Arkansas construction independent contractor agreement template

Arkansas Construction Independent Contractor Agreement

This Arkansas Construction Independent Contractor Agreement (the "Agreement") is made and entered into as of this [Date of Execution], by and between:

• [Client Company Name], a [Client Company Type] with its principal place of business at [Client Company Address], and Arkansas Contractor Registration Number: [Client Contractor Number] hereinafter referred to as "Client,"
• and
• [Contractor Company Name], a [Contractor Company Type] with its principal place of business at [Contractor Company Address], and Arkansas Contractor Registration Number: [Contractor Contractor Number], hereinafter referred to as "Contractor."

WITNESSETH:

WHEREAS, Client desires to engage Contractor to perform certain construction services; and

WHEREAS, Contractor desires to perform such services as an independent contractor.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows:

Scope of Work

• Option A: Contractor shall perform the following construction services: [Detailed Description of Work - e.g., Site preparation, foundation work, framing, roofing, electrical, plumbing, HVAC installation, drywall, painting, flooring, finish carpentry], in accordance with Arkansas Building Codes and Standards. The specific deliverables include: [List of Deliverables - e.g., Blueprints, detailed specifications, material lists, permit approvals]. Materials provided by Contractor shall meet or exceed the following specifications: [Detailed Material Specifications].
• Option B: Contractor shall perform all services as detailed in Exhibit A, attached hereto and incorporated herein by reference.
• Option C: The work includes [Specify work] at the property [Specify Property Address]. Land Description: [Legal Land Description].

Project Schedule

• Option A: The project shall commence on [Start Date] and be substantially completed by [Completion Date]. Major milestones include: [List of Milestones with Dates - e.g., Foundation complete by [Date], Framing complete by [Date], Electrical rough-in complete by [Date]]. Contractor shall adhere to the following work hours: [Specify Work Hours - e.g., 7:00 AM to 6:00 PM, Monday through Friday], subject to Arkansas noise ordinances.
• Option B: Contractor shall complete tasks according to the timeline in Exhibit B, attached hereto and incorporated herein by reference.
• Option C: The work will be completed in phases as follows: Phase 1: [Description, Timeline]; Phase 2: [Description, Timeline]; Phase 3: [Description, Timeline].

Compensation

• Option A: Client shall pay Contractor a fixed price of [Dollar Amount] for the completion of the work described in the Scope of Work.
• Option B: Client shall pay Contractor on a cost-plus basis, which includes the actual cost of materials and labor, plus a [Percentage]% markup for overhead and profit. Labor rates are as follows: [List of Labor Rates by Trade]. Material costs will be documented with receipts and submitted with invoices.
• Option C: Client shall pay Contractor at an hourly rate of [Dollar Amount] per hour for labor, plus reimbursement for materials. Materials will be invoiced at cost.
• Payment milestones are as follows: [List of Payment Milestones Tied to Completion - e.g., 20% upon commencement, 30% upon completion of framing, 30% upon completion of electrical and plumbing rough-in, 20% upon final completion]. Invoices shall be submitted to Client on a [Frequency - e.g., weekly, bi-weekly, monthly] basis and are due within [Number] days of receipt. Client shall not withhold any amounts for sales or use tax, as Contractor is responsible for the payment of all applicable Arkansas sales and use taxes. Retention: [Specify retention policy if any, including the percentage held and timing of release].

Licenses, Registrations, and Permits

Contractor shall obtain and maintain all required Arkansas construction licenses, registrations, and permits necessary to perform the work. Contractor is responsible for securing and paying for all required building permits and code inspections. Proof of licenses and permits must be provided to the client before commencement of work.

Insurance

Contractor shall maintain the following insurance coverage: General Liability Insurance with a minimum coverage of [Dollar Amount] per occurrence and [Dollar Amount] aggregate; Workers' Compensation Insurance as required by Arkansas law (or provide proof of exemption if applicable); and [Specify any other required insurance - e.g., Builder's Risk, Vehicle Liability]. Contractor shall provide Client with certificates of insurance evidencing such coverage prior to commencement of work.

Independent Contractor Status

Contractor is an independent contractor and not an employee, partner, or joint venturer of Client. Contractor is solely responsible for all federal, state (including Arkansas), and local taxes, withholding, social security, unemployment insurance, and benefits for themselves and their employees or subcontractors. Contractor acknowledges meeting the criteria established by the Arkansas Department of Workforce Services for independent contractor status.

