Guaranteed Maximum Price (GMP) السعر الأقصى المضمون
Definition
A contractual ceiling the cost may not exceed in cost-plus contracts; anything above it is borne by the contractor however high the cost rises.
Example
A ceiling of SAR 9.5 million was agreed with the saving below it shared.
Where it is used
Capping the owner’s risk in open cost contracts.
Related terms
From the term to the work
Etimadco turns these concepts into daily working tools for your projects.
Start free