Electrical Contract Template

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An electrical service agreement is a legal document that defines the type of electrical service to be provided. This agreement outlines the scope of electrical work, pricing, the service time frame, and termination. Fill out this agreement, enter the key information about the services and the parties, and download the document for your current and future deals.
ELECTRICAL SERVICES AGREEMENT

This Electrical Services Agreement (the "Agreement") is entered into on   (the "Effective  Date") by and between

 , an individual having their usual place of living at   (the "Contractor") and

 , an individual having their usual place of living at   (the "Client"), collectively referred to as the "Parties" and individually as the "Party".

WHEREAS the Client requires electrical services for the property described below; 

WHEREAS the Contractor is a qualified electrical service provider specializing in the provision of reliable and efficient electrical services and has the necessary expertise, knowledge, and resources to perform the required electrical services in accordance with industry best practices, applicable laws, and regulations;

NOW, THEREFORE, in consideration of the mutual promises and obligations set forth herein, and upon other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties have agreed as follows:

SUBJECT OF THE AGREEMENT

The Contractor agrees to provide the electrical services (the "Services") in compliance with all applicable laws and regulations to the Client. The Services are specified in the Agreement. The schedule and address for the Services are specified as follows:

The Contractor shall begin providing the Services on   (the "Start Date") and shall complete the Services on   (the "Date of Completion"). 

The Services shall be provided for the   located at   (the "Property").

The Client grants the Contractor and the Contractor's team or subcontractors reasonable access to the Property for the purpose of performing the Services. The Client shall provide an accessible and safe work site for the Contractor to perform the required Services. The Client shall provide access to outside water sources, electrical outlets, and any other necessary utilities required to perform the Services.

The Contractor shall provide all equipment and tools necessary to perform the Services.

The Contractor warrants that all materials used for the Services shall be of high quality and free from defects. The Client shall reimburse the Contractor for the cost of such materials. The Contractor shall provide the Client with copies of all receipts and invoices for materials purchased.

Voltage level:  .

CONTRACTOR'S OBLIGATIONS

 

The Contractor shall take all necessary precautions to:

  • Protect the Property and clean up all debris and equipment upon completion of the Services.
  • Comply with electrical safety codes and regulations throughout the provision of the Services.
  • Keep accurate records and documentation of inspections, maintenance activities, and repairs.
  • Provide the Client with relevant documentation, such as certificates of compliance or completion, when applicable.
  • Maintain effective communication with the Client regarding service-related matters.
  • Ensure that the provided Services meet acceptable power quality standards, minimizing voltage fluctuations, harmonics, and interruptions.
  • Collaborate with other contractors or tradespeople involved in construction or renovation projects to ensure seamless integration of electrical services.
PAYMENT TERMS

The Client agrees to pay the Contractor a fixed amount of   (the "Amount") for the provided Services. The Client undertakes to pay the Contractor   as a prepayment (the "Prepayment") within   days after the Effective Date. The full payment is due within   days after completion date (the "Due Date") of the Services. If the Client pays the total Amount in full within   days of the Due Date, the Contractor shall grant the Client a discount of  % of the total Amount.

The Client agrees to pay the Contractor an overtime rate in the amount of    per hour.

All payments shall be made on or before the Due Date by cash.

If the Client does not pay the Amount by the Due Date for more than   days, the Client shall be liable to pay interest on the unpaid balance at the rate of  %  per day or at the maximum rate permitted by law, whichever is less.

The Client may retain   as a retention fee that shall be refunded to the Contractor.

The Contractor shall cover all taxes associated with the Services, including sales tax, use tax, and other applicable taxes.

The Contractor shall obtain all permits and cover all associated fees required to perform the Services. The Client shall cooperate and offer the Contractor reasonable assistance in obtaining any necessary permits, licenses, and regulatory approvals. The Client shall reimburse the Contractor for the cost of such permits and fees upon receipt of an invoice confirming the expenses from the Contractor.

Travel and lodging: If the Services require the Contractor to travel beyond   miles from the Contractor's place of business, the Client shall reimburse the Contractor for reasonable travel and lodging expenses.

