NOTE: FLORIDA CONSTRUCTION LAW REQUIRES WORK TO BE PERFORMED BY LICENSED AND INSURED CONTRACTOR AND SUBCONTRACTORS.
CONTRACT FOR REMODELING SERVICES
Between the Customer
And the Contractor:
DSB-USA.CORP
DESIGN CENTER OF THE AMERICAS
SHOWROOM C172, 1ST FLOOR, Building C
1855 GRIFFIN ROAD
DANIA BEACH, FLORIDA 33004
ARTICLE 1. CONTRACT DOCUMENTS
1.1. The contract documents consist of this agreement and invoice, all addenda issued prior or subsequent to execution of this agreement and all change orders or modifications issued and agreed to by both parties, and the statutory warnings attached hereto as Exhibit “A”. All documents noted herein shall be provided to the Contractor by the Customer. These contract documents represent the entire agreement of both parties and supersede any prior oral or written agreement. This contract is based upon the provideded INVOICE.
ARTICLE 2. SCOPE OF WORK
2.1. The Customer agrees to purchase and the Contractor agrees to provide services according to the INVOICE.
2.2. EXCLUSIONS:
2.2.1. Customer agrees that specification of materials provided by the owner or others will be submitted to the contractor prior to mobilization. Any specifications not submitted may result in a change order.
2.2.2. Delivery and storage of owner provided materials are the owners responsibility, unless otherwise specified.
2.2.3. Notice of Commencement fees, Notice to Customer, permit fees and any other building, city, county governmental charges are the responsibility of the owner.
ARTICLE 3. THE CONTRACT PRICE
3.1. The purchase price of the project shall be set at the sum according to INVOICE, subject to additions and deductions pursuant to authorized change orders and allowances. After Demolition is completed and Architectural Plans are drawn Cost of Construction will be adjusted according to Final Plans. If Customer and Contractor will not agree on Price adjustment on Final Drawings both Parties are released from this contract as long as Contractor is paid for Work Completed.
The Customer and the Contractor acknowledge that the Customer will pay a deposit in the sum according to INVOICE upon signing of this contract for project filings, Prepare Architectural Plans and submit for Permits as a non-refundable deposit to be used and will be applied to the purchase price of the project.
3.2. All planned works must be completed as mentioned in INVOICE within starting from the date of receipt first payment under this agreement. Terms of performance of works can be changed by agreement of the parties.
ARTICLE 4. PROGRESS PAYMENTS
4.1. The Customer will make payments to the contractor: according Deposit and Payment Terms in INVOICE.
Balance due – as work required by said schedule and punch list is completed.
Customers shall make draw payments to the contractor within five business days after request by the contractor.
Through no fault of the Contractor, if payment is not received by the Contractor within five business days after contractor’s demand for payment demand for work “satisfactorily completed” send electronically or certified mail to the owners last known address, contractor shall have the right to stop work or terminate the contract at his option. Termination by Contractor under the provisions of this paragraph shall not relieve the Customer of the obligations of payments to Contractor for that part of the work performed prior to such termination, including the reasonable and earned costs for demobilization, costs incurred for canceling contracts with its subcontractors and suppliers, including suppliers to subcontractors, and any profit lost on the remainder of the contract.
(i) ACCORDING TO FLORIDA’S CONSTRUCTION LIEN LAW (SECTIONS 713.01-713.37, FLORIDA STATUTES) THOSE WHO WORK ON YOUR PROPERTY OR PROVIDE MATERIALS AND SERVICES AND ARE NOT PAID IN FULL HAVE A RIGHT TO ENFORCE THEIR CLAIM FOR PAYMENT AGAINST YOUR PROPERTY. THIS CLAIM IS KNOWN AS A CONSTRUCTION LIEN. IF YOUR CONTRACTOR OR A SUBCONTRACTOR FAILS TO PAY SUBCONTRACTORS, SUB-SUBCONTRACTORS, OR ANY MATERIAL SUPPLIERS, THOSE PEOPLE WHO ARE OWED MONEY MAY LOOK TO YOUR PROPERTY FOR PAYMENT, EVEN IF YOU HAVE ALREADY PAID YOUR CONTRACTOR IN FULL.
4.2.
IF YOU FAIL TO PAY YOUR CONTRACTOR, YOUR CONTRACTOR MAY ALSO HAVE A LIEN ON YOUR PROPERTY.
THIS MEANS IF A LIEN IS FILED YOUR PROPERTY COULD BE SOLD AGAINST YOUR WILL TO PAY FOR LABOR, MATERIALS, OR OTHER SERVICES THAT YOUR CONTRACTOR OR A SUBCONTRACTOR MAY HAVE FAILED TO PAY. TO PROTECT YOURSELF, YOU SHOULD STIPULATE IN THIS CONTRACT THAT BEFORE ANY PAYMENT IS MADE, YOUR CONTRACTOR IS REQUIRED TO PROVIDE YOU WITH A WRITTEN RELEASE OF LIEN FROM ANY PERSON OR COMPANY THAT HAS PROVIDED TO YOU A “NOTICE TO CUSTOMER.” FLORIDA’S.
