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General Construction Agreement for Switzerland

General Construction Agreement Template for Switzerland

A comprehensive construction agreement governed by Swiss law that establishes the legal framework for construction projects in Switzerland. The agreement incorporates provisions from the Swiss Code of Obligations (OR), particularly Articles 363-379 regarding Werkvertrag (contract for work), and typically aligns with SIA 118 standards. It details the rights and obligations of the principal and contractor, including scope of works, payment terms, quality standards, warranties, and dispute resolution procedures, while ensuring compliance with Swiss federal and cantonal construction regulations, environmental requirements, and workplace safety standards.

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What is a General Construction Agreement?

The General Construction Agreement serves as the primary contractual document for construction projects in Switzerland, establishing the legal relationship between the principal/owner and the contractor. This document is essential for any construction project, whether commercial, residential, or industrial, and must comply with Swiss federal and cantonal laws, including the Code of Obligations and SIA 118 standards. It contains detailed provisions for project execution, payment terms, quality requirements, warranties, and dispute resolution, while addressing specific Swiss construction regulations and environmental requirements. The agreement is particularly important as it provides legal certainty and risk allocation between parties, incorporating mandatory warranty periods and defects liability provisions specific to Swiss construction law.

What sections should be included in a General Construction Agreement?

1. Parties: Identification of the Principal/Owner and the Contractor, including full legal names, addresses, and registration details

2. Background: Context of the construction project, including property details and purpose of the works

3. Definitions: Definitions of key terms used throughout the agreement, including technical construction terminology

4. Scope of Works: Detailed description of the construction works to be performed, including reference to specifications and drawings

5. Contract Price and Payment: Agreement on price, payment schedule, variations, and payment terms including retention

6. Project Timeline: Commencement date, completion date, milestones, and provisions for extensions of time

7. Contractor Obligations: Key responsibilities including workmanship, materials, supervision, and compliance with laws and standards

8. Principal Obligations: Responsibilities including site access, permits, approvals, and provision of necessary information

9. Quality and Standards: Required quality standards, reference to SIA norms, and inspection procedures

10. Warranties and Defects: Warranty periods, defects liability, and remediation procedures as per Swiss law

11. Insurance and Liability: Required insurance coverage and allocation of risks between parties

12. Work Safety and Environmental Protection: Safety requirements and environmental obligations under Swiss regulations

13. Termination: Grounds for termination, procedures, and consequences

14. Governing Law and Dispute Resolution: Confirmation of Swiss law application and dispute resolution procedures

What sections are optional to include in a General Construction Agreement?

1. Performance Security: Requirements for bank guarantees or performance bonds, used for larger projects

2. Subcontracting: Rules and procedures for engaging subcontractors, needed when subcontracting is anticipated

3. Intellectual Property: IP rights provisions, required when design elements or innovative construction methods are involved

4. Force Majeure: Provisions for unforeseen events, particularly relevant for longer-term projects

5. Sustainability Requirements: Special environmental or sustainability standards, used for green building projects

6. Building Information Modeling (BIM): BIM requirements and protocols, needed for projects using BIM technology

7. Site Conditions: Provisions dealing with underground conditions and existing structures, important for complex sites

8. Materials Supply: Specific provisions for material procurement and supply, relevant for projects with special material requirements

What schedules should be included in a General Construction Agreement?

1. Schedule 1: Technical Specifications: Detailed technical specifications of the construction works

2. Schedule 2: Construction Drawings: Approved construction drawings and plans

3. Schedule 3: Bill of Quantities: Detailed breakdown of quantities and prices

4. Schedule 4: Project Timeline: Detailed project schedule including milestones

5. Schedule 5: Payment Schedule: Detailed payment terms and milestone payments

6. Schedule 6: Site Plan: Plan showing the construction site and access points

7. Schedule 7: Quality Assurance Plan: Detailed quality control procedures and requirements

8. Schedule 8: List of Approved Subcontractors: Pre-approved subcontractors if applicable

9. Appendix A: Building Permits: Copies of relevant building permits and approvals

10. Appendix B: Insurance Certificates: Required insurance documentation

11. Appendix C: Form of Bank Guarantee: Template for required bank guarantees or bonds

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Switzerland

Publisher

Genie AI

Document Type

Project Agreement

Cost

Free to use

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