COMPLETION OF THE SERVICES

Upon completion of the Services, the Contractor shall submit an acceptance certificate (the "Acceptance Act") to the Client for signature. This Acceptance Act, detailed in Annex B, provides a list of the Services and confirms that the Services have been carried out in compliance with the Agreement and that all required inspections, tests, and approvals have been obtained. The Client shall have   days from the date of receipt of such Acceptance Act to inspect and test the Services for compliance with the Agreement. If the Client does not inform the Contractor about any issues or non-compliance within the specified time frame, it shall be considered that the Services have been provided properly in accordance with the Agreement and are payable in full. If the Services are found to be in compliance with the Agreement, the Client shall sign the Acceptance Act and provide it to the Contractor. If the Services are found to be defective or non-compliant with the Agreement, the Contractor shall rectify the issues within   days after Client's notification at no additional cost to the Client. The Client shall have additional   days to inspect and test the corrected Services. If the Services are found to be in compliance with the terms of the Agreement, the Client shall sign the Acceptance Act and submit it to the Contractor.

RELATIONSHIP OF THE PARTIES

Nothing in this Agreement, during its performance, shall be interpreted to create an employment, agency, joint venture, or partnership relationship between the Contractor and the Client.

INSURANCE

The Contractor shall maintain insurance coverage in amounts sufficient to cover any liability arising from its performance of the Services under this Agreement. This coverage includes general liability insurance, property damage insurance, and worker's compensation insurance. Before the commencement of the Services, the Contractor shall provide the Client with a certificate of insurance to confirm such coverage.

All Contractor's sub-contractors shall maintain insurance coverage in amounts sufficient to cover any liability arising from the Services performance under this Agreement. This coverage includes general liability insurance, property damage insurance, and workers' compensation insurance.

TERM OF THE AGREEMENT

This Agreement shall commence on the Effective Date and shall continue until  , unless terminated earlier under the terms of this Agreement. However, in no event shall the Agreement terminate before both Parties have fulfilled their obligations under the Agreement.

Either Party may terminate this Agreement at any time by giving the other Party   days prior written notice.

Either Party may terminate this Agreement upon   days written notice to the other Party if the other Party violates this Agreement and fails to rectify such violation within the specified notice period.

In addition, either Party may terminate this Agreement immediately upon written notice to the other Party if the other Party becomes insolvent or files for bankruptcy.

Upon termination of this Agreement, the Client shall pay the Contractor for all Services satisfactorily completed by the Contractor through the date of termination.

LIABILITY AND INDEMNIFICATION

The Contractor shall indemnify, defend, and hold harmless the Client, the Client's affiliates, agents, and employees against any claims, damages, losses, liabilities, costs, and expenses, including reasonable attorneys' fees, resulting from or related to the Contractor's performance of the Services under this Agreement, with the exception of claims, damages, losses, liabilities, costs, or expenses caused by the Client's negligence or willful misconduct.

The Client shall indemnify, defend, and hold harmless the Contractor, the Contractor's affiliates, agents, and employees against any claims, damages, losses, liabilities, costs, and expenses, including reasonable attorneys' fees, resulting from or related to the Client's use of the Services provided by the Contractor, with the exception of claims, damages, losses, liabilities, costs, or expenses caused by the Contractor's negligence or willful misconduct.

WARRANTY

The Contractor provides a   months warranty (the "Warranty Period") for the completed Services, effective from the date of the Services acceptance. The warranty covers defects in workmanship and materials used, as determined by the Client's inspection. The warranty does not cover damage or issues resulting from normal wear and tear, acts of nature, improper maintenance, alterations, or modifications made by the Parties other than the Contractor. The Client shall promptly notify the Contractor in writing of any defects or issues covered under the warranty within the Warranty Period. Upon receipt of a warranty notification, the Contractor shall promptly inspect and assess the reported issue. If the inspection confirms the presence of the covered defect, the Contractor shall undertake necessary repairs within   days (the "Cure Period") at no additional cost to the Client. 

NOTICE

Any notice or communication required or permitted under this Agreement shall be sufficiently given if delivered personally or sent by registered mail, return receipt requested to the address set forth in the opening paragraph or to such other address as one Party may have furnished to the other in writing.

Either Party may change its registered mail or email address for receipt of notices by giving written notice to the other Party. Notices shall be deemed received on the day of delivery if sent by hand or courier service or on the   business day from the date of posting if sent by registered mail or email.

FORCE MAJEURE

Neither Party shall be liable for any failure to perform or delay in performing the obligations under this Agreement if such failure or delay is caused by events of force majeure, including but not limited to acts of God, war, terrorism, strikes, lockouts, labor disputes, pandemics, governmental regulations, or any other similar cause beyond the reasonable control of the affected Party.

In the case of force majeure, the affected Party shall immediately notify the other Party in writing and provide reasonable proof of the cause of the delay or inability to perform the obligations. The Party affected by force majeure shall endeavor to mitigate the consequences of such circumstances and resume the performance of obligations as soon as possible after the circumstances cease to exist.

