Sample Construction (Work) Contract
Parties
Article 1 –
1.1. Employer: …………………………………… (MERSİS/TCKN: …………), address: ………………………………………….
1.2. Contractor: …………………………………… (MERSİS/TCKN: …………), address: ………………………………………….
1.3. The Parties will be referred to collectively as “Parties” and individually as “Party”.
Definitions
Article 2 – In this contract:
a) Work: The turnkey construction of ………………….. works on … plot (map sheet: …) in … District, … Neighborhood, … Province,
b) Contract Documents: This Contract, its annexes, approved implementation projects, technical specifications, cost estimates-quantity surveys, bill of quantities, work schedule, unit price lists and written instructions,
c) Supervision: The architect/engineer and/or consultant appointed by the Employer,
d) Provisional/Final Acceptance: The stages determined by the completion of the work and the acceptance reports
. In case of conflict between contract documents, the order of priority is: (i) This Contract, (ii) Special Technical Specifications, (iii) Implementation Projects, (iv) General Technical Specifications, (v) Bill of Quantities, (vi) Cost Estimates-Quantity Surveys-Unit Price Lists, (vii) Written instructions.
Article 3 – Subject and Type of Contract This contract is a construction contract within the meaning of Article 470 and subsequent articles of the Turkish Code of Obligations . The contractor undertakes to complete the work on a turnkey basis with a lump sum / unit price (choose the appropriate option).
Land and Permit Procedures
Article 4 –
4.1. Permit, soil survey, project approval processes and correspondence with relevant authorities are the responsibility of ……… (Employer/Contractor).
4.2. Building permits are obtained by ………; requests for changes must be in writing. All consequences arising from construction without a permit/contrary to the permit will be compensated by the relevant party.
Scope and Technical Standards Article 5 – 5.1. The work shall be carried out in accordance with approved projects and technical specifications, using first-class materials and workmanship (SNiP/TS/EN standards, Earthquake Regulations, BEK article, etc., applicable legislation). 5.2. In case of ambiguity, the Contractor may not use alternative materials without receiving written instructions from the supervisory authority. 5.3. Sample and technical document approval is mandatory for equivalent material proposals.
Work Schedule and Duration
Article 6 –
6.1. The contract duration is ……… months/days, and the start date is the date of site handover and signing of the work site report.
6.2. The contractor a detailed time-source work schedule (Gantt/PERT) to the supervisory authority within 10 days of signing. Failure to comply with the approved schedule will result in the application of delay provisions.
6.3. Extensions of time only be granted with written notification and supervisory authority approval ; for force majeure, administrative delays, or downtimes caused by the Employer.
Site Handover and Construction Site Organization Article 7 – 7.1. The work site is handed over to the Contractor with a site handover report , along with the title deed/license/zoning documents . 7.2. Site planning, security, environmental protection, storage, and waste management are the responsibility of the Contractor. 7.3. The site manager (architect/engineer) and sufficient technical staff, along with registered SGK (Social Security Institution) personnel, are continuously present on site.
Occupational Health and Safety (OHS)
Article 8 –
8.1. An OHS plan shall be prepared in accordance with Law No. 6331 and related legislation; personal protective equipment, training, and risk analyses are the responsibility of the Contractor.
8.2. The Contractor is responsible for all administrative/criminal/financial liabilities arising from work accidents. The Employer's right of recourse is reserved.
Social Security Institution (SGK) and Employees Article 9 – 9.1. A separate workplace registration is made in accordance with Law No. 5510 ; all premiums are paid by the Contractor. 9.2. Accruals made by the SGK/Administrations on behalf of the Employer are immediately recouped from the Contractor and paid upon request.
Insurance
Article 10 –
10.1. The Contractor All Risks Construction (CAR/EAR), Employer's Liability, Third Party Liability, Fire/Natural Disaster , and Construction Site Machinery-Equipment insurance at the commencement of the work; the policies shall be for the benefit of the Employer.
10.2. Insurance coverage cannot be less than …% of the contract price; premiums shall be borne by the Contractor.
Materials, Equipment and Energy
Article 11 – Water, electricity, site energy infrastructure and consumption costs are the responsibility of the Contractor. The subscription transfer procedure after provisional/final acceptance will be carried out according to the Employer's instructions.
Supervision and Inspection
Article 12 – The employer and/or consultant shall supervise the execution of the work in accordance with the contract; warnings and correction instructions shall be given in writing, and the Contractor shall comply with them immediately.
Article 13 – Subcontractor : The contractor may subcontract any part of the work; however, prior written approval is required. The contractor is jointly and severally liable for the acts and faults of the subcontractors .
Intellectual and Industrial Property Rights Article 14 – The intellectual property rights of the project and detailed solutions belong to the Employer. The Contractor shall obtain the written permission of the Employer to use visual/written materials for advertising purposes .
Privacy and GDPR Article 15 – The parties shall keep business and customer secrets confidential; they shall process personal data only for contractual purposes within the scope of the GDPR No. 6698 and shall not share it with third parties
Article 16 – Price and Compensation : 16.1. The total contract price (excluding/including VAT) is: ………………… TL. 16.2. If the price is a lump sum , no price changes will be made for new works; if it is a unit price , progress payments will be made based on the approved quantity survey. 16.3. Work increases/decreases will be applied under the same conditions as long as they do not exceed ±20% of the total contract price ; anything more is subject to the written agreement of the parties.
Article 17 – Payment and Entitlement Plan : 17.1. Monthly entitlements are prepared with the approval of the supervisory authority; payments are made within … days following the approval date . 17.2. Final accounts and final entitlements are completed before final acceptance. 17.3. If advances are to be given from payments, the conditions are: amount …%, against collateral, offsetting period … . 17.4. The employer may deduct from entitlements any deductions required by legislation (tax withholding, stamp duty, social security debts, administrative penalties) and contractual penalties.
