CONSTRUCTION AGREEMENT

This Agreement is made and entered into by and between:

______________________, Filipino citizen, of legal age, single/married and with address

at ________________________________, Philippines, hereinafter referred to as OWNER;

- and -

______________________, Filipino citizen, of legal age, single/married and with address

at ________________________________, Philippines, hereinafter referred to as CONTRACTOR;

WITNESSETH:

1. For and in consideration of the sum of __________________________

(P_______________), which the OWNER agrees to pay unto the CONTRACTOR, the said
CONTRACTOR agrees and undertakes to construct and build for the OWNER a
__________________________________________, on a parcel of land consisting of
________________________ (_____) Square Meters, the plan and specifications of which are
hereto attached and made integral parts of this contract.

2. The OWNER shall pay the sum of ________________________________

(P_______________) to the CONTRACTOR in accordance with the following schedule of
payments:

a) The amount of ________________________________ (P_______________), as down

payment on _________________.

b) The remaining balance of ________________________________ (P_______________)

shall be paid per billing statement depending on extent of the work completed.

3. The CONTRACTOR agrees to finish the construction of the __________________

within _______________ (_____) working days counted from ________________.

4. The CONTRACTOR shall give his personal superintendence to the work, and furnish all
labor, scaffoldings, and appliances required, for the full performance of the work herein
specified, except as may be otherwise definitely mentioned. He shall lay out his work, and be
responsible for its correctness; and shall not sublease any part of this work without the written
consent of the owner or the engineer or the architect.

5. All materials in the construction are, unless otherwise specified, to be the best of
their kind subject to the approval of the engineer/architect and owner. All labor is to be
performed in the most acceptable manner by skilled workmen and workmanship, subject to the
engineer’s approval. All works and materials must conform to the laws and regulations
enforced in the locality. The drawings referred to in the specifications including supplementary
ones to be furnished as the work progresses are intended to cooperate with the specifications
and to form part hereof, and also of the contract. Where figures are given, they are to be
followed in preference to measurement by scale.

6. The CONTRACTOR shall lay out the buildings in accordance with the drawings and
directions, and he shall not only be responsible for its due and accurate location on the lot, but
liable, for any damage inflicted on the owner or on adjacent property owners, for failure to
comply in this respect, with the said drawings and specifications, and directions.

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 7. The CONTRACTOR shall be solely responsible for any liability that may arise
hereunder, agreeing and undertaking to hold the OWNER, his employees, agents and
representatives free, safe and harmless from any and all claims, demands, payments, suits,
actions, recoveries and judgments of whatever kind and nature commence, filed or brought by
the CONTRACTOR’s creditors, subcontractors, laborers, employees, agents, representatives, or
any other claimants or their heirs, administrators and assigns, in connection with, arising out of
or incidental to works covered by this Agreement. The CONTRACTOR shall be solely responsible
for, and shall bear all costs and expenses caused by losses, damages, fire, death or injuries
sustained by any person or persons and for injury or damage to property arising out of, or in
connection with the execution of the works covered by this Agreement occasioned by or due to
the fault or negligence of the CONTRACTOR, his laborers, employees, agents and
representatives.

8. After the final completion of the works, the CONTRACTOR shall remove all surplus
materials, scaffoldings, machinery, tools, and equipment which do not form part of the works
furnished or supplied by the latter, and shall remove all debris and rubbish and leave the site
free and clean of all obstruction and hindrance caused or left by the CONTRACTOR as to render
the site fit for occupancy.

9. It is expressly and manifestly understood and agreed that all employees and/or
laborers hired by the CONTRACTOR for the purpose of this contract are employees solely of the
CONTRACTOR. It is also explicitly understood that there is no employer-employee relationship
between the OWNER and the CONTRACTOR, direct or indirect. The CONTRACTOR undertakes to
hold the OWNER free and harmless from any and all claims or liabilities filed by the former’s
employees, agents, representatives for salaries and wages, employees’ benefits, compensation
for death, injury, or sickness, or for any other claim arising from or in connection with their
employment by the CONTRACTOR. The CONTRACTOR assumes all liabilities for such claims and
shall indemnify the OWNER for all expenses which the latter may be forced to incur in relation
to any such claims by the workers or laborers of the CONTRACTOR. In the performance of the
works subject of this Contract, the CONTRACTOR shall observe all labor laws, rules, regulations
promulgated and shall be fully and solely liable for any and all violations of the same.

