A general contractor agreement is, as the name implies, generally an agreement between the owner of real estate and a building contractor for services to manage the construction (and sometimes the design) of a residential or commercial building according to certain specifications or plans provided by the owner.
A general contractor agreement includes a description of the scope of the work to be performed; the materials to be used; the general contractor’s obligations to hire and manage subcontractors to construct the various components of the building; the payment terms for the construction of the building and the management of the construction; the time for completion of the work; insurance requirements; and the filing and removal of mechanic’s and materialmen’s liens (also known as construction liens or contractor liens) for labor and materials provided to improve the real estate.
In Georgia, a general contractor agreement is a legally binding contract that outlines the relationship and obligations between a property owner and a general contractor hired to manage construction projects. This agreement typically includes detailed provisions regarding the scope of work, materials to be used, the contractor's responsibilities in hiring and overseeing subcontractors, payment schedules, completion timelines, insurance requirements, and the handling of mechanic's and materialmen's liens. Under Georgia law, such liens are a legal claim against a property for unpaid work or materials and are governed by the Georgia Mechanics and Materialmen's Lien Act (O.C.G.A. Title 44, Chapter 14, Article 8). The Act specifies the procedures for filing and enforcing liens, as well as the time frames within which these actions must be taken to preserve lien rights. It is important for both parties to clearly understand and adhere to these regulations to ensure the protection of their respective interests during and after the construction process.