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Design And Construct Contract for India

Design And Construct Contract Template for India

A comprehensive legal agreement governed by Indian law that combines design and construction responsibilities under a single contract. This document establishes the framework for turnkey project delivery, where the contractor assumes responsibility for both design development and construction execution. The agreement incorporates Indian regulatory requirements, including compliance with local building codes, environmental regulations, and labor laws. It details the scope of works, payment mechanisms, quality standards, timelines, and risk allocation between parties, while ensuring alignment with Indian construction industry practices and judicial precedents.

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Design And Construct Contract

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What is a Design And Construct Contract?

The Design And Construct Contract is utilized for projects in India where a single contractor is responsible for both design and construction phases, offering a streamlined approach to project delivery. This contract type is particularly suitable for complex projects requiring integrated design and construction solutions, such as infrastructure developments, commercial buildings, or industrial facilities. The document incorporates essential elements of Indian contract law, construction regulations, and industry standards, while addressing specific requirements for design development, construction methodology, quality control, and project completion. It includes comprehensive provisions for risk allocation, payment structures, and dispute resolution mechanisms tailored to the Indian legal framework, making it ideal for projects where the employer seeks single-point responsibility for project delivery.

What sections should be included in a Design And Construct Contract?

1. Parties: Identification of the employer and the design-build contractor

2. Background: Context of the project and purpose of the agreement

3. Definitions and Interpretation: Definitions of key terms and interpretation rules

4. Contractor's General Obligations: Overall scope of design and construction services

5. Design Obligations: Specific responsibilities for design development, approvals, and warranties

6. Construction Obligations: Specific responsibilities for construction works and methodology

7. Employer's Obligations: Responsibilities of the employer including site access and payments

8. Contract Price and Payment: Price structure, payment terms, and mechanisms

9. Time for Completion: Project timeline, milestones, and completion requirements

10. Variations: Procedures for handling changes to scope or specifications

11. Quality Assurance: Quality control requirements and inspection procedures

12. Testing and Completion: Testing protocols, completion certificates, and handover procedures

13. Defects Liability: Defects notification period and remediation obligations

14. Insurance and Indemnity: Required insurance coverage and indemnification provisions

15. Force Majeure: Events beyond parties' control and their consequences

16. Suspension and Termination: Rights and procedures for suspension and termination

17. Dispute Resolution: Procedures for resolving disputes including arbitration

18. Governing Law: Applicable law and jurisdiction

What sections are optional to include in a Design And Construct Contract?

1. Performance Security: Required when project value exceeds certain threshold or employer requires additional security

2. Price Adjustment: For long-term projects subject to price fluctuations

3. Intellectual Property Rights: When design elements involve significant IP considerations

4. Environmental Compliance: For projects with significant environmental impact

5. Local Content Requirements: When project must meet specific local content regulations

6. Step-in Rights: For critical infrastructure projects where employer needs additional control

7. Interface Management: When project involves multiple contractors or stakeholders

8. Building Information Modeling: When BIM is required for project delivery

What schedules should be included in a Design And Construct Contract?

1. Schedule 1 - Scope of Works: Detailed description of design and construction scope

2. Schedule 2 - Employer's Requirements: Technical specifications and performance requirements

3. Schedule 3 - Time Schedule: Detailed program and milestone dates

4. Schedule 4 - Payment Schedule: Payment terms, milestones, and procedures

5. Schedule 5 - Site Details: Site information, conditions, and access details

6. Schedule 6 - Forms of Certificates: Templates for various certificates required during project

7. Schedule 7 - Forms of Securities: Templates for performance security and other guarantees

8. Schedule 8 - Insurance Requirements: Detailed insurance requirements and coverage limits

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

10. Schedule 10 - Quality Assurance Plan: Detailed quality control procedures and requirements

11. Appendix A - Drawings: Initial design drawings and specifications

12. Appendix B - Tests on Completion: Detailed testing requirements and acceptance criteria

Authors

Alex Denne

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

Jurisdiction

India

Publisher

Ƶ

Document Type

Service Agreement

Cost

Free to use
Relevant legal definitions






















































Clauses











































Relevant Industries

Infrastructure

Commercial Real Estate

Industrial Construction

Residential Development

Healthcare Facilities

Educational Institutions

Hospitality

Manufacturing

Data Centers

Retail

Sports Facilities

Transportation

Energy and Utilities

Relevant Teams

Legal

Project Management

Design

Construction

Commercial

Procurement

Finance

Quality Assurance

Risk Management

Operations

Technical Services

Relevant Roles

Project Director

Construction Manager

Design Manager

Contract Administrator

Commercial Manager

Project Engineer

Quantity Surveyor

Risk Manager

Procurement Manager

Legal Counsel

Technical Director

Chief Architect

Operations Director

Finance Director

Quality Manager

Industries










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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