Head of practice
Attorney. Specialist in commercial and labor law. Over 16 years of experience in legal support of businesses - debt recovery, contract enforcement, recovery of damages, commercial property and lease disputes.
Contract for the performance of works (contract)
What is a contract for the performance of works?
In the modern world, no work can be done without concluding appropriate agreements. Therefore, there is a special form of agreement designed to regulate the basic provisions regarding the rights and obligations of counterparties, liability in the event of breach of agreements, etc. A special legal structure for this is called a contract for the performance of works, or as it is also called, a contract agreement (hereinafter referred to as the DP).
According to Article 837 of the Civil Code of Ukraine, a contract agreement is a formal agreement between the relevant counterparties, according to which the Contractor undertakes to perform work on the Customer's instructions for payment. This agreement is characterized by a number of its features. Firstly, it provides for clear work. The Contractor shall perform the work exclusively at his own risk and transfer the final result to the Customer. Secondly, the DP may provide for obtaining special permits to carry out a separate activity under its essential conditions (for example, a permit to build a bomb shelter).
Types of contracts for the performance of works (contracts)
The current legislation of Ukraine clearly states the list of different types of this agreement. Let's consider each of them in more detail.
First, the domestic DP. By subject, the agreement between the parties concerns the performance of certain household repair works, sewing clothes, and the provision of other specialized services. As a rule, the parties to this agreement will be the Consumer (individual) and the Contractor (legal entity - workshop, company, firm, etc.).
Secondly, the construction DP. According to the provisions of the agreement, one counterparty has the obligation to build, overhaul or reconstruct the relevant real estate object by order of another. As we can see, for the effective and lawful performance of construction works, the Contractor must be a certified construction company and obtain all necessary permits, if this is provided for in accordance with current national legislation.
Third, the design activity DP. Everything is quite simple here: one party must provide appropriate design services (for example, special geodesy services), and the result will be the receipt of properly executed documentation. The peculiarity of this type of agreement is that it is necessary to take into account specific legislative norms and standards for carrying out design work in the relevant sphere of public life.
Fourthly, the scientific and technical subcontract. This type of contract for the performance of works provides an opportunity for the Customer (as a rule, these are state bodies or representatives of businesses for the management of intellectual property objects) to obtain proper performance of ordered scientific research or development of technologies.
Fifthly, the general subcontract. Finally, the last type is an agreement between the parties to provide a complex of various works. Its peculiarity is the ability of the General Contractor to involve Subcontractors for the proper performance of obligations with a warning of his customer and obtaining appropriate consent.
Legal aspects of developing a contract for the performance of works
It is worth highlighting the key nuances of concluding a contract:
- Mandatory receipt of the result of the work performed in material form (can be both a specific product and an act of performed work);
- The price under the agreement must include the nominal value of the counterparty's services, as well as the costs that it may incur during the performance of the relevant actions (preliminarily agreed upon by the signatories);
- The term of provision of services must be clearly defined, or allow the Contractor to perform the activity within a motivated (reasonable) period;
- The Customer must be obliged to pay for the services already provided in the event of unilateral termination before receiving the result (if certain work was performed during the time before termination);
- For the inadequate quality of its work, the contractor, by agreement with the customer, either eliminates the shortcomings free of charge, receives a lower price than was stipulated in the contract, compensates the party for the losses incurred (it all depends on each specific circumstance and the agreement between the parties).
Legal support for the development of a contract
Legal support for work with a state enterprise helps the parties to avoid legal risks, correctly formulate obligations and ensure the implementation of agreements. The stages of legal support by a specialist of the Law Firm “Prikhodko & Partners” are as follows:
- Preparation and development of the agreement - consultation, analysis of features, direct development of the draft agreement, verification of compliance with the law;
- Negotiations with counterparties - representation of the client's interests in negotiations, coordination of the terms of the agreements;
- Legal support after signing the agreement - support for the signing of acceptance and transfer certificates of the performed work, resolution of possible disputes.
Conclusions. A contract is an important form of agreement that regulates the relationship between the customer and the contractor. There are several types of it, each of which has its own characteristics. Concluding an agreement is an important step that requires careful attention and professional legal support.
The law firm “Prikhodko and Partners” provides a full range of services for legal support of contracts for the performance of work. To find out the cost of our specialist’s services, fill out the form below.
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