ARCHITECT - OWNER AGREEMENT
Covering Professional Services
PROJECT : Proposed _________________________________
LOCATION : __________________________________________
OWNER : __________________________________________
ARCHITECT : __________________________________________
PRC ID No. 00000
Address: _______________________________
Mobile No. 0900.000000
Tel. No. (02) 000.0000
THIS AGREEMENT, made and entered into this ___th day of Month, Two Thousand and _________ by and
between ________________ with postal address at _______________________________________________,
the party of the First Part, hereinafter called the OWNER, and _____________________________________with
postal address at ___________________________, the party of the Second Part, herein called the
ARCHITECT.
WITNESSETH,
That whereas the OWNER intends to build a ______________________ to be located at
_________________________________________, hereinafter called the PROJECT.
NOW, THEREFORE, The Owner and the Architect, for and in consideration of the foregoing promises and of the
other covenants hereinafter named, agree as follows:
ART. 1. SCOPE OF WORK
That the scope of work to be done by the Architect, as herein authorized by the Owner for the
subject Project herein referred to, consists of professional services for the following:
1.01 Site development planning (SDP) of the grounds of the building, including other
concomitant structures within the Project site, as may be determined by the Owner.
1.02 Basic Detailed Architectural and Engineering (A&E) Design of the Project to be
located at ________________________________.
ART. 2. ARCHITECTS BASIC SERVICES
The Architect's Services shall consist of the following:
2.01 Schematic Design Phase
a. The Architect shall consult with the Owner to ascertain the requirements of
the Project and shall officially confirm such requirements to the Owner:
b. The Architect shall prepare the Schematic Design Studies leading to a
recommended solution together with a general description of the Project for
approval by the Owner.
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c. The Architect shall inform the Owner the Probable Project: Construction
Cost (SPPCC) based on current cost parameters.
2.02 Design Development Phase
a. The Architect shall prepare from the approved Schematic Design Studies,
the Design Development Documents consisting of plans, elevations, and
other drawings, and outline specifications, which shall fully and accurately
describe the size and character of the entire Project, including but not limited
to: types of materials, structural elements, mechanical systems, electrical
systems, sanitary systems, and all other relevant architectural components.
b. The Architect shall provide comprehensive plans, designs, and
specifications, including all necessary architectural documents, for the
structural, electrical, plumbing and sanitary designs, as well as electronic
and mechanical works and service-connected equipment, as applicable.
c. The Architect shall prepare detailed specifications outlining the exact type,
quality, and quantity of materials to be used, the finishes and construction
methods to be employed, and the general conditions under which the
Project shall be constructed. These specifications shall comprehensively
cover all aspects of the Project's design and construction, including but not
limited to: materials and finishes; construction methods; structural
components; electrical and mechanical systems; plumbing and sanitary
systems; service-connected equipment; and site development work, in order
to ensure clarity, precision, and conformity to the Project's design intent and
the relevant building codes and regulations.
2.03 Contract Documents Phase
c. The Architect shall furnish the required plans, designs, drawings,
specifications and estimates for the purpose of securing the Building Permit
for the Project.
d. The Architect shall keep the Owner informed of any adjustments to the
previous Statement of Probable Project Construction Cost (SPPCC)
indicated by changes in scope, requirements or market conditions.
e. The Architect shall assist the Owner in filing the required documents to
secure approval of governmental authorities having jurisdiction over the
design of the Project.
f. The Architect will release a complete set of contract drawings,
specifications, and general conditions for bidding purposes upon receipt of
the owner's official instruction and payment of a fee for the lease or rental of
these documents. The bid documents must be returned to the architect in
their entirety along with the submitted bid. In the event that a bidder
withdraws from the bidding process, they must still return the documents to
the architect or risk facing potential criminal charges for violating the
intellectual property rights of the architect.
ART. 3 ARCHITECTS FEE AND MANNER OF PAYMENT
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3.01 Prior to commencing work, the Architect shall provide the Client with a detailed
breakdown of the rates for all professionals and personnel assigned to the Project,
including their respective hourly rates and any applicable overheads. That the Owner
agrees to pay for the Architect's professional services, which shall consist of a fixed
Architect's Professional Fee and a direct expense component.
