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SUBCONTRACTOR PERFORMANCE AGREEMENT
FOR RESIDENTIAL CONSTRUCTION
(ELECTRICAL WORK)¹

          THIS AGREEMENT, entered this 15th day of June, yr1996², between Glen Wilder³ of 103 Plainview St., Albion, Idaho⁴ and Eldon Johnson⁵ of American Falls, Idaho⁶, is established and conditioned on the following terms:
          1. PARTY STATUS: Owner shall serve as the general contractor on the building project described in paragraph 2 herein. Subcontractor shall serve in his/her own capacity as a legal entity known as an Independent Contractor and, accordingly, shall employ, compensate and manage any assistance required for performance of this contract. Subcontractor shall be responsible for: liability insurance for work related to this project, workers' compensation for its employees, appropriate tax withholding (federal, state and local), appropriate job service taxes (federal, state and local), and all union relations. Subcontractor shall hold owner/builder harmless and thereby indemnify owner/building for any claims made that may be generated from work related to this project.
          2. JOB SITE: The job site for this project shall be kept free of debris, trash, dangerous conditions, and potential hazards by subcontractor, and said subcontractor shall leave the following described premises in a clean and injury-free environment at the conclusion of each work day. The job site premises is described as follows:

80 Miller Road
American Falls, Idaho⁷

3. COMPLIANCE STANDARDS⁸: Subcontractor shall comply with all federal, state and local laws, rules, and regulations including, but not limited to, OSHA standards. Subcontractor shall hold owner/builder harmless for any violations and shall, accordingly, indemnify said owner/builder.

This is not a substitute for legal advice. An attorney must be consulted.
Copyright © 1994- 2015 by LAWCHEK, LTD.

4. TERM: The term of this agreement is for the construction period required for the construction of the aforementioned project (described in paragraph 2). Limitations and deadlines on said project are as follows:

50% or the "rough in" work to be performed by subcontractor shall be completed by the 1st day of September, yr1996⁹.
An additional 30% of the total amount of the work to be performed by subcontractor shall be completed by the 15th day of October, yr1996¹⁰.
The final 20% of the total work to be performed by subcontractor shall be completed by the 15th day of November, yr1996¹¹.
In the event the work to be performed as set forth above is not completed as stated, the liquidated damages provision of this agreement shall apply¹².

          5. LIQUIDATION DAMAGES: In the event subcontractor fails to perform in conjunction with the workmanship provision (paragraph 7) or any other provision of this agreement or if there is a failure to meet the deadlines set out in paragraph 4 (or as modified in paragraph 6 herein), subcontractor shall be penalized the sum of $500¹³ per day.
          6. WEATHER DAYS: Only in the event the parties agree in writing to extensions for bad weather days will exceptions be allowed for the deadlines of paragraph 4 or the liquidated damages of paragraph 5 above. Weather day extensions will not be unreasonably withheld by owner/contractor; however, such extensions must be for good cause shown since the parties in this agreement contemplate that 15 bad weather days have already been included in the deadlines set forth in paragraph 4 above.
          7. WORKMANSHIP¹⁴: Subcontractor agrees to provide lasting and quality work for the items set forth in the attached "estimate " or "quote" for services. Said work will be subject to the approval of owner/builder prior to payment for said services. Subcontractor warrants his/her work and will make or pay for any and all repairs or corrections that are necessary due to faulty or improper craftsmanship.
          8. MATERIALS: Subcontractor shall provide all quality material necessary for the work on the project (premises) described in paragraph 2 above subject to the following:

Builder Wilder shall provide all conduit for project from owner's personal business¹⁵.

This is not a substitute for legal advice. An attorney must be consulted.
Copyright © 1994 - 2015 by LAWCHEK, LTD.

