Agreement To Proceed With The Project

There can be several reasons to delay the start. The owner can wait to obtain the insurance certificates and obligations of the contractor before authorizing them on the site. A contractor could be asked to exercise restraint in order to guarantee the authorisations. The customer may only need time to plan contractors, mobilize labor, and secure materials. You may not have access to the project website until a specific date. It could be something as simple as the lender`s authorization. It is obvious that deadlines are essential for each project. Construction plans are incredibly important, and these clues help clarify them. In addition, if lenders are involved in employment, it may be important to show that the work began on a specific date after the lender`s first pledge right on the property arrived. If the project launch date is unclear and a lender is present, disputes over the priority of the deposit can pose a serious threat to a lender`s investment.

If these communications are not made in writing, it can be difficult for all parties. Without anything written, there is always a chance to get an er-said/you-said scenario when it comes to setting important project dates. The written form establishes a link between the Notice to Proceed and the contract, which can ultimately be legally enforced. There are a few options if you decide how to determine when the project will be launched. The project start date is often one of the following (or a combination): it`s pretty simple – a Notice to Proceed is a notification letter stating that performance should begin as part of a construction contract. Any party that has engaged another party for the project (whether it is an owner who hires a contractor, a contractor hiring a subcontractor, etc.) can use a message to continue to indicate that the recipient must begin its work. In addition, the custom form has a predefined checklist that must be checked by the assigned member of the project team before the NTP letter is issued. Checklist items should be checked if they are available, unavailable, or unenforceable, and then the comment box should be used to explain why. The items in the checklist could also be referred to the corresponding contractual clause. The checklist items represent the project owner`s knowledge when issuing these letters and what needs to be checked to ensure they are correct.

While most plans begin to sign the contract, the actual on-site construction work for each of the parties who have been tasked with working on the project can often only begin when they receive notice to continue from the party that hired them…