If the force majeure circumstances last more than   days, either Party may terminate this Agreement by giving written notice to the other Party. In this case, neither Party shall be liable to the other Party for any damages arising from the termination of this Agreement.

GOVERNING LAW AND DISPUTE RESOLUTION

This Agreement shall be governed by and interpreted under the laws of the State of  . Any disputes resulting from or relating to this Agreement shall be exclusively resolved by the courts of the State of  .

CONFIDENTIALITY

The Parties agree to keep all information disclosed during this Agreement confidential and not to share such information with any third party unless required by law. The Parties agree not to use the confidential information for any purpose other than what is necessary to fulfill their obligations under this Agreement.

This confidentiality clause shall remain in effect after the termination or expiration of this Agreement.

SEVERABILITY

The invalidity or unenforceability of any provision of this Agreement shall not affect its validity or enforceability.

ENTIRE AGREEMENT

This Agreement constitutes the entire understanding between the Parties and supersedes any prior oral or written agreements.

WAIVER

 

The failure of any Party to enforce a particular provision of this Agreement shall not constitute a waiver of their right to enforce that provision in the future.

AMENDMENTS

This Agreement may be amended or modified only by a written agreement signed by both Parties. Any amendments to this Agreement shall be binding only if they are documented in writing and signed by both Parties.

BINDING EFFECT

This Agreement shall be binding upon the Parties and their respective successors and assigns. Neither Party may assign this Agreement or any of its rights or obligations hereunder without obtaining prior written consent from the other Party, which cannot be unreasonably withheld.

ANNEXES. Annex B.

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective Date.

THE CONTRACTOR

THE CLIENT

 

 

 ,  ,  

___________________

(Place for signature)

 

 

 

 ,  ,  

___________________

(Place for signature)

 

ANNEX B to the Electrical Services Agreement dated  

We, the undersigned,

 , an individual having the usual place of living at   (the "Contractor"), and

 , an individual having the usual place of living at   (the "Client"), collectively referred to as the "Parties" and individually as the "Party".

acting voluntarily and completely aware of our actions, have concluded this Acceptance Act to the Electrical Services Agreement dated  , confirming the following:

The Parties confirm that the Contractor has provided and the Client has accepted the following Services:

Date/period of the Services provision:   –  

Price of the Services:  

PAYMENT TERMS

The Client agrees to pay the Contractor a fixed amount of   (the "Amount") for the provided Services. The Client undertakes to pay the Contractor   as a prepayment (the "Prepayment") within   days after the Effective Date. Full payment is due within   days after the completion date (the "Due Date") of the Services. If the Client pays the total amount in full within   days of the Due Date, the Contractor shall grant the Client a discount of  % of the total Amount.

The Client agrees to pay the Contractor an overtime rate in the amount of    per hour.

All payments shall be made on or before the Due Date by cash.

If the Client does not pay the Amount by the Due date for more than   days, the Client shall be liable to pay interest on the unpaid balance at the rate of  %  per day or at the maximum rate permitted by law, whichever is less.

The Client may retain   as a retention fee that shall be refunded to the Contractor.

The Contractor shall cover all taxes associated with the Services, including sales tax, use tax, and other applicable taxes.

The Contractor shall obtain all permits and cover all associated fees required to perform the Services. The Client shall cooperate and offer the Contractor reasonable assistance in obtaining any necessary permits, licenses, and regulatory approvals. The Client shall reimburse the Contractor for the cost of such permits and fees upon receipt of an invoice confirming the expenses from the Contractor.

Travel and lodging: If the Services require the Contractor to travel beyond   miles from the Contractor's place of business, the Client shall reimburse the Contractor for reasonable travel and lodging expenses.

 

The Parties confirm that the Services have been provided in a quality manner and in accordance with the law. The Parties have no claims against each other. 

This Acceptance Act is an integral part of the Electrical Services Agreement dated  .

THE CONTRACTORTHE CLIENT

 

_________________

(Place for signature)

 

_________________

(Place for signature)

Written by Karyna Pukaniuk - Reviewed by Kateryna Adkham

Template Description

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Paper titled "Electrical Service Agreement"; electrician ready for work

An electrical service agreement is a contract between an electrical service provider and a client, usually a property owner. The agreement outlines the terms of service, including a description of the service to be provided, payment terms, time frame, and termination. The attorney-reviewed Loio electrical service agreement template can be customized to meet your needs. After purchase, users can download the document as is and make necessary adjustments before use. 

What Is an Electrical Service Agreement?

