Maine construction independent contractor agreement template

Maine Construction Independent Contractor Agreement

This Maine Construction Independent Contractor Agreement is made and entered into as of this [Date], by and between:

[Client Full Legal Name], residing at [Client Address], hereinafter referred to as "Client,"

and

[Contractor Full Legal Name], residing at [Contractor Address], Maine License Number [Contractor License Number], Federal Tax ID [Contractor Tax ID], hereinafter referred to as "Contractor."

Description of Services

The Contractor agrees to perform the following construction services for the Client: [Detailed Description of Services]. This includes, but is not limited to:

• Scope of Work: [Specific Scope of Work]
• Specific Trades: [List of Trades, e.g., Carpentry, Plumbing]
• Project Location: [Project Address]
• Project Drawings/Specs Reference: [Document Name/Number]
• Required Permits: [List of Permits, Indicate Responsibility]
• Materials Provided By: [Client/Contractor – List Who Provides What]
• Standards of Workmanship: [Industry Standards or Specific Requirements]
• Deliverables: [List of Deliverables with Measurable Milestones]
• Completion Dates: [Specific Completion Dates for Milestones]

Service Schedule

The project timeline is as follows:

• Anticipated Start Date: [Start Date]
• Anticipated Completion Date: [Completion Date]
• Key Project Phases: [List of Project Phases]
• Procedures for Handling Delays: [Detailed Procedure for Delays]
• Procedures for Weather Interruptions: [Detailed Procedure for Weather Interruptions]
• Procedures for Changes in Scope: [Detailed Procedure for Changes in Scope]
• Workforce Mobilization: [Details on Workforce Mobilization]

Compensation

Option A: Fixed Price

• The Client shall pay the Contractor a fixed price of [Dollar Amount] for the complete performance of the services described in Section 1.

Option B: Unit-Based

• The Client shall pay the Contractor at a rate of [Dollar Amount] per [Unit, e.g., Square Foot, Hour].

Option C: Hourly Rate

• The Client shall pay the Contractor at an hourly rate of [Dollar Amount] per hour.

Payment Schedule: [Detailed Payment Draw Schedule Tied to Milestones]

Retainer/Deposit: [Retainer Amount and Terms]

Retainage: [Retainage Percentage and Release Conditions (Complying with Maine Law)]

Acceptable Forms of Payment: [List of Acceptable Payment Methods]

Invoicing Procedures: [Detailed Invoicing Procedures]

Late Payment Interest: [Interest Rate for Late Payments (Complying with Maine Law)]

Sales/Use Tax Responsibility: [Allocation of Responsibility for Maine Sales/Use Tax]

Reimbursement of Expenses

Option A: Reimbursable Expenses

• The Client shall reimburse the Contractor for reasonable and pre-approved job-related expenses, including material costs and equipment rental, upon submission of valid receipts.

Option B: Included in Price

• All expenses are included in the agreed-upon price in Section 3.

Change Orders: [Process for Documenting and Approving Change Orders]

Independent Contractor Status

The Contractor is an independent contractor and not an employee of the Client. The Contractor acknowledges and agrees to the following:

• Controls Performance Methods: The Contractor has control over the methods used to perform the services.
• Provides Own Tools: The Contractor provides their own tools and equipment.
• Selects Workforce/Subcontractors: The Contractor has the right to select their own workforce or subcontractors [Subject to Client Approval - Optional].
• Maintains Insurance: The Contractor shall secure and maintain all required insurance, including workers' compensation, general liability, and any industry-specific bonding or surety coverage per Maine statutes.
• Assumes Tax Obligations: The Contractor is responsible for all applicable taxes, including self-employment tax, Maine income tax, and unemployment insurance.
• Not Eligible for Benefits: The Contractor is not eligible for any employee benefits from the Client.

Licenses, Registrations, and Compliance

The Contractor represents and warrants that they possess all necessary licenses and registrations required to perform the services in the State of Maine, including but not limited to:

• Maine License Number: [Contractor License Number]
• Federal Tax ID: [Contractor Tax ID]
• State Tax ID: [Contractor State Tax ID]
• Evidence of Compliance with Maine Home Construction Contract Act (if applicable): [Description or Attachment]

Required Written Disclosures and Consumer Protection Notices: [Included as Addendum - See Addendum A]

Permits and Compliance with Laws

Option A: Contractor Responsibility

• The Contractor is responsible for obtaining and paying for all necessary building permits and code inspections, and for ensuring compliance with all applicable building codes, safety regulations (including OSHA), and environmental laws specific to construction in Maine.

Option B: Client Responsibility

• The Client is responsible for obtaining and paying for all necessary building permits and code inspections. The Contractor shall cooperate with the Client in obtaining such permits.

