I found various opinions on this and would like to know how this issue was handled contractually or possibly renegotiated in your cases.
According to our construction contract, we always pay first, and then the next phase of construction is completed. So, our payments are always made in advance.
Based on the assessment of a friend with industry experience, this is not uncommon, but he would try to renegotiate it. An invoice that has already been paid is no longer a "lever" for negotiation.
How was it handled in your experience?
According to our construction contract, we always pay first, and then the next phase of construction is completed. So, our payments are always made in advance.
Based on the assessment of a friend with industry experience, this is not uncommon, but he would try to renegotiate it. An invoice that has already been paid is no longer a "lever" for negotiation.
How was it handled in your experience?
Masipulami23 Jul 2016 10:52I can only agree with the previous speakers:
Payment should be made only after the service has been completed and accepted.
Payment should be made only after the service has been completed and accepted.
No, the upload doesn’t seem to work.
So I typed it out manually:
1. After contract confirmation: 3%
2. After completion of the building permit / planning permission documents: 5%
3. After completion of the foundation slab: 10%
4. After delivery of the DT compounds: 10%
and so on, always in 10% increments
Last point: After notification of completion 2%.
Apparently, this is not unusual, although I am still not sure if our payments are really ahead of the construction progress.
Possibly because the milestones like contract signing and building documents don’t mean that anything has actually happened on site?
So I typed it out manually:
1. After contract confirmation: 3%
2. After completion of the building permit / planning permission documents: 5%
3. After completion of the foundation slab: 10%
4. After delivery of the DT compounds: 10%
and so on, always in 10% increments
Last point: After notification of completion 2%.
Apparently, this is not unusual, although I am still not sure if our payments are really ahead of the construction progress.
Possibly because the milestones like contract signing and building documents don’t mean that anything has actually happened on site?
Mizit schrieb:
Maybe because the points about signing the contract and preparing construction documents don’t mean that anything has happened on the construction site yet?You should let go of that idea quickly. There are so many things that need to be completed in advance.
We were impatient too recently, had already paid nearly 30,000 euros, and not a single blade of grass had been moved on the property.