The scope of work (SOW), or statement of work, is an important component in a strong construction contract. A scope of work best serves a contractor if it is specific and well thought out. Whether between owner and contractor or contractor and subcontractor, this section is vital to maintaining good relationships on the jobsite. It creates an understanding between parties about what is expected, how it will be executed, and when it will be completed.
In this article, a construction lawyer in Wilmington, NC, details some of the best practices for creating a scope of work in a construction contract.
Why Draft a Scope of Work?
The scope of work details the expectations of what the owner wants you to do for the project. This portion of the contract determines how a project will be carried out, when the deliverables are due, and may even keep you out of legal disputes. The SOW is one of the most disputed parts of a construction contract. The more clearly defined the roles, responsibilities, and the time frame are for the parties involved, the less chance of misunderstanding there is.
Elements to Include in a Scope of Work
These elements will help define and lend clarity to your scope of work. It is important that there aren’t multiple ways to interpret your scope of work to keep the risk of legal issues down to a minimum.
Project statement: describes the purpose, objective, and any issues that need to be addressed
Project scope: includes technical and monetary information, including costs, estimates, and how performance will be measured
Project schedule: lays out the timing of the different phases of the project, due dates of deliverables, and the expected project completion date
Project management: explains actions for the project administrator to take as far as payments, changes, and limitations of the project
Glossary: defines key terms to eliminate any confusion of meaning
Help Drafting a Scope of Work
Both parties are aided by having a contract with a strong scope of work. If you need help drafting a construction contract, a knowledgeable construction lawyer from Cotney Construction law can help you.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.