9. PAYMENT: Owner/builder will pay to subcontractor the total sum of $5,845¹⁶ as set forth in the attached "estimate" or "quote" and no more, unless a change order is made and signed by the parties for any items not included in the attached "estimate" or "quote." Without a change order duly executed, any additional items will be provided by subcontractor at subcontractor's expense. Payment shall be made by owner/contractor to subcontractor on the following basis:

	AMOUNT	DATE	PERCENTAGE OF COMPLETION
a)	$1,000	9/1/96	50%¹⁷
b)	$2,000	10/15/96	30%¹⁸
c)	$2,845	11/15/96	20%¹⁹

          10. EMPLOYEES: Subcontractor may, at his/her discretion, hire additional help to assist on the aforementioned project; however, any such assistance will be paid by subcontractor. Payment for additional help shall be the sole obligation of subcontractor, and such payment shall include, but is not limited to: all taxes, withholding, job service, workers' compensation and any other governmental obligations, as well as, salaries that subcontractor is required to pay.
          11. INSURANCE²⁰: Subcontractor shall maintain all appropriate forms of insurance including, but not limited to: workers' compensation, health and accident, general liability and any other form of insurance requested by owner/builder. Owner/builder shall be listed as a protected party under such policies of insurance. Subcontractor shall hold owner/builder harmless for any accident that may occur "on" or "to and from" the job site that, in any way, relates to subcontractor's work on the aforementioned project. Proof of insurance coverage shall be provided to owner/builder within 20 days after the signing of this agreement. Commencement of this project will not occur until subcontractor has provided proof of insured coverage.
          12. RIGHT TO INSPECT: Owner/builder shall have the right to inspect the project at all times and the additional right to stop the project and terminate this agreement if subcontractor's work is not done in a workmanlike and quality manner acceptable to owner/builder.

This is not a substitute for legal advice. An attorney must be consulted.
Copyright © 1994 - 2015 by LAWCHEK, LTD.

          13. LIEN WAIVERS²¹: The contractor shall provide to the owner appropriate lien waivers upon receipt of payment as set forth in paragraph 9 above.
          14. ADDITIONAL PROVISIONS²²:
                a)    none²²
                b)
                c)

Dated this 1st day of July, yr1996²³.

²⁴	²⁵
SUBCONTRACTOR	OWNER/BUILDER
²⁶	²⁷
WITNESS	WITNESS

The form above is an example of how a typical Subcontractor Performance Agreement form may be completed.

The type of subcontracting work to be performed should be set forth.
The date on which the contract is entered.
The name of the owner or builder. In this case, it is the owner.
The address of the owner or builder.
The name of the subcontractor or the subcontractor's company or both. In this case, it is an individual subcontractor.
The address of the subcontractor.
The location at which the work will be completed.
There may be various compliance standards that are unique to each state or locality; therefore, an attorney should be consulted regarding these matters.
An arbitrary date was selected for the completion of 50% of the work.
October 15, 1996, was arbitrarily selected for the subcontractor to have completed an additional 30% of the work.
November 15, 1996 was the date selected for the final 20% of the work.
The provision is set forth to let the parties know that liquidated damages will be charged for any delay where the subcontractor fails to complete the project within the specified period of time and for which an extension has not been granted.
The amount set forth is an arbitrary figure that is used to delineate the amount of liquidated damages. In this case, it is on a daily basis.
The workmanship may vary from location to location. It is certainly possible for this provision to be more elaborate.
An exception to a normal contract project was set forth as a hypothetical example, wherein, the owner was to provide conduit.
The total amount of payment was set forth.
The first installment of payment, the date of installment, and the percentage of completion has been set forth.
An amount to be paid on the second installment payment of 10/15/96 was set forth after 30% of the electrical project had been completed.
The final payment on 11/15/96 was set forth when the final 20% was completed. This, of course, is a hypothetical example.
Insurance requirements may vary from state to state or from location to location; therefore, an attorney should be consulted regarding this matter.
Lien waivers and the requirements for lien waivers may vary from state to state. Accordingly, an attorney should be consulted.
No additional provisions were set forth as a sample in this case. However, space has been provided for any additional provisions to this agreement.
The date the agreement was signed should be set forth.
The signature of the subcontractor, in this case, the electrician.
The signature of the owner or builder should be provided.
Space for a witness who observed the contractor's signature of this contract.
Space for a witness who observed the owner's signature of this contract.

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This is not a substitute for legal advice. An attorney must be consulted.