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Materials and Services Not Included
This proposal covers only the labor, services, materials, and goods outlined herein. Bluegrass Builders and Remodel is not responsible for the remediation of any existing conditions discovered after commencement of the project, nor for any delays that occur as a result. In the event of such a discovery of previously unfound existing conditions, Bluegrass Builders and Remodel will work with [“Prepared For” party at top of Proposal] to determine the scope of extra work, costs involved with remedying the existing conditions, and a date for payment through a written Change Order. Bluegrass Builders and Remodel is entitled to increase its price to cover the cost of a material or labor price increase. If Owner wants to purchase the materials, the materials must be purchased through Blue Grass Builders and Remodel. When you are ready to move forward with this project, please sign contract and pay invoice deposit. Proposal only valid for 30 days.
This agreement is made on the Issue Date at the top of the Proposal between the Owner and Bluegrass Builders and Remodel (hereinafter “Contractor”).
All notices required by this contract are to be sent via email and/or United States mail to the addresses for Contractor and Owner listed below.
III. PROJECT AND ACCESS TO WORK
The Owner is hiring the Contractor to perform services at the address listed above (called “Project” for the rest of the agreement).
Owner shall grant free access to all work areas for workers, trucks, vehicles, trailers, and necessary for the completion of the Project. Owner shall also provide areas for storage of Project related materials and debris. Owner agrees to keep driveways clear and available for movement and parking of trucks during scheduled working hours. Owner shall be responsible for securing all entrances to the job site in a manner adequate to prevent persons other than Owner, Contractor, and any authorized workers or material suppliers from gaining access to that site. Contractor shall not be liable for damage to driveways, walks, lawns, shrubs, or other vegetation by movement of trucks, workers, equipment, materials, or debris.
All pets must be secured while Contractor is performing work on the job site. Contractor will not be responsible for the security of pets, any pets escaping, or any damage caused to areas where work is being performed due to wandering pets. Additionally, Contractor will not be responsible for the recovery of lost pets, or any cost associated with the recovery of lost pets.
Owner shall provide a clean working space. Owner shall remove any animal excrements, debris, and any other waste in the Project area that might impede the Contractor from performing its Contract obligations prior to the Commencement date.
Owner understands that oftentimes there are leftover materials when orders are made in pallet quantities. Owner agrees that all extra material is property of the Contractor.
Owner shall provide and pay for all utilities such as but not limited to water, gas or oil service, electricity, sewage and trash disposal necessary for the completion of the Project.
Contractor shall keep Owner advised as to the hours during which work is scheduled to be performed at the job site. If Owner denies access to any worker or supplier of materials during scheduled working hours, then Owner will be deemed in breach of this Contract and subject to liability for any damages caused by the breach.
IV. SCOPE OF WORK
The Contractor is hired to do the work in the above Proposal. Any additional documents required to do the work will be referenced in the Proposal. If the Owner wants to purchase the materials, then Owner shall purchase them through Bluegrass Builders. Contractor will not be responsible for materials purchased and delivered by the Owner nor will Contractor be responsible if such materials are lost when delivered to the Project.
If required by any county that a new construction home not be furnished prior to obtaining a certificate of occupancy, then the Owner is not allowed to furnish a new construction home until such certificate of occupancy is granted.
Owner shall make available to Contractor all plans, specifications, blueprints, drawings and similar documents necessary for the completion of the work to be performed by Contractor. All such documents remain the property of the Owner and shall be returned to the Owner at the completion of the work.
Contractor will perform the work in accordance with the information in the Proposal. If there is a conflict between sketches, renderings, views, pictures, plans, blueprints, supplied to Contractor, and the terms of this contract, then the terms of this contract shall be controlling.
Owner extends the Contractor full liberty to select materials appropriate to complete this project unless Owner selects other materials prior to the start of work on the Project. If the different materials increase the Contractor’s costs the parties agree to amend this contract accordingly.