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An electric service agreement is a legally binding contract between an electrical service provider and a property owner for electrical services. It lists the responsibilities and obligations of each party, including the scope of work, fees, termination, and any other relevant information. The printable electrical service contract can be for one year or on an “as needed” basis. 

Parties of the Electrical Service Agreement

There are two parties, the service provider and the property owner, with the following obligations and responsibilities: 

  • Service provider or contractor — An individual or electrical company responsible for providing the electrical services described in the agreement, which may include repair, installation, or maintenance of a client’s electrical system. 
  • Client — Usually a property owner who is requesting the services of the electrician. 
Insight

Usually, the client is responsible for providing access to the work area for the contractor, which can include moving furnishings or items that could prevent the contractor from carrying out the services stipulated in the electrical service agreement.

Key Terms

A general electrical service agreement may include complex terms that are unfamiliar to those who are not experienced with legal contracts or the electrical industry. Some common words and phrases include:

  • Assignment and delegation — A contract assigns rights or benefits and delegates responsibilities. The service provider may have the right to receive payments, but the contract can permit the provider to transfer that right to a third party. The contract can allow the service provider to delegate certain obligations to deliver the service to a third party. A sample electrical service agreement may include an assignment and delegation clause to allow or restrict the parties from assigning or delegating their rights or responsibilities. 
  • Change orders — This term is used in a clause that provides a means for the parties to modify the description of the work in the original agreement. The parties can amend the scope of work, payment terms, materials, and tools necessary for the work through a change order agreement. The clause may require that both parties agree in writing to change the order and that the changes may mean additional charges to the client. 
  • Exclusive remedies — Parties to a contract may agree to limit themselves to the remedies (legal actions to resolve a dispute) provided in the contract in the event of a disagreement or when one party breaches the agreement. An exclusive remedies clause binds parties to those remedies outlined in the agreement and no other. Financial compensation, agreement termination, injunction, or specific performance are some exclusive remedies that the parties can include in their agreement. 
  • Force majeure — In the event of an unforeseeable, insurmountable phenomenon that makes it impossible for the parties to perform their responsibilities or obligations according to the contract, they can agree to temporarily or permanently suspend the contract. 
Insight

It is recommended to include a warranty clause in a residential electrical contract in which the parties stipulate warranty terms for the installations made by the contractor. For example, “the contractor has provided installation and quality parts for the best quality of product. All parts will be warranted for a 12-month period after installation for any technical defects.”

Why Are Electrical Service Agreements Important?

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A simple electrical service agreement allows the service provider and client to agree on the specific service and how the service will be delivered, including when and how often. Electrical service contract samples help each party understand his or her responsibilities. Having this information in writing provides easy reference in the future. Some things to consider in addition to a visual assessment are:

  • Wiring — Small appliances plugged into inadequate or improper wiring are recognized as the leading cause of accidental electrocutions, according to the Consumer Product Safety Commission (CPSC). To identify the type of wire used, it is important to understand the electrical systems, particularly in an older home since many wiring practices used even 10 or 15 years ago are now considered hazardous.
  • Panels — Older panels and breakers should be replaced.
  • Hidden problems — Electricity allows people to enjoy a wide range of creature comforts. Electrical services usually do not malfunction until they fail, which can result in unwanted electrical service interruptions or damage. Therefore, service providers may need to search for hidden problems and make repairs before disaster happens. 
  • Insurance — Electricity is the leading cause of property damage in home structures and electrical fires across the US, according to the National Fire Protection Association (NFPA). Certain insurance companies will not insure a home if it has a certain type of wire or electrical panel. Be sure to check insurance policy requirements.
  • Cost savings — Having a licensed electrician review your home, office, or warehouse electrical system periodically can help to ensure early identification of minor problems to avoid significant repairs later.

What Is Included in an Electrical Service Agreement?

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The following key terms should be included in a printable electrical service agreement to provide a record of the parties’ commitments and make the document legally binding. These are: 

