Now this agreement executed between the said owner and the contractor witnesses as follows :
1. That contractor has agreed to construct the building in accordance with the sanctioned plan and specifications attached thereto. It is agreed by the parties that the contractor shall provide entire material required for the construction of the building and also arrange for workmen, appliances, tools and scaffoldings for execution of the work in hand or for purposes of any changes effected therein given in writing by the owner. The drawings and sketches have been prepared and have been signed by both the parties. Each party hereto has been provided with a copy of such drawings and sketches.
2. That the owner has reserved his right to make any change in the plan which, if made, shall be given in writing under his signature to the contractor. The addition or omission caused due to change in the plan sanctioned by the Kanpur Development Authority shall be followed by the contractor.
3. That the relationship of trust and confidence shall be recognised by the contractor in execution of the agreement and therefore the contractor has agreed to co-operate with the architect of the owner in respect of the said construction. The construction shall maintain proper supply of quality material and expert and experienced workmen in required number at all times to ensure the construction in most economical and expeditions manner consistent with the interest of the owner.
4. That the owner has agreed to pay a sum of Rs. 60 lacs in consideration of the services of the contractor and the cost of the material as also the wages paid by him to workmen employed for the construction work. The above noted sum of Rs. 60 lacs shall be paid by the owner of the constructor in following manner.
A. Wages paid to employee, workmen and other persons directly engaged by the contractor in the construction of the building shall be reimbursed to him by the owner on basis of attendance roll weekly on every Monday.
B. Salary of employees of the contractor employed exclusively in connection with the construction of the building shall be paid by the owner for every month on the fifth day of succeeding month.
C. Major portion of expenses incurred by the contractor for all materials, supplies, equipments and transportation thereof shall be reimbursed by the owner on presentation of relevant bills.
D. The owner shall also reimburse the contractor expenditure incurred by him in temporary structures necessary for storing the material purchased for use in the construction.
E. The contractor shall also be entitled to reimbursement of all expenditure incurred by him on account of permit fee royalty and the deposit lost for causes other than due to the negligence of the contractor.
5. That the title of all work completed by the contractor and of materials used and lying at the site, payment whereof has been made by the owner or for which owner has become liable to pay shall vest in the owner.
6. That the surplus material, equipment shall be that of the owner. Discounts, rebates and refunds in respect of such material and equipments shall also to the owner.
7. That the contractor shall maintain true and regular account of all material bought in connection with the construction of the building. All such account books shall be open to inspection of the owner, his employees or agent at all reasonable hours. The contractor shall furnish a copy of such accounts when asked by the owner within a reasonable time.
8. That the construction of the building shall be completed by the contractor on or before 30th day of November 2001. Extension of time may be allowed by the owner on request of the contractor. If the owner is satisfied that the demand of extension of time is genuine, he may allow such further time as is found necessary of completion of the construction.
9. That on completion of the building the contractor shall be obliged to remove all the hutments, temporary structures at his own cost and deliver possession of the building in rest and clean condition fit for habitation.
10. That the final bill shall be drawn by the contractor keeping in view the additions and omissions effected by the owner in the plan and all payments made to him till then shall be deducted from the bill and the balance amount payable by the owner shall be worked out.
11. That the contractor shall furnish along with his final bill a certificate of completion of the construction from appropriate authority failing which the settlement of the bill shall be withheld.
12. That in case of any dispute in relation to this agreement between the owner and the contractor, the matter shall be referred to the president of the Engineer’s Associations Kanpur for adjudication and the award given by the said president shall be final and binding between the parties.
13. That it is specifically agreed by the parties that all payments shall be made by means of account payee cheque payable at Kanpur.
14. That all taxes including sales tax payable on purchase of the material and paid by the contractor shall be reimbursed to him by the owner.
15. That the owner shall not be liable to compensate the contractor on account of cost escalation.
In witness of the above the owner and the contractor have put their hands on this deed on the date aforementioned before the undermentioned witnesses.
Signature of the parties :