Comprehensive analysis of the decoration contract

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First, the qualification of the subject:
The new contract made clear and detailed requirements for all personnel involved in the decoration process.

1. Employer:
[Keywords] Legal ownership On the basis of a clear contracting party's “lawful ownership” of the housing to be renovated, the contractor is required to promise to have the right to decorate the house, otherwise all consequences arising therefrom shall be borne by the employer. The contractor here should generally be the owner of the house. If you are a non-proprietor, you should obtain written consent from the property owner before renovating the house. However, in real life, sometimes these rights certificates or certificates of the contracting parties are often difficult to provide. For example, a foreign brother wants to entrust a domestic younger brother to decorate his own house so that he can live in a house after returning home. As a younger brother to find the decorating company, he may not be able to provide the title certificate and his brother's entrusted decoration of the letter of attorney. The decorating company encountered this situation. Under normal circumstances, this project will not be abandoned for this reason. Therefore, the new version of the contract actually increases the obligation of the Employer to undertake the “right to renovate”.

2. Contractor:
[Keywords] Enterprise Qualification The new contract requires that the contractor must be an enterprise that has been approved by the administrative department of industry and commerce to register, and it is required to have the appropriate qualifications for the decoration. We noticed that the new version of the contract prompts the contractor in the instructions for use. Before signing the contract, the contractor shall be required to look at the "Corporate Legal Person Business License" and the enterprise qualification certificate of the contractor. In addition to signing contracts with branch companies (divisions), in addition to examining their “business licenses” and corporate qualification certificates, the contract should be affixed with the special seal of the superior company of the branch (sub-division) (which has a legal personality unit).

3. Construction Representative [Keywords] Responsible for performance of the contract There is no right to change the contract. Regarding the issue of construction representative, the new contract provides that the contractor should appoint personnel as resident site representatives, be responsible for the performance of the contract, organize the construction according to the requirements, guarantee the quality, quantity, and completion on schedule. Construction tasks. In case of replacement of personnel, Party B shall promptly notify Party A. However, the issue of the authority of the construction representative is often easily controversial. We believe that the construction representative is only limited to the construction part of the contract, that is, the construction representative performs the decoration construction task according to the contract. However, the construction representative should not have the right to represent the decoration company for other aspects of the performance of the contract, such as payment of construction funds, or changes to the contract, such as changes in design, increase or decrease of the project. The Employer shall determine that it is the official seal of the decoration company or the signature of the legal representative.

4. Construction personnel or other managers [keywords] are not authorized to represent the company's new version of the contract, where Party A shall negotiate with the construction personnel or other management personnel to change the construction content and increase the consequences of the construction project. Party A shall be responsible for this; If Party B causes losses, Party A shall pay compensation. This will be even more beneficial to curb the "lowering of employees" and protect the interests of the decorating companies and consumers.

Second, the cost structure of the new version of the contract in the decoration of the composition of the cost is also very attention to detail, mainly reflected in the following aspects:
1, the total price includes six parts, 1 material costs 2 labor costs 3 removal costs 4 cleaning, handling, transportation costs 5 other costs 6 management fees 7 taxes (3.41%).
2. According to the different levels of management and service provided by the decoration and decoration companies, the management fees may vary, but generally it does not exceed 10% of the total price of the decoration (excluding taxes).
3. The “total price” is the amount after both parties A and B confirm the design proposal and project quotation. Under normal circumstances, the increase and decrease of completion settlement will not exceed 5% of the budget price if there is no project change.
As we all know, the decoration market is fiercely competitive. In order to attract business, some interior design companies do not hesitate to use ultra-low prices as a temptation. As long as they sign a list, they are not afraid that the owners will not pay when they arrive. Therefore, "low-elevation and high-going" has almost become the open secret of the decoration industry. The landlords have to accept the fact that they have a bill that is even more than double the budget and even doubles. The old version of the contract did not provide for such "low-cost fishing." The new version of the contract means that the decoration company's "low-cost fishing" quotation has been banned.
4. After the signing of the contract takes effect, if the construction content and materials are changed, the project money for this part shall be calculated on a real basis. In real life, there is almost no possibility that the project will not be changed. Therefore, the new version of the contract does not allow the actual settlement price to increase by more than 5% of the budget quotation. We must also make additional stipulations in order to generate the expected binding force. For example, it is agreed that the contents of the project change shall be separately settled, and the settlement price of other items may not exceed 5% of the quotation.

