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Construction Contract Cost Plus or Fixed Fee - Massachusetts

Construction Contract Cost Plus or Fixed Fee - Massachusetts 2026

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This document is a construction contract between a Contractor and an Owner, outlining the terms and conditions for the completion of a construction project. It details the scope of work, time of completion, payment structure, responsibilities regarding permits and soil conditions, insurance requirements, change orders, and provisions for late payments and damages. The contract emphasizes that any modifications must be documented in writing and establishes legal rights for both parties under Massachusetts law.

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Click ‘Get Form’ to open it in the editor.
Begin by filling in the Contractor and Owner details, including names and addresses. This establishes the parties involved in the contract.
In the 'SCOPE OF WORK' section, describe the project clearly, referencing any drawings or specifications that outline the work to be done.
Specify the 'WORK SITE' address where construction will take place. Ensure this is accurate to avoid any legal issues.
Set a timeline for completion in the 'TIME OF COMPLETION' section, noting start and end dates.
Choose between 'COST PLUS' or 'FIXED FEE' payment structures and fill in the respective amounts.
Review all sections for completeness and accuracy before signing. Ensure there are no blank spaces left unfilled.

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We have answers to the most popular questions from our customers. If you can't find an answer to your question, please contact us.

What is the difference between a cost-plus and a fixed-price construction contract?

Most contracts have a cost-plus fee scale of 10-25%. A contractor would use takeoff software to calculate the materials costs, but they wouldnt need to be exact. Some companies use a cost-plus-fixed-fee (CPFF) instead of a percentage.

What percentage do contractors charge for cost-plus?

Businesses should use cost-plus contracts when the projects scope or costs are difficult to estimate up front or when flexibility and transparency are important.

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