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27 August, 2021

Engr. Ernielle Rae I. Dela Cruz


R.J.M.E Construction & Development Corp.
KM 95 Brgy. Malapit,
San Isidro, Nueva Ecija 3106

To:

Engr. Allan DM. Abenoja Jr.


N.E.U.S.T
Sumacab Este, Cabanatuan City

Dear Sir/Engr. Allan,

I am greatly humbled & excited to write this response to the Design & Build contract I offer during
our meeting, I would like to pay our gratitude for trusting our services and accepting our proposal for
the design and build of your dream House. R.J.M.E will surely meet all your expectation has earned a
great name in the construction industry after the vigilance and dedication of half a decade in this field
and we are glad you have trusted us.

As our Professionals have reviewed your project proposal thoroughly and we believe it is quite
smoothly crafted. All the details are compatible with the services we offer thus we shall carry it out
the way you want. Please review our proposed methods and approach in the execution of this contract
enclosed in this letter.

Nonetheless, we would also like to bring this into your attention that all the proposed methods are
subject to change as per the situation. However, our team of Professionals will make sure it informs
you prior to any amendments.

Your sincerely,

Engr. Ernielle Rae I. Dela Cruz


Proprietor
R.J.M.E Construction & Development Corp.
CONTRACT AGREEMENT
for the
CONSTRUCTION of a
Two Bedroom Bungalow House
for Engr. Allan DM. Abenoja Jr.
KNOW ALL MIN BY THESE PRESENTS:
This contract madeand entered into this 27 th day of August, 2021 by and between:

Engr. Allan DM. Abenoja Jr., residing at (address) hereinafter referred to as the
OWNER;

-and-

R.J.M.E CONSTRU CTION & DEVELOPME NT CORPORATION with the business address at KM 95 Brgy. Malapit San
Isidro, Nueva Ecija 3106 duly hereby represent by its Proprietor, ENGR. ERNIELLE RAE I. DELA CRUZ hereinafter
referred to as the CONTRACTOR;

WITNESSETH:

WHEREAS, a public bidding was conducted on August 27, 2021 at an online zoom conference call, for
the design and construction of a Two-bedroom Bungalow House;

WHEREAS, the OWNER requires the services for a duly licensed and qualified construction firm to
develop his/her property;

WHEREAS, the CONTRACTOR represents that it has required professional skills/certificates and financial
capacity to provide services to the OWNER;

NOW, THEREFORE, the parties bind and agree to the following terms and agreement below:

ARTICLE I — CONTRACT DOCUMENTS


The following documents shall be deemed to form and be interpreted and construed as part of
this Agreement:
a. Design and Construction Agreement Contract.

b. Detailed Architectural and Engineering (A&E) Design of the PROJECT.

c. Construction Drawings, Plans, Designs and Specifications (setting forth in detail the work required
for the architectural, structural, electrical, electronic, mechanical, plumbing, sanitary, service-
connected equipment and site development work).

d. Statement of Probable Project Construction Cost (SPPCC).

e. Construction Plans and Phases and Timeline of the completion of the PROJECT.
ARTICLE II – SCOPE OF AND CONDITIONS OF WORK
The scope of work to be done by the CONTRACTOR consists of professional
services for the following:
1. The CONTRACTOR shall finish the DESIGN with no further revision of the OWNER, before to begin the
Construction of the PROJECT;

2. The CONTRACTOR shall in accordance with provisions of and subject to the conditions contained in the
documents referred to in Article I hereof, and inconsideration of the sum of money herein after stated shall
fully and faithfully perform all labor and furnish the needed equipment and services necessary to complete
the Construction of the PROJECT as per plan and specifications of the OWNER;

3. The CONTRACTOR shall hire skilled workers as may be necessary;

4. The CONTRACTOR shall construct the PROJECT under the supervision and management of R.J.M.E
Construction & Development Corporation; and

5. The CONTRACTOR shall complete the PROJECT within the timeline provided herein.

6. The CONTRACTOR shall in no way suspend the works stipulated herein unless due to: bad weather,
fortuitous events, force majeure or other justifiable causes.

ARTICLE III – TIME OF COMPLETION


1. The work to be performed by the CONTRACTOR under this contract shall commence after ten (10)
calendar days upon receipt and acceptance of the Notice to Proceed from the OWNER by the
CONTRACTOR.

2. The construction of the PROJECT shall be completed within One Hundred Twenty (120) calendar
days including Saturdays, Sundays and holidays.

3. Should the CONTRACTOR refuse or otherwise fail to complete the work stipulated herein, the
CONTRACTOR agrees to pay the OWNER liquidated damages in an amount equal to One-Tenth of One
Percent (0.1%) of the total contract sum for each calendar day of delay until the work is completed and
accepted by the OWNER or when the OWNER takes over the project by administration or relets it to
other contractors until such time as the OWNER may reasonably secure the completion of the works.
Such amount shall be deducted from any money due or which may become due the CONTRACTOR
under this contract.

