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Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado)

Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado)

CONTRATO DE OBRA A PRECIO ALZADO

Conforme a los Artículos 2616 y 2629 del Código Civil Federal

I. PARTES

En [Execution City], a [Execution Date].

DUEÑO DE LA OBRA:

[Owner Name], RFC: [Owner RFC], con domicilio en [Owner Address].

CONTRATISTA:

[Contractor Name], RFC: [Contractor RFC], con domicilio en [Contractor Address], representado por [Contractor Representative].

II. OBJETO DEL CONTRATO

2.1 Descripción de la obra: [Project Description]

2.2 Domicilio de la obra: [Project Address]

2.3 Planos y especificaciones (Anexo A): [Plans Reference]

2.4 Director Responsable de Obra: [DRO Name]

2.5 Licencia de construcción: [Building Permit]

III. PRECIO GLOBAL ALZADO FIJO (ARTÍCULO 2629 CCF)

3.1 Precio global alzado fijo: [Fixed Price]

3.2 Tratamiento IVA: [IVA Treatment]

3.3 El precio global alzado comprende la totalidad de los trabajos descritos en el Anexo A. Conforme al Artículo 2629 CCF, el CONTRATISTA no podrá solicitar incremento alguno al precio fijo por aumentos en el costo de materiales, mano de obra o equipo ocurridos durante la ejecución de los trabajos dentro del alcance original.

IV. ANTICIPO Y PROGRAMA DE PAGOS

4.1 Anticipo: [Anticipo Amount]

4.2 Programa de pagos por avance de obra:

[Payment Milestones]

4.3 Cada pago será soportado por el CFDI correspondiente expedido por el CONTRATISTA conforme al Artículo 29-A del Código Fiscal de la Federación.

V. PLAZO Y PENA CONVENCIONAL

5.1 Inicio: [Start Date]

5.2 Terminación contractual: [Completion Date]

5.3 Pena convencional por mora: [Liquidated Damages]

VI. CAMBIOS AL ALCANCE (ÓRDENES DE CAMBIO)

[Change Order Procedure]

VII. GARANTÍAS Y ENTREGA

7.1 La entrega formal se realizará mediante Acta de Entrega y Recepción firmada por ambas partes y el DRO (Artículo 2635 CCF).

7.2 [Warranty Terms]

VIII. FIRMAS

DUEÑO DE LA OBRA:

[Owner Name] — RFC: [Owner RFC]

Firma: _________________________

CONTRATISTA:

[Contractor Name] — RFC: [Contractor RFC]

Representante: [Contractor Representative]

Firma: _________________________

DIRECTOR RESPONSABLE DE OBRA (DRO):

[DRO Name]

Firma: _________________________

Property Owner (Dueño de la Obra)

________________

Signature

Contractor (Contratista)

________________

Signature

Director Responsable de Obra (DRO)

________________

Signature

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What Is a Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado)?

A Lump-Sum Construction Contract Mexico (Contrato de Obra a Precio Alzado) is a written agreement under which a contractor (contratista or empresario) commits to executing a fully described construction work for a single fixed price (precio global alzado) — regardless of the actual cost of materials, labour, equipment, or time required to complete the work. The Contrato a Precio Alzado is regulated by the Código Civil Federal (CCF) Article 2616, which establishes the contrato de obra as the foundational private construction contract in Mexico, and Article 2629 CCF, which provides the specific rules for the precio alzado modality: once the total price is agreed and the plans and specifications are fixed, neither party may unilaterally demand a price adjustment for cost increases — the contractor bears all cost-overrun risk, while the owner is protected against budget uncertainty.

The precio alzado structure under CCF Article 2629 means that if the cost of cement, steel, labour, or equipment rises between contract signature and project completion, the contractor cannot seek additional payment from the owner on account of those market price increases. Conversely, if the contractor completes the work more efficiently than estimated — through better purchasing, productivity, or value engineering — the contractor retains the cost saving as additional profit above the fixed contract margin. This risk allocation makes the precio alzado contract the strongly preferred modality for owners who need construction budget certainty — residential owners, retail developers, and institutional investors commissioning standard construction works with well-defined specifications.

