GENERAL CONDITIONS FOR OWNER , ARCHITECT AND THE CONTRACTOR

GENERAL CONDITIONS

 

SECTION  I   :    DEFINITIONS AND DOCUMENTS

ARTICLE  1 :     DEFINITIONS

1.01          CONTRACT DOCUMENTS. The Contract Documents include all additions, deletions and modification incorporated therein before the execution of the Contract:

¨      Agreement

¨      General Conditions

¨      Special Provisions

¨      Specifications

¨      Drawings

1.02                   OWNER: The person or entity, including his/its duly appointed successors or authorized representatives, who orders the implementation of a project

1.03                   ARCHITECT: refers to the Architect commissioned by the Owner

1.04                   ENGINEER: The person so named in the Contract Documents or his representative duly authorized in writing to act for the Engineer.

1.05                   PROJECT REPRESENTATIVE: The Full-time Construction Inspector hired and duly authorized in writing by the Owner to assist the Architect and the Engineer in the supervision of the work.

1.06                   CONTRACTOR: The person, firm or corporation whose proposal has been accepted and to whom the Contract has been awarded.

1.07                   SUB-CONTRACTOR: Anyone having a direct Contract with the Contractor and who acts for or in behalf of the Contractor in executing any part of the Contract. It does not include one who merely furnishes materials without labor.

1.08                   SURETY is the person, firm or corporation who provides the guarantee for the Contractor’s Bonds.

1.09                   PROPOSAL: The offer of a Bidder to perform the work as described by the Contract Documents. This Bid is made out and submitted on the prescribed Proposal Form, properly signed and guaranteed.

1.10          PROPOSAL BOND: The cashier’s check or surety bond accompanying the Proposal submitted by the Bidder  as a guarantee that the Bidder will enter into a Contract with the Owner for the construction of the work, if and when the Contract is awarded to him

1.11          PERFORMANCE BOND is the approved form of security furnished by the Contractor and his Surety as a guarantee of good faith on the part of the Contractor to execute the work in accordance with the terms and conditions of the Contract.

1.12          PAYMENT BOND is the approved form of security furnished by the Contractor and his Surety as a guarantee of good faith on the part of the Contractor to pay all obligations arising from the Contract.

1.13          GUARANTEED BOND is the approved form of security furnished by the Contractor and is Surety as a guarantee to the quality of the materials and equipment installed and the workmanship performed by the Contractor.

1.14          AGREEMENT is the contract between the Owner and the Contractor undertaking the project as described in the Contract Documents, including all supplemental agreements thereto and all general and special provisions pertaining to the work or materials therefor.

1.15          ADVERTISEMENT or INVITATION TO BID: The notices published or the invitations issued by the Owner to perspective bidders, which offer information as to the nature of the proposed project, the conditions for the issuance of contract documents, the date of bidding, and the estimated cost or information that would give the Contractor a general idea of the magnitude and extent of the project.

1.16          BID BULLETIN is any additional information on Contract Documents that is issued to bidders before the date of bidding.

1.17          INSTRUCTIONS TO BIDDERS: The list of instructions stipulating the manner on how bids are to be prepared and conditions for the award of contract.

1.18          DRAWINGS are graphical presentations of the work involved in the project.  These include all supplementary details and ship drawings.

1.19          GENERAL CONDITIONS are printed documents stipulating the procedures and the administrative aspects of the contract.

1.20          SPECIAL PROVISIONS are instructions, which may be issued prior to the bidding to supplement and/or modify Drawings, Specifications, and/or General Conditions of the Contract.

1.21          SPECIFICATIONS are written or printed description of work to be done, describing qualities of material and mode of construction.

1.22          SUPPLEMENTARY SPECIFICATIONS are additional information, which may be issued as an addition or amendment to the provisions of the Specifications.

1.23          SCHEDULE OF MATERIALS AND FINISHES is an outline specification enumerating the type or trade names of materials to be used.

