AGREEMENT BETWEEN OWNER AND ARCHITECT

KNOW ALL MEN BY THESE PRESENTS:

THIS AGREEMENT, made and executed on this _____day of________,______ in_________, by

and between:

DR. LOUELL MERCADO, MD of legal age, Filipino Citizen and with postal address at San
Agustin Street, Hinatuan, Surigao del Sur, hereinafter referred to as the OWNER;

-and-

ABIGAIL RUTH G. OPULENCIA a duly registered and licensed architect under the laws of
the Republic of the Philippines with PRC Registration No. 5424166, of legal age, Filipino Citizen
and with postal address at Blk 6. Lt. 1, Chelsea St., San Rafael Estates P3, Sto. Tomas
Batangas, hereinafter referred to as the ARCHITECT.

WITNESSETH:

That whereas the OWNER intends to build a 250m² Hospital building at Colon Street,
Hinatuan, Surigao del Sur, hereinafter called the PROJECT.

NOW, THEREFORE,

The OWNER and the ARCHITECT, for and in consideration of the foregoing premises and of the
other covenants hereinafter named, agree as follows:

ARTICLE 1
SCOPE OF WORK

That the scope of work to be done by the Architect, as herein authorized by the Owner for the
subject for the subject Project herein referred to, consists of professional services for the
following:

1.1 Site development planning.

1.2 Regular Detailed Architectural and Engineering Design of the Project.

ARTICLE 2
ARCHITECT’S REGULAR SERVICES

2.1 The Architect’s Regular Services consist of the following phases:

2.1.1 Project Definition Phase.

2.1.2 Schematic Design Phase.

2.1.3 Design Development Phase.

2.1.4 Contract Document Phase.

2.1.5 Bidding or Negotiation Phase.

2.1.6 Construction Phase.

2.2 The description of the Phases per SPP 202 are as follows:

2.2.1 Project Definition Phase. In this phase, the Architect consults with the Client to
ascertain the conceptual framework. The Architect gathers relevant information leading
to project definition, and reviews and refines Client space requirements and translates
them into an architectural program. The Architect prepares an initial statement of
probable construction cost.
 2.2.2 Schematic Design Phase. In this phase, the Architect evaluates the Client’s
program, schedule, budget and site to propose a method of project delivery. The
Architect prepares design studies leading to a recommended solution. Lastly, the
Architect submits to the Client a statement of Probable Construction Cost based on
current cost parameters.

2.2.3 Design Development Phase. In this phase, the Architect prepares design
development documents consisting of plans, elevations, sections and other drawings.
The Architect prepares outline specifications to reflect the type of materials and type of
systems to be used (structural, electrical, mechanical, sanitary, electronic,
communications). The Architect submits an updated Statement of Probable Construction
Cost to Client.

2.2.4 Contract Document Phase. In this phase, the Architect prepares the complete
Construction Drawings. The Architect prepares the Technical Specifications, and submits
7 sets of Construction Drawings and Technical Specifications to the Client for purposes
of obtaining a building permit. The Architect then submits an updated Statement of
Probable Construction Cost to Client.

2.2.5 Bidding or Negotiation Phase. In this phase, the Architect prepares the bid
documents. The Architect assists the Client in establishing a list of prospective
Contractors for awarding of the Construction Contract. The Architect furnishes complete
sets of bid documents on loan to Bidders for an amount sufficient to cover costs. The bid
documents are the intellectual property of the Architect and a bond might be necessary to
assure return of the documents. The Architect assists the Client in organizing and
conducting a pre-bid conference. The Architect responds to questions from Bidders. The
Architect assists the Client in obtaining proposals from Bidders, in analyzing the bids, in
issuing a notice of award and preparing the construction contract.

2.2.6 Construction Phase. In this phase, the Architect makes periodic visits to the
project site to: Familiarize himself with the general progress and quality of work;
Ascertain that the work is proceeding in accordance with the Contract Documents;
Report to the Client defects and deficiencies observed in the work of the Contractor;
Condemn work failing to conform to the Contract Documents;

ARTICLE 3
ARCHITECTS’ FEE AND MANNER OF PAYMENTS

3.1 That the Owner agrees to pay the Architect for professional services, a fee of PHP 1,607,140,
exclusive of all government taxes.

