Construction Contract
The prime agreement between an owner and a general contractor. It sets the scope, the price, the schedule, and how — and when — money changes hands.
AI-assisted document tools — not legal advice. A starting point you can understand and customize.
What it is
A construction contract is the master agreement for a building project. It records what work the contractor will perform, how much the owner will pay and on what schedule, when the project has to be finished, and what happens if plans change or something goes wrong. A clear contract keeps a project predictable; a vague one is where disputes start.
When you’d use it
- An owner is hiring a general contractor to build, remodel, or renovate.
- You want the scope, price, and schedule pinned down before work begins.
- The job is large or long enough that a handshake and an invoice are not enough.
- You need a paper trail for lenders, permits, or insurance.
Key sections & clauses
The parts a construction contract usually needs to cover. Use them as a checklist — XOsign flags the ones a draft is missing.
Scope of work
Exactly what is being built, referencing plans, specifications, and any allowances.
Contract price & payment schedule
The total price (lump sum, cost-plus, or GMP) and when progress payments are due.
Retainage
The percentage held back from each payment until the work is accepted.
Schedule & completion
Start date, milestones, and the substantial-completion date.
Change orders
How changes to scope, price, or time get approved in writing.
Warranties
How long the contractor stands behind the work and what is covered.
Insurance & indemnification
Who carries which coverage and who is responsible when a claim arises.
Termination & disputes
How either side can end the contract and how disagreements get resolved.
Understand it, translate it, strengthen it, sign it.
The same four steps behind every XOsign agreement — from the moment you upload or start a draft to the moment it’s signed.
Understand it
XOsign reads the document and explains every clause in plain language, so you know what you're agreeing to before you sign — not after.
Translate it
Read and sign in English or Spanish. XOsign presents the agreement side by side so nobody signs a document they can't fully read.
Strengthen it
XOsign flags missing, vague, or one-sided terms and suggests clearer language — so the agreement actually protects you.
Sign it
Send it for legally binding e-signature (ESIGN/UETA) with a tamper-evident audit trail and a trusted timestamp on the signed copy.
Frequently asked questions
What should a construction contract include?
What is the difference between lump-sum, cost-plus, and GMP pricing?
Is a written construction contract required?
XOsign provides AI-assisted document tools and does not provide legal advice. These templates are starting points you can understand and customize — not a substitute for advice from a qualified attorney. Requirements vary by state and situation.
Start your construction contract in XOsign.
Understand every clause, translate it for whoever signs, and send it for signature — all in one place.