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CONSTRUCTION LIEN LAW IS COMPLEX AND IT IS RECOMMENDED THAT YOU CONSULT AN ATTORNEY.
(ii) PRIOR TO THE CUSTOMER’S OBLIGATION TO MAKE ANY PAYMENT UNDER THIS CONTRACT THE CONTRACTOR MUST FIRST PROVIDE TO THE CUSTOMER A WRITTEN RELEASE OF LIEN FROM ANY PERSON OR COMPANY THAT HAS PROVIDED TO CUSTOMER A “NOTICE TO CUSTOMER”.
ARTICLE 5. DUTIES OF THE CONTRACTOR
5.1. All work shall be in substantial accordance with the plans and specifications. All systems shall be in good working order. In the event of inconsistency of the executed works with the approved project and defective quality of the work is identified to be Contractor’s fault, the Contractor shall at its own expense make all necessary repairs within 7 working days not affecting time frame specified in Article 18 of this Contract.
5.2. All work shall be completed in a workmanlike manner, and shall comply with all applicable national, state and local building codes and laws in effect at the time this agreement is executed and at the time of final inspection. Customer acknowledges that Contractor is not a design professional and in no event shall Contractor assume any design, code compliance or performance specification obligations. Contractor shall perform the Work in accordance with plans and specifications provided by others.
5.3. All work to be completed during normal business hours, Monday through Friday – 9 a.m. to 5:00 p.m. Any requests for work performed during other than business hours will be charged at a premium and considered a change order.
5.4. All work shall be performed by individuals or entities licensed to perform their work, as required by law.
5.5. Customer acknowledges and authorizes specific aspects of work to be performed by third parties such as tradesmen, materialmen and other specialists.
5.6. The Contractor shall obtain all permits necessary for the work to be completed, however payment for the same shall be the responsibility of the Customer.
5.7. Contractor shall remove all construction debris and leave the project in a broom clean condition during the period of construction and at the completion of construction. If Contractor fails to remove debris Customer will remove it and the cost of such will be deducted from the final payment.
5.8. Contractor is responsible for all materials provided by Customer and Received by Contractor. Any damage done to materials by Contractor’s negligence, Contractor will reimburse Customer for such damage.
ARTICLE 6. Customer
6.1. The Customer shall not communicate with subcontractors. All communications with
subcontractors or other on-site workers shall be through the Contractor only. 6.2. The Customer will not assume any liability or responsibility, nor have controls over or charge of construction means, methods, techniques, sequences, procedures, or for safety precautions and programs in connection with the project, since these are solely the Contractor’s responsibility.
6.3. Customers shall provide contractors with adequate space for storage of materials and staging areas as may be required. Contractor has reviewed the space for storage of materials and staging areas available at the job site and agrees they are adequate.
ARTICLE 7. CHANGE ORDERS AND FINISH SCHEDULES
7.1. A Change Order is any change to the original plans and/or specifications or other unforeseen event not originally anticipated by the parties. All change orders need to be agreed upon in writing, including cost, additional time considerations, approximate dates when the work will begin and be completed, the location where the work will be done and must be agreed in writing by both parties. 50% of the cost of each change order will be paid prior to the changed work being performed, with the final 50% paid upon completion of the change order. Additional time needed to complete change orders shall be added to the project completion date.
ARTICLE 8. CONTROLLING LAW
8.1. This Contract and the rights of the parties under this Contract shall be governed by the laws of the State of Florida.
ARTICLE 9. INSURANCE
9.1. The Contractor shall purchase and maintain required Workman’s Compensation and Liability Insurance coverage as required by law. Proof of such Workman’s Compensation and Liability Insurance shall be provided to the Condo Association.
9.2. The Customer will purchase and maintain property insurance or builder’s risk insurance for the full and insurable value of the project, in case of a fire, vandalism, malicious mischief or other instances that may occur and
beyond contractor’s control. Proof of such insurance shall be provided to the Contractor when and if requested by the Contractor.
ARTICLE 10. GENERAL PROVISIONS
If conditions are encountered at the construction site which are subsurface or otherwise concealed physical conditions or unknown physical conditions of an unusual nature, which differ from those ordinarily found to exist and generally recognized as inherent in construction activities, the Customer will promptly investigate such conditions and, if they differ materially and cause an increase in the Contractor’s cost of, and/or time required for, performance of any part of the work, will negotiate with the Contractor an equitable adjustment in the contract sum, contract time or both.
ARTICLE 11. HAZARDOUS MATERIALS, WASTE AND ASBESTOS
11.1. Both parties agree that dealing with hazardous materials, waste or asbestos requires specialized training, processes, precautions and licenses. Therefore, unless the scope of this agreement includes the specific handling, disturbance, removal or transportation of hazardous materials, waste or asbestos, upon discovery of such hazardous materials the Contractor shall notify the Customer immediately and allow thel Contractor to contract with a properly licensed and qualified hazardous material contractor. Any such work shall be treated as a Change Order resulting in additional costs and time considerations.
