ᐅ Completion Date in a General Contractor Agreement – Wording Guide

Created on: 28 May 2019 21:26
G
goalkeeper
Hello everyone,

Our general contractor agreement states that the property will be ready for occupancy 10 months after construction starts, with the completion date set at 12 months.

However, we want to phrase this clause so that the property must be ready for occupancy within 2020 under any circumstances, as otherwise we won’t qualify for the homebuyer subsidy. Another issue is that the site development work is still ongoing, but according to the project manager, it should be finished by September. This also needs to be included somehow in the clause.

Can anyone knowledgeable assist here?
G
goalkeeper
29 May 2019 08:00
Tego12 schrieb:

And what if they don’t comply despite the contract? What should happen? The usual penalties often don’t concern them... Without consequences, there is no incentive, no matter how clearly it is written in the contract.

Under the new construction contract law from 2018, the construction company is then obligated to pay damages, such as rent or financing costs during the waiting period.
G
goalkeeper
29 May 2019 08:03
hampshire schrieb:

How is the move-in date documented? Registered address?

Exactly... Homeowner subsidy can only be applied for once you actually “live” there. If necessary, even if it’s just on a construction site.
H
HilfeHilfe
29 May 2019 08:32
Tego12 schrieb:

And if he doesn't comply despite the contract? What is supposed to happen? Typical penalties usually don’t bother him at all... Without consequences, there is no incentive, no matter how clearly it is written in the contract.

That’s what I mean... a pointless clause
H
HilfeHilfe
29 May 2019 08:33
goalkeeper schrieb:

Exactly... Child construction subsidy can only be applied for once you actually “live” there. In an emergency, even on a construction site.
hmm fraud???
G
goalkeeper
29 May 2019 08:35
HilfeHilfe schrieb:

This is what I mean... pointless clause

Then try to find a general contractor (GC) in Baden-Württemberg (Ba-Wü) who would accept a contractual penalty when their schedule is fully booked – there is always another one waiting to fill the gap. The statutory “penalties” are simply incentive enough here. Since our GC does not advertise but has been relying solely on his good reputation for decades, he cannot afford poor project execution.

Sometimes the suggestions here are a bit unrealistic.
G
goalkeeper
29 May 2019 08:36
HilfeHilfe schrieb:

hmm fraud ???

What exactly is fraud if I am living there? However, the discussion is now taking a strange turn.