Payments to the Architect on account of the agreed Professional Fee shall be made by the Owner
on the different phases of the work of the Architect as follows:

3.1.1 Upon signing of the Service Agreement (5% per SPP)

3.1.2 Upon the completion of the Schematic Design Phase (25% per SPP)

3.1.3 Upon the completion of the Design Development Phase (25% per SPP)

3.1.4 Upon the completion of the Contract Document Phase (20% per SPP)

3.1.5 Bidding or Negotiation Phase (10% per SPP)

3.1.6 Construction Phase (15% per SPP)

ARTICLE 4
THE OWNER’S RESPONSIBILITIES

4.1 Provide full information as to his requirements for the Project;

4.2 Promptly examine and render decisions pertaining to documents submitted by the Architect to
avoid unreasonable delay in the Architect’s work;

4.3 Obtain at his/her expense and furnish the Architect the following information: a certified site
survey (e.g. relocation, topographic, geotechnical), site utilities, zoning, restrictions, etc.;

4.4 Pay for allied/consulting services as required;

4.5 Pay for all reimbursable expenses;

4.6 Give prompt notice to the Architect on anything that may impair the successful
implementation of the project.

ARTICLE 5
PROJECT CONSTRUCTION COST

5.1 Project Construction Cost (PCC) as herein referred to, means the cost of the completed
building to the Owner,

5.2 Including the structure, plumbing/sanitary and electrical fixtures, mechanical equipment,
communications and electronic system, and all items indicated in the plans, designs, drawings and
specifications prepared by the Architect and his consultants.

5.3 The cost of materials or labor if furnished by the Owner shall be computed on the basis of the
current costs.

5.4 The PCC does not include any of the fees for the Architect, the Engineer, the Specialist
Consultants or the salaries of the construction inspectors.

ARTICLE 6
SCOPE OUTSIDE OF THE REGULAR SERVICES

Where the Architect has to render work beyond regular services, it shall be the subject of
additional charges commensurate with the services required.

ARTICLE 7
OTHER EXPENSES CHARGEABLE TO THE OWNER

7.1 Government Taxes on Service;

7.2 Other Professional Services outside of normal engineering services;

7.3 Separate Services such as the design of architectural interior (AI) elements, site development
and urban design components;

7.4 Miniature models, 3D models and walkthroughs;

7.5 Travel expenses;

7.6 Extra sets of contract documents;

7.7 Changes ordered by the Owner.

ARTICLE 8
FULL-TIME SUPERVISION

Upon recommendation of the Architect and with the approval of the Owner, full-time
construction supervisors as will be deemed necessary shall be engaged and paid by the Owner.
ARTICLE 9
ESTIMATE

9.1 Any cost estimate submitted by the Architect can attain only a certain degree of accuracy.

9.2 As the Architect has no control over the cost of labor and materials, or the many factors that
go into competitive bidding, he does not assume any professional responsibility for such cost
estimates

ARTICLE 10
OWNERSHIP OF DOCUMENTS

All designs, drawings, models, specifications and other contract documents and copies thereof,
prepared, duly signed, stamped and sealed and furnished as instruments of service, are the
intellectual property and documents of the Architect, whether the work for which they were made
is executed or not, and are not to be reproduced or used on other work except with a written
agreement with the Architect (Sec. 33of R.A. No. 9266).

ARTICLE 11
SUCCESSORS AND ASSIGNS

11.1 The Owner and the Architect each binds himself/herself, his/her partners, successors, legal
representatives and assigns with respect to all covenant in this Agreement.

11.2 Except, as above, neither the Owner nor the Architect shall assign, sublet or transfer his
interest in this Agreement without the written consent of the other.

ARTICLE 12
ARBITRATION

12.1 All questions in dispute under this Agreement shall be submitted in accordance with the
provisions of the Philippine Law on Arbitration and provided for in Art. 2042 of the New Civil
Code of the Philippines and the provision of the Republic Ac. No. 876;

12.2 The Parties in dispute under this Agreement hereby agree to full performance of the
covenants contained herein.
 IN WITNESS THEREOF, the parties hereto have signed these presents this _______day of
_____________,________ first above given, hereunto set their hands at the bottom of this page
and on the and on the left-margin of all the other pages of this Agreement.

______________________________
ABIGAIL RUTH G. OPULENCIA
(ARCHITECT)
____________________________
DR. LOUELL MERCADO, MD
(OWNER)

Signed in the presence of:

_____________________ _____________________

ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES)

_______________________________) S.S.

BEFORE ME, a Notary Public in and for _______________ on this ______day of

________________,_______ at __________________ personally appeared the following

NAME Valid Identification Date/Place Issued

Dr. Louell Mercado, MD P815201B November 12, 2021

Manila, Philippines

Abigail Ruth G. Opulencia 5424166 March 18, 2021

Batangas City, Philippines

Known to me and to me known to be the same persons who executed the foregoing instrument
(OWNER-ARCHITECT AGREEMENT) consisting of WORDS (#) pages and they acknowledged to me
that the same is their free act and deed, and signed by the contracting parties and their instrumental
witnesses on each and every page hereof.

WITNESS MY HAND AND SEAL at the place and date first above written.

Doc No. __________;

Page No. __________;
Book No. __________;