  • Scope of work — Describe the service to be provided and include details like the materials and tools the service provider needs and the timelines for delivery. For maintenance and repair work, include the frequency and scope. Outline any testing and certification work that the client requires, including testing frequency. For installation, list the systems to be installed and any other applicable details.
  • Terms of payment — Describe the agreed payment terms, which may include the amount, the payment schedule, and penalties for late payment. 
  • Duration of the agreement — The electrical service agreement can be for one year or as needed. If the service is on a need basis, the agreement may stay in force until the service described is fully delivered or until the parties terminate the agreement in writing. As-needed agreements are flexible and cover the parties’ interests through a project completion date that cannot be determined.
  • Liability, indemnification, and insurance — Each party is liable for specific actions under the contract. In the indemnification clause, for example, the contractor may agree to hold the client harmless for any injuries that may occur while working and take responsibility for any property damage. This section may also define the type of insurance the service provider must carry, the scope of the coverage, and a requirement to provide proof of insurance.
  • Confidentiality — The agreement may require that both parties treat the terms of their engagement as confidential.
  • Dispute resolution — Since disputes may arise during any engagement, an effective electrical service agreement template PDF will include a section to stipulate the mechanism available for the parties to resolve differences if needed.
  • Governing law — The example service contract should stipulate the law that will be used to interpret or enforce the agreement. This section will ensure the parties’ understanding that they are subject to the laws in a specific jurisdiction. 
Insight

It is the parties’ discretion whether to include demolition works or removal of debris in the electric service agreement. If these services are covered by the agreement, they may mean additional charges. 

How To Write an Electrical Service Agreement

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The property owner and the service provider will collaborate in preparing an electrical service agreement template. Each will take a few important steps.

For Clients

  1. Determine the scope of work and draft a request for proposal (RFP) — The property owner examines the scope of the work needed, the project location, costs, and time frame. 

  2. Make a list of qualified candidates — Seek experienced service providers with relevant credentials and references. 

  3. Send the RFP — After identifying a few candidates for the job, the property owner will send out the request for proposals. The RFP is necessary because it provides the framework for engagement and negotiation with the service provider.

  4. Evaluate the proposals — The property owner then evaluates the proposals submitted by the candidates and determines the best individual or company to engage. 

  5. Negotiate terms with the contractor — Once the client settles on a contractor, the parties will negotiate terms based on the RFP sent out and the proposal received. The main points of negotiation may include the scope of work, terms of payment, insurance, and liability.

  6. Review and sign the contract from the service provider — The service provider will generally draft the agreement and submit it to the client for review and signing. 

For Electrical Service Providers

The contractor may be an individual or company offering credentials that match the client’s needs. The steps the provider will take in drafting the electrical service agreement template include: 

  1. Review the RFP and prepare a proposal — The service provider will review the RFP from the client and prepare a proposal that consists of qualifications, experience, and a plan for approaching the project. The provider will also include cost estimates and projected timelines. 

  2. Negotiate the terms of engagement — If selected, the client will engage the provider in negotiating terms of engagement based on both the RFP and the submitted proposal.

  3. Prepare the agreement — Once both parties agree on the terms of the engagement, including the scope of work, timelines, budget, penalties for late payment, insurance, liability, and other details, the service provider will prepare the electrical service agreement and send it to the client for review and signing.

When an Electrical Service Agreement Is Needed

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A blank electrical service agreement template can be used to create a legally binding contract and multiple examples of service contracts when a client engages the services of an electrical service provider.

Common Use Cases

An electrical service agreement outlines the terms of engagement between a client and a service provider. The agreement is helpful for clients who need any of the following: 

  • Installation of new electrical systems, fixtures, or appliances 
  • Electrical work for new construction, renovations, or remodeling projects
  • Installation of backup generator or solar panel systems
  • Wiring or rewiring projects
  • Electrical maintenance on a property

When Not To Use the Electrical Service Agreement

A formal electrical service agreement is not always necessary when working with a client or service provider. Some instances when the document will not be helpful include: 

  • Do-it-yourself (DIY) projects — If a homeowner handles his or her own electrical work, a service agreement is not needed.
  • Simple projects — An agreement may not be necessary if a property owner engages a service provider for simple projects that take only up to a few hours.
  • Sale of electrical appliances — An electrical service agreement cannot be used in place of a contract for sale of goods.

State Law

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An electrical service agreement should be written in accordance with relevant state law. Title 48 of the Code of Federal Regulations, Chapter 1, Subchapter F, Part 37 Service Contracting applies to all contracts for services, regardless of the contract type or kind of service being provided.

According to the National Fire Protection Association, the National Electrical Code (NEC) adopted in 50 states is approved by the American National Standards Institute (ANSI). The NEC is a set of electrical code requirements that govern electrical installations in the interest of safety for persons and property. Knowledge of the rules of the NEC is an inherent part of doing business in the electrical industry.

Warning

Please be aware that all electrical works performed by the service provider or contractor shall be exercised in compliance with federal, state, and local regulations in addition to the rules and requirements stipulated in the National Electric Code (NEC). For instance, the Code covers such technical issues as installation and removal of electrical conductors and equipment for public and private premises, including buildings, structures, mobile homes, etc.

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