Guarantees Article 18 – 18.1. The contractor shall provide a provisional guarantee of ……… TL on the date of signing; and a definitive guarantee at the commencement of work : a bank guarantee letter of …% of the contract price, which is irrevocable and unconditional . (A bank guarantee letter is recommended instead of a check.) 18.2. …% of the definitive guarantee will be returned after provisional acceptance; the balance will be returned at the end of the guarantee period
Delay and Penalty Clause Article 19 – 19.1. In case of breach of deadline, the daily delay penalty, independent of the overall work, shall be: ……… TL/day or …0% of the contract price/day. 19.2. The total penalty cannot exceed …10% of the contract price. The penalty shall be collected without the need for proof of damage ; further damages are reserved.
Article 20 – Liability for Defective Performance and Faults : 20.1. In accordance with Articles 474 et seq. of the Turkish Code of Obligations, defective workmanship shall be immediately corrected/replaced upon written notice from the supervisory authority. 20.2. Depending on the nature of the defect, the employer may request a price reduction , have the defect repaired by the Contractor , or terminate the contract . 20.3. The Contractor's liability for hidden defects remains unchanged
Provisional Acceptance – Final Acceptance – List of Deficiencies and Defects Article 21 – 21.1. The Contractor shall notify in writing that the work has been completed and request provisional acceptance . 21.2. A schedule shall be provided for the deficiencies/defects identified in the provisional acceptance report ; those not rectified within the given time may be rectified by third parties at the expense of the Contractor, on behalf of the Employer . 21.3. Final acceptance shall be made on the date when all deficiencies have been rectified and occupancy/compliance permits have been obtained.
Warranty (Defects and Durability) Article 22 – 22.1. The warranty period is … years , starting from the date of final acceptance (at least 2 years; 15 years recommended for load-bearing systems). 22.2. Material/workmanship defects under warranty will be repaired free of charge ; in urgent cases, the Employer may have the repairs done itself with written notification and collect the cost from the Contractor.
Force Majeure Article 23 – 23.1. Unforeseen and unavoidable events such as earthquakes, floods, fires, wars, general strikes, widespread epidemics, administrative restrictions, etc., are considered force majeure. 23.2. Events lasting more than 3 days must be documented within 3 business days ; only an extension for the duration of the effect will be granted. This will not result in an increase in costs (unless otherwise agreed upon in writing).
Taxes, Fees and Official Procedures
Article 24 – Stamp duty, VAT, license/occupancy permit fees, external administrative fees are borne by ……… (Please specify the party).
Article 25 – Transfer of Contract and Assignment of Receivables: The Contractor may not transfer the contract or assign its receivables without the written consent of the Employer
Termination Article 26 – 26.1. The employer has the right to terminate the contract immediately for just cause in the following cases: unauthorized work stoppage (more than 7 days), serious irregularities and failure to correct them, insolvency/bankruptcy, failure to provide/reduction of the guarantee, construction contrary to the license, serious violations of OHS/SGK regulations. 26.2. Upon termination, the employer may take over the workplace and have the work done by a third party; the employer shall claim price differences and damages by deducting them from the contractor's guarantee and receivables. 26.3. The contractor has the right to terminate the contract with a warning and a deadline if the employer converts the guarantee into cash without just cause or delays payments by … days despite the contract terms . 26.4. In case of termination, the handover, inventory, stock and site materials shall be determined by a report.
Applicable Law and Dispute Resolution
Article 27 – This agreement is subject to Turkish law (Turkish Code of Obligations, Law No. 3194 on Urban Planning, Law No. 4708 on Building Inspection, Law No. 6331 on Occupational Health and Safety, Law No. 5510 on Social Security, etc.). The Istanbul (Central) Courts and Enforcement Offices shall have jurisdiction in resolving disputes. (Optional: An ISTAC Arbitration clause may be added.)
Notifications and Communications
Article 28 – The addresses of the parties are the addresses for service of process. Unless changes notary/KEP , notifications sent to the old address shall be deemed valid. Electronic notifications are accepted.
Environmental and Neighborhood Law
Article 29 – Prevention and compensation for noise, dust, vibration, occupation of public space and damages to third parties are the responsibility of the Contractor.
Article 30 – Ethics and Anti-Corruption: Violation of the prohibition against bribery, commissions, and undue benefit constitutes grounds for immediate termination of the contract .
Alterations and Additional Works Article 31 – No additional work shall be performed without the employer's written instruction and agreement on cost and time . In emergency situations, necessary interventions must be made to prevent further damage, and written notification within 24 hours is required.
Article 32 – Entirety of the Agreement : The annexes are an integral part of this agreement. Each page bearing a wet signature/initialing is accepted by the parties.
Article
33 – This document was drawn up and signed in … copies on …/…/20…
Parties
EMPLOYER: ……………………………….. (Signature)
CONTRACTOR: …………………………….. (Signature)
APPENDICES (sample list)
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Appendix 1: Approved Application Projects and Revision List
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Appendix 2: Special and General Technical Specifications
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Appendix 3: Bill of Quantities, Survey and Unit Price Tables
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Appendix 4: Work Schedule (Time-Resources)
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Appendix 5: Insurance Policies (CAR/EAR, Liability, etc.)
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Appendix 6: Construction Site Organization Plan, Occupational Health and Safety Plan, Waste Management Plan
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Appendix 7: Sample Text of Guarantee Letters
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Appendix 8: Payment Schedule Template
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Appendix 9: Sample Provisional/Final Acceptance Certificates
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Appendix 10: Warranty Coverage, Spare Parts/Manufacturer Warranties