Learn About The Ins And Outs Of Subcontractor Agreements On Telescoconstruction.com

Learn About the Ins and Outs of Subcontractor Agreements

And why they’re essential for any construction project

From a distance, the construction of a building seems pretty clear-cut. You pick the land, draw up the designs, and then get building. But once you get a closer look, the process becomes highly complex, and there are numerous, specialized facets to any project.

Long before any building gets off the ground, coordinating a high number of personnel and a great deal of paperwork is involved, including plans, contracts, and agreements. This is one of the reasons why projects can take so long. This is also why many people choose to go with a design-build firm.

A design-build firm uses an “under one roof” approach, which means that everyone who will be involved in the project works for the same company. This can help speed things up in a number of ways, such as by streamlining all of the necessary paperwork, including the subcontractor agreements.

What are subcontractor agreements?

While most projects involve one contractor, work is commonly delegated to subcontractors, typically for specialty jobs. No matter what service the subcontractor provides, it has to be included in a written contract or agreement, and each agreement needs to contain these essential components:

Scope of work

Whatever the subcontractor will be doing has to be very well-defined within the agreement. The scope of the work should be as specific as possible and include the tasks required, due dates, and any other relevant details. Timing in particular is very important, and deadlines have to be explicit. The agreement should also include a stipulation that the subcontractor must notify the contractor right away if any delays are expected.

Licensing

When a subcontractor is hired, he or she has to have the proper licenses for the job they will perform. In order to protect the contractor from possible liability, the agreement has to have a provision stating that the subcontractor has the necessary licenses in accordance with all state and local laws.

Defense and indemnification

This is a very important element of a subcontractor agreement for legal reasons. If, for example, a subcontractor’s negligence resulted in a lawsuit, the subcontractor would agree to defend and indemnify the contractor. The agreement should also consist of language about the subcontractor consenting to defend and indemnify the contractor for any misrepresentations regarding licenses or other applicable issues.

If subcontractors are going to be used on a project, it is vital that detailed agreements are utilized. This is an essential step to making sure everyone knows their roles and what they’re responsible for. To guarantee your project has all of the necessary contracts, as well as a network of highly-skilled, experienced subcontractors to carry out the build, put it in the hands of Telesco Construction. Efficiency and quality are our priorities, and our design-build firm will help make the entire process as smooth as possible.

No matter if you’re looking to build a residential or commercial building, Telesco can get it done quickly, saving you time and money. For a free consultation about your intended project, call us at 305.390.0250 or send us an email at info@telescoconstruction.com.