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Contract Between Builder And Homeowner Template for New Zealand

A comprehensive legal agreement governed by New Zealand law that establishes the contractual relationship between a builder or building company and a homeowner for residential construction work. The document outlines the scope of works, payment terms, timeframes, and obligations of both parties while ensuring compliance with New Zealand's Building Act 2004, Construction Contracts Act 2002, and other relevant legislation. It includes provisions for variations, dispute resolution, and warranties, protecting both the builder's and homeowner's interests throughout the construction process.

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What is a Contract Between Builder And Homeowner?

The Contract Between Builder And Homeowner is a crucial legal document used in New Zealand's residential construction sector when a homeowner engages a builder or building company to undertake construction work on their property. This agreement is designed to comply with New Zealand's building regulations, including the Building Act 2004 and Construction Contracts Act 2002, while protecting both parties' interests. It is particularly relevant for new home construction, major renovations, or significant building projects where clear terms, conditions, and obligations need to be established. The document typically includes detailed specifications, payment schedules, timeframes, and compliance requirements, ensuring all aspects of the construction project are properly documented and agreed upon before work commences.

What sections should be included in a Contract Between Builder And Homeowner?

1. Parties: Identifies and provides full details of the builder/contractor and the homeowner

2. Background: Outlines the context of the agreement, including the homeowner's intention to engage the builder for construction work

3. Definitions: Defines key terms used throughout the contract

4. Scope of Works: Detailed description of the building work to be performed, including specifications and standards

5. Contract Price and Payment Terms: Specifies the total contract price, payment schedule, and payment procedures

6. Timeframes: Sets out the project timeline, including start date, completion date, and any milestone dates

7. Builder's Obligations: Lists the builder's responsibilities, including compliance with building codes and standards

8. Homeowner's Obligations: Specifies the homeowner's responsibilities, including site access and timely decisions

9. Variations: Procedures for handling changes to the scope of work

10. Consents and Compliance: Requirements for building consents, permits, and compliance with regulations

11. Insurance and Risk: Specifies required insurance coverage and allocation of risk

12. Warranties: Details of workmanship warranties and statutory guarantees

13. Dispute Resolution: Procedures for handling disputes between parties

14. Termination: Circumstances and procedures for contract termination

15. General Provisions: Standard contract clauses including notices, assignment, and governing law

What sections are optional to include in a Contract Between Builder And Homeowner?

1. Provisional Sums: For works where exact costs cannot be determined at contract signing

2. Prime Cost Items: For items where specific products haven't been selected at contract signing

3. Subcontractors: When subcontractors will be engaged for specific aspects of the work

4. Existing Structures: For renovation projects involving work on existing buildings

5. Resource Consent: When resource consent is required for the project

6. Site Access and Facilities: For projects requiring specific site access arrangements or temporary facilities

7. Materials Supply: When the homeowner is supplying some materials

8. Temporary Works: For projects requiring temporary structures or services

9. Retention: When payment retention is required for quality assurance

What schedules should be included in a Contract Between Builder And Homeowner?

1. Schedule 1: Plans and Specifications: Detailed architectural plans, engineering drawings, and technical specifications

2. Schedule 2: Payment Schedule: Breakdown of progress payments and payment milestones

3. Schedule 3: Construction Program: Detailed timeline of construction activities and milestones

4. Schedule 4: Prime Cost Items Schedule: List of items where exact products are to be selected

5. Schedule 5: Provisional Sums Schedule: List of works where exact costs are to be determined

6. Schedule 6: Special Conditions: Any specific conditions unique to the project

7. Appendix A: Site Safety Plan: Health and safety procedures specific to the site

8. Appendix B: Quality Assurance Plan: Quality control measures and inspection procedures

9. Appendix C: Insurance Certificates: Copies of required insurance policies

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

New Zealand

Publisher

Genie AI

Cost

Free to use

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