The Development Fee Agreement serves as a crucial document in property development projects, establishing clear terms for professional services and compensation. This agreement, governed by English and Welsh law, is essential when engaging developers or development consultants for projects ranging from residential to commercial developments. The document typically includes detailed fee structures, payment terms, scope of services, and project milestones. It provides legal protection for both parties while ensuring clarity on deliverables and compensation arrangements. The Development Fee Agreement is particularly important in complex development projects where clear financial terms and service scope definition are essential.
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1. Parties: Identification and details of all contracting parties
2. Background: Context and purpose of the development fee arrangement
3. Definitions: Key terms used throughout the agreement
4. Scope of Services: Detailed description of development services to be provided
5. Fee Structure: Development fee calculation, payment terms and schedule
6. Payment Terms: Timing, method and conditions for payment
7. Term and Termination: Duration of agreement and termination provisions
1. Performance Metrics: Specific targets and KPIs for performance-based fee arrangements
2. Project Milestones: Key development stages and associated deliverables for phased developments
3. Third Party Rights: Rights of external stakeholders when other parties have interest in development
1. Schedule 1 - Services Description: Detailed scope of development services
2. Schedule 2 - Fee Calculation: Detailed breakdown of fee structure and calculations
3. Schedule 3 - Project Timeline: Development milestones and deadlines
4. Appendix A - Development Plans: Technical drawings and specifications
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