1.24          BREAKDOWN OF WORK AND CORRESPONDING VALUE is an itemized listing of the different scope of the work, indicating in each part of the work the corresponding value in materials and labor, including an allowance for profit and overhead.

1.25                   WRITTEN NOTICE: Written notice means any information, advice or notification pertinent to the project, which may be delivered in person or sent by registered mail to the individual, firm or corporation

1.26          ACT OF GOD OR FORCE MAJEURE includes earthquakes, floods, typhoons, cyclones & other cataclysmic phenomena of nature and all misfortunes and accidents, which human prudence could not foresee or prevent.  Rain, wind, flood or other natural phenomenon of inconsequential degree for the locality shall not be construed as an “Act of God” or “Force Majeure” and no reparation shall be made to the Contractor for the damages to the work resulting thereof.

1.26                   TIME LIMIT.  Time Limit is the duration of time for the completion of the project as stipulated in the Contract.

1.28          LOCAL LAWS applies to all laws, ordinances and other governmental regulations applicable to the project and its undertaking.

1.29          WORK: The term “work” of the Client or Sub-Contractor includes labor or materials or both, as well as equipment, transportation, or other facilities, necessary to commence and complete the construction called for in the Contract.

1.30          FURNISH: The term “furnish” shall be understood to mean purchase and/or fabricate and deliver to the job site or other location  so designated.

1.31          INSTALL: The term “install” shall mean to build in, mount in positions, connect or apply any object specified ready for the intended use.

1.32          PROVIDE: The term “provide” shall be understood to mean furnish and install

1.33          REQUIRED OR NECESSARY: The terms “required or necessary” shall mean as required or necessary for the complete execution of that portion of the work.

1.34          APPROVED, DIRECTED AND ACCEPTABLE: The words “approved”, “directed” and “acceptable” shall mean approved, directed by or acceptable to the Architect, unless otherwise stipulated in the Contract.

1.35          SINGULAR OR PLURAL: In all cases where a device, item or part of equipment is referred to in the singular number, it is intended that such reference shall apply to as many such devices, items or parts as are required to complete the work.

ARTICLE 2 :  EXECUTION, CORRELATION AND INTENT OF DOCUMENTS

2.01          SIGNATURE ON DOCUMENTS: The Contract Documents shall be signed in five (5) copies by the Owner and the Contractor and  duly signed by witnesses.

2.02          INTENT OF CONTRACT DOCUMENTS: The Contract Documents are complementary; that is, what is called for by any one shall be as binding as if called for by all.  The intent of the Drawings and the Specifications is to prescribe the complete work to be undertaken to comply with the Contract.  The intention is to include all labor, materials, equipment and transportation necessary for the proper execution of the work.

2.03          CONFORMITY TO THE CONTRACT DOCUMENTS: All work shall conform to the Contract Documents.

2.04          CONTRACTOR DOCUMENTS AT SITE OF WORK. The Contractor shall keep, at the site of work, one good copy of all Drawings, Specifications, Breakdown of Work, and Schedule of Construction Work, including all instructions and graphs available to the Architect and his representatives.

2.05          OWNERSHIP OF CONTRACT DOCUMENTS AND MODELS. The Drawings, Specifications and Models, including all additional instructions, and copies thereof, furnished for this work by the Architect are the properties of the Architect.  They are not to be used on any other work and, with the exception of the signed contract set, are to be returned to the Architect at the completion of the work, before Final Payment to the Contractor is made.

ARTICLE  3 :     DRAWINGS AND SPECIFICATIONS

3.01          COPIES OF DRAWINGS AND SPECIFICATIONS: The Owner shall furnish the Contractor, free of charge, three sets of Drawings and Specifications.  Extra copies of Drawings and Specifications as required by the Contractor will be furnished to him at the cost of reproduction.

