Is the price increase for the general contractor after signing due to raw material shortages lawful?

  • Erstellt am 2021-05-10 11:57:01

SamSamSam

2021-05-10 11:57:01
  • #1
Hello, I recently had a brief phone call with the general contractor who plans to start with our single-family house in September. During the call, I was casually informed about the situation with the raw materials and was told that this could lead to a price adjustment if the situation has not settled by then. We signed the contract for a turnkey single-family house in mid-January at an agreed price. I have now reviewed this contract again but found no statements that legitimize this passing on of additional costs. At least, I find nothing about this in the contract. Under the section Remuneration, I only found the following passage: "The contract price is guaranteed to the contractor as a fixed price. Costs for house connections for gas, water, electricity, and sewage are not included in the fixed price. These will be borne by the client. This fixed price applies until handover, unless the construction work has not begun within 6 months from the date of signing the contract due to circumstances for which the contractor is not responsible. Additional costs due to special requests, official requirements, force majeure, or circumstances for which the client is responsible, as well as the conditions listed in § 3 (1), are not included in the fixed price." I must say that it is a small company. As a layperson, I cannot assess how much the 50% price increase for wood weighs on a solid wood house. This would probably mainly affect the roof truss here, but to what extent? :rolleyes:
 

hanghaus2000

2021-05-10 12:16:27
  • #2
If you are not responsible for the delay, then the contractor's claim is not covered by the contract. The [AGB's] can of course say something completely different.
 

SamSamSam

2021-05-10 12:21:45
  • #3
This passage just made me suspicious, do we already speak of force majeure under these circumstances? :D
 

hanghaus2000

2021-05-10 12:32:32
  • #4
That is definitely not an act of God. That is a business risk that the contractor must take into account in risk and reward. But that doesn't help if they become insolvent. If the contractor has not price-locked the roofer for your project, that is their problem. Otherwise, it is the carpenter's.

Your risk, as said, only if you are responsible for the delay. January - September is already quite long.

Was a start date contractually fixed?
 

Hausbauer2021

2021-05-10 12:40:35
  • #5
Our general contractor (also solid construction) informed us that there are currently about €5000 in additional costs due to the situation. So no panic, it will certainly remain affordable even if an adjustment should occur. Since you plan with a certain buffer when building a house, it should be manageable.
 

exto1791

2021-05-10 12:45:56
  • #6


Why does one accept these additional costs at all, or what right does the general contractor have to pass this price increase in the current market on to the builder? A fixed price is a fixed price... If nothing else regarding a price escalation clause or similar was contractually agreed upon, I would not pay a cent more.
 

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