This section is from the book "The Law Of Contracts", by William Herbert Page. Also available from Amazon: Commercial Contracts: A Practical Guide to Deals, Contracts, Agreements and Promises.
This agreement made the ---------, day of ---------, in the year Nineteen
Hundred and ---------, by and between A. B. of the ---------, County of --------and State of ---------, hereinafter called the Owner, and C. D., of the ---------,
County of---------and State of---------, hereinafter called the Architect, ---------;
Now, therefore, the Owner and the Architect for the consideration hereinafter named, agree as follows:
The Architect is to prepare preliminary studies consisting of drawings, such as ground floor plans and elevation or perspective view of exterior, necessary to illustrate the general scheme of improvement before making general working drawings; then to proceed with the general working drawings, specifications and details, prepare form of advertisement for bidders, assist in receiving bids, draw up form of contract and bond between Owner and Contractor.
Architect is to furnish six copies of all general working drawings and specifications. The Owner shall pay the cost of producing any additional copies of the plans and specifications that may be required by contractors in estimating the work and in the construction.
The Architect is to supervise or superintend the construction of said improvement, which means such inspection by the Architect, or his deputy, of the building or other work in process of erection completion or alteration, as he finds necessary to ascertain whether it is being executed in conformity with his designs and specifications or directions, and to enable him to decide when the successive instalments of payments provided for in the contract with the contractor are due and payable. He is to determine in constructive emergencies, to order necessary changes and to define the true intent and meaning of the drawings and specifications.
At the time of entering into the agreement with a contractor for the construction of the work contemplated by this contract, a reasonable period of time for the completion of the work shall be mutually determined by the Owner, Architect and Contractor, and should the services of the Architect in supervising the work extend beyond the time so determined, the Owner shall compensate the Architect for his cost incurred by reason of such additional supervision.
All services of the Architect to be rendered to the best of his ability. The Architect will endeavor to guard the Owner against defects and deficiencies in the work of contractors, but he does not guarantee the performance of their contracts.
When requested to do so, the Architect will make or procure preliminary estimates of the cost, but no such estimate can be regarded other than an approximation.
Owner is to pay said Architect for the above mentioned services an amount equal to six (6) per cent. based on the entire cost to the Owner of said improvement. The cost of the work is interpreted to mean the total of the contract sums. When labor or material is furnished by the Owner below its market cost or when old materials are re-used, the cost of the work is to be interpreted as the cost of all materials and labor necessary to complete the work, as such cost would have been if all materials had been new and if all labor had been fully paid at market prices current when the work was ordered, plus contractor's profit and expenses. The architect's fees are due and payable, based on cost of work, as follows: One (1%) when the preliminary plans have been completed; Two and one-half (2 1/2%) when plans and specifications have been completed in readiness for contractors in estimating and construction; Two and one-half (2 1/2%) in instalments as the work progresses based on the payments made to contractors. Until an actual estimate is received, the charges are based on the proposed cost of the works, and the payments are received as instalments of the entire fee, which is based upon the actual cost.
All drawings and specifications, as instruments of service, are the property of the Architect, except one complete copy which is to be furnished to the Owner.
In case of abandonment or suspension of the improvements, a charge for partial services will be made by the Architect in proportion to the services rendered.
For alterations and additions after general working plans and specifications have been accepted by Owner, an additional charge is to be made, which will be valued in proportion to the additional time and services employed.
The Owner and the Architect hereby agree to the full performance of the covenants contained herein.
In witness whereof, etc. ---------.