Subcontractor Agreement (Construction) Template for Denmark

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Subcontractor Agreement (Construction)

Document background

The Subcontractor Agreement (Construction) is a vital document used in Danish construction projects when a main contractor needs to delegate specific work packages to specialized contractors. This agreement, governed by Danish law and typically incorporating AB 18 provisions, establishes the legal and operational framework for subcontracted works. It's particularly important in complex construction projects where specialized expertise is required for elements such as electrical installations, HVAC systems, or structural works. The document addresses key aspects including scope of work, payment terms, quality requirements, and compliance with Danish construction regulations and safety standards. It's designed to protect both parties' interests while ensuring project delivery aligns with main contract obligations and Danish construction industry standards.

Suggested Sections

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

2. Background: Context of the agreement, including reference to the main construction contract and project details

3. Definitions: Key terms used throughout the agreement, ensuring consistent interpretation

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

5. Project Timeline: Start date, completion date, key milestones, and any specific time requirements

6. Price and Payment Terms: Contract sum, payment schedule, invoicing requirements, and VAT considerations

7. Quality Requirements: Standards, specifications, and quality assurance procedures to be followed

8. Materials and Equipment: Responsibilities for supply, storage, and maintenance of materials and equipment

9. Health and Safety Obligations: Compliance with Danish Working Environment Act and site-specific safety requirements

10. Insurance and Liability: Required insurance coverage and allocation of risks between parties

11. Warranties and Defects: Warranty periods, defects liability, and remediation procedures

12. Variations and Changes: Procedures for handling changes to scope, pricing, or timeline

13. Termination Rights: Grounds and procedures for contract termination by either party

14. Dispute Resolution: Procedures for handling disputes, including reference to Danish law and jurisdiction

15. General Provisions: Standard legal clauses including notices, severability, and entire agreement

Optional Sections

1. Environmental Requirements: Specific environmental obligations beyond standard requirements, used for projects with particular environmental sensitivity

2. Foreign Labor Compliance: Additional requirements for foreign subcontractors, including RUT registration and posted workers regulations

3. Back-to-Back Provisions: Specific provisions linking obligations to the main contract, used when strict alignment with main contract is required

4. Performance Security: Requirements for performance bonds or guarantees, used for high-value or high-risk work packages

5. Intellectual Property Rights: Provisions regarding design rights and innovations, used when subcontractor's work involves design elements

6. Building Information Modeling (BIM): BIM requirements and protocols, used when project involves BIM coordination

7. Liquidated Damages: Specific delay damages provisions, used when time is particularly critical

8. Confidentiality: Detailed confidentiality obligations, used for projects involving sensitive information or proprietary methods

Suggested Schedules

1. Schedule 1 - Scope of Works: Detailed technical specifications and drawings for the subcontractor's work package

2. Schedule 2 - Price Schedule: Detailed breakdown of prices, rates, and payment milestones

3. Schedule 3 - Program of Works: Detailed timeline, including key dates, dependencies, and resource scheduling

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

5. Schedule 5 - Site Rules and Procedures: Site-specific regulations, access requirements, and working hours

6. Schedule 6 - Health and Safety Plan: Specific health and safety requirements and risk assessments

7. Schedule 7 - Required Insurances: Detailed insurance requirements and minimum coverage levels

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

9. Schedule 9 - Key Personnel: List of key personnel and their roles/responsibilities

10. Schedule 10 - Required Submissions: List of documents and certificates required from the subcontractor

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