Contract of Business The Inner Designs - Ayman Sultan Law Firm in Egypt - criminal law, legal advice, insurance and labor cases, civil status
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Contract of Business The Inner Designs

It is on Tuesday corresponding to 25/10/2016 It was agreed by and between each of First Party: The landlord and it is represented in the…

It is on Tuesday corresponding to 25/10/2016

It was agreed by and between each of

First Party:

The landlord and it is represented in the contract by ……………

ID Card No.:

Address:

Second Party:

 

ID Card No.:

Address: 17 Mansour Mohamed St., Vodafone Building, Zamalik

Both parties agreed to all terms and conditions pertaining to the subject of the contract i.e. the business of the inner design of the shop and designing the outer garden and supervising the implementation of finishing works of the shop, the fences, designing the outer garden of the shop, subject of the contract.

Preamble

First Party owns the powers and the right in finishing the shop which is located at ……………….. Whereas Second Party is an engineering office qualified for making the inner designs and supervising the required finishing works, both parties agreed to the following:

First Article

The previous preamble shall be deemed an integral part of the contract, the business comparison and the financial proposal submitted by First Party and approved by both contracting parties shall be deemed an integral part of the contract.


Second Article

Both parties firstly acknowledged their full legal competence to sign the contract and secondly, they shall endure all the liabilities provided for to both of them in the contract immediately after signing the contract.

Third Article

First Party shall provide all information, data and drawings that enable Second Party to make the inner design required for the shop. First Party shall also remove any hindrances or obstacles may hinder or delay the contractor’s work in the site as well as First Party shall provide a source of water and electricity, the licenses and permits which are necessary for implementing the works in the site in accordance with the requirements of the competent city agency.

Fourth Article

Second Party shall be committed to perform all the works related to the subject of contracting as follows:

  • Designing the decor works (2D) [walls – roofs – floors].
  • Designing the décor works (3D) colors.
  • Make the comparison of the finishing works.

Fifth Article

Second Party shall supervise periodically on the implementing the said works stated in the Fourth Article according to the drawings and samples accredited for the project under its supervision and responsibility. Second Party or its representative shall make periodical visits to follow up the work progress and supervise executing of the works in accordance with the authenticated drawings and samples.

Sixth Article

Second Party shall review the quantities of the articles of the works implemented at the site that are submitted by the contractor in the form of bimonthly or monthly progress billings and he shall submit them to First Party after reviewing and approval thereof in a duration not exceeding (7) working days, thereafter First Party shall review such quantities and disbursing the progress billing of the contractor and the percentage of Second Party’s fees in a duration not exceeding (7) working days.

Seventh Article

Second Party shall, whenever possible, provide samples of the materials used in the finishing works to First Party to authenticate them, provided that, First Party shall authenticate or reject these samples in a duration not exceeding (3) working days.

Eighth Article

First Party shall incur any delays may result from breaching any of its liabilities set forth in the Sixth and Seventh Articles, and in case of occurrence of such, an additional working day shall be calculated for each day of delay for each article separately.

Ninth Article

Second Party shall incur any delays may result from violating any of its commitments provided for in the Sixth Article, and a deduction of (1%) shall be calculated from the value of Second Party’s progress billing and the utilities for the delayed progress billing to the contractor.

Tenth Article

The value of fees of Second Party shall be calculated in consideration for the works stated in the Fourth, Fifth, Sixth, Seventh and Thirteenth Articles as follows:

  • The fees of inner design shall be 2000 EGP (Only two thousand Egyptian pounds).
  • The fees of supervising the implementation shall be 14% (fourteen percent) of the total value for implementing these articles as the total value shall include the value of raw materials, the manufactured materials, the workmanships of implementation and all what is required for implementing the articles at the site.
  • The fees of supervision on any amendments required by the landlord in any of the implementation articles shall be calculated with 14% (fourteen percent) of the total value for executing these articles as the total value shall include the value of raw materials, the manufactured materials, the workmanships of implementation and all what is required for implementing the articles at the site.

Eleventh Article

First Party shall undertake paying the fees of Second Party pursuant to the following:

  • Payment in advance (50%) out of value of the design works stated in the Tenth Article.
  • Final payment (50%) out of the value of the design works stated in the Tenth Article upon delivering the works comparison.
  • The value of periodic progress billings stated in the Tenth Article (*****).

Twelfth Article

The duration of time of works:

The duration shall be calculated upon signing the contract and paying the payment in advance which shall be as follows:

  • (2) days for submitting the schemes of furniture and décor.
  • (2) days for submitting the schemes of colors (3D) (after authenticating the schemes of furniture).

Remarks: the working days shall not include the weekly and formal vacations.

Second party shall undertake making the designs, subject of the contract, according to the following phases and durations of time:

  • First Phase: is the phase of primary designs and its duration shall not exceed one week starting from date of contracting or date of receiving all the data, information and drawings from First Party whichever comes later.
  • Second Phase: is the phase of reviewing and authentication by First Party for what was submitted in the previous phase, provided that, such phase shall not exceed three days.
  • Third Phase: is the phase of making the amendments required by First Party and re-authenticate them and its duration shall be designated as per the volume of amendments required by First Party.
  • Fourth Phase: is the phase of making the final designs and its duration shall not exceed three days starting from date of authenticating the primary designs by First Party.

Second party shall adhere to pay an amount estimated by 10% as delay fine for each day of delay in each time point for implementing the Articles of contract according to the schedule of works stated at the beginning of Twelfth Article, provided that, 10% shall be calculated out of total value of executing the Articles of contract in accordance with what is stated in the tenth Article (Second item).

Thirteenth Article

Second Party shall undertake submitting primary designs to First Party to be reviewed and authenticated. Second Party shall also undertake masking all the amendments required by First Party, provided that, this process shall be executed only for one time, thereafter Second Party shall be entitled to claim an additional value of the fees in consideration for making such amendments, and this value shall be agreed upon on a timely manner before starting in making such amendments.

 

Fourteenth Article

Both parties represent that the contract shall include the following:

  • Reviewing the constructional designs of the building.
  • Reviewing the conformity the license with the existing building of the shop, subject of contracting.
  • Extracting any licenses or permits.

Fifteenth Article

First Party shall pay an amount of money equal to percent of (40%) from the estimated value of the works required to be executed and this amount was delivered to Second Party as custody for carrying out the implementation works on behalf of First Party. Second Party shall be liable for settling this custody every time period not exceeding (15) days; thereafter First Party shall pay an equal amount of money to Second Party as custody to do the same task till the end of implementing all the works.

Sixteenth Article

Either Party shall not assign this contract except by acceptance and satisfaction of the other party. Second Party shall not also assign any amounts of money payable to First Party in execution of this contract unless obtaining prior written consent.

Seventeenth Article

First Party acknowledges the right of Second party concerning the distinctive character designed by Second Party and the intellectual property rights. First party also undertakes not to exploit this character and design without Second Party’s knowledge and First Party shall financially compensate Second Party for such.

Eighteenth Article

First Party shall be entitled to add other works on the contract by acceptance of Second Party, provided that, this shall be included in the appendix of the contract, these works and the fees of Second Party in consideration for such works shall be mentioned therein.

Nineteenth Article

Both parties shall have the right to resort to the competent courts in case of any breach committed by either party against any terms and conditions of this contract.

Allah is the Arbiter of Success, He is the best of witnesses

 

First Party Second Party

 


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