Interaction with Local Authorities: [Defined Responsibility for Interaction with Local Authorities]

Quality Standards and Warranty

Quality Standards: The Contractor shall perform the services in a good and workmanlike manner, meeting industry standards and the specifications outlined in Section 1.

Right to Inspect Work: The Client has the right to inspect the Contractor's work at reasonable times.

Punch List Process: [Detailed Punch List Process]

Warranty Obligations:

• Workmanship: The Contractor warrants their workmanship for a period of [Number] year(s) from the date of completion.
• Materials: The Contractor warrants the materials provided by them according to the manufacturer's warranty.

Procedure for Correction of Deficiencies: [Detailed Procedure for Correcting Deficiencies]

Client Responsibilities

The Client is responsible for:

• Site Access: Providing the Contractor with reasonable access to the project site.
• Utilities: Ensuring that necessary utilities (e.g., electricity, water) are available at the site.
• Debris Removal: [Defining responsibility for debris removal. E.g., Client, Contractor or shared]
• Coordination: Coordinating with other contractors or project stakeholders.

Materials and Equipment

Use, Protection, and Storage: The Contractor shall be responsible for the proper use, protection, and storage of all materials and equipment on site.

Hazardous Substances: [Handling of Hazardous Substances or Lead/Asbestos per Maine Environmental Protection Rules]

Confidentiality: The Contractor shall maintain the confidentiality of any Client property or project plans.

Subcontractors: The Contractor shall not use any subcontractors without the prior written approval of the Client [Including Requirement for Client Pre-Approval and Evidence of Subcontractors’ Maine Licensing and Insurance].

Assignment and Intellectual Property

Assignment: This Agreement shall not be assigned by either party without the prior written consent of the other party.

Intellectual Property: [Terms Regarding Intellectual Property or Proprietary Product Issues if Design Elements Are Involved]

Work Product: All work product for the site becomes the Client's property upon payment.

Indemnification and Liability

The Contractor shall indemnify, defend, and hold harmless the Client from and against any and all claims, losses, damages, liabilities, costs, and expenses (including attorney's fees) arising out of or relating to the Contractor's performance of the services, except to the extent caused by the Client's negligence or willful misconduct.

Limits on Damages: [Limits on Damages]

Notification of Claims: [Obligations for Notification of Accidents, Defects, or Third-Party Claims]

Breach and Termination

Breach Procedures: [Detailed Breach Procedures]

Remedies for Non-Performance: [Remedies for Non-Performance]

Liquidated Damages: [Liquidated Damages Clause, if applicable]

Termination:

• For Default: The Client may terminate this Agreement for cause upon [Number] days' written notice to the Contractor if the Contractor fails to perform the services in accordance with the terms of this Agreement.
• For Convenience: The Client may terminate this Agreement for convenience upon [Number] days' written notice to the Contractor.

Right to Cure: [Defined Notice Periods and Maine-Appropriate Rights to Cure]

Dispute Resolution

Dispute Resolution Process: [Including Mandatory Negotiation, Mediation, Then Binding Arbitration or Legal Action]

Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of Maine.

Venue: Any legal action arising out of or relating to this Agreement shall be brought in the state or federal courts located in [County Name], Maine.

Force Majeure

Neither party shall be liable for any failure to perform its obligations under this Agreement to the extent that such failure is caused by a force majeure event, including acts of God, war, terrorism, fire, flood, or other events beyond the reasonable control of the party. This includes severe weather specific to Maine.

Post-Termination Duties

Final Accounting: The Contractor shall provide a final accounting to the Client within [Number] days of termination.

Removal of Equipment: The Contractor shall remove all of its equipment from the project site within [Number] days of termination.

Lien Releases: [Obligation to Provide Lien Releases per Maine Law]

Transfer of Warranties: [Transfer of Warranties]

Project Completion Documentation: [Requirements for Project Completion Documentation]

Final Payment: The Client shall make final payment to the Contractor within [Number] days of the Contractor's completion of all post-termination duties.

Maine Lien Law Compliance

The Contractor shall comply with all applicable provisions of Maine's lien laws (Title 10, §3251 et seq.), including providing preliminary notice as required.

The Client acknowledges their responsibility to make payments to avoid lien claims.

Mechanics Lien Waivers: The Contractor shall provide mechanics lien waivers upon progress and final payments, specifically tailored to Maine statute.

Compliance with Laws

The Contractor shall comply with all applicable federal, state, and local laws, rules, and regulations, including Maine anti-discrimination statutes and wage/hour laws.

Notices

All notices under this Agreement 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 overnight courier to the addresses set forth above.

Modification and Severability

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

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 Full Legal Name]

____________________________
[Contractor Full Legal Name]

Addendum A: Maine Home Construction Contract Act Disclosures (If Applicable)

• [Required Disclosures and Consumer Protection Notices Specific to Home Improvement or Repair Work in Maine]