Owner Builder Agreement Template for England and Wales

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Key Requirements PROMPT example:

Owner Builder Agreement

"I need an Owner Builder Agreement for a residential property development in Manchester, with a contract value of £2.5 million and project completion date of June 2025, including specific provisions for sustainable building materials and energy efficiency standards."

Document background

The Owner Builder Agreement is essential for construction projects in England and Wales where a property owner directly engages a builder for construction work. This contract type is particularly important as it establishes clear responsibilities, timelines, and payment terms while ensuring compliance with UK construction regulations and building standards. The agreement should be used whenever an owner is undertaking significant construction work, whether for new builds or major renovations. It includes crucial elements such as scope of work, payment schedules, insurance requirements, and dispute resolution procedures, providing legal protection for both parties throughout the construction process.

Suggested Sections

1. Parties: Identifies and defines the Owner and Builder, including full legal names and addresses

2. Background: Sets out the context of the agreement, including the project overview and parties' intentions

3. Definitions: Defines key terms used throughout the agreement

4. Scope of Work: Detailed description of the construction work to be performed

5. Contract Sum and Payment Terms: Specifies the total contract price and payment schedule

6. Time for Completion: Specifies project timeline, completion date, and provisions for extensions of time

7. Builder's Obligations: Lists all responsibilities and duties of the builder

8. Owner's Obligations: Lists all responsibilities and duties of the owner

9. Insurance and Liability: Details required insurance coverage and liability arrangements

10. Termination: Circumstances and procedures for contract termination

Optional Sections

1. Variations: Procedures for managing changes to scope - recommended for complex projects likely to require changes

2. Dispute Resolution: Specific procedures for resolving disputes - recommended for high-value contracts or complex projects

3. Warranties: Additional warranties beyond statutory requirements - recommended when specific quality guarantees are required

4. Subcontracting: Terms governing use of subcontractors - recommended when subcontractors are likely to be used

Suggested Schedules

1. Schedule 1 - Plans and Specifications: Detailed construction drawings and specifications

2. Schedule 2 - Payment Schedule: Detailed breakdown of payment stages and amounts

3. Schedule 3 - Construction Programme: Detailed timeline of construction activities

4. Schedule 4 - Insurance Requirements: Specific insurance policies and coverage requirements

5. Appendix A - Planning Permissions: Copies of relevant planning permissions and approvals

6. Appendix B - Building Regulations Approval: Copies of building regulations approval documents

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

alex.den.21@genieai.co

Relevant legal definitions

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Relevant Industries

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Housing Grants, Construction and Regeneration Act 1996: Primary legislation governing construction contracts, including payment mechanisms and adjudication procedures in construction disputes

Construction Act 2009: Updates to the 1996 Act, providing additional regulations for construction contracts and payment terms

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract

Consumer Rights Act 2015: Relevant when the owner is a private individual, protecting consumer rights in construction contracts

Supply of Goods and Services Act 1982: Legislation governing the quality of construction services and materials supplied

Building Act 1984: Framework legislation for building regulations and control in England and Wales

Building Regulations 2010: Detailed technical requirements for construction work and building standards

Building (Local Authority Charges) Regulations 2010: Regulations governing local authority fees for building control services

Health and Safety at Work Act 1974: Primary legislation for workplace health and safety requirements

Construction (Design and Management) Regulations 2015: Specific health and safety regulations for construction projects, including duties of all parties involved

Town and Country Planning Act 1990: Main planning legislation controlling development and land use

Planning and Compulsory Purchase Act 2004: Additional planning requirements and reforms to the planning system

Environmental Protection Act 1990: Legislation controlling environmental impact of construction work

Control of Pollution Act 1974: Regulations governing noise, pollution and waste from construction activities

Working Time Regulations 1998: Rules governing working hours and conditions on construction sites

National Minimum Wage Act 1998: Legislation ensuring minimum wage requirements are met for construction workers

Employers' Liability (Compulsory Insurance) Act 1969: Mandatory insurance requirements for employers in construction

JCT Guidelines: Standard forms of construction contracts and guidance from the Joint Contracts Tribunal

RIBA Guidelines: Professional standards and guidance from the Royal Institute of British Architects

RICS Standards: Professional standards and guidance from the Royal Institution of Chartered Surveyors

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Authors

Alex Denne

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