11.2. I ACKNOWLEDGE THAT IF THE BUILDING AT THE ABOVE ADDRESS WAS BUILT POST JANUARY1,1978. IFMYHOMEWASBUILTPRIORTO1978,I ACKNOWLEDGE THAT I AM IN RECEIPT OF A COPY OF THE PAMPHLET “PROTECT YOUR FAMILY FROM LEAD IN YOUR HOME” ISSUED BY THE E.P.A. IF THE PROPERTY IS A MULTI-FAMILY DWELLING, I ACKNOWLEDGE THAT ALL TENANTS HAVE BEEN DISTRIBUTED THESE PAMPHLETS
ARTICLE 12. ARBITRATION OF DISPUTES
12.1. Any controversy or claim arising out of or relating to this contract, or the breach thereof, shall be settled by arbitration administered by the American Arbitration Association under its Construction Industry Arbitration Rules, and judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.
12.2. In the event of any arbitration or litigation relating to or arising out from this Contract the prevailing party shall be entitled to reasonable attorney fees, costs and expenses.
ARTICLE 13. WARRANTY
13.1. At the completion of this project, the Contractor shall warrant the project for one year against defects in workmanship. All materials are warranted by respective manufacturers. Contractor does not warranty materials or manufactured goods of another company. If there is any defect in the materials used, the Customer will contact the manufacturer. The manufacturer’s warranty will prevail. No legal action of any kind relating to the project, project performance or this contract shall be initiated by either party against the other party after one year beyond the completion of the project or cessation of work. This express warranty is the sole warranty provided by the Contractor. Customer expressly waives any implied warranties including those of fitness or merchantability
ARTICLE 14. TERMINATION OF THE CONTRACT
Should the Customer or Contractor substantially fail to perform any conditions of this contract the following shall apply: The non-defaulting party may declare the contract in default and proceed against the defaulting party for the recovery of all damages incurred as a result of said breach of contract, including a reasonable attorney’s fee. The non-defaulting party may state his intention to comply with the contract and proceed for specific performance.
14.1.1. In the case of a defaulting Customer, the Contractor shall make claim to the Customer for all work performed including costs for demobilization, costs incurred for canceling contracts with its subcontractors and suppliers, including suppliers to subcontractors, and any profit lost on the remainder of the contract. You may cancel the contract within three (3) business days from the date of this contract. If you rescind this agreement in accordance with this provision, DSB-USA.CORP is entitled to payment by you for the reasonable value of the services rendered and any expenses incurred by DSB- USA.CORP prior to receiving notice of this rescission. To exercise your rights to rescind this agreement, submit written notification to DSB-USA.CORP at the address shown on this agreement before the close of business on the third (3) day from the date of this agreement.
ARTICLE 15. ATTORNEY FEES
15.1. In the event of any arbitration or litigation relating to or arising from this contract, the prevailing party shall be entitled to reasonable attorney fees, costs and expenses.
ARTICLE 16. OCCUPANCY
16.1. Upon completion, the project shall be inspected by the Customer and the Contractor, and
any repairs necessary to comply with the contract documents shall be made by the Contractor.
16.2. The Customer shall not occupy the area under construction until final payment has been received by the Contractor and a Certificate of Occupancy has been obtained.
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16.3. Subject to the provisions of Article 13.1, occupancy of the project by the Customer in violation of Article 16.2 shall constitute unconditional acceptance of the project and a waiver of any defects or uncompleted work.
ARTICLE 17. SEVERABILITY CLAUSE
If any provision of this Contract is held unenforceable, then such provision will be modified to reflect the parties’ intention. All remaining provisions of this Contract shall remain in full force and effect.
ARTICLE 18. TIME FRAME
Unless solely due to actions or inaction of the Condo Association, City/Village Hall, Customer and/or the Customer owner’s subcontractors, or due to an act of God, Contractor shall complete all of the work required pursuant to this contract and shall be complete within 9 months of the commencement date of this project, not including additional time required by change orders as per Article 7 of this Contract.
EXHIBIT ‘A’
FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND
PAYMENT MAY BE AVAILABLE FROM THE FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND IF YOU LOSE MONEY ON A PROJECT PERFORMED UNDER CONTRACT, WHERE THE LOSS RESULTS FROM SPECIFIED VIOLATIONS OF FLORIDA LAW BY A LICENSED CONTRACTOR. FOR INFORMATION ABOUT THE RECOVERY FUND AND FILING A CLAIM, CONTACT THE FLORIDA CONSTRUCTION INDUSTRY LICENSING BOARD AT THE FOLLOWING TELEPHONE NUMBER AND ADDRESS:
FLORIDA CONSTRUCTION INDUSTRY LICENSING BOARD 1940 N. MONROE STREET, SUITE 33 TALLAHASSEE, FL 32399-1039 (850) 487-1395