SUB-CONTRACT STATEMENT: TERMS

WHEREAS the Company is engaged in the business of contracting with different parties for the supply and application of wallboard, insulation, taping, texturing ceilings and other construction materials involved in the erection and cladding of interior partitions.

AND WHEREAS the Company is desirous of engaging the Sub-Contractor to carry out certain terms and conditions of the said contracts.

AND WHEREAS the Sub-Contractor has agreed to supply materials and services in respect of application of wallboard, insulation, taping, texturing ceilings and other construction materials involved in the erection and cladding of interior partitions.

NOW THEREFORE THIS AGREEMENT WITNESSED that the Company and Sub-Contractor in consideration of the undertakings hereinafter respectively made by the other, agree as follows:

1. It is acknowledged as between the parties to this Agreement that this Agreement is a contract for services and not a contract of services and that the Sub-Contractor shall be an independent contractor in respect of work undertaken or completed under this Agreement. Under no circumstances and for no purpose whatsoever shall the Sub-Contractor be deemed the agent, servant, employee, or representative of the Company, and is not entitled to any employee benefits including contribution to Canada Pension Plan, Vacation Plan, and so on.

2. The Sub-Contractor warrants to the Company that he shall employ such competent personas as may be necessary for the due performance of all work which the Sub-Contractor agrees to carry out.

3. The Sub-Contractor agrees to comply with and be personally liable for any breach of all statutes and regulations, whether Provincial or Dominion, relating to the employment of its workers. In particular, and without limiting the generality of the foregoing, this shall include all deductions to be made from employees and all payments to be made by employers under the Income Tax Act, the Unemployment Insurance Act, the Canada Pension Plan Act, and the Workers’ Compensation Act. The Sub-Contractor does further agree to protect the Company for all claims and demands on account of the Sub-Contractor’s breach of any statues and regulations.

4. Where the company believes itself to be exposed to possible liability for outstanding assessments against the Sub-Contractor under the Workers’ Compensation Act, it reserves the right to withhold an amount equal to such assessments and to remit this amount directly to the Workers’ Compensation Board on behalf of the Sub-Contractor. As between the Company and the Sub-Contractor such payment shall be deemed to be a payment on the Sub-Contract.

5. The Sub-Contractor agrees to begin, carry on, and complete the work described on any Sub-Contract in a prompt and diligent manner and so as not to interfere with or delay the work of the Company or the work of the other Sub-Contractors. In the event that the Company shall become liable to pay any penalties under a contract in consequence of the delay of the Sub-Contractor, the Sub-Contractor shall pay to the Company the proportion of such penalties or damages for which he/she has been responsible.

6. The Sub-Contractor shall be responsible for all loss or damage to the works covered by the Sub-Contract and shall be responsible for all claims by other parties for loss or damage of whatsoever nature caused by the said works or caused in the execution thereof, until the said works are fully completed, and the Sub-Contractor shall immediately make good any such demand for which it is liable.

7. Upon default by the Sub-Contractor of any of the terms of this agreement, the Company may terminate the appointment of the Sub-Contractor forthwith, and if at the time of such termination there are uncompleted works under any Sub-Contract, the Company may have such works completed by other persons and then the Sub-Contractor shall be liable for the cost of such completion.

8. Upon the completion of the Sub-Contract, the Sub-Contractor shall execute the form of completion certificate and shall notify the Company of such completion. The Company shall then have its representative inspect the work, and if the work has been satisfactorily completed the agreed price under the Sub-Contract becomes due and payable at appropriate payday schedule. If the work has not been satisfactorily completed, the Sub-Contractor shall at his/her own expense, return and remedy the defects.

9. The Sub-Contractor agrees to furnish the materials and supplies and do the work required by any Sub-Contract, which the Company may grant to the Sub-Contactor and which the Sub-Contractor may accept.

10. The Sub-Contractor shall not be entitled assign this agreement or any Sub-Contract entered into here under without the written consent of the Company.

11. GUARANTEE The Sub-Contractor herby guarantees the work in accordance with the contract documents. No payment to the Sub-Contractor and no partial or entire use or occupancy of the work by the Owner shall be construed as an acceptance of any work on material not in accordance with this Contract.

12. REJECTED WORK The Sub-Contractor shall promptly remove from the project any defective work, whether the result of poor workmanship, use of defective materials, damaged through carelessness or other act of the Sub-Contractor. The Sub-Contractor shall promptly replace and re-execute such defective or condemned work, and pay for any resultant damages caused to the work of others.

13. If the Sub-Contractor has any disagreements or concerns about the monies deposited into his or her account, then he or she must contact the office within 1 business day. Acceptance of payment will be denoted if no contact is made within 1 business day of direct deposit.