And whereas the builder offered his services to the owner for the construction of the prepared multistoried building consisting of flats for residential accommodation.

And whereas after due negotiations and deliberations the parties hereto have agreed to execute a deed of agreement containing the terms and conditions and the specifications.

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Now it is mutually agreed upon by the parties aforementioned as under :

1. That the builder has agreed to dismantle the existing structure standing as bunglow number 136, Nehru Road, Allahabad at his own cost. All the material of the existing structure shall be property of the builder after its demolition. The builder shall remove entire material within a week of the demolition of the structure at his own costs.

2. That the owner has obtained sanction of the plan by appropriate authority. The builder shall commence construction in accordance with the sanctioned plan within a month of the date of execution of this agreement as per plan given in Schedule A of this agreement.

3. That the builder shall purchase entire material required for construction of the building and submit to the inspection of the architect of the owner for his approval in regard to quality of the material. The material shall be used in the construction work only after the approval of the quality of the same by the architect. However the architect may nominate some other person who will have the authority to approve the material intended to be used in construction of the building in absence of the architect.

4. That the builder shall strictly follow the plans and specifications a copy whereof has been annexed here to and which has been signed by the owner and his architect and also by the builder.

5. That the architect of the owner shall furnish such drawings or explanations as may be necessary to illustrate the work to be executed by the builder and such drawings and explanations shall be deemed to be part of the contract entered into by the parties so far they are consistent with the drawings and specifications forming main part of this agreement and detailed in Schedule A hereto.

6. That the owner shall have the right to issue direction in writing to the builder either himself or through his architect to make alterations by way of addition or omission or otherwise and the builder shall be bound by such instructions. However, the value of such alteration by way of addition or omission shall be worked out by the architect of the owner which shall be added to or deducted from the contract price. In case of any difference of opinion between the parties the same shall be referred to arbitration of V.K. Singh Architect having his office at Chatham Lines, Allahabad whose award shall be final and building on the parties hereto.

7. That the entire construction work shall be completed by the builder within a period of one year from the date of execution of this agreement and the builder shall be under obligation to handover the possession of the constructed building within 15 days of expiry of the said one year. The building shall be responsible to obtain completion certificate from the appropriate authority and shall handover the same to the owner while handling over the possession of the building.

8. That it is also agreed upon by the parties hereto that soon after completion of the construction work the builder and the architect of the owner shall jointly carry on inspection of the constructed building. The architect of the owner shall point out defects in the construction and issue instructions in writing to the builder for removal of the defects and the builder shall be obliged to follow the instructions.

9. That in case time is lost during process of the construction due to any reason beyond the control of the builder such as riots, natural calamities and strikes etc., the builder may seek extension in the period of construction and on being satisfied that the demand of the builder was genuine, the owner shall allow such further period of the time to the builder for completion of the construction work as is deemed fit in the interest of justice.

10. That the total contract price has been worked out in the plan of the building contained in Schedule A hereof. The owner shall assess the investment made by the builder in cons- truction of the building every Monday and shall make payments to the builder approximately 90% of such investment and the builder shall not claim any further payment from the owner. The weekly investment shall be certified by the architect of the owner which shall be acceptable to be builder.

11. That the builder has deposited Rs. 1,00,000.00j as earnest money with the owner and the owner has agreed to release this amount along with payment of final bill of the builder.

12. That the final bill of the builder shall be settled by the owner only after receipt of a certificate from his architect that the construction of the multi-storied building has been finished in accordance to the sanctioned plan thereof and instructions issued by the owner or by his architect that the builder has removed and cleaned away all scaffolding, fencing, unused materials and rubbish from the premises leaving the building and it’s compound clean and fit for peaceful and comfortable habitation and occupation.

13. That the builder shall indemnify the owner in respect of all claims, damages, compensation in relation to any injury to any workman, artisan, labour or any other person whether in employment of the builder or not, caused due to an accident during the process of construction of the building. The builder shall also indemnify the owner in respect of value of material used in the construction work and also against any action or proceedings which might be brought or taken against the owner by any person relating to construction of the building.

14. That the builder shall diligently perform the contract according to plan. In case of any neglect or default found on the part of the builder, the architect of the owner shall serve notice to the builder pointing out the fault or default and the builder shall be responsible to take immediate action to remove the same to the satisfaction of the architect of the owner. Failure on part of the builder in removing the objections raised by the architect may result in assigning the work to any other person competent to carry on construction work and the work done by such person shall be valued by the architect and the amount arrived at after such valuation shall be deducted from the final bill of the builder.

15. That the builder shall appoint one Engineer or Assistant Engineer to get instructions from the architect of the owner from time to time. The owner shall appoint a person as works incharge who shall keep watch on the material being used by the builder and such person shall have access to each part of the premises and the building under construction.

16. That it has been specifically agreed by the parties hereto that cost escalation shall be the subject to be considered by the owner in case for any reason the period of construction is extended on the request of the builder.

17. That builder shall be at liberty to assign any part of the construction work to any person or agency but it shall be absolutely necessary that such person or agency has the necessary skill and experience to perform the work as an expert.

18. That the final bill shall be drawn by the builder soon after the completion of the work and the owner shall be duty bound to pay the same within a month of receipt thereof after being satisfied regarding correctness of the bill.

19. That in case of any dispute touching the matters relating to this agreement between the parties hereto shall be referred to arbitrator Sri V.K. Singh Architect, Chatham Lines, Allahabad for adjudication and decision of the award given by said arbitrator shall be final and binding on the parties hereto consent of Sri V.K. Singh Architect to act as arbitrator has been obtained.

20. That in case the builder fails to perform his part of the contract, the construction work shall be assigned to any other person of owner’s choice and in that event the builder shall be entitled to receive payment of the part of the contract executed by him but shall forfeit the amount of earnest money deposited by him with the owner.

In witness of these presents the parties to this deed have put on their hands on the date and place aforementioned in presence of the witnesses undersigned.

Witnesses :—

1. Name



2. Name



Signature of the parties

1. ……………….


2. ……………….


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