Owner acknowledges that the work to be performed anticipates the use of heavy equipment and or trucks to roof-top materials. Owner understands that it is possible that the driveway, curbs, or walkways may be cracked or damaged because of the weight of the equipment or trucks. Except in the case of Contractor’s negligence or willful misconduct, Contractor shall not be liable for any cracks or damages caused to the driveway, curbs, or walkways. If customer would prefer the contractor to hand lift the materials, the contract price will need to be increased to reflect the additional labor cost.
The Owner agrees that there may be a minor variation in color between the color samples and the actual color of the product installed due to production times or natural processes. If the contracted material design, pattern, color or size change at the request of the Owner and the products need to be reordered or returned, a restocking fee of 35% of the returned product will be charged.
Owner acknowledges the limitations of patching plaster or paint, along with any stain or woodwork finishing. While Contractor shall make every effort to match existing textures, colors, and planes, exact duplication is not possible.
The Contractor will provide all required supervision, labor, equipment necessary to perform the Work. The cost of permits shall be included in the cost of the work to be performed. If a permit is not issued by the appropriate government entity the Contractor may suspend work on the Project without penalty. The Owner and Contractor shall cooperate in obtaining the necessary permits. If the necessary permits cannot be obtained after a reasonable time either party may terminate the contract. The Contractor shall be paid for all work performed.
Contractor shall commence the work to be performed on or prior and shall be completed on or about date. The date for the completion of the work may be extended without penalty or liability for the Contractor due to circumstances beyond the control of the Contractor.
Contractor will communicate weekly to keep Owner up to date on the Project progress.
VI. PROTECTION OF OWNER’S PROPERTY
Owner agrees to remove from the job site or to otherwise protect any personal property including, but not limited to carpets, rugs, drapes, furniture, shrubs, and plantings. Contractor shall not be held responsible for damage to or loss of any of the Owners personal property.
Owner must remove any breakable or valuable items on the job site while Contractor is conducting work. Contractor will not be responsible for damage caused by moving or removing any furniture and/or appliances that must be moved for Contractor to perform the Work. Contractor shall not be responsible for damage or loss to any property not removed from the job site.
VII. ASSUMPTION OF RISK
To ensure worksite safety, Owner shall restrict entry of Owner’s guests onto the Worksite so all services being rendered by Contractor can be completed and maintained properly. Contractor will not be responsible for any damage created by Owner or Owner’s guests, or any injuries caused to Owner or Owner’s guests. Contractor may request that uninvited guests leave due to any dangerous conditions or for any other reason.
Owner shall secure any access to pool, swing sets, toys, and all attractive nuances within the Owner’s property. Owner will be solely liable for any damage or injuries caused by the free access to attractive nuances within the Owner’s property.
If any of Contractor’s equipment remains in Owner’s property, Contractor will not be responsible for any harm or injuries to Owner if Owner or Owner’s guests use the equipment in any form with or without Contractor’s authorization.
VIII. EXCUSABLE DELAYS
Certain things can happen that can delay the project that are not foreseeable and not under the Contractor’s control. These things include floods and severe storms, acts of war, strikes, shortage of labor and/or materials, sickness, and stay-at-home orders of any kind. If any of these events occur, the Contractor will receive the necessary additional time to complete the Project.
If for reasons beyond the Contractor’s control, the cost of labor and/or materials increases more than 5% from the date of signing this contract, the Owner will pay Contractor for the increased cost.
IX. UNFORESEEN CONDITIONS
Contractor is not responsible for any unknown conditions or any existing illegal conditions. Contractor is not responsible for any unusual or abnormal concrete footings, foundations (including cracks in foundations), existing framing, electrical, plumbing, irrigation lines, asbestos, lead removal, or HVAC.
If Contractor encounters or discovers any unforeseen or concealed condition, or other conditions which are not anticipated by the project plans and specifications, Contractor will notify Owner of such condition in writing. It is not the responsibility of Contractor to fix or alleviate such conditions.
