Construction Contract Formation and Administration

Name: Construction Contract Formation and Administration
Rating: 4.5 (13 reviews)

Learn how to form, administer and manage construction contracts

Created byTim Fairley

Last updated 2/2026

English

English [Auto],

What you'll learn

How to review and administer construction contracts
The contents and structure of construction contracts
Construction contract administration
The basic steps to review a contract

Course content

3 sections • 15 lectures • 2h 17m total length

Introduction to Contract Administration6:01
Improve project profitability by 10-15% through effective contract administration by reading contracts, setting up systems, and following rules to manage changes, variations, and change orders.
The Structure of Construction Contracts6:55
Identify the three contract chunks, the general conditions, special conditions, and supporting documents, and understand the order of precedence that governs obligations, entitlements, and administration.
Key Clauses: Scope, Risk, and Time18:42
Define scope via the contract attachments, including scope of works, drawings, specifications, and schedules, and manage risk, time, and payments to minimize disputes and drive timely completion.
Project Setup and Systems15:44
Set up contract administration and construction management early to influence outcomes, establish simple templates and registers (RFI, variation, payment, quality), and link progress to payment for a smooth project start.
Managing Variations and Claims (Execution Phase)13:02
Master contract execution by documenting directions, maintaining the construction program, and submitting payment claims; manage variations and claims to protect time, cost, and margin.
Effective Project Closeout6:22
Learn how to close out a construction project by proving all works are complete, addressing major and minor defects, conducting formal handovers, and managing the requirements register for practical completion.

The Impact of Contract Terms on Profit4:09
Contextual contract reviews protect cash flow and profit by avoiding long payment terms, unclear scope, and risky liabilities; roles as subcontractor or general contractor shape risk and extensions of time.
Standard Terms Checklist11:02
Develop and apply a standard set of construction contract terms, then perform a project-specific review of scope, schedule, and payment to ensure cash flow and balanced risk.
Project Specific Review (Scope & Program)4:31
Develop a detailed project scope and clear program, defining inclusions, exclusions, drawings, and precedence, to prevent missed scope and enable timely extensions and claims.
Cash Flow Modelling & Departures3:40

The Cash Flow Trap (Case Study)9:19
Explore the cash flow trap in construction by analyzing payment terms, payment claims, bank guarantees, and retention, and learn practical strategies to secure cash before expenses and protect profits.
Payment Mechanisms and Security17:21
Understand contract value, pricing schedules, and payment mechanisms that govern when and how contractors are paid. Explore security, retention, and claims processes to manage cash flow and risk.
The Payment Claim Process6:37
Learn how to prepare monthly payment claims, substantiate work completed with documentation, and navigate assessment, variations, and a payment certificate to determine the amount due and get paid.
Security of Payment Legislation7:16
Explore security of payment legislation, including payment claims and a payment schedule, rapid adjudication, and the right to suspend work, with law overriding contract terms.
7 Practical Strategies for Better Cash Flow6:20
Master the payment claim process and strategic pricing to improve cash flow by billing early and often. Front-load pricing, accelerate claims, and align subcontracts for steady progress claims.

Requirements

A basic understanding of the construction industry

Description

Master Construction Contract Administration

Most contractors sign contracts they haven't fully read — then spend the rest of the project paying for it.

This course teaches you how to review, negotiate, and administer construction contracts so you protect your margins and get paid on time.

Whether you're a project manager, contract administrator, or contractor running your own jobs — contract admin is the skill that separates profitable projects from expensive lessons.

This course is:

Proven – Thousands of students with 94% reporting improved confidence or job performance
Practical – Built by real construction professionals, for use on real projects
Efficient – Learn the essentials fast without unnecessary fluff
Resource-Rich – Includes editable templates, checklists, and tools you can use immediately

We actively respond to questions and continually improve our content based on student feedback.

What You'll Learn:

Why contract administration matters — and why ignoring it costs more than any construction defect
How to read and review a construction contract without a law degree
The key terms and conditions that actually affect your bottom line
How to negotiate contract terms without losing the job
Turning a contract into a to-do list — the system that makes compliance automatic
The tools and templates you need to manage notices, variations, and claims
Payment: how construction payment works, common traps, and how to maximise cash flow
Payment terms, notice requirements, and the deadlines that cost contractors the most money

Who this course is for:

Construction project engineers
Construction managers
Project managers

Construction Contract Formation and Administration

What you'll learn

Explore related topics

Course content

Introduction6 lectures • 1hr 7min

How To Review A Construction Contract4 lectures • 23min

Payment in Construction5 lectures • 47min

Requirements

Description

Who this course is for: