Design Build Contract Template for Australia

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Key Requirements PROMPT example:

Design Build Contract

"I need a Design Build Contract for a 20-story commercial office development in Brisbane, with specific provisions for Green Star certification requirements and BIM implementation, targeting construction commencement in March 2025."

Document background
The Design Build Contract is a crucial document used in the Australian construction industry when a project owner wants to engage a single entity to take responsibility for both design and construction works. This delivery method offers advantages in terms of single-point responsibility, potential time savings, and improved coordination between design and construction phases. The document includes comprehensive provisions for scope definition, risk allocation, payment terms, quality requirements, and dispute resolution mechanisms, all aligned with Australian law and industry practice. It's particularly suitable for complex projects where early contractor involvement in design can add value, and where the principal wants to transfer design risk to the contractor. The contract incorporates requirements from various Australian legislation including security of payment acts, work health and safety laws, and building regulations, while also addressing state-specific requirements where applicable.
Suggested Sections

1. Parties: Identifies and provides details of the principal/owner and the design-builder

2. Background: Sets out the context of the agreement and high-level project objectives

3. Definitions and Interpretation: Defines key terms and establishes rules for interpreting the contract

4. Contract Documents: Establishes hierarchy and relationship between various contract documents

5. Design-Builder's Obligations: Core obligations including design development, construction works, and fitness for purpose

6. Principal's Obligations: Access, payments, and other owner obligations

7. Time: Commencement, completion dates, programming requirements, and extension of time provisions

8. Variations: Process for changes to scope, timing, or cost

9. Payment: Payment terms, claims process, and security of payment provisions

10. Quality: Quality assurance, inspections, and defects liability

11. Work Health and Safety: Safety obligations and requirements

12. Insurance and Indemnity: Required insurances and indemnification obligations

13. Security: Bank guarantees, retention monies, and other security requirements

14. Intellectual Property: Ownership and licensing of design and project documentation

15. Default and Termination: Events of default, termination rights, and consequences

16. Dispute Resolution: Process for resolving disputes including mediation and arbitration

17. General Provisions: Standard boilerplate clauses including notices, governing law, and assignment

Optional Sections

1. Environmental Requirements: Used when project has specific environmental obligations or risks

2. Indigenous Heritage Protection: Required for projects affecting indigenous cultural heritage sites

3. Community Engagement: Used for projects requiring significant community consultation

4. Building Information Modeling: Include when BIM is required for the project

5. Contamination: Include for brownfield sites or where contamination is a known risk

6. Interface Management: Used when coordination with other contractors or stakeholders is required

7. Performance Testing: For projects requiring specific performance or operational outcomes

8. Warranties and Guarantees: Extended warranty requirements beyond standard defects liability

9. Early Works: When certain works need to commence before full design completion

10. Staging and Separable Portions: For projects delivered in distinct stages or portions

Suggested Schedules

1. Schedule 1 - Contract Particulars: Key project details, dates, and commercial terms

2. Schedule 2 - Scope of Works: Detailed description of design and construction scope

3. Schedule 3 - Principal's Project Requirements: Detailed technical and functional requirements

4. Schedule 4 - Design Documents: Initial design documents and development requirements

5. Schedule 5 - Fee Schedule: Pricing, rates, and payment milestones

6. Schedule 6 - Program: Project timeline, milestones, and key dates

7. Schedule 7 - Site Information: Site conditions, access, and related information

8. Schedule 8 - Forms of Security: Templates for bank guarantees and other security

9. Schedule 9 - Insurance Requirements: Detailed insurance obligations and minimum coverage

10. Schedule 10 - Quality Requirements: Quality standards, testing, and verification requirements

11. Appendix A - Drawing List: List of all applicable drawings and specifications

12. Appendix B - Reports and Studies: Technical reports, surveys, and investigations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Commercial Construction

Industrial Construction

Infrastructure

Healthcare Facilities

Educational Facilities

Residential Development

Mining

Energy and Resources

Transport

Retail

Data Centers

Sports and Recreation

Manufacturing

Relevant Teams

Legal

Commercial

Operations

Project Management

Design

Procurement

Risk and Compliance

Construction

Contract Administration

Engineering

Development

Executive Leadership

Finance

Relevant Roles

Project Director

Construction Manager

Commercial Manager

Contract Administrator

Legal Counsel

Project Manager

Design Manager

Procurement Manager

Risk Manager

General Counsel

Chief Operating Officer

Development Manager

Engineering Manager

Quantity Surveyor

Claims Manager

Technical Director

Operations Manager

Industries
Building and Construction Industry Security of Payment Act: Ensures timely payment for contractors and subcontractors, establishing a statutory payment claim process and adjudication mechanism
Work Health and Safety Act 2011: Federal legislation establishing requirements for workplace safety, particularly relevant for construction sites and design safety obligations
Environmental Protection and Biodiversity Conservation Act 1999: Federal legislation governing environmental impact assessments and approvals for construction projects
National Construction Code: Sets out technical provisions for building work and plumbing/drainage installations, including design requirements
Australian Consumer Law: Contains provisions relating to statutory warranties, unfair contract terms, and consumer guarantees that may apply to design and construction work
Building Products (Safety) Act: Regulates the use of building products and materials, ensuring compliance with safety standards
Design and Building Practitioners Act: Regulates design practitioners and builders, requiring compliance declarations and establishing duty of care obligations
Competition and Consumer Act 2010: Contains provisions affecting contract terms, particularly regarding anti-competitive behavior and misleading conduct
Building and Development Certifiers Act: Regulates building certification and assessment processes during construction
Home Building Act: Contains provisions for residential building work, including statutory warranties and insurance requirements
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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