Third, the new version of the material approach to the contract in the supply of the second article with five terms to detail the contents of the material approach:
1. When the contractor provides materials and equipment, the following five points should be noted:
1) The list of materials should be listed in the attachment, including the material name, brand, specification, model, grade, quantity, unit price, and price, as well as the delivery time and delivery location.
2) It should be a qualified product that meets the design requirements;
3) After the materials are delivered to the site on time, both parties shall go through the acceptance and handover procedures;
3) The decorating company shall be responsible for the custody of the materials after they have entered the market;
4) The storage fee is agreed by both parties.
5) The decoration company shall be responsible for compensation for losses caused by improper storage.
2. When decorating companies provide materials and equipment, they should pay attention to the following five points:
1) The decorating company shall provide the "Main Works Quotation Sheet" as an attachment, stating the decoration content and decoration material specification, model, brand, grade, quantity, unit, unit price, price, etc.;
2) The materials and equipment provided by the decorating company should be notified in advance to the contracting party for acceptance;
3) Forbidden to use if it has not been accepted by the Employer or the experience does not meet the requirements of the quotations for the main materials of the project. Otherwise, the decoration company will be responsible for the damage caused to the project;
4) If the Employer does not accept it on time, it shall be regarded as acceptance, but the responsibility arising from the purchase and use of materials by the decoration company not in accordance with the main material quotation of the project shall not be waived.
5) The decoration company shall be responsible for the safekeeping of the materials after they have entered the market; if the losses are caused by improper storage, the decoration company shall be responsible for the compensation.
However, both parties need to further clarify that the contracting party will accept the inspection within a few days after receiving the notice. If the contractor has not received the acceptance after receiving the notice, what should the decoration company do? Stop work or continue renovation?
In addition, no matter which side provides the material should be in line with "the indoor decoration materials hazardous materials limit 10 mandatory national standards."

3. Use of Materials 1) Any material shall be used for the residential decoration as stipulated in this contract. The decoration company shall not use it for other purposes without the consent of the contractor. Otherwise, the contractor will be compensated twice as much as the diversion of materials and equipment.
2) If the decoration company finds that the materials and equipment provided by the contractor have quality problems or differences in specifications during the construction, it shall promptly submit to the contracting party. The Employer still stated that it was used, which caused the project quality problems and the responsibility was borne by the Employer. The specific method is that the cost of rework is borne by the Employer and the duration of the project is extended.
3) If the decorating company does not use the material with quality problems without making a request to the contractor, then the decoration company shall bear the responsibility. The reason for such regulations is mainly to take into account the differences in professional skills between the decorating company and the contracting party. As a company specialized in decorating and decorating, it should have the ability to identify the quality of materials and make it more necessary for the contracting party to put quality into consideration. possibility.

Fourth, the project acceptance
The new version of the contract makes it clear in the “Usage Notes” that the inspection and approval of each concealed project in the family room will be subject to acceptance and must be signed and approved on the acceptance form. Upon completion acceptance, both parties A and B must sign on the acceptance form before they can be delivered for use. If a project fails, Party B shall rectify it until it is qualified. In particular clauses, they are more concerned with acceptance details:
1. Acceptance criteria and basis:
1) The new contract stipulates that the fitting-out project will implement the state's current "Household Decoration Project Construction Specification" and Shanghai's current "Residential Decoration Acceptance Criteria".
2) Construction Drawings: The new version of the contract stipulates that the decoration works will be provided by the contractor or decoration company to provide the construction drawings. Moreover, we believe that construction drawings should be signed by both parties as part of the contract attachment.

2. Hidden engineering and intermediate engineering acceptance:
With regard to the acceptance of concealed works, we can consider the following aspects:
1) Covert projects are related to the quality of the project. The contract-issuing party has the right to request acceptance. As a decoration company, it is necessary to make an appointment with the contractor in advance for the acceptance date.
2) If the Employer fails to perform the acceptance in a timely manner, this will inevitably affect the schedule. Therefore, acceptance shall be conducted in a timely manner as agreed. In fact, it is also an obligation of the contracting party.
3) If the Employer has not fulfilled the obligation, there are two options for the decoration company. They can either organize their own inspections or stop the work and wait for the Employer to check.
4) If the Employer organizes the acceptance, the Employer shall acknowledge it. If the contractor requests reinspection, the decorating company shall conduct the retest as required. If the retest is passed, the reinspection and rework costs will be borne by the Employer and the duration will be postponed. The retest will not be passed and the rework cost will be borne by the decoration company. The duration will not change.
5) If the decorating company suspends work, the decorating company may extend the completion date and delivery date of the project, and have the right to claim compensation for work stoppages, labor shortages, etc.

3. Acceptance of the project 1) After the project is completed, the decoration company shall notify the contracting party to organize the acceptance within seven days. Acceptance of acceptance, signed the project quality acceptance.
2) If the Employer fails to organize acceptance within the specified time, it shall promptly notify the decoration company and set an acceptance date.
If the acceptance of the project is passed, the Employer shall acknowledge the original date of completion and bear the care costs and other related expenses of the interior decoration company.
3) If the project has not been checked or passed, the contractor shall have the right to reject it, and the decoration company shall be responsible for the rework and postponement of delivery.
4) If the project has not been checked and accepted, and the party making the contract has used it in advance or has been arbitrarily checked in, resulting in unacceptable acceptance and loss, the contractor shall be responsible for it.

4. Air quality testing;
According to the provisions of the new contract and acceptance standards, when the project is completed and accepted, indoor air quality testing should also be included as part of the inspection. Both parties may pre-arrange the way in which the inspection agency and testing expenses are assumed in the contract.

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