10. The CONTRACTOR shall likewise furnish the OWNER a list of all persons under his
employ with access to the site. Such list shall be updated and/or revised from time to time, as
the case may be. The CONTRACTOR shall be held responsible for all the acts and omissions of
his laborers, workers and other persons which he has authorized access to or allowed entry to
the OWNER’s building. The OWNER may allow overtime work to expedite the completion of the
repair or renovation works.

11. Safety measures, precautions and procedures shall be observed all throughout the
prosecution of the repair or renovation works from start to completion. The CONTRACTOR shall
take all necessary precautions for the safety of its laborers, employees, workers, materials,
machinery, equipment, etc. and shall comply with applicable provisions of all safety laws to
prevent accidents and/or injuries to all persons and property in or about or adjacent to the
premises where the works are to be performed.

12. Should there be any defect resulting from poor workmanship, product defect or in
case full satisfaction of the OWNER for any part of the works carried out and performed is not
obtained by the CONTRACTOR, the latter shall undertake to rework the defects or deficiencies
at its own expense.

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 13. The CONTRACTOR warrants and guarantees that it shall perform and complete all
the works strictly in accordance with the provisions of this contract free from workmanship and
product defects for a period of five (5) years from the date of final acceptance by the OWNER.
Any defect that occurs within the five-year period, except those that result from ordinary wear
and tear, or not attributable to the CONTRACTOR, shall be made good and/or replaced by the
CONTRACTOR, at no additional cost to the OWNER. The failure of the CONTRACTOR to repair or
replace the defects within fifteen (15) days from written notice shall entitle the OWNER to
undertake such repairs or replacement without previous notice to the CONTRACTOR in which
case, the expenses shall be charged to the CONTRACTOR. The CONTRACTOR shall be afforded a
reasonable opportunity to conduct an investigation and inspect the premises in the event that
defects occur within the five-year warranty period to determine if the defects are occasioned
by failure of product and/or workmanship.

14. Retention money at the rate of __% of the contract price shall be deducted by the
OWNER from the payments due to the CONTRACTOR and shall be paid by former to the latter
upon confirmation that all deficient services have been rectified or corrected during the
warranty period and all the obligations of the CONTRACTOR under this Agreement have been
fully performed and discharged.

15. Any and all legal actions that may arise hereunder shall be brought solely and
exclusively before the proper courts of Cebu City, each party hereby expressly waiving any
other venue.

IN WITNESS WHEREOF, the parties hereto have hereunto affixed their signatures this
__________________ in the City of Cebu, Philippines.

_________________ ________________
Owner Contractor

SIGNED IN THE PRESENCE OF:

________________________ _________________________

NOTARIAL ACKNOWLEDGMENT

Republic of the Philippines)

Cebu City . . . . . . . . . . . . . . .) S.S.

BEFORE ME, a Notary Public for and in Cebu City, on _____________, personally
appeared the following persons who exhibited to me their respective current and competent
evidence of identification bearing their signatures and photographs consisting of:

Names: Competent Evidence of Identity

____________________ ________________________________________________
____________________ ________________________________________________

who were identified by me through their aforesaid competent evidence of identification to be

the same persons described in this instrument and acknowledged before me that they have
voluntarily affixed their signatures herein and declared that they have executed the same of
their own free and voluntary act and deed.

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 WITNESS MY HAND AND NOTARIAL SEAL ON THE DATE AND AT THE PLACE FIRST ABOVE
WRITTEN.

Doc. No.: _____;

Page No.: _____;
Book No.: _____;
Series of 2024.