Fixed-price contract


Also found in: Acronyms.

Fixed-price contract

A contract in which the work will be carried out for a fixed lump sum without rise and fall cost adjustments, usually used for newer and short-duration projects.
Illustrated Dictionary of Architecture Copyright © 2012, 2002, 1998 by The McGraw-Hill Companies, Inc. All rights reserved

fixed-price contract

A construction contract between an owner and a contractor in which the parties agree to carry out the terms of the contract for a specified price; does not customarily include the compensation paid to the architect and consultants, or the cost of the land.
McGraw-Hill Dictionary of Architecture and Construction. Copyright © 2003 by McGraw-Hill Companies, Inc.
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References in periodicals archive ?
The statement of work in a cost-reimbursement contract is generally broader or more ambiguous than that of a fixed-price contract. This situation often leads to the accomplishment of work that is within the general scope of the contract but that is not contemplated in the contractor's proposal.
Do you recognize the differences among types of government contracts?
Most remodelers working with fixed-price contracts pay attention to costs just long enough to price and sell the job.
"The real value of cost-plus: fixed-price contracts give remodelers an excuse to ignore job costing. That's a mistake that could really cost you
The spokesman said the stadium contract was the most damaging of a number of fixed-price contracts signed in the 1990s by a variety of companies when competition for high-profile projects was intense and buyers were able to dictate terms.
Laing unloads its construction arm for just pounds 1; STADIUM: Fixed-price contract 'a disaster for company'
Fixed-price contracts also make customers more comfortable.
Pricing practices
Although a fixed-price contract guarantees the government only what it actually bargained for, government buyers always want more.
The budget crunch, fixed price contracts, and lessons of the past
Comment: Many government contractors have claimed research credits under the type of fixed-price contract involved in Fairchild, based on analysis similar to that propounded by the taxpayer.
IRS positions threaten RTC under fixed-price contracts
I am not willing to pay a large premium for a guaranteed fixed-price contract if the risk analysis reflects that there is a big risk because we don't know what's there."
Fixed-Price contracts can slash cleanup costs: Under this arrangement, companies would 'guarantee' the remediation work. (Industry Analysis)

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