Article 2629 CCF establishes the one critical exception to the fixed-price rule: if the owner orders changes, additions, or modifications to the agreed plans and specifications (planos y especificaciones), the contractor is entitled to additional payment for the extra work (trabajos adicionales) beyond the original scope. The contrato de obra a precio alzado must therefore include a rigorous change order procedure (procedimiento de órdenes de cambio) requiring written approval (visto bueno escrito) from the owner before the contractor executes any work outside the original scope — without this procedure, contractors sometimes execute unrequested extras and then seek payment, creating disputes about whether the owner actually authorised the additional work.

The Suprema Corte de Justicia de la Nación (SCJN) has issued multiple tesis jurisprudenciales confirming that in precio alzado contracts, the contractor is bound by the fixed price and cannot invoke extraordinary cost increases as grounds for price adjustment unless the owner is in breach — specifically, delay in access to the construction site or failure to obtain municipal permits on time may give the contractor grounds for price adjustment under CCF Article 1949 general breach principles, but not mere market cost volatility. The Cámara Mexicana de la Industria de la Construcción (CMIC) standard precio alzado contract forms include a cost-escalation clause (cláusula de ajuste de costos) for contracts exceeding 12 months in duration — a provision that modifies the strict precio alzado rule and requires explicit negotiation between parties.

For residential construction in Mexico City, the Reglamento de Construcciones para el Distrito Federal (RCDF) published in the Gaceta Oficial de la Ciudad de México requires that the Contrato de Obra identify the Director Responsable de Obra (DRO) — the licensed engineer or architect registered with SEDUVI who assumes professional regulatory responsibility for the project. The DRO's involvement does not change the precio alzado pricing structure between owner and contractor but adds a professional liability layer governed by the applicable Ley Reglamentaria del Artículo 5 Constitucional and state professional exercise codes.

When Do You Need a Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado)?

A Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado) is needed when a property owner or developer wants absolute budget certainty for a construction project and is willing to commission a contractor who will absorb all cost-overrun risk in exchange for a premium fixed price, under the legal framework of Código Civil Federal Article 2616 and Article 2629.

The contract is needed for residential construction — when a family or individual commissions a constructor to build their home to a defined set of architectural plans (planos arquitectónicos) and technical specifications. The precio alzado modality eliminates the owner's exposure to cost increases in materials like varilla (steel rebar), cemento (Portland cement), or block/brick masonry during the construction period. Mexican residential owners without construction expertise strongly prefer precio alzado contracts because they convert an open-ended cost-plus exposure into a fixed liability.

The document is required for commercial tenant fit-out projects — when a landlord or commercial tenant hires a contractor to execute a retail or office fit-out to defined specifications within a fixed budget and timeline. Precio alzado fits this context perfectly because the scope is defined in shop drawings and finish specifications, and the tenant needs budget certainty for business planning purposes.

A Contrato a Precio Alzado is needed when construction financing is being arranged — mortgage lenders (INFONAVIT, FOVISSSTE, commercial banks) require a signed precio alzado contract as evidence of the total construction cost for loan sizing. The fixed contract price provides the bank with a defined maximum disbursement obligation and reduces the bank's risk of construction cost overruns consuming more than the appraised property value.

The contract is needed for turnkey construction projects — where the owner commissions the contractor to deliver a complete, finished, and fully operational facility (entrega llave en mano) at a fixed price. The turnkey precio alzado structure requires that the specifications be extremely detailed at contract signature, since the contractor bears all cost risk for anything within the defined scope.

Under CCF art. 2616 and art. 2629, any construction owner who specifies a fixed budget for a well-defined project should use a precio alzado contract — the alternative precios unitarios modality leaves the owner exposed to quantity variations and total cost uncertainty, making precio alzado the preferred choice when plans and specifications are complete before construction begins.

