Hello everyone. Time to tap into the collected wisdom here.
We are a smallish custom GC. We are in the process of figuring out how to convert from a T and M contract to a fixed fee contract on a 300k job that is currently on hold at about 50% complete. The back story would read like a JLC titled “How to Ignore Warning Signs and Shoot Yourself in the Foot”. Suffice to say that success on this job will be defined by not ending up in court. I won’t bore you with the details (and don’t need anymore scolding than we’ve already delivered to ourselves).
We have created detailed scope of work for everything that remains to be completed and delivered a proposal with our price to complete the job. Our fixed fee price guarantees a minuscule or non existent profit margin and includes some hefty discounts that will be applied at the end of the job (long story that includes some drastically blown estimating on our part).
If our proposal is accepted, we will need to present a new (or modified) contract and want to be sure that we have protected ourselves well. We have a pending consultation with our busy attorney but I wanted to see if anyone here has ever been in this situation or has any advice.