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Subcontract Agreement For Construction Work

Subcontract Agreement For Construction Work Template for Denmark

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Subcontract Agreement For Construction Work

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The Subcontract Agreement For Construction Work is a vital document used in Danish construction projects when a main contractor needs to engage specialized subcontractors for specific aspects of a construction project. This agreement type is essential for projects ranging from commercial buildings to infrastructure works, ensuring clear delineation of responsibilities and risk allocation between parties. It must comply with Danish construction law and industry standards, particularly AB 18 and AB-U 18, while addressing practical aspects such as payment terms, quality requirements, and safety standards. The document is typically used when the scope of work represents a distinct portion of the main construction contract and requires specialized expertise or resources not available within the main contractor's organization. It serves as a crucial risk management tool by clearly defining obligations, liabilities, and procedures for project execution.
Suggested Sections

1. Parties: Identification of the main contractor and subcontractor, including company registration numbers and authorized representatives

2. Background: Context of the main construction project and the relationship to the main contract

3. Definitions: Key terms used throughout the agreement, including project-specific terminology

4. Scope of Work: Detailed description of the subcontractor's responsibilities and deliverables

5. Contract Documents: Hierarchy and list of documents forming part of the agreement

6. Time Schedule: Project timeline, milestones, and completion dates

7. Price and Payment: Payment terms, rates, variations, and invoicing procedures

8. Quality Requirements: Standards, specifications, and quality assurance procedures

9. Materials and Equipment: Responsibilities for supply and maintenance of materials and equipment

10. Health and Safety: Safety requirements and responsibilities aligned with Danish Working Environment Act

11. Supervision and Coordination: Requirements for site supervision and coordination with other contractors

12. Testing and Handover: Inspection procedures, testing requirements, and handover process

13. Defects and Warranties: Warranty periods, remedy of defects, and maintenance obligations

14. Insurance and Liability: Required insurance coverage and allocation of risks

15. Termination: Grounds and procedures for contract termination

16. Dispute Resolution: Procedures for handling disputes in accordance with Danish law

17. Governing Law: Confirmation of Danish law as governing law and jurisdiction

Optional Sections

1. Environmental Requirements: Specific environmental obligations and sustainability requirements, included when project has particular environmental focus

2. Design Responsibilities: Included when subcontractor has design obligations in addition to construction work

3. Performance Security: Requirements for performance bonds or guarantees, included for higher-value contracts

4. Intellectual Property Rights: Included when subcontractor's work involves design or innovative solutions

5. Confidentiality: Detailed confidentiality obligations, included for sensitive projects

6. Force Majeure: Specific force majeure provisions beyond standard AB 18 terms

7. Special Working Conditions: Included when work involves unusual circumstances or specific site conditions

8. Building Information Modeling (BIM): Included when project requires BIM implementation

Suggested Schedules

1. Schedule 1: Scope of Works: Detailed technical specifications and drawings

2. Schedule 2: Bill of Quantities: Itemized list of quantities and rates

3. Schedule 3: Project Timeline: Detailed program of works including milestones

4. Schedule 4: Quality Assurance Plan: Specific quality control procedures and requirements

5. Schedule 5: Health and Safety Plan: Detailed safety procedures and risk assessments

6. Schedule 6: Payment Schedule: Detailed payment terms, milestone payments, and retention amounts

7. Schedule 7: Key Personnel: List of key personnel and their qualifications

8. Schedule 8: Form of Collateral Warranty: Standard form of warranty to be provided

9. Appendix A: Main Contract Excerpts: Relevant excerpts from the main construction contract

10. Appendix B: Technical Drawings: Complete set of relevant technical drawings

11. Appendix C: Insurance Certificates: Copies of required insurance policies

Authors

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Relevant legal definitions
Agreement
Main Contract
Main Contractor
Subcontractor
Project
Works
Site
Project Owner
Contract Documents
Contract Sum
Day
Working Day
Practical Completion
Completion Date
Defects
Defects Liability Period
Variations
Force Majeure
Materials
Plant and Equipment
Programme of Works
Quality Assurance Plan
Health and Safety Plan
Technical Specifications
Drawings
Building Regulations
Applicable Laws
AB 18
AB-U 18
Project Manager
Site Manager
Supervisory Staff
Milestone Dates
Payment Certificate
Retention Money
Performance Security
Insurance Requirements
Method Statement
Risk Register
Construction Period
Testing Period
Handover
As-Built Documents
Substantial Completion
Final Completion
Progress Reports
Virtual Construction Model
Construction Schedule
Bill of Quantities
Rate
Unit Price
Intellectual Property Rights
Confidential Information
Clauses
Interpretation
Scope of Work
Contract Documents
Contractor Obligations
Subcontractor Obligations
Time and Programme
Extensions of Time
Payment
Variations
Quality Assurance
Materials and Workmanship
Health and Safety
Environmental Protection
Site Management
Testing and Inspection
Completion and Handover
Defects Liability
Insurance
Indemnification
Performance Security
Intellectual Property
Confidentiality
Force Majeure
Suspension
Termination
Dispute Resolution
Governing Law
Assignment and Subcontracting
Notices
Warranties
Liability
Risk Allocation
Coordination
Documentation
Compliance with Laws
Personnel
Equipment
Site Access
Progress Reporting
Record Keeping
Relevant Industries
Relevant Teams
Relevant Roles
Industries
Danish Contracts Act (Aftaleloven): Fundamental law governing contract formation, validity, and general contractual principles in Denmark
AB 18 (General Conditions for Building and Construction Works and Supplies): Standard terms for construction contracts in Denmark, widely used as industry standard and typically incorporated into subcontracts
AB-U 18 (General Conditions for Subcontractors): Specific conditions for subcontractors in construction projects, addressing particular aspects of subcontracting relationships
Danish Working Environment Act (Arbejdsmiljøloven): Regulates workplace safety and health conditions, particularly important in construction projects
Danish Building Regulations (Bygningsreglementet): Technical requirements and standards for construction works in Denmark
Danish Public Procurement Act (Udbudsloven): Relevant if the main contract involves public entities, as it may affect subcontracting conditions
Danish Construction Products Regulation: Requirements for construction materials and products used in building projects
Danish Environmental Protection Act (Miljøbeskyttelsesloven): Environmental requirements and restrictions affecting construction activities
Danish Payment Act (Betalingsloven): Regulates payment terms and conditions, including rules about payment deadlines
Danish Liability and Insurance Rules: Regulations regarding professional liability and mandatory insurance requirements in construction projects
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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