An engineering and construction contract agreement is a works contract that is entered into between the contractor and the contract issuing company. In this kind of contract the contractors will bid for the construction project of a company and the contractor who provides specifications and cost estimate closest to the requirements of the company gets the contract. The agreement covers all the essential requirements of the engineering and construction contract.

Some of the terms that have to be included in this agreement for engineering and construction contract are price specified by the contractor, quantity of construction and engineering activities to be undertaken, activity schedule of the construction contract, fees schedule of the construction contract, contractor reimbursement of costs incurred for construction activities, life of the construction project, total budget of the construction project, penalty for delay in completion of contract, terms for termination of contractor agreement etc. the agreement has to be signed by the authorized signatory of the company and the contractor as well.

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