A general contractor agreement is, as the name implies, generally an agreement between the owner of real estate and a building contractor for services to manage the construction (and sometimes the design) of a residential or commercial building according to certain specifications or plans provided by the owner.

A general contractor agreement includes a description of the scope of the work to be performed; the materials to be used; the general contractor’s obligations to hire and manage subcontractors to construct the various components of the building; the payment terms for the construction of the building and the management of the construction; the time for completion of the work; insurance requirements; and the filing and removal of mechanic’s and materialmen’s liens (also known as construction liens or contractor liens) for labor and materials provided to improve the real estate.

In New Mexico, a general contractor agreement is a legally binding contract that outlines the responsibilities and expectations between a property owner and a general contractor for the construction or renovation of a property. This agreement typically includes detailed information about the project scope, materials to be used, the contractor's duty to hire and oversee subcontractors, payment schedules, deadlines for project completion, insurance obligations, and provisions related to mechanic's and materialmen's liens. New Mexico law requires that contractors be licensed, and the agreement should reflect compliance with state licensing requirements. The New Mexico Construction Industries Licensing Act governs the licensing of contractors and sets forth the standards for construction work in the state. Additionally, the New Mexico Mechanic's Lien Act provides the framework for the filing and enforcement of liens to ensure that contractors and suppliers are paid for their services and materials. It is important for both parties to clearly understand and agree upon the terms outlined in the contract to avoid disputes and ensure legal protections are in place.