What to Include in Your Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado)

A valid Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado) under the Código Civil Federal Articles 2616 and 2629 must contain the following essential elements to be enforceable before the Juzgados Civiles and the Centro de Arbitraje de México (CAM):

Fixed Price Statement: The single global fixed price (precio global alzado fijo) expressed in Mexican pesos (MXN), explicitly stated as IVA-included or IVA-excluded, with the applicable 16% IVA amount separately identified for CFDI (Comprobante Fiscal Digital por Internet) purposes under the Código Fiscal de la Federación. The price must be stated as the complete consideration for all work described in the attached plans and specifications — with a clear declaration that no additional amounts will be due for cost increases in materials, labour, or equipment within the original scope.

Complete Plans and Specifications as Contract Annexes: The architectural plans (planos arquitectónicos), structural plans (planos estructurales), installation plans (instalaciones hidrosanitarias, eléctricas, and special systems), and technical specifications (especificaciones técnicas) must be listed and incorporated by reference as binding annexes (anexos). The RCDF and state building codes require these documents to be reviewed and signed by the Director Responsable de Obra (DRO). The completeness of the plans is critical — incomplete plans at contract signature almost always lead to scope disputes under CCF Article 2629.

Change Order Procedure: A written change order procedure (procedimiento de cambios al alcance) is essential in precio alzado contracts. Any modification to the plans or specifications requested by the owner must be submitted in a written Orden de Cambio, priced by the contractor within [5] business days (días hábiles), and approved in writing by the owner before execution. Unauthorised extra work does not generate entitlement to additional payment under CCF Article 2629 — the change order clause protects both parties from scope-creep disputes.

Payment Schedule and Anticipo: The payment schedule (programa de pagos) with defined milestone events triggering each payment installment — typically expressed as percentages of the fixed price tied to construction stages: foundation (cimentación), structure (estructura), enclosure (albañilería), installations (instalaciones), and finishes (acabados). The anticipo (mobilisation advance) amount, amortisation schedule across progress payments, and the fianza de anticipo (anticipo surety bond) required from the contractor under Comisión Nacional de Seguros y Fianzas (CNSF) regulations.

Construction Timeline and Liquidated Damages: The commencement date (fecha de inicio de obra) and contractual completion date (fecha de terminación), plus a pena convencional clause under CCF Article 2117 specifying the daily amount of liquidated damages for unexcused delay — typically 0.1–0.5% of the fixed contract price per calendar day of delay, capped at 10% of the total fixed price.

Director Responsable de Obra: Identification of the DRO by full name, professional cédula number, and Colegio de Ingenieros Civiles de México (CICM) or Federación de Colegios de Arquitectos de la República Mexicana (FCARM) registration, with specification of the DRO's responsibilities and the licencia de construcción number to be obtained.

Warranty Period: The contractor's warranty for hidden defects (vicios ocultos) per CCF Article 2637 — minimum one year from the Acta de Entrega y Recepción, extendable by agreement. The ten-year structural collapse liability under CCF Article 2645 is statutory and cannot be waived. The contrato should require a fianza de vicios ocultos (defects liability bond) from a CNSF-authorised afianzadora covering the warranty period.

Force Majeure and Suspension: The events constituting fuerza mayor (earthquakes, government-mandated suspensions, CENAPRED-declared disasters) that excuse delay and the notification obligation (typically within 5 business days of the force majeure event commencing) to preserve the contractor's right to time extension without liquidated damages.

Dispute Resolution: Designation of the Centro de Arbitraje de México (CAM) arbitration or CMIC conciliation for construction disputes, with the seat of arbitration (sede del arbitraje), number of arbitrators (uno or three), and applicable procedural rules (Reglamento de Arbitraje del CAM), as an alternative to civil litigation before the Juzgados Civiles.

Forms-legal.com provides this Lump-Sum Construction Contract Mexico template as a practical starting point. Precio alzado contracts for projects above $1,000,000 MXN in value require detailed specifications before signature and should be reviewed by a Licenciado en Derecho with expertise in contratos de obras and by a licensed civil engineer or architect for technical specification adequacy.

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@misc{formslegal-lump-sum-construction-contract-mexico,
  author       = {{Forms Legal}},
  title        = {Lump-Sum Construction Contract Mexico (Contrato a Precio Alzado) (Mexico)},
  year         = {2026},
  howpublished = {\url{https://forms-legal.com/mexico/business/construction/lump-sum-construction-contract-mexico}},
  note         = {Free legal document template}
}

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