CONSTRUCTION SUB-CONTRACT AGREEMENT

This Contract Agreement is executed and entered by and between:

JIMGIES ENTERPRISES., a company registered with Department of Trade and Industry (DTI), with
office address at #25 Petronia St., Buenamar Subd., Novaliches Quezon City, represented by its owner,
ENGR. JAIME L. GUINTO, of legal age, Filipino, hereinafter known as the FIRST PARTY.
-And-
______________________________________ represented by ____________________, with office
address at
_____________________________________________________________________________________
________________________________________ referred as the SECOND PARTY.

WHEREAS, the FIRST PARTY is a construction company with a valid governmental permits,
licenses and other related documents to build or construct buildings.
WHEREAS, the FIRST PARTY is the General Contractor for the construct of the projects, the
construction of the following unit houses at Northfields Executive Village, Malolos Bulacan:
MH UNIT AMOUNT
• STEPHANIE MH- 559 (P.O. # 16770-16771) - P 928,038.65
Lot 5 blk 3, Phase 1
• JOANNE IMP MH- 510 (P.O. # 16911-16912) - P 1,299,888.50
Lot 5 blk 14B, Phase 2 B
• YSABELLA MH-508 (P.O. # 16766-16767) - P 1,871,975.00
Lot 8, blk 3, Phase 1F
• ROSEANNE MH-511 (P.O. # 16913-16914) - P 1,444,591.00
Lot 31, blk 6, Phase 5 NPR2 P 5,544,493.15

WHEREAS, the SECOND PARTY intends to do the sub construction of the FIRST PARTY and
intends to undertake all the management control, construction and financial management for the project;

WHEREAS, IPM REALTY AND DEVELOPMENT CORPORATION will be referred as the

owner of the project in this contract;

WHERAS, IPM REALTY AND DEVELOPMENT CORPORATION agree to release down

payment of 5% thru PURCHASE ORDER (P.O.) by progress billing, 5% submission of First billing and
to JIMGIES ENTERPRISES (First Party) and to be transferred to the Sub-Contractor (Second Party)

WHEREAS, the SECOND PARTY intends to pay the FIRST PARTY a royalty fee of Ten (10%)
percent of the total amount of the project.

WHERAS, the SECOND PARTY intends to pay the FIRST PARTY in advance payment of 2%
of the total amount per unit upon signing of contract and the remaining balance shall be pay by every
progress billing minimum of 10% or above deduction.
TERMS AND CONDITIONS:

1. Duration of the Agreement - This agreement shall start from the time of the release of the
Purchase Order of the project by the FIRST PARTY through the date of actual award of
project until the entrusted project is completely finished and accepted by the owner of
procuring entity, and that all the proceeds and/or receivables relative thereto, including
change orders if any, and the retention or any contingency among others have been
completely and finally collected.

PROJECT DESCRIPTION AND SCOPE OF WORK

2. The project to be undertaken by the SECOND PARTY is the labor and materials of the
construction of two storey house STEPHANIE MH-559, JOANNE IMP MH-510,
YSABELLA MH-508, ROSEANNE MH-511 and its site operation denoted herein as the
project. In addition, the scope of work specified in the purchase order issued by the owner,
program of work and approved plans of the owner.

3. The Project shall consist of:

 Site works and Earth Works
 Structural Works
 Masonry Works
 Roofing Framing
 Ceramic tile Works
 Finishing Carpentry
 Doors and Windows
 Finishing Hardware’s
 Plumbing Works
 Electrical Works
 Painting Works

PROJECT COST

4. The total project costs for the SECOND PARTY to implement the sub construction works of
the projects Two (2) units shall be in the Pesos: Five Million Five Hundred Forty-Four
Thousand Four Hundred Ninety-Three and 15/100 (P 5,544,493.15).

PROJECT DURATION

5. Model Houses STEPHANIE MH-559, JOANNE IMP MH-510, YSABELLA MH-508,

ROSEANNE MH-511 shall be implemented and completed within One Hundred Eighty (180)
CALENDAR DAYS per unit from and upon signing of this agreement and receipt by the
SECOND PARTY of the Purchase Order as per the request of FIRST PARTY; in accordance to
the project duration.
 6. TERMS OF PAYMENT

The SECOND PARTY shall be paid as follows:

6.1. Agree to pay the FIRST PARTY of 2% in advance payment upon signing of
Contract.
6.2. Balance shall be paid by Ten percent (10%) or Above on every progress billing or
accomplishment works until zero balance.

7. OBLIGATIONS OF THE PARTIES

7.1 Obligation of the FIRST PARTY

7.1 a. The FIRST PARTY hereby binds to warrant the good standing of his license and the good name of
its business when the need arises.

7.1 b. The FIRST PARTY binds himself to respect the decisions of the SECOND PARTY in so far as to
the method of implementation of works on the project is concerned, provided that it is approved by the
owner, the project shall not digress from the engineering standards and specifications and will not run
counter to the acceptable practice and codes in the construction industry.

