You would not start a job without a contract, nor should your builder
Research shows that most problems with building projects occur when there is no clear contract outlining exactly should be what donefor how much.
This text provides a list of items that should be specified in writing before signing a building contract. To simplify the text, the party that is purchasing the property will be referred to as the "owner" and the party that is building the structure will be referred to as the "contractor."
Duties of the Contractor In most cases, the contractor supplies all labour, equipment, and material to complete the structure (a). The contractor is usually responsible for temporary electrical service during construction (b).
Duties of the Owner The owner usually provides telephone service and water required during construction. Any of the work, equipment, or materials to be supplied by the owner should be specified. The owner should be available throughout the project for consultation or interpretation of plans and specifications.
Permits Make sure that the party responsible for obtaining permits is specified in the contract as well as who is paying for all permits.
Drawings and Specifications No building should be constructed without a complete set of plans or technical drawings (not free-hand drawings) and written specifications. These may be supplied by either the owner or the contractor and should be included as a part of the written contract.
LiveInCrete supplies a Construction Specification Sheet. This specification Sheet is fully completed by the Owner together with the contractor and it becomes part of the contract. Any changes, revisions, substitutions, in writing, also become part of the contract.
Insurance Four general types of insurance coverage are required to afford complete protection during construction.
Worker's compensation This insurance covers injury to employees working at the construction site and is provided by the “employer”. In Greek it is called IKA, literally translating as Organization for Social Insurance. It is mandatory and the sole responsibility of payments lie exclusively with the owner. Even if the payments are made by the contractor or the accountant, ensure that these payments are made by requesting a receipt, which you should safe guard for later use.
Public liability and property damage This insurance provides protection for the contractor and subcontractors from claims for personal injury, including death, and from claims of property damage. The contractor provides public liability and property damage insurance. It is not mandatory and almost unheard off in Greece. It is extremely rare that you will find any contractor who is using such insurance simply because it is not mandatory by the State.
Owner's protective The owner or contractor may provide this insurance, which protects the owner in the event of liability claims that arise from the construction project.
Builder's risk This type of insurance protects labor and on-site materials in the event of loss or damage by any disasters. The contractor usually provides this, although the owner may be responsible in cost-plus types of contracts. Either the owner or the contractor must secure adequate risk protection. Make sure that the parties responsible for obtaining the insurance coverage are specified in the contract. Again it is not mandatory, however the best professionals in all type of business will carry this insurance.
Changes or Alterations Changes in the original plans and specifications will probably be made during every construction project. Therefore, the owner and contractor must agree to implement changes and the procedures should include details on how to initiate a change, revise plans and specifications and changes in contract price. A record should be created for all changes and signed by both parties
Substitutions Substitutions should be subject to the approval of the owner before being incorporated into the structure. Many factors can require substitutions during construction such as delivery schedules, price changes, and budget changes, et al.
Cleanup An eyesore in most construction sites in Greece are all the debris, garbage, leftover building materials and eating leftovers, beer and soda cans, plastic wrappers, etc. Make sure that the site is cleaned up and all debris is removed and taken to an appropriate dump site and NOT the side of a road or a canyon … The contractor should be required to clear the site of all construction debris and to clean all building surfaces upon completion of the construction.
Laws and Regulations Building design and construction should conform to all applicable laws and regulations in a given locality. Make sure that this clause is in your contract.
Payment The contract should specify the method and time of payment for the project. In general, large projects require payment of portions of the contract price at specific points during the construction process, with the final payment due on completion, inspection and/or, any clause you may want to insert in the contract.
Storage of Materials Either the contractor or the owner may provide weatherproof on-site storage of construction materials. Indicate in the contract who is the responsible party.
Utility Connections Extension of utility lines to the building site as well as responsibility for connections and associated costs as required should be specified.
Warranties Terms of the contractor-supplied warranty should be spelled out in the contract. Provisions should also be made for transferring any warranties provided by manufacturers or suppliers of component parts from the contractor to the owner.
Service Manuals and Operational Instructions The contractor should be responsible for providing the owner with all operational and service manuals for component equipment. The contractor should also provide instruction in the proper and safe utilization of utilities installed in the project.
Time Schedule for Completion It is essential that a completion date be known well in advance. The owner and contractor should agree upon a completion date and any penalties to be paid if the contracted completion date is delayed.
