Prime Cost Building Contract

Appropriate: for projects requiring an early start on site, where the works are designed by or on behalf of the Employer but where it is not possible to prepare full design information before the works commence; where detailed contract provisions are necessary and the Employer is to provide a specification describing and showing the items of work; drawings may also be provided; and where a Contract Administrator and Quantity Surveyor are to administer the conditions. The work proceeds on the basis of a brief specification and an estimate of its cost. The Contractor is paid his reasonable costs plus either a percentage of the cost or a lump sum as a fee. Can be used: where the works are to be carried out in sections; by both private and local authority employers.