This Subcontractor Agreement (the “Agreement”) is made and entered into as of the date of the purchaser order (the “Effective Date”), by and between:
Bluesky Building and Construction Group Pty Ltd, a builder, hereinafter referred to as the "Principal Contractor"
AND
Your company/the contractor named in the purchase order, a subcontractor, hereinafter referred to as the "Subcontractor".
1. SCOPE OF WORK
The Subcontractor agrees to perform the following work for the Principal Contractor in accordance with the architectural drawings, specifications, and any relevant documentation provided:
- Description of the Work: as set out in the purchase order;
- The work will be completed in compliance with all relevant building codes, including but not limited to the Victorian Building Authority (VBA) requirements, the Building Code of Australia (BCA), and the National Construction Code (NCC).
- The Subcontractor shall ensure that all work is performed by qualified personnel in accordance with the relevant Australian Standards (AS) and any specific requirements outlined by the Principal Contractor.
2. TERM AND COMPLETION
- The term of this Agreement shall begin on the date of the purchase order and shall end on written agreement between the parties, or upon the completion of the work specified in this Agreement, whichever occurs earlier.
- The Subcontractor agrees to complete the work within the specified timeframe as set out in the purchase order or in writing as agreed between the parties, ensuring that it meets the standards and quality set by the Principal Contractor and any applicable regulations.
3. PAYMENT TERMS
- The Principal Contractor agrees to pay the Subcontractor for the completion of the work described in this Agreement as follows:
- Total Contract Amount: as set out in the purchase order.
- Payment Schedule: Payments will be made in accordance with the milestones agreed upon by both parties, subject to satisfactory completion and inspection of the work.
- Final Payment: The final payment will be made upon completion of the work and after a satisfactory inspection, including compliance with all relevant Australian Standards and regulations.
- Payments will be processed within 14 days following the submission of a valid tax invoice from the Subcontractor.
4. COMPLIANCE WITH LAWS
- The Subcontractor agrees to comply with all relevant Victorian Building Authority (VBA) regulations, including the Building Act 1993 and the Building Regulations 2018.
- The Subcontractor shall perform all work in accordance with the Building Code of Australia (BCA) and the National Construction Code (NCC), ensuring that all work is structurally sound, safe, and in compliance with applicable laws and safety standards.
- The Subcontractor shall hold all necessary licenses, registrations, and insurances required by the VBA and any other governing body to perform the work described in this Agreement.
5. INSURANCES AND WARRANTIES
- Insurance:
- The Subcontractor shall maintain comprehensive public liability insurance with a minimum coverage of $10,000,000 for any one incident.
- The Subcontractor shall maintain workers' compensation insurance for all personnel employed or contracted to perform the work under this Agreement.
- The Subcontractor shall provide evidence of such insurance upon request by the Principal Contractor.
- Warranties:
- The Subcontractor warrants that all work performed will be of good quality, free from defects, and in compliance with all relevant standards and specifications.
- The Subcontractor further warrants that all work will be completed to the satisfaction of the Principal Contractor and in accordance with the Australian Standards (AS) and the BCA.
- The Subcontractor will be responsible for rectifying any defects that arise within the warranty period of 7 years, at no cost to the Principal Contractor.
6. SAFETY AND SITE MANAGEMENT
- The Subcontractor agrees to comply with all Occupational Health and Safety (OHS) regulations and ensure that the worksite is safe for workers, subcontractors, and other personnel.
- The Subcontractor shall provide its workers with Personal Protective Equipment (PPE) as required and ensure that all activities on-site comply with the Workplace Health and Safety (WHS) guidelines.
- The Subcontractor will provide a Safe Work Method Statement (SWMS) for the tasks to be undertaken, in compliance with WorkSafe Victoria and other safety regulations.
- The Subcontractor shall ensure that all waste is disposed of according to local regulations and that the site is kept clean and free of hazardous materials.
7. SUBCONTRACTOR'S OBLIGATIONS
- The Subcontractor will provide the necessary materials, equipment, tools, and Labor to complete the work.
- The Subcontractor agrees to ensure that all workers on-site are fully qualified and have the necessary skills and licenses to perform the work.
- The Subcontractor will promptly address any issues or concerns raised by the Principal Contractor regarding the quality, safety, or compliance of the work.
8. TERMINATION
This Agreement may be terminated by the Principal Contractor in the event of any of the following:
- Failure by the Subcontractor to meet the agreed-upon timelines or quality standards.
- A material breach of this Agreement, including non-compliance with VBA, BCA, or NCC requirements.
- Insolvency or liquidation of the Subcontractor.
In the event of termination, the Subcontractor will be entitled to payment for the work completed up to the date of termination, subject to the Principal Contractor's right to withhold payment for any unsatisfactory work.
9. INDEMNITY
The Subcontractor agrees to indemnify and hold harmless the Principal Contractor from any claims, damages, or losses arising from:
- Any defects in the work.
- Non-compliance with relevant building regulations and safety standards.
- Breach of this Agreement or any warranties provided herein.
10. DISPUTE RESOLUTION
In the event of a dispute arising under this Agreement, both parties agree to attempt to resolve the matter amicably through negotiation. If the dispute cannot be resolved, the parties agree to submit to mediation or other dispute resolution processes as per the Building and Construction Industry Security of Payment Act and other applicable regulations.
11. ENTIRE AGREEMENT
This Agreement constitutes the entire understanding between the parties. Any amendments or modifications to this Agreement must be made in writing and signed by both parties.
12. SIGNATURES
By undertaking the works the subject of the purchase order, the parties agree to be irrevocably bound by these terms and conditions.