In the event Contractor is conducting work on an older home, things may not appear perfect, level or square. Contractor will perform the work to the best of their ability and produce a result that substantially meets the requirements of the contract.
XI. CHANGES IN WORK, AMENDMENTS AND MODIFICATIONS
The Owner may ask Contractor to make changes to the work to be performed under the terms of this contract. All changes to the Project must be in writing and signed by both the Owner and the Contractor in a Change Order. The cost of such extra work will be determined in advance and the cost will be added to the Contract price in addition to Contractor’s usual fee for overhead and profit. Owner shall make payments for all extra work as that work progresses, concurrently with regularly scheduled payments.
Owner, please note if you do not have a signed change order for extra work, Contractor will not begin change order work. Owner must pay change order cost before Contractor begins any of the additional change order work.
If the change is an increase in Work:
If the change is a decrease in Work:
Any subsequent amendment, modification, or Contract, which alters this Contract, and which is signed or initialed by Contractor and Owner, shall be deemed a part of this Contract and shall be controlling in case of conflict with any other provision in Contract.
The Owner will pay Contractor in full for entire project. This price includes all sales, use, and any other tax. The Contractor is responsible for paying all its taxes.
Initial Deposit. At the signing of the Contract, the Owner must pay the Contractor 25% of the total contract price.
During the progress of the Work, Owner will pay Contractor once certain milestones are reached in the Work, as listed below:
First Draw : 25% at Commencement Date.
Second Draw : 25% when needed.
Third Draw : 25% when ordered.
Fourth Draw : 25% when ordered.
Fifth & Final Payment: Remaining contract price. Owner shall make final payment after final walkthrough of the Project. Owner shall make payments to Contractor within FIVE calendar days of receipt of an invoice. Any late payments will be subject to Kentucky’s Prompt Payment laws and a monthly, 1% non-payment interest.
Payment may be withheld from the Contractor for the following reasons:
For final payment, the Contractor will email the Owner warranty paperwork upon request.
The Contractor must use any payment from the Owner intended for this project to pay anyone that the Contractor hired to provide materials and/or labor for the Work on this project.
Contractor shall have the right to stop work and keep the job idle if payments are not made to Contractor when due. If the work is stopped, for any reason, for a period of 60 calendar days, then Contractor may, at Contractor’s option, on five calendar days written notice, demand and receive payment for all work executed and materials ordered or supplied and any other loss sustained. Thereafter, Contractor is relieved from any further liability. If work stops for any reason, Owner shall provide for protection of all material on the premises and shall be responsible for any damage, or loss of that material.
XIV. PUNCH LIST
Within 7 to 14 working days prior to the completion of the Work, Contractor and Owner will jointly examine the entire Project and create a Punch List of the remaining items of work to be completed as outlined in the original Contract and any subsequent agreed upon Change Orders.
The Punch List will describe all the work the Contractor and Owner agree needs to be completed to fulfill the conditions of this Contract. When Contractor has completed each item, Owner will initial those items on the Punch List, agreeing that they have been satisfactorily completed. When the terms of the original Contract along with any Change Orders and the final Punch List have been completed, the Project will be complete, and the final payment will be due and payable within 5 calendar days.
Any additional items that Owner may find after the Punch List has been completed will be dealt with only after final payment and retainage has been received by Contractor.
If Owner fails to make themselves available to compile the Punch List as outlined above, Owner accepts the Punch List that Contractor will assemble prior to the completion of the Project and will comply with the balance of the process for the Punch List.
If Owner fails/refuses to sign off on completed Punch List items without due cause and agreement by Contractor, then Owner will be in default of this agreement.
Contractor and Owner will agree to and specify any deficiencies or delays regarding the Punch List and payments for those items on a Change Order on or before the completion date for this job.
XV. INSURANCE AND INDEMNITY
The Contractor will protect the Owner from any damage the Contractor causes, or any damage caused by the Contractor’s Work. To protect the Owner, the Contractor must have and maintain for the entire time it is on the project general liability insurance and Contractor will provide insurance documents upon Owner’s request.
