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Construction Service Agreement

MCMX LLC (dba MCMX Remodeling) · Maintenance & Construction Service Agreement

This Master Maintenance & Construction Service Agreement (the "Agreement") governs all maintenance, repair, alteration, turn, rent ready, and rehabilitation services performed by MCMX ("Contractor") for the undersigned property owner or the owner's authorized fiduciary ("Owner"). This Agreement is intended to establish the general terms under which work is performed. Individual jobs will be governed by written work orders, estimates, or authorizations (each, a "Work Order") issued under this Agreement.

1. Structure and Relationship

This Agreement is a master agreement. Each Work Order issued by Contractor is subject to and governed by this Agreement. In the event of any inconsistency, this Agreement shall control. Contractor is an independent contractor. Nothing in this Agreement creates any partnership, joint venture, agency, or fiduciary relationship between Contractor and Owner.

2. Scope of Services

Contractor may perform maintenance, repair, alteration, turn, rent ready, and rehabilitation services on Owner's property as requested and authorized. Services are limited to work permitted under Contractor's Michigan builder licensing and applicable law.

Excluded services include, without limitation: new construction, architectural or engineering services, environmental testing or remediation, and work requiring stamped plans unless expressly agreed in writing.

3. Work Orders and Authorization

All work must be authorized through a Work Order. Authorization may be provided by the Owner or the Owner's authorized fiduciary and may be given in writing, electronically, verbally, by text message, by approval within a property management or work order system, or by payment of any required deposit. Approval by an authorized fiduciary shall be deemed approval by the Owner. Contractor has no obligation to verify internal authority arrangements between the Owner and any fiduciary.

4. Estimates and Billing Method

Contractor bills work on a time-and-materials basis unless a Work Order expressly states otherwise. Estimates represent Contractor's good-faith projection of anticipated work based on visible conditions at the time of inspection. Labor estimates may be expressed as anticipated labor dollars per room or task. These figures reflect expected effort, not a guaranteed or capped duration. Actual labor billed may exceed or fall below estimates based on site conditions, execution, discovered conditions, and approved changes in scope. Materials are sourced, procured, and supplied by Contractor and billed as part of the Work Order.

5. Scope Changes and Change Work Orders

During the course of work, additional labor time may be required to complete items already included in an approved Work Order or checklist. Additional labor necessary to complete such existing items shall be billable as time-and-materials and shall not, by itself, require a Change Work Order. Only work or tasks that are not reasonably inferable from the approved scope, checklist, or Work Order shall constitute a change in scope and require a Change Work Order and authorization. Upon identifying a change in scope, Contractor will notify the Owner or Owner's fiduciary. To the extent reasonably possible, Contractor may continue work necessary to maintain project efficiency, safety, or continuity while awaiting approval. If continuation is not feasible, Contractor may suspend affected work without penalty or liability. If work must be performed to prevent property damage, address safety concerns, or complete an already approved task, Contractor may proceed and bill accordingly.

6. Scheduling and Delays

Work is scheduled based on availability and priority. Emergency conditions may supersede non-emergency work. Contractor shall not be responsible for delays caused by permitting, inspections, access issues, weather, utility outages, supply chain disruptions, labor shortages, acts of God, governmental action, or other events beyond Contractor's reasonable control ("Force Majeure Events").

7. Access, Utilities, and Site Conditions

Owner is responsible for providing safe access to the property and maintaining active utilities as required for the work. Vacant properties must have water, electricity, and heat available as necessary. If utilities are unavailable or site conditions are unsafe, Contractor may take reasonable protective measures, suspend work, or incur additional costs, which shall be billable to the Owner.

8. Payment Terms

Invoices are due upon receipt. Contractor invoices as work progresses, generally on a weekly or otherwise established billing cycle. A deposit equal to fifty percent (50%) of the estimated total cost is required for projects with an estimated value exceeding one thousand dollars ($1,000), unless otherwise agreed in writing. Any balance not paid within thirty (30) days of the invoice date may, at Contractor's option, be subject to a one-time late charge equal to twenty-five percent (25%) of the unpaid balance, representing administrative costs, financing costs, and disruption to scheduling and operations. Any amounts remaining unpaid thereafter may accrue interest at the rate of one percent (1.0%) per month until paid in full. Continuation of work shall not constitute a waiver of Contractor's payment rights. Owner shall be responsible for all costs of collection, including reasonable attorneys' fees.

9. Suspension and Termination

Contractor may suspend or terminate work for non-payment, lack of access, unsafe conditions, or failure to provide required approvals. Owner remains responsible for payment of all labor performed, materials ordered, and costs incurred through the date of suspension or termination.

10. Hidden and Pre-Existing Conditions

Contractor is not responsible for latent or pre-existing conditions, including prior non-code work, concealed damage, rot, mold, asbestos, failing systems, or structural deficiencies. Discovery of such conditions may require additional work and cost to complete the task safely and correctly.

11. Warranty

Contractor provides a twelve (12) month workmanship warranty on labor performed. This warranty is limited to correction of defective workmanship and does not cover materials, manufacturer defects, normal wear and tear, owner or tenant damage, system-wide failures, or conditions unrelated to the specific repair.

12. Limitation of Liability

To the fullest extent permitted by law, Contractor's total liability arising out of any Work Order shall not exceed the lesser of (i) the amount paid for the applicable Work Order or (ii) twenty-five thousand dollars ($25,000). In no event shall Contractor be liable for incidental, consequential, special, or punitive damages.

13. Mechanic's Lien Rights

Contractor reserves all rights and remedies available under Michigan law, including mechanic's lien rights. Owner acknowledges Contractor's right to file and enforce a lien for unpaid amounts and agrees to pay all associated legal and enforcement costs.

14. Insurance and Indemnification

Contractor maintains commercial general liability and workers' compensation insurance in amounts consistent with industry practice. Owner is responsible for maintaining property insurance covering the property and existing structures. To the extent permitted by law, each party agrees to indemnify and hold the other harmless from claims, damages, or losses arising from its own negligent acts or omissions in connection with the Work.

15. Cleanup and Worksite Conditions

Contractor will maintain a reasonable level of cleanliness and will remove debris directly generated by Contractor's work. Owner is responsible for disposal of materials or debris not directly associated with the Work and for maintaining overall site conditions outside the immediate work area.

16. Governing Law and Venue

This Agreement shall be governed by the laws of the State of Michigan. Venue for any dispute shall lie exclusively in Oakland County, Michigan.

17. Acceptance

Execution of this Agreement, payment of any required deposit, or authorization of any Work Order constitutes acceptance of these terms.

Questions

MCMX Remodeling · (313) 777-8547 · info@mcmxremodeling.com