Disclaimer
The information provided is intended solely as a general example related to project payment structures where costs are reimbursed along with a fee or markup. It is not legal advice and should not replace consultation with a qualified attorney experienced in construction or contractual law. Regulations and requirements may vary by jurisdiction, and adjustments may be necessary to ensure compliance. Use of this example is at the user’s own risk, and no liability is assumed for errors, omissions, or consequences arising from its application without professional review.
Please note: This is a sample Cost Plus Contract template for the US, intended for demonstration purposes only. Actual terms should be customized based on specific project requirements and legal advice.
Cost Plus Contract (US) Sample
Parties Involved:
Contractor: XYZ Construction Inc.
Address: 123 Builder Road, Cityville, CA 90001
Owner: John Doe
Address: 456 Elm Street, Cityville, CA 90002
Project Description:
The scope of work involves the construction of residential property located at 789 Maple Avenue, Cityville, CA 90003, including all associated construction activities as detailed in project specifications.
Payment Terms:
The owner agrees to reimburse the contractor for actual costs of labor, materials, and overheads, plus an agreed-upon fee of X% of the costs, payable upon submission of invoices and approval of work performed.
Contractor Responsibilities:
The contractor shall perform all work in accordance with industry standards, applicable laws, and the specifications provided, maintaining quality and safety throughout the project.
Governing Law:
This agreement shall be governed by the laws of the State of California. Disputes shall be resolved through arbitration or in the courts located within California.
Additional Provisions:
- Changes to the scope of work must be approved in writing by both parties.
- Invoices shall be submitted monthly, and payment shall be made within 15 days of approval.
- The owner shall provide access to the site and necessary permits for the work.
Cityville, ______________________
John Doe (Owner)
XYZ Construction Inc. (Contractor)