3.02          COORDINATION OF DRAWINGS AND SPECIFICATIONS: All Drawings and Models are intended to cooperate with the Specifications, to form a part thereof, and also to form a part of the Contract Documents.  Where figures are given, they are to be followed in preference to measurements by scale.  Anything shown on the Drawings, but not mentioned in the Specifications, or vice versa, or anything not expressly set forth in either, but which is reasonably implied, shall be furnished as though specifically shown and mentioned in both, without any extra charge.

3.03          CLARIFICATION OF MEANING OF DRAWINGS AND SPECIFICATIONS: The Architect shall give all directions and explanations necessary and proper to make more definite and certain any requirement of the Drawings (including notes thereon) or any provision of the Specifications. The Contractor shall carefully examine, compare and verify the data furnished by the Drawings and Specifications.  Any doubt as to the meaning of the Drawings (including notes thereon) or of the Specifications or any obscurity as to the wording of the Specifications will be referred to the Architect for explanation.

3.03.a       Should a conflict occur between Drawings, or a conflict between specifications and Drawings, the Contractor shall be deemed to have estimated a more expensive way of doing work unless he shall have asked for and obtained a decision, in writing from the Architect before submission of proposals as to which method or materials will be required.  If, after award, the less expensive work is done, the Contractor shall credit the Owner an amount equivalent to the difference between the more expensive and the less expensive work.

3.03.b       If, in the Contractor’s opinion, any work indicated on the Drawings, or  specified in such a manner that it will be impossible to produce a first-class work, he shall refer this matter to the Architect for interpretation before proceeding with work.  If the Contractor fails to make such reference, no excuse will thereafter be entertained for failure to carry out work in the most satisfactory manner.

3.04          DISCREPANCIES AND  VARIANCE : In case of discrepancy in the figures or drawings, the matter shall be submitted immediately to the Architect, before any adjustment shall be made by the Contractor, save only at the latter’s own risk and expense.  The decision of the Architect on the adjustment of discrepancies so as to conform to the real intent of the drawings and specifications shall govern and shall be followed by the Contractor.

3.04.a       If there is a variance between the Drawings and the Specifications, the provisions of the specifications shall control.  In case of conflict between the General Conditions of the Contract or any modification thereof and the detailed specifications requirements shall control.

3.04.b       Any discrepancy found between the Drawings or Specifications and site conditions or any error or omission in the Drawings or Specifications shall be immediately reported to the Architect or Engineer, who shall promptly correct such discrepancy, error, or omission after his investigation.  Any work or correction involving such discrepancy shall be done at the Contractor’s risk.

3.05          ADEQUACY  OF  THE  DESIGN : The Owner shall bear the responsibility for the adequacy of the design and for the sufficiency of the Drawings and Specifications. The Owner, through the Architect or Engineer,  or the Architect or Engineer, acting as representative of the Owner, shall supply the Drawings and Specifications,  which shall set forth the complete requirements or the work to be performed under the Contract.  The Drawings and Specifications furnished shall be in accordance with the Contract Documents and shall be a true and accurate development thereof.

ARTICLE  4 :     DETAIL DRAWINGS AND INSTRUCTIONS

4.01                   SUPPLEMENTARY DRAWINGS AND INSTRUCTIONS: Additional detail drawings and instructions essential to the proper interpretation of the Drawings and the proper execution of the work will further supplement these Drawings and Specifications.  The Architect shall furnish with reasonable promptness such additional detail drawings and instructions.  All such detail drawings and instructions shall be consistent with the Contract Documents, true developments thereof, and reasonably inferable therefrom and are to be considered of equal force as those which originally accompanied the specifications.  The work shall be executed in conformity with such detail drawings and instructions, and the Contractor shall do no work without proper drawings and instructions.

4.02                   SCHEDULE FOR SUBMISSION OF DETAIL AND SHOP DRAWINGS: The Contractor and the Architect or Engineer, if either one so requests, shall jointly prepare a work schedule, which shall be  subject to change from time to time in accordance with the progress of the work, fixing the dates at which the various detail drawings will be required. The Architect shall furnish them with the required detail drawings in accordance with the schedule.  Under like conditions, a schedule shall be prepared, fixing the dates for submission of the shop drawings, for the beginning of manufacture, for installation of materials and for the completion of the various parts of the work.