3.02 That payments to the Architect on account of the agreed Fees shall be made by the
Owner as follows:
a. Upon signing of this Agreement, the Client shall pay Twenty Five Thousand
Pesos (P25,000.00) which is equivalent to 15% of the total Professional Fee,
as the mobilization component for the Schematic Design Phase.
b. Upon the finalization of the Schematic Design and before starting the
Architectural Development Phase, the Professional Fee shall be paid in the
amount of Php 9,600.00, which is equivalent to 20% of the total Professional
Fee.
c. Upon the finalization of the Architectural Design Phase and before starting
Allied Design Services Phase, the Professional Fee shall be paid in the
amount of Php 12,000.00, which is equivalent to 25% of the total
Professional Fee.
d. Upon the finalization of the Contract Document Phase, the Professional Fee
shall be paid in the amount of Php 16,800.00, which is equivalent to 35% of
the total Professional Fee.
e. Upon start of construction or completion of building permit, a payment of
Php 2,400.00 shall be made, which is equivalent to 5% of the total
Professional Fee.
3.03 The Owner agrees to make partial payments at the completion of each phase of the
Architect's work, as requested by the Architect, which will occur before commencing
work on the next stage.
ART. 4 THE OWNER'S RESPONSIBILITIES
4.01 The Owner shall provide full information as to his requirements for the Project.
4.02 The Owner shall furnish or direct the Architect to obtain at the Owner's expense, a
certified survey of the site, giving as required, grades and lines of streets, alleys,
pavements, and adjoining property; road rights of way (RROWs), other rights of way
(ROWs) and legal easements, restrictions, boundaries and contours of the building
site; locations, dimensions and complete data pertaining to existing buildings, other
improvements and trees, full information as to available service utility lines both public
and private and test borings and pits necessary for determining soil and sub-soil
conditions.
4.03 The Owner shall pay for structural, chemical, mechanical, soil mechanics or other
tests and reports as may be required.
4.04 The Owner shall pay for design and consulting services on acoustic, communication,
electronic and other specialty systems as may be required by the Project.
4.05 The Owner shall arrange and pay for such legal, auditing and insurance counseling
services and taxes as may be required for the Project or by the Government.
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4.06 The Owner shall pay all reimbursable expenses incurred in the Project as called for in
Article 7 and all taxes (not including income tax) that the Government may impose on
the Architect, as a result of the services rendered by the Architect on the Project,
whether the services were performed as an individual practitioner, as a partnership or
as a corporation.
4.07 If the Owner observes or otherwise becomes aware of any defect in the Project, he
shall give prompt written notice thereof to the Architect.
ART. 5 PROJECT CONSTRUCTION COST
The Project Construction Cost includes the total cost to the Owner of completing the project,
encompassing all necessary components such as plumbing and electrical fixtures, mechanical
equipment, air-conditioning equipment, generators, pumps, elevators, escalators, fire-fighting
equipment, automatic fire sprinkler systems, communication and sound systems, and any other
elements attached to the building as specified or designed by the Architect.
ART. 6 OTHER EXPENSES CHARGEABLE TO THE OWNER
6.01 Government Taxes on Services: The Architect's Fee as stipulated in Article 3 is net to
the Architect. Any tax that the Government may impose on the Architect as a
consequence of the service performed for the Project (exclusive of income tax) shall
be paid by the Owner.
6.02 Separate Services: That if the Owner requires the Architect to design or plan movable
closets, cabinets, pieces of furniture, covered walks, grottos, pools, landscaping and
other items of similar nature, the Owner shall pay the Architect additional
compensation in the amount of Fifteen Percent (15.0%) of the construction cost of the
above work.
6.03 Other Professional Services: That the Architect's Fee includes normal structural,
electrical, sanitary and mechanical engineering services; but does not include
services for survey, soil exploration and laboratory tests which are on the account of
the Owner as stipulated in Article 4.03. Other services that may be needed in order to
complete the Project i.e. acoustic engineers, mural painters, sculptor and interior
designers/ decorators are to be recommended by the Architect for the Owner's
approval. The costs for these other services are to be paid by the Owner and not
deductible from the Architect's Fee.
6.04 Miniature Models: That the Architect may make and include miniature models of
studies as part of his preliminary sketches if he deems it be necessary. No extra
charge for such miniature models shall be made by the Architect. However, if the
Owner desires to have such miniature models of the final and approved preliminary
drawings for exhibitive and display purposes, the Owner shall pay for the cost of said
miniature models.
6.05 Per Diems and Traveling Expenses: a per diem of not less than One Thousand Five
Hundred Pesos (P1,500.00) plus traveling and living expenses shall be chargeable to
the Owner on any occasion where the Architect and/or his duly authorized
representative shall be required to perform services at a locality beyond the radius of
100.0 kilometers form the Architect’s established office.
6.06 Extra Sets of Contract Documents: That the Architect is to furnish the Owner five (5)
sets of Drawings: Specifications and other Contract Documents. The cost for the
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printing or reproduction of extra sets of Contract Documents by the Owner or his
representatives is to be borne by the Owner.
