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This article is about a service agreement that is made between a contractor and a customer for services to be rendered by the contractor. The agreement lays out the contractor's obligations, completion date, payment terms, and termination clauses, among other details.
The agreement defines the work that is to be carried out by the contractor, the completion date, and the agreed price. The contractor is responsible for carrying out the work with due diligence and in a good and workmanlike manner using good quality materials and a high standard of workmanship. The contractor must also comply with any instructions or variations issued by the customer, and any instructions given to the contractor by a competent person in charge shall be deemed to have been issued to the contractor.
The work must be completed by the completion date, but if it becomes apparent that the work will not be completed by the completion date, the customer may grant such an extension of the time for completion as it thinks fair and reasonable. If the work is not completed by the completion date, the customer is entitled to liquidated damages.
Any defects, excessive shrinkages or other faults that appear within the warranty period must be made good by the contractor at its own expense. The contractor shall not assign the agreement or sub-contract the performance thereof without the prior written consent of the customer.
The customer may issue instructions requiring the exclusion from the site of the work of any person employed thereon. The customer shall pay the agreement price to the contractor within the agreed-upon timeframe. All materials and goods delivered to or placed on or adjacent to the site and intended for the work shall become the property of the customer.
The contractor shall be liable for and shall indemnify the customer against any expense, liability, loss, claim, or proceedings in respect of personal injury to or death of any person arising out of or in the course of or caused by the carrying out of the work. The contractor shall also be liable for and indemnify the customer against any expense, liability, loss, claim, or proceedings in respect of any damage whatsoever to any property arising out of or in the course of or caused by the carrying out of the work.
Either party may terminate the agreement if the other party becomes bankrupt or makes any composition or arrangement with their creditors or has a winding-up order made or a receiver or manager of its business or undertaking is appointed. The customer may also terminate the agreement if the contractor fails to proceed diligently with the work or wholly or substantially breaches any of the provisions of the agreement.
If you need to enter into a service agreement with another party, this document can help you do so easily. Here are the steps you should follow to use this document effectively:
1. Begin by entering the date of the agreement and the names and addresses of both parties involved. Party 1 is the contractor and Party 2 is the customer.
2. Make sure to understand the definitions of the terms used in the agreement. The agreement includes a description of the work that will be carried out, the completion date, and the agreement price.
3. The Contractor is responsible for carrying out the work with due diligence and in a good and workmanlike manner, using good quality materials and a high standard of workmanship.
4. The Contractor should also comply with any instructions or variations issued by the Customer in relation to the Work. If the instructions are given orally, they should be confirmed in writing within 5 days.
5. The Contractor shall keep a competent person in charge at the site of the Work and comply with any statute, statutory instrument, rule or order, or any regulation or bylaws applicable to the Work.
6. The Work should be completed by the Completion Date, but if it becomes apparent that the Work will not be completed by the Completion Date for good reason, then the Customer may grant an extension of time for completion as it thinks fair and reasonable. If the Work is not completed by the Completion Date, the Customer shall be entitled to liquidated damages.
7. Any defects, excessive shrinkages or other faults that appear within the warranty period should be promptly made good by the Contractor at its own expense.
8. The Contractor cannot assign the Agreement or sub-contract the performance thereof without the prior written consent of the Customer.
9. The Contractor shall comply with any health and safety or other applicable site regulations and may issue instructions requiring the exclusion from the site of any person employed thereon.
10. The Customer shall pay the Agreement Price to the Contractor within a specified number of days of completion of the Work.
11. All materials and goods intended for the Work shall become the property of the Customer.
12. The Contractor shall indemnify the Customer against any expense, liability, loss, claim or proceedings arising out of or in the course of or caused by the carrying out of the Work. The Contractor shall also maintain such insurances as are necessary to cover the liability of the Contractor.
13. Either party may terminate the Agreement by notice in writing if certain circumstances arise.
By following these steps, you can use this document to help protect both parties' interests when entering into a service agreement.