This Checklist is for use when drafting a sub-contract agreement for a main contractor, or prime contractor, using a sub-contractor to perform certain obligations under the main or prime contract. It is suitable for use when drafting a sub-contract for a commercial transaction for the supply of goods and services, or other generic commercial activities, but is not suitable for a construction sub-contract or for sub-contracting consultancy services.
For an example agreement suitable for use as a sub-contract for a commercial transaction for the supply of goods and services, or other generic commercial activities, see Precedent: Sub-contract agreement.
For a more detailed examination of the legal and practical matters when entering into a subcontract or when granting permission to subcontract, see Practice Note: Subcontracting.
Initial matters
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Check that the parties named in the contract are correct. If there is more than one company in a corporate group, check that the company entering into the contract is the appropriate group entity
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Check whether sub-contracting under the main contract is permissible, or whether any consents are required
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Consider whether due diligence
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