Lien Rights

Contractor acknowledges Arkansas law regarding mechanic’s and materialman’s liens. Contractor agrees to provide Client with lien waivers from all subcontractors and suppliers prior to final payment. Contractor will provide preliminary notice according to Arkansas law.

Change Orders

Any changes to the scope of work, project schedule, or compensation must be documented in a written change order signed by both Client and Contractor. Change orders shall detail the impact on schedule and price and must comply with Arkansas construction project practices.

Standards of Workmanship and Compliance

Contractor shall perform all work in a good and workmanlike manner, in compliance with all applicable Arkansas and local construction codes, laws, and safety regulations, including OSHA and Arkansas Department of Labor and Licensing rules. Contractor shall use qualified and licensed subcontractors and workers.

Warranties and Guarantees

Contractor warrants that all labor and materials shall be free from defects for a period of [Number] year(s) from the date of substantial completion, as per Arkansas statute. This warranty covers [Specify Scope of Warranty], excluding [Specify Exclusions]. Remedies for breach of warranty shall be limited to [Specify Remedies - e.g., repair, replacement].

Indemnification

Contractor shall indemnify, defend, and hold harmless Client from and against any and all claims, damages, losses, or injuries arising out of or relating to Contractor's (or its subcontractors') performance of the work, except to the extent caused by the negligence or willful misconduct of Client. This indemnification shall comply with Arkansas law.

Project Site Access and Safety

Contractor shall have access to the project site as necessary to perform the work. Contractor shall be responsible for the handling and storage of materials, protection of property and persons, and maintaining a clean and safe worksite.

Confidentiality

Contractor shall maintain the confidentiality of all proprietary client information, blueprints, and sensitive project documentation. Contractor shall not disclose such information to any third party without Client's prior written consent.

Default and Breach

The following shall constitute a material breach of this Agreement: failure to meet standards of workmanship, failure to meet deadlines, and safety violations. The non-breaching party shall provide written notice of the breach and allow [Number] days to cure. Remedies for breach shall include [Specify Remedies - e.g., termination of the agreement, damages]. Liquidated damages: [Specify liquidated damages provision if applicable and enforceable under Arkansas law].

Suspension and Termination

Client may suspend or terminate this Agreement for cause or convenience. If terminated for cause, Client shall provide [Number] days written notice. If terminated for convenience, Client shall provide [Number] days written notice. Upon termination, Contractor shall demobilize, provide Client with all project documentation, keys, and materials, and be entitled to payment for work completed up to the date of termination, less any applicable deductions. Retention will be released within [Number] days.

Governing Law and Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the State of Arkansas. Any dispute arising out of or relating to this Agreement shall be resolved first through mediation in [County Name] County, Arkansas. If mediation is unsuccessful, the parties may pursue arbitration or litigation in the state or federal courts located in [County Name] County, Arkansas.

Force Majeure

Neither party shall be liable for any delay or failure to perform its obligations under this Agreement due to events beyond its reasonable control, including but not limited to acts of God, severe weather (tornadoes, floods), government actions, or other force majeure events.

Assignment and Subcontracting

Contractor shall not assign or subcontract any portion of the work without Client's prior written consent. All subcontractors must be properly licensed in Arkansas.

Notice

All notices and other communications hereunder shall be in writing and shall be deemed to have been duly given when delivered personally, sent by certified mail, return receipt requested, or sent by email to the following addresses:

• If to Client: [Client Company Name], [Client Company Address], Email: [Client Email Address].
• If to Contractor: [Contractor Company Name], [Contractor Company Address], Email: [Contractor Email Address].

Ownership of Work Product

All plans, drawings, specifications, and other work product created by Contractor in connection with the work shall be owned by [Client/Contractor].

Compliance with Laws

Contractor shall comply with all applicable federal, state (including Arkansas), and local laws, regulations, and ordinances, including the Arkansas Fair Construction Contracting Act, local licensing and zoning ordinances, and any applicable minority participation or prevailing wage requirements.

Entire Agreement

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications and proposals, whether oral or written.

Amendment

This Agreement may be amended only by a written instrument signed by both parties.

Severability

If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

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

____________________________
[Client Name]
[Client Title]
[Client Company Name]

____________________________
[Contractor Name]
[Contractor Title]
[Contractor Company Name]