6.07 Work Suspended or Abandoned: If the work of the Architect is abandoned or
suspended, in whole or in part, the Architect is to be paid by the Owner
commensurate with the services rendered i.e. corresponding to the component
Architect’s Fees due at the stage of suspension or abandonment of the work. The
primary service of the Architect is the preparation of plans, specifications and other
Project design documents that shall serve as the bases for the Constructor to build
the Project. If the Architect has prepared all of such documents, he has completed
this Contract Documents Phase of the service, which is equivalent to EIGHTY FIVE
PERCENT (85.0%) of his work. The remaining FIFTEEN PERCENT (15.0%) of his
work is broken down as follows:
a) TEN PERCENT (10.0%) for the Architect's liability under Art. 1723 of the
New Civil Code; and
b) FIVE PERCENT (5.0%) for the Architect’s construction phase service which
includes the preparation of contract document forms and periodic visits
during the construction period.
When the Owner fails to implement the plans and documents for construction as
prepared by the Architect, the Architect is entitled to receive as compensation the
sum corresponding to EIGHTY FIVE percent (85.0%) of his Fee.
ART. 7 SEPARATE FULLTIME CONSTRUCTION SUPERVISION (FCS)
Upon recommendation of the Architect and with the approval of the Owner, fulltime construction
inspectors as will be deemed necessary, shall be separately engaged by the Owner, and their
salaries paid for by the Owner. The construction inspector shall be under the technical control and
supervision of the Architect and shall make periodic reports to the Owner and to the Architect as to
progress and quality of the work done.
ART. 8 ESTIMATES
Since the Architect has no control over the cost of labor and materials or competitive bidding, he
does not guarantee the accuracy of any Statements of Probable Project Construction Cost
(SPPCC), or any Semi-Detailed or Detailed Cost Estimates.
ART.9 DESIGN AND PLACEMENT OF SIGNS
All signboards of Constructors, sub-Constructors, jobbers and dealers that will be placed at the job
site during the progress of construction shall be approved by the Architect as to size design and
contents. After the completion of the Project, the Owner or his lessee shall consult the Architect in
the design and size of all signboards, letterings, directories and display boards that will be placed
on the exterior or public areas within the building and its grounds, in order to protect the Owner's
interest such that nothing will be installed in the building and its grounds that would mar the
function and aesthetics of the Project.
ART.10 OWNERSHIP OF THE ARCHITECTURAL DOCUMENTS
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All architectural documents, not limited to plans, designs, drawings, specifications, reports and
copies thereof, prepared and furnished by the Architect in connection with subject Project pursuant
to this Agreement, are instruments of professional service. As instruments of service they are the
intellectual property of the Architect whether the work for which they are made may be executed or
not, and are not to be reproduced or used on other work except by written agreement with the
Architect. This is in pursuance with the pertinent provisions of Republic Act (R.A.) No. 9266,
promulgated on March 17, 2004, effective 10 April 2004, and of R.A. No. 8293, otherwise known as
the "Intellectual Property Code of the Philippines" approved in1997.
ART.11 SUCCESSORS AND ASSIGNS
The Owner and the Architect each binds himself, his partners, successors, legal representative and
assigns to the other party to this Agreement, and to the partner, successors, legal representatives
and assigns of such other party in respect of all covenants of this Agreement. Except, as above,
neither the Owner nor the Architect shall assign, sublet or transfer his interest in this Agreement
without the written consent of the other.
ART.12 ARBITRATION
All questions in dispute under this Agreement shall be submitted in accordance with the provisions
of R.A. No. 9285,otherwise known as the Alternative Dispute Resolution (ADR) Act of 2004 and as
provided for under E.O. No.1000, governing Construction (and Consulting) Industry Arbitration, as
well as Art. 2042 of the New Civil Code.
The parties to this Agreement hereby agree to full performance of the covenants contained herein.
IN WITNESS WHEREOF, the parties to this Agreement have on the day and year first above given, hereunto set
their hands at the bottom of this page and on the left-hand margin of all the other pages of this Agreement.
____________________ ____________________
Owner Architect
SIGNED IN THE PRESENCE OF:
_______________________________ ________________________________
Republic of the Philippines)
City of ____________ ) s.s.
Before me, a Notary Public in and for the City of ______________, personally appeared the Owner,
________________________ with Residence Certificate No. 00000000 issued on Month 00, 200x in -
____________ City and the Architect, _____________with Residence Certificate No. 00000000 issued in
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_________, on Month 00, 200x, both known to me to be the same persons who executed the foregoinq
instrument and acknowledging to me that the same is their free act and deed.
In witness whereof, I have hereunto set my hand and affixed my Notarial Seal this ____ of _________ in the City
of ___________, Philippines.
NOTARY PUBLIC
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