7.2. OBLIGATIONS OF THE SECOND PARTY

7.2 a. The SECOND PARTY shall be solely responsible for the hiring of workers for the project with
respect to Philippine Labor Laws and Regulations, be solely responsible for the overall management and
operations, including inspections and other allied support services required by the construction projects.
7.2 b. The SECOND PARTY shall be responsible for the project management and engineering works. It
shall not do any out detrimental to the good standing of the license of the FIRST PARTY.

7.2 c. The SECOND PARTY shall faithfully implement the full operation of the construction of the
project in compliance with the standard engineering practice and project specifications and shall likewise
not do any act detrimental or prejudicial to the good name of JIMGIES ENTERPRISES, or the good
standing of its license.

7.2 d. The SECOND PARTY shall be directly liable and responsible to whatever defects of faults
resulting in the implementation of work. The SECOND PARTY shall also be solely responsible in
correcting any defects, fault or error in the work contract and therefore frees the FIRST PARTY from any
liability or responsibility thereon.

7.2 e. Neither party shall be liable from any and all claims, penalties and liabilities or legal causes of
action of any kind whatsoever that may arise from incident to or in connection with the construction of
the project.

7.2 f. The SECOND PARTY shall monitor and oversee the implementation of the project. The SECOND
PARTY shall conduct a regular audit on the progress of the project and to ensure the works are in
accordance with the project plans and specifications and program of works. All expenses for this
monitoring shall be part of the contract.

7.2 g. That Second Party agrees that the two percent (2%) of the contract amount as expanded
withholding tax (EWT) shall be retained by IPM and to be remitted the BIR for tax purposes.
7.2 h. The SECOND PARTY obligate to perform 3% or above accomplishment every week as per
required by the owner/developer (IPM)

7.2 i. That the SECOND PARTY shall formally turn over the completed works to FIRST PARTY after
Final acceptance by the IPM (Owner/ Developer).

7.2 j. Additional request in this project that has not included in the approved plan shall be serve as
CHANGE ORDER.

7.2 k. The SECOND PARTY shall faithfully no direct transaction to IPM without knowing or concern of
the FIRST PARTY.

7.2 l. The SECOND PARTY is obliged to perform or complete the given units upon signing of the
agreement and start of the project, failure to comply may lead to termination of this contract after
receiving 3 consecutive warning letters given by the FIRST PARTY.

7.2 m. The FIRST PARTY is not obliged to reimburse or return any expenses incurred by the SECOND
PARTY after the termination of this contract including and not limited to royalty fees, labor and material
expenses intended for the assigned unit to the SECOND PARTY, and any other expenses discussed by
the SECOND PARTY and the FIRST PARTY before the concurrence of this agreement.

FORCE MAJEURE AND OTHER CAUSES

Neither party will be liable for failure or delay to perform obligations under this Agreement, which have
become practicably impossible because of circumstances beyond the reasonable control of the applicable
party. Such circumstances include without limitation, natural disasters or acts of God; acts of terrorism;
labor disputes or stoppages; war; government acts or orders; epidemics; pandemics or outbreak of
communicable disease; quarantines; national or regional emergencies; or any other cause whether similar
in kind to the foregoing or otherwise, beyond the party's reasonable control. Written notice of a party's
failure or delay in performance due to force majeure must be given to the other party no latter than five
(5) business days following the force majeure event commencing, which notice shall describe the force
majeure event and the actions taken to minimize the actions thereof. All delivery dates under this
agreement affected by force majeure shall be tolled for the duration of such force majeure. The parties
hereby agree, when feasible, not to cancel but reschedule the pertinent obligations and deliverables for
mutually agreed dates as soon as practicable after the force majeure condition ceases to exit.

 IN WITNESS WHEREOF, we have hereunto set our hands this day of Two
thousand twenty, at - City, Philippines.

First Party Second Party:

JIMGIES ENTERPRISES

ENG’R. JAIME GUINTO

(Owner) (Owner)
 AKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES)

………………………………...) S.S.
X-----------------------------------------X

BEFORE ME, THIS day if 2022 in Philippines, personally

appeared JAIME L. GUINTO referred as a FIRST PARTY with Driver’s License No. N04-88-072665
issued by the Republic of the Philippines, RUBEL NUARIN CHUA reffered as a SECOND PARTY with
Driver’s License No. and known to me to be the same persons who executed the
foregoing Sub-Contract Agreement and the acknowledged to me that the same is their free and voluntary
act and deed.

This instrument, consisting of five (5) pages, including this page where this acknowledgement is found,
and duly signed by the parties and their instrumental witnesses on each and every page thereof, refers to
the Sub-Contract Agreement.

WITNESS MY HAND AND SEAL on the date and place above stated.

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