Below is the legalese that says Contractor will protect the Owner from any damage that Contractor causes:
CONTRACTOR AGREES TO DEFEND, INDEMNIFY, AND HOLD HARMLESS OWNER AND ITS AGENTS AND EMPLOYEES, FROM AND AGAINST ALL CLAIMS, TO THE PROPORTIONAL EXTENT CAUSED BY ANY NEGLIGENT ACT OR OMISSION BY CONTRACTOR OR CONTRACTOR’S SUBCONTRACTOR IN CONNECTION WITH THIS AGREEMENT OR IN THE PERFORMANCE OF THE WORK, PROVIDED SUCH CLAIMS ARE ATTRIBUTABLE TO THIRD PARTY BODILY INJURY, ILLNESS OR DEATH, OR FOR THIRD PARTY PROPERTY DAMAGE.
If either the Contractor or the Owner fail to do anything required by this contract, they will be in default.
If the Contractor is in default, the Owner must give the Contractor written notice via email of what they have failed to do. The Owner must give Contractor three calendar days to schedule an inspection of, or a meeting with the Owner relating to, the alleged default. After inspection and/or meeting, and if Contractor believes there is a default, the Contractor will then send an email to Owner that outlines the steps it will follow to cure the defect. Contractor will have a minimum of 30 calendar days to cure the default.
If after inspection the Contractor does not believe it is in default and no resolution relating to the alleged default is reached, Owner must follow the steps outlined in the Dispute Resolution section.
Defective or incomplete work is a type of default. Owner may withhold a reasonable amount from the Contractor’s payment that is needed to correct or complete the defect. If the Contractor does not believe there is defective or incomplete Work, then Owner may either follow the Dispute Resolution section or keep the money withheld. However, Contractor may pursue legal action if it believes Owner is withholding payment in bad faith.
If the Owner is in default, the Contractor must give the Owner written notice via email of what they have failed to do and must give them seven calendar days to fix the default before the Contractor can terminate this contract.
Once you sign this contract, you must do what it says you will do. You cannot back out once you sign this contract. This rule applies to both the Owner and the Contractor.
If the Contractor fails to respond to Owner’s written notice of default within three days and makes no attempt to follow the procedures outlined in the Default section, the Owner may terminate the Contract. The Owner must send written notice of termination via email to the Contractor.
What happens when the contract is terminated:
If the Owner fails to fix a default within seven calendar days from the Contractor’s written notice, the Contractor may stop work until Owner fixes the default, and the Contractor may file a mechanic’s lien on the Project or take another legal action required to collect the amounts owed to the Contractor. Owner shall pay any costs associated with curing Owner’s default.
The Contractor can terminate this contract at any time and for any reason, by giving the other party three calendar days’ notice. If Contractor terminates the Contract for convenience during the performance of a milestone, Contractor will have the option to complete the milestone work or issue a refund to the Owner for unperformed milestone work.
XIX. DISPUTE RESOLUTION
Any claim, controversy, or dispute between the Contractor and the Owner related to this contract or project will try to be resolved at mediation. Either party can send the other party a written request to mediate. If the other party does not respond to the request for mediation within 30 days, the other party may move forward with arbitration.
If the dispute between the Contractor and the Owner is not resolved in mediation, either party may file an arbitration claim. Both parties agree to submit their disputes to binding arbitration.
Both the Contractor and the Owner knowingly and voluntarily waive their rights to a jury trial.
The dispute between the Contractor and the Owner will be submitted to the American Arbitration Association to be decided per the Construction Industry Arbitration Rules and the arbitration rules of the State of Kentucky. The contractor and the Owner agree to a single arbitrator panel that will be held in Fayette County, Kentucky.
The parties shall each pay one-half of all costs and fees associated with the mediation and/or arbitration. Each party shall be responsible for the cost of anyone they select to represent them at the arbitration.