ARTICLE  5: SHOP DRAWINGS

5.01          CONDITIONS IN THE PREPARATION OF SHOP DRAWINGS: The Contractor shall prepare, at his own expense, two copies of all shop or setting drawings, templates, patterns and models, as well as the schedule required for the work of the various trades. These shall be submitted with such promptness to avoid delay in his own work or in that of any other contractor doing work on the same building. The Architect shall review them with reasonable promptness, making desired corrections.  The Contractor shall apply the corrections made by the Architect, file with him two corrected copies and furnish such other copies as may be needed.

5.02          CHECKING DRAWINGS OF SUB-CONTRACTORS: Before submitting shop drawings for approval, the Contractor shall check drawings of all sub-contractors for accuracy.  He shall see that all work contiguous with and having bearing on work indicated on shop drawings is accurately and distinctly illustrated and that work is in conformity with Contract requirements.

5.03          IDENTIFICATION: Shop drawings shall be numbered consecutively and represent:

5.03.a       All working and erection dimensions.

5.03.b       Arrangements and sectional views.

5.03.c       Necessary details, including complete information for making connections with other work.

5.03.d      Kinds of materials and finishes.

                 Shop drawings shall be dated and contain (a) name of project, (b) descriptive names of equipment, materials, and classified item numbers, (c) location at which materials or equipment are to be installed in Work.

5.04          LETTER OF TRANSMITTAL: Upon submission, a letter of transmittal in duplicate shall accompany the shop drawings, which contain the name of project,  Contractor’s name, number of drawings, titles, and other pertinent data.

5.05          CORRECTIONS, CHANGES AND VARIATIONS: The Contractor shall submit three sets of prints of shop drawings to the Architect  for approval.  Satisfactory shop drawings will be so identified by the Architect, dated, and one copy thereof returned to the Contractor.  Should shop drawings be disapproved by the Architect, one set of such shop drawings will be returned to the Contractor with necessary corrections and changes to be made as indicated.

5.05.a       The Contractor shall make the required corrections and changes and re-submit shop drawings in duplicate until the Architect’s approval is obtained.

5.05.b       Upon receipt of approval, the Contractor shall insert date of approval on tracings and promptly furnish the Architect with three additional prints of approved drawings.

5.05.c       No work called for by shop drawings shall be executed until the Architect’s approval is given.

5.05.d      If shop drawings show variations from Contract requirements because of standard shop practices or other reasons, the Contractor shall make specific mention of such variations in his letter of submittal.

5.06          RESPONSIBILITY FOR ACCURACY: Approval of shop drawings will be general.  It shall not relieve the Contractor of responsibility for accuracy of such shop drawings, nor for proper fitting and construction of work, nor for furnishing of materials, nor for work required by the Contract, but not indicated on shop drawings.  The Architect’s approval of such drawings or schedule shall not relieve the Contractor  from responsibility for deviations from drawings or specifications, unless he has called the Architect’s attention, in writing,  to such deviations at the time of submission and secure his written approval, nor shall it relieve him from responsibility for errors of any sort in shop drawings or schedules.

SECTION II   :    LAWS, REGULATIONS, SITE CONDITIONS, PERMITS AND TAXES

ARTICLE  6:            LAWS, REGULATIONS AND SITE CONDITIONS

6.01          LAWS AND REGULATIONS: In general, the Contractor shall comply with all the laws, city and municipal ordinances, and all building codes, standards, rules and regulations, in so far as they are binding  or affecting the parties hereto, the work, or those engaged thereon.  He shall also comply with regulations of firms furnishing utilities such as water, gas, telephone and electricity for the project.

                 If the Contractor performs any work contrary to such laws, ordinances, building codes, standards, rules and regulations without such notice to the Architect, he shall bear all the costs arising therefrom.

