded in concrete slabs
Moldflex flexible hose for general conduit pipe
Catv line ready

CEILING
¾ Plyboard
9mm thick gypsum board for interior ceiling
with metal furring ceiling joist
spandrell ceiling for roof eaves

CABINETS & CLOSETS

¾ Plyboard for kitchen cabinets and bedroom closets
Laminated marine plywood for cabinet door face
Hydraulic Concealed hinges
 Ducco white paint finish

KITCHEN COUNTER
Salt n pepper granite slab for kitchen top
Concrete cement for counter top base

STEEL TRUSS
5mm X 1-1/2 angle bar for main trusses
2 X 3 X1.2 mm G.I. C-Purlins spaced @ 0.60. O.C.

ROOFING
.40mm thick pre painted tile span
.40mm thick pre painted double gutter and bended accessories
10mm single side p.e. foam for roof insulation

WINDOWS
Aluminum Analok brown for window frame with screen
¼” reflective bronze glass for glazing
With mosquito screen
DOORS
Solid Wood panel door for main entrance
Solid wood Panel door for bedrooms and kitchen
Solid wood Panel door for toilet and bathrooms
With cylindrical door knob or equivalent
PAINTING
Boysen wall guard for exterior wall (semi-gloss) or equivalent
Boysen permacoat latex paint for interior wall and ceiling (semi-gloss or flat)
Acrylic Paint finish (ducco) for kitchen cabinets and bedroom closets
PLUMBING
Pozzi or La Fonza Brand for bathroom fixtures or equivalent
twin tub stainless kitchen sink With stainless faucets
ppr pipes for water supply pipings
standard orange pipe for sanitary lines
OTHERS
3/8 tempered Glass panel for terrace railings
Window security grills (3/4x3/4 square tube with 1/4x1-1/4 flat bar frame
Building plans
Perimeter Fence ( 2.5 m above existing ground)
Landscape

EXCLUDED TO THE CONTRACT

Water Pump Tank And Accessories
Power Supply For Permanent Application
Water Supply For Permanent Application

TOTAL CONTRACT AMOUNT

With this materials and accessories including labor and other necessary documents

TOTAL PROJECT COST………………………………3,400,000.00

Prepared by:
Arch.: ERNESTO A. CONCEPCION