EXTENSION. The following are grounds for the extension of the TIME OF COMPLETION, in which case
the CONTRACTOR shall not be held liable for the cost therefore:

a. Force majeure and fortuitous events, such as but not limited to flood, typhoon, earthquake, accidents,
natural calamities, including those which affect the timely delivery of materials, tools, equipment, facilities,
and services provided in the Contract Documents.

b. Changes and alterations made or otherwise approved by the OWNER;

c. Delay in the payment of the fees by the OWNER; and

d. Delay caused by the OWNER;

Any other delays independent of the will of the CONTRACTOR.


ARTICLE IV –THE CONTRACT SUM
The OWNER for and in consideration of the faithful and satisfactory fulfilment of the contract by the
CONTRACTOR in accordance with the terms and conditions of all contact documents and subject to the
deduction herein provided, shall pay to the CONTRACTOR in Philippine Currency the sum equivalent to
Forty Percent (40%) of actual material cost to be billed on a milestone basis.
Payment shall be in accordance with the following conditions:
a. Monthly payment shall be based upon the work satisfactorily completed as certified by the CONTRACTOR
and concurred by R.J.M.E Construction & Development Corporation.

b. Final payment shall be made upon completion of the work and upon submission by the CONTRACTOR of
his sworn statement that all taxes due him and all obligations for materials used and labor employed in
accordance with this contract have been duly paid.

The OWNER has to pay an amount of 80,000 in Philippine Currency for the DESIGN fee with an initial payment of
35% prior to consultation and the complete payment once the design was finalized.

Estimated price range for construction of a Two Bedroom Bungalow House: 18,000 – 30,000 per sqm in Philippine
Currency (PHP).

The price range for construction may varies it depends on the OWNER’s bill of materials by the CONTRACTOR.

ARTICLE V – GURRANTEE
The CONTRACTOR hereby guarantees the work stipulated in this contract and all thematerials it will apply and
use in the construction as well as workmanship of all its work under this contract and shall make good of its own account
and/or its own expenses.
After final acceptance of the PROJECT by the OWNER, the CONTRACTOR shall assume full responsibility for
any damage or destruction of the works except those occasioned by force majeure. They shall be required to put up a
warranty security denominated in Philippine Pesos provided in Section 62.2.3.3 of IRRA of R.A. 9184 and shall
remain effective for one (1) year from the date of issuance of the certificate of final acceptance and shall be returned only
after the lapse of the said one (1) year.
In addition, the provisions of Article 1723 of the New Civil Code shall also apply to guarantee the work
performance of the CONTRACTOR.
ARTICLE VI – SAFEGUARD AND WARRANTS
The CONTRACTOR shall provide and do everything necessary to perform its obligations under this contract
according to the true intent and meaning of the other contract documents taken together particularly the drawings, plans and
specifications provided that the same shall be inferred therefrom and should the CONTRACTOR find any discrepancy in
the drawings, plans and specifications, he shall immediately refer the same to the OWNER or R.J.M.E Construction &
Development Corporation whose decision shall be followed.

The OWNER reserves the right for an additional or increase in the number of laborers or workers assigned to the
construction site in the opinion of the OWNER or R.J.M.E Construction & Development Corporation as the exigencies of
the circumstances may require. The CONTRACTOR shall be considered as an independent CONTACTOR and as such, he
assumes all obligations and liabilities arising out of the Employee’s Liability Act and any other laws existing and those
enacted thereafter that may affect the rights of the employees or laborer employed in the performance of this contract.
Should the OWNER be made liable for any of the CONTRACTOR’s violation of any labor laws, the CONTRACTOR shall
reimburse the OWNER for whatever amount the latter is required to pay to said laborers.
Notwithstanding any provisions of this contract, the OWNER has the right and/or power to terminate the contract
without necessity of judicial action by giving written notice to the CONTRACTOR upon his failure to comply strictly with
any of the terms of this contract.
The CONTRACTOR is likewise mandated to implement the construction safety and health program as may be
provided by R.J.M.E Construction & Development Corporation.

ARTICLE VII – VENUE OF COURT ACTION


Should any court action be instituted by the OWNER or the CONTRACTOR arising from this contract, the
parties hereby agree that the venue thereof shall be the proper court in the Municipality of San Isidro, Nueva Ecija.

IN WITNESS WHEREOF, the parties have hereunto set their hands this _____ day of August 2021 at
____________________________________

ENGR. ALLAN DM ABENOJA JR. ENGR. ERNIELLE RAE I. DELA CRUZ


Proprietor RJME CONSTRUCTION &
(OWNER) DEVELOPMENT CORP.
(CONTRACTOR)

Signed in the presence of

ENGR. JOHN PATRICK M. ALOJADO ENGR. RONNEL M. MARIANO

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