Agency Contract Template for Alabama

Alabama Building Commission July 1, 2004
Page 1 of 2
SAMPLE
AGENCY AGREEMENT
AGREEMENT between
(hereinafter called the “Contractor”
and
(hereinafter called the “Owner”) entered into this day of 20 .
RECITALS
1. Contractor and Owner entered into a Construction Cont ract (hereinafter called
theContract) dated for performance of the work described
therein. A copy of said Contract is attached hereto as Exhibit A.
2. Pursuant to Specification Section , SALES AND USE TAX SAVINGS, of the
Contract, Contractor and Owner desire to enter into an agreement whereby certain
purchases under the Contract can be made through Owner as a means of taking
advantage of Owner’s status of being exempt from sales and use taxes.
AGREEMENT
1. Owner does hereby appoint Contractor as agent for Owner to purchase for, and
in the name of the Owner, all materials, supplies, equipment, and other items which
Contractor and its subcontractors require for performance of the Contract. The
purchase of any materials, supplies, equipment, or other items which are required
for the performance of the Contract are expressly made outside the authority granted
hereunder.
2. Owner will be liable for the payment of all purchases made hereunder.
3. Specification Section , SALES AND USE TAX SAVINGS, of the Contract is
incorporated by reference and made a part of this Agency Agreement establishing
general provisions, procedures, and forms that are applicable to the Contractor’s
performance hereunder.
4. As the Owner’s agent the Contractor will purchase materials, supplies,
equipment, and other items utilizing the specified purchase order forms. For items
so purchased, vendors will render statements and invoices to the Contractor as the
Owner’s agent. The Contractor will review a nd approve the invoices, as appropriate,
and forward the invoices to Owner for payment. By approving and forwarding such
invoices to the Owner for payment, the Contractor certifies the validity and accuracy
of the invoices and that, to the best of his knowledge, the items covered by the
invoices are of the quality and quantity specified in the Contract.
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