If either party must hire an attorney and/or law firm to make the other party comply with this agreement, that party can recover its attorney fees. If both parties bring claims against each other, the party with the largest award in arbitration or litigation is entitled to recover their fees.
Liability shall be limited to compensatory damages proximately caused by the breach and neither party shall, under any circumstances, be liable to the other party for consequential, incidental, indirect or special damages.
XX. QUALITY OF WORK & WARRANTY
All work done by the Contractor will be performed in a workmanlike manner and in accordance with the specifications contained in this Contract. All work will be done in compliance with the rules, manufacturer instructions, and applicable building codes. The Contractor will use only new and good quality materials. The Contractor will give the Owner all applicable manufacturer’s warranties.
Up to one year after the project is completed, the Contractor shall repair any defects with its Work or materials. The Owner will send written notice of the defect via email; the Contractor will address such claims in a timely manner. If the Contractor fails to fix the defect, the Owner can hire a different contractor to make the repair, and the Contractor will pay the Owner the reasonable cost of the repair.
Warranty only covers the new drywall that Contractor performs upon and does not cover damage to existing drywall unless otherwise agreed by Owner and Contractor.
If the Contractor does not think that the repair was due to defective work or material, the Contractor will tell the Owner why, in writing, within five business days of receiving the warranty claim. If the Owner does not agree with the Contractor’s decision on the warranty claim, the Owner can follow the steps listed in the Dispute Resolution section of this contract.
No warranty repairs will be made until the Contractor is paid in full.
XXI. RIGHT TO PHOTOGRAPH AND VIDEO THE WORK
Owner shall permit Contractor or person(s) employed or engaged by Contractor, without compensation or consideration to Owner, to take photographs and/or videos at the project site of both completed work and work in progress, for purposes including, but not limited to, publication in newspapers, magazines, and other print media, use in broadcast media, publication via the internet, and use in marketing materials used by Contractor. Such photographs and any accompanying description shall not identify Owner or the property address of the project without the express written consent from Owner.
XXII. INDEPENDENT CONTRACTOR & WILL NOT HIRE
The Owner agrees not to hire or directly communicate with any of the Contractor’s employees and/or subcontractors.
The Owner and Contractor acknowledge that Contractor is an independent contractor and not an employee of the Owner.
XXVI. GOVERNING LAW, SEVERABILITY, AND INCORPORATION OF PROVISIONS REQUIRED BY LAW
This Contract shall be governed under the laws of the State of Kentucky.
Should any provision of this contract be found by a court of competent jurisdiction to be invalid, the remaining provisions shall remain in full force and effect. Each provision and clause required by law to be inserted into the Agreement shall be deemed to be enacted and this Agreement shall be read and enforced as though each were included. If through mistake or otherwise any such provision is not inserted or is not correctly inserted, the Agreement shall be amended to make such insertion by either party.
No waiver by the Contractor of any of the provisions of this Agreement is effective unless explicitly set forth in writing and signed by the Contractor. No failure to exercise, or delay in exercising, any rights, remedy, power, or privilege arising from this Agreement operates or may be construed as a waiver thereof. No single or partial exercise of any right, remedy, power, or privilege hereunder precludes any other or further exercise thereof or the exercise of any other right, remedy, power, or privilege.
XXVIII. DISCLOSURE RELATING TO ROOFING SERVICES
Owner, the following disclosure and required cancellation form applies ONLY if this Contract includes roofing services that are expected to be paid from the proceeds of a property and casualty insurance policy.
You may cancel this contract at any time before midnight on the fifth business day after you have received written notification from your insurer that all or any part of the claim or contract is not a covered loss under the insurance policy. This right to cancel is in addition to any other rights of cancellation you may have under state or federal law or regulation. See the attached Notice of Cancellation form for an explanation of this right.
XXIV. COMPLETE AGREEMENT
This is the complete agreement between the Owner and the Contractor for this Project, and it can only be changed in writing when signed by both parties. There is no agreement between the parties outside of this contract.
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