7 Things to Think about Before Signing a Construction Contract

Whatever type of construction work you’re looking for, you need to be confident that everyone is on the same page and that you’re covered for a range of eventualities. Your contract should take care of this by setting everything out clearly. That way, you save time, money, and stress. 

So, even if you find yourself with a short deadline, it’s important to check if everything is in order before signing that construction contract.

Before you start - Who are you dealing with?

Taking the time to properly consider a contract is great, but if you haven’t researched the company first, things could still go awry. 

This is why it’s so important to make sure you are confident that the construction company is right for you. This could be by, amongst other things:

• Checking their previous work
• Finding out about any professional certifications or trade associations
• Looking at the company’s background and history
• Inquiring about the right insurance
• Checking who’s in the team (are they qualified, experienced, etc.)

The right construction company will take an interest in your project. They will sincerely want the work to succeed and be able to explain why and how they suit your project.

Things to think about before signing a construction contract

What’s included in your contract is extremely important. Make sure you understand the terms and conditions and consult an expert if needed. To get you started, here a few of the things you’ll need to consider.

• Time terms

Does the established timeframe meet your expectations and your needs? The start and end dates, and number of days should be clear. Likewise, does the contract reference what will happen if delays are encountered?

• Price and money

Payment isn’t just about how much you pay, but also when, and what it covers. Are you aware of exactly what is (and what isn’t) included in the price? Are these costs fixed?

You can also determine how you should pay and what the penalties are for late or non-payment.

• Scope of work – what’s included?

If you’ve agreed on a scope of work, you can include it in the contract or attach it. It should be as clear as possible and include everything, including building stages, materials, location, etc. That way, everyone knows exactly what is expected. 

• Materials to be used

Are there any specific materials that you are paying for? If so, it’s a good idea to make sure they’re listed to avoid confusion. This might change later, through an amendment, but setting out expectations from the start is important.

• Disputes 

When a project starts, everything might look rosy. With the right partnership, it will stay that way. Sometimes, however, things don’t go as planned. This might be due to factors outside someone’s control or due to a relationship breakdown. 

In the unfortunate event of a dispute, you need to know exactly what will happen and where it will be resolved. Similarly, if you or the other party decide to terminate the contract, everyone should be aware of what will happen next. 

• Have you checked with a lawyer?

Legal paperwork is complex, no matter which country you build in. That’s why it is often recommended to find a trusted lawyer who can review the contract for you. They can also advise on the legal obligations of the different parties involved and which guarantees you have on the work.

Epic Constructions – Delivering peace of mind

At EPIC, we deliver forward-thinking and bespoke constructions. We were founded in 2011 and have since built up a wide portfolio of high-quality properties in Mallorca. Whether you need renovations, restorations, or luxury constructions, our team can help you achieve the highest standards.

Our team has worked on a range of stunning properties across the island, balancing Mallorcan beauty with contemporary designs and, of course, each client’s preferences.

To find out more, please visit our website to browse our work or get in touch.