Table of Contents

Sample Construction Subcontractor Agreement Template (Free Download)

Construction projects often involve multiple teams working under one main contractor. But without a clear subcontractor agreement in place, misunderstandings, payment disputes, and legal issues can easily arise.

That’s why we’ve prepared a Sample Construction Subcontractor Agreement Template—a practical, ready-to-use legal document designed to help you protect your work, define roles, and reduce risk. You’ll find a free downloadable version below, along with tips for customizing it to your project.

Who Should Use This Template + When to Use It

This template is ideal for:

Main contractors hiring subcontractors for specific works (e.g., electrical, plumbing, civil)
Construction managers managing multiple parties on-site
Subcontractors who want clarity on terms before accepting a job
Developers or consultants overseeing scope, schedule, and compliance

Common scenarios where this template is useful:

Residential or commercial building projects
Renovation or fit-out works
Government or infrastructure contracts
Maintenance and repair subcontracting

What’s Inside the Construction Subcontractor Agreement Template

This agreement template includes essential clauses you need to run a smooth and legally sound subcontracting relationship.

1. Scope of Work

Outlines what the subcontractor is responsible for. This can include:

Site activities
Materials and equipment
Quality standards

2. Timeline and Milestones

Sets deadlines and critical dates for:

Work commencement
Completion
Interim approvals or inspections

3. Payment Terms

Clarifies how and when payments will be made:

Lump sum or per milestone
Invoicing requirements
Retention amounts
Payment delays and penalties

4. Change Orders / Variations

Explains how additional or reduced work will be handled:

Approval process for variations
Documentation requirements
Pricing adjustments

5. Liability and Indemnity

Details who is responsible for what:

Site accidents
Damages caused
Third-party claims

6. Insurance Requirements

Outlines the insurance policies each party must hold:

Public liability
Workers’ compensation
Professional indemnity (if applicable)

7. Termination Clause

Describes conditions under which the agreement can end:

Breach of terms
Delays or non-performance
Mutual agreement

8. Governing Law and Dispute Resolution

Specifies which law applies and how disputes will be handled:

Local jurisdiction
Courts vs. arbitration
Mediation steps before legal action

Download the Template + Usage Notes

You can download the Sample Construction Subcontractor Agreement Template here:

📄 Download Word Version (.docx), Download PDF Version (.pdf)

This template is:

Fully editable
Available in English
Suitable for use in most common law countries (customize jurisdiction)

Legal Disclaimer

This template is for general informational purposes only and does not constitute legal advice. Always consult a qualified construction lawyer to tailor the agreement to your specific project and location.

How to Customize It + Optional Add-ons

You may need to tweak the document depending on:

The project size and duration
Local legal or permit requirements
Type of work being subcontracted

Tips for customization:

Adjust the scope of work to reflect specific trades or deliverables
Add a non-disclosure clause if sensitive information is shared
Include safety and compliance obligations if required by law or the main contractor
Consider adding a non-compete clause to prevent subcontractors from working with competitors on similar projects

When to escalate to a lawyer:

If the contract value is high
If the project spans multiple jurisdictions
If the subcontractor is providing design or engineering work

Final Thoughts + Call-to-Action

Having a proper subcontractor agreement is not just about avoiding legal risks—it’s about building trust and professionalism into your project from day one. With this template, you have a clear starting point to formalize your relationships and protect your work.

Need help adapting this template to your specific situation? Book a consultation with our construction law team or explore our other contract templates for developers, consultants, and service providers.