MEMORANDUM OF AGREEMENT

KNOW ALL MEN BY THESE PRESENTS:

This CONSTRUCTION AGREEMENT made and executed this ___ day of July
2022 in Quezon City by and between:

Thristam Paul C. Galanto, with residential address at 51-C Mahabagin St.

Barangay Teachers Village East, Quezon Cit, hereinafter referred to as the OWNER;

-and-

MJVCON Builders, a construction enterprise, with office address at 31 Dr.

Lascano St. Barangay Laging Handa, Quezon City, represented by its Proprietors
Melvin John Y. Sison and Charmaine Cher B. Anduyan, hereinafter referred to
as the CONTRACTOR;

WITNESSETH:-

WHEREAS, on 19 October 2019, the OWNER and the CONTRACTOR have

executed a Construction Contract1 to build three-story Residential Building with
Roofdeck and nine (9) units studio apartment located at 51-C Mahabagin St.
Barangay Teachers Village East, Quezon City;

WHEREAS, the CONTRACTOR presented and warranted to the OWNER that

it is capable, competent, and a duly registered construction enterprise licensed and
authorized by law to construct and to complete the aforementioned Residential
Building in accordance with the plans and specifications;

WHEREAS, on the basis of the foregoing representation and warranty of the

CONTRACTOR, the OWNER accepted the offer of the CONTRACTOR to construct,
above-mentioned Residential Building;

WHEREAS, after the construction of the Residential Building, some works

and materials are defective and not up to the specifications agreed upon;

WHEREAS, CONTRACTOR undertakes to make good, remedy, restore,

correct, rectify, and replace said defects of the Residential Building and finish it
according to the specifications;

NOW, THEREFORE, for and in consideration of the foregoing premises and

the covenants and undertakings hereinafter set forth, the parties hereto agree as
follows:

ARTICLE 1. SCOPE OF WORK. The CONTRACTOR, at his own expense shall:

1. Replace the railings in all terraces with new stainless-steel railings.

2. Replace all the damaged pieces of furniture and appliance, and other
ornaments analogous to the aforementioned. Repairs shall not be allowed.

1
Hereto attached as “Annex-A”.
 3. Restore and correct the wood planks, hand grills, and paint job of the
stairway.

4. Ensure the smooth finish of the interior and exterior of the house, more
particularly of the following:

a. Wallpaper of the tatami

b. 3rd floor Master Bedroom
c. Laundry Area
d. Gate
e. Door frames
f. Door knobs

5. Fix all the leaks and pipelines as well as the damaged ceiling arising
therefrom.

6. Repair and make good all electrical outlets in the Residential Building.

7. Mend the floorings and cabinets of all the toilets and bathrooms, including
the fixing of the water pressure.

8. Replace the flooring of the 3rd floor including the Master’s Bedroom.

9. Guarantee that the interior walls of the building is proper and in

conformity with the “elegant finish” the OWNER expects.

ARTICLE 2. DEFECTIVE WORKS AND MATERIALS

All defective works discovered by the OWNERS in the course of the

construction/repair until the date of turn over shall be promptly made good,
repaired, remedied, restored, corrected and rectified by the CONTRACTOR at its
expense within seven days from such discovery or within such reasonable period as
may be mutually agreed upon by the parties, at the option of the OWNERS.

All unsuitable, sub-standard, and poor-quality construction materials and

works shall be rejected by the OWNERS and the CONTRACTOR and shall be
promptly made good, remedied, corrected, rectified, and replaced by the
CONTRACTOR at its expense, notwithstanding that such works and materials were
overlooked by the OWNERS.

If the work or any part thereof shall be found to be not in conformity with the
agreed specifications, the CONTRACTOR shall forthwith remove and replace such
materials to comply with the agreed specifications.

All materials and workmanship are guaranteed by the CONTRACTOR

for a period of one (1) year from the date of the turn-over of the
construction project and the upon the satisfaction of the OWNER.

ARTICLE 3. LIQUIDATED DAMAGES

The CONTRACTOR agrees and obligates itself to perform and complete all
works provided for in this Contract within Ninety (90) CALENDAR DAYS (including
Sundays and Holidays), and shall reckoned days from the signing of this
Agreement.
 Should the CONTRACTOR refuse or fail to satisfactorily complete the
work within the specified contract time, plus any time extension duly
granted and is hereby in default under the agreement, the CONTRACTOR
shall pay the OWNER for liquidated damages, and not by way of penalty,
the amount of ONE MILLION PESOS (₱1,000,000.00).

ARTICLE 4. RESPONSIBILITY OF THE CONTRACTOR

1. The CONTRACTOR shall assume full responsibility for the entire contract work
until its final acceptance by the OWNER and shall be held responsible for any
damage or destruction of work until such final acceptance.

2. The CONTRACTOR shall be fully responsible for the safety, protection,

security and convenience of its personnel, third parties and the public at
large, as well as the works, equipment, installation and the like to be affected
by the construction work.

3. The CONTRACTOR shall be solely responsible for and shall exclusively bear
any and all costs and expenses caused by any and all losses, damages,
accidents, torts, wrongful acts, crimes or felonies, deaths, injuries, and fire
sustained by his laborers or workers, staff, personnel, representatives and
agents and/or by any and all Third Parties and Entities arising from or in
connection with the execution of the works and services stipulated in this
Agreement.

4. Any actionable act or acts of Melvin John Y. Sison and/or Charmaine Cher
B. Anduyan arising out of or in the course of this Contract shall be
understood and binding as an act of MJVCON Builders or vice-versa.

ARTICLE 5. REMEDY AND RELIEF

Should CONTRACTOR refuse or fail to satisfactorily complete the work, the

OWNER shall be constrained to resort to court action to enforce or safeguard its
rights and interests under this Contract, the CONTRACTOR shall be liable to the
OWNER for attorney’s fees in the amount equivalent to Twenty Percent (20%) of
the total sum claimed in the complaint, exclusive of other damages and the
expenses of litigation. Venue of such court action shall be laid exclusively in the
proper court of the Quezon City.

IN WITNESS WHEREOF, the Parties hereto have executed this Agreement,

as of the day and year first above written.

________________________
Thristam Paul C. Galanto
Owner

MJVCON BUILDERS

By:

________________________ _________________________
Melvin John Y. Sison Charmaine Cher B. Anduyan
Proprietor Proprietor
 WITNESSES:

________________________ ________________________

ACKNOWLEDGMENT

BEFORE ME in _________, Philippines on this ___th day of July 2022

personally appeared:

Name Competent Date/Place Issued

ID/Documents
Thristam Paul C. Galanto
Melvin John Y. Sison
Maria Elena C. Timbol

who are known to me and to me known to be the same persons who executed the
foregoing Construction Agreement consisting of four (4) pages, including the page
on which this Acknowledgment is written, which Memorandum of Agreement is
signed by the abovenamed parties on the margin of each page thereof, and who
acknowledged to me that the same is their free and voluntary act and deed.

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

Notary Public

Doc. No. _____

Page No. _____
Book No. _____
Series of 20___.

Annexes:

Annex “A” – Construction Contract, consisting of _____ sheets.