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Subcontractor Agreement template
Subcontractor Agreement sample


What is Subcontractor Agreement?

Subcontractor Agreement Outlines terms for subcontracted work, specifying subcontractor responsibilities, deliverables, and payment arrangements.



Sample template:



SUBCONTRACTOR AGREEMENT


This Subcontractor Agreement (the "Agreement") is made and entered into as of the [insert date], by and between Horizon Construction Group, LLC, a [insert state] limited liability company (the "Client"), and Expert Electrical Solutions, Inc., a [insert state] corporation (the "Subcontractor") (collectively, the "Parties").

1. Scope of Work

1.1. Description of Services


Subcontractor shall provide the Client with the specialized electrical services as described, including but not limited to electrical system design, installation, and maintenance, electrical wiring, lighting installations, power distribution, and safety inspections (collectively, the "Services").



2. Term

This Agreement shall commence on the date first above written and shall continue until completion of the Services, unless earlier terminated in accordance with the terms of this Agreement.



3. Subcontractor Responsibilities

3.1. Compliance with Law


Subcontractor shall perform the Services in compliance with all applicable federal, state, and local laws, codes, and regulations in the United States, and shall obtain and maintain all required licenses and permits.



3.2. Quality of Services


Subcontractor shall ensure that the Services are performed in a professional and workmanlike manner, consistent with the quality and standards of the industry.



3.3. Safety


Subcontractor shall at all times maintain safe working conditions and shall be responsible for the safety of its employees and any third parties affected by the performance of the Services.



3.4. Insurance


Subcontractor shall maintain, during the term of this Agreement, General Liability, Workers' Compensation, and any other insurance as required by law or reasonably requested by Client.



4. Payment Terms

4.1. Contract Price


Client agrees to pay Subcontractor a total contract price for the Services in the amount of $[insert amount] (the "Contract Price"), subject to the terms and conditions of this Agreement.



4.2. Invoices and Payments


Subcontractor shall submit invoices to Client at agreed-upon intervals. Client shall pay the invoiced amount within [insert number] days of receipt of invoice, unless otherwise agreed upon.



5. Confidentiality

Subcontractor shall hold in confidence and not disclose to any third party any confidential information received from the Client, or discovered as a result of the performance of the Services, without the Client's prior written consent, except as required by law or regulation. This confidentiality obligation shall survive the termination or expiration of this Agreement.



6. Intellectual Property

All intellectual property, including but not limited to, designs, plans, specifications, drawings, and other documents generated by Subcontractor in the performance of the Services shall be owned exclusively by Client. Subcontractor shall execute any documents necessary to perfect Client's ownership of such intellectual property.



7. Indemnification

Subcontractor shall defend, indemnify, and hold harmless Client, its officers, directors, employees, and agents from and against any and all claims, liabilities, damages, losses, and expenses, including reasonable attorneys' fees, arising out of or in connection with Subcontractor's performance of the Services, or any breach of Subcontractor's representations, warranties, or obligations under this Agreement.



8. Termination

8.1. Termination for Convenience


Either Party may terminate this Agreement for any reason upon [insert number] days prior written notice to the other Party.



8.2. Termination for Cause


Either Party may terminate this Agreement upon written notice to the other Party if the other Party materially breaches its obligations under this Agreement, and such breach is not cured within [insert number] days following written notice of such breach.



8.3. Rights and Obligations Upon Termination


Upon termination of this Agreement for any reason, Subcontractor shall immediately cease all work and return any Client property in its possession. Termination shall not relieve either Party of any obligations accrued prior to such termination.



9. Governing Law and Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the United States and the State of [insert state]. Any disputes arising out of or in connection with this Agreement shall be resolved by arbitration in accordance with the rules of the American Arbitration Association.



10. Miscellaneous

10.1. Independent Contractor Status


Subcontractor shall at all times be considered and shall act as an independent contractor and not as an employee, agent, or partner of Client.



10.2. Assignment


Neither Party shall assign or transfer any of its rights or obligations under this Agreement without the prior written consent of the other Party.



10.3. Entire Agreement


This Agreement constitutes the entire understanding between the Parties with respect to the subject matter hereof and supersedes all prior discussions, understandings, and agreements, whether written or oral.



10.4. Amendments


No amendment or modification of this Agreement shall be effective unless it is in writing and signed by both Parties.



IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first above written.

Horizon Construction Group, LLC

By: __________________________________
Name: ________________________________
Title: _______________________________

Expert Electrical Solutions, Inc.

By: __________________________________
Name: ________________________________
Title: ________________________________

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Common Sections of a Subcontractor Agreement


In this Subcontractor Agreement, you will see the following sections:

  1. Scope of Work
  2. Term
  3. Subcontractor Responsibilities
  4. Payment Terms
  5. Confidentiality
  6. Intellectual Property
  7. Indemnification
  8. Termination
  9. Governing Law and Dispute Resolution
  10. Miscellaneous


Summary of each section:

  1. Scope of Work : This section describes the specific electrical services the Subcontractor will provide to the Client, such as system design, installation, maintenance, wiring, lighting, power distribution, and safety inspections.

  2. Term : This section states that the Agreement begins on the date it is signed and continues until the Services are completed or the Agreement is terminated earlier according to its terms.

  3. Subcontractor Responsibilities : This section outlines the Subcontractor's obligations, including compliance with laws, maintaining quality and safety standards, and carrying appropriate insurance coverage.

  4. Payment Terms : This section details the total contract price the Client will pay the Subcontractor for the Services, as well as the invoicing and payment process.

  5. Confidentiality : This section requires the Subcontractor to keep any confidential information received from the Client or discovered during the performance of the Services private, unless the Client provides written consent or the information is required by law.

  6. Intellectual Property : This section states that any intellectual property created by the Subcontractor while performing the Services will be owned exclusively by the Client.

  7. Indemnification : This section requires the Subcontractor to defend, indemnify, and hold the Client harmless from any claims, liabilities, damages, losses, and expenses arising from the Subcontractor's performance of the Services or any breach of the Agreement.

  8. Termination : This section outlines the conditions under which either Party may terminate the Agreement, including termination for convenience or for cause due to a material breach.

  9. Governing Law and Dispute Resolution : This section states that the Agreement will be governed by the laws of the United States and a specific state, and that any disputes will be resolved through arbitration.

  10. Miscellaneous : This section covers various additional terms, such as the Subcontractor's independent contractor status, restrictions on assignment, and the Agreement being the entire understanding between the Parties.

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