6.02          SITE CONDITIONS: Before the bidding and the awarding of the contract, the Contractor is expected to have visited the locality of the work, and made his own estimates as to the facilities that may be required and the difficulties that may arise upon execution of the proposed contract. He must also consider local conditions and all other contingencies.  No extra compensation and extension of time will be given due to negligence or inadvertence of the Contractor.

ARTICLE  7:            PERMITS, TAXES AND SURVEYS:

7.01          PERMITS AND LICENSES: All construction permits and licenses necessary for the execution of the work or of any temporary work and easements in relation thereto should be secured, and the corresponding required fees paid for by the Contractor.  The cost of such permits and licenses may, however, be reimbursed by the Owner to the Contractor, if specifically stipulated in the prior instructions of the Owner or the Architect.

                 The Contractor shall be solely responsible for his actions should he start the construction before acquiring the necessary permits and licenses.

                 The Contractor shall also secure the final occupancy permit, but he shall not be responsible for the non-issuance or the delay in the issuance thereof through no fault of the Contractor.

7.02          TAXES: Wherever the law of the locality of the building site requires a sales, consumer, use, or other similar tax related or pertinent only to the construction of the project, the Contractor shall pay such tax.

7.03          CONSTRUCTION STAKES AND REFERENCE MARK: The Owner shall be responsible for the establishment of lot lines, boundary lines, easements, and benchmarks by a certified surveyor.  The Owner may relegate this responsibility to the Contractor, provided the Owner shall pay for the cost of said services.  All other grades, lines, levels, and benchmarks necessary for the prosecution of the work shall be established and maintained by the Contractor.

7.03.a       The Contractor shall verify all grades, lines, levels and dimensions as indicated on the Drawings.  He shall report any error or inconsistency to the Architect before commencing work.

7.03.b       The Contractor shall provide and maintain well-built batter boards at all corners.  He shall establish benchmarks in not less that two widely separated places.  As work progresses, he shall establish benchmarks at each floor giving exact levels of various floors.

7.03.c       As work progresses, the Contractor shall lay out the exact location of all partitions as a guide to all trades.

7.04          SERVICES OF LICENSED SURVEYOR: The Contractor shall pay for services of a licensed surveyor, when so required, to confirm and certify the location of column centers, piers, walls, pits, trenches, pipe work, culvert work, utility lines and work of similar nature required by the Contract.  A copy of such certification shall be furnished to the Architect.  It is the intention that the Surveyor’s Certification shall represent an independent and disinterested verification of such layout.

7.04.a       The Contractor shall furnish certifications from licensed surveyor that all portions of work are located in accordance with Contract requirements and at elevations required thereby.

7.04.b       The surveyor shall promptly verify and certify the lines and levels of any portion of subdivision of work at any time it may be deemed necessary by the Architect.  Any deviation from the Drawings shall be certified to the Architect within 24 hours from the discovery of such deviation.

7.05          FINAL CERTIFICATION: Final certification shall be submitted upon completion of work, or upon completion of any section of work, if required by the Architect, before final payment is made.  Any exception or deviations from the Drawings shall be noted on final certificate. Maps, plots, notes, and the like may be included as deemed necessary, in the opinion of the Architect, to constitute a full and complete report.

SECTION III :    EQUIPMENT AND MATERIALS

ARTICLE  8 :     GENERAL

                        Notwithstanding anything herein specified or provided that may be construed to the contrary, all materials and equipment must conform to all laws, ordinances, regulations, building codes or standards, which may be in force and applicable during the period of construction. The Contractor shall obtain the necessary permits and pay the required fees to the proper authorities.  The Contractor shall bear any and all damages caused by any delay in the work arising from his failure to comply with the provisions of this clause.  However, should any revision or amendment to such laws, ordinances, regulations and building codes be made during the construction period that affects the cost or time of completion of the contract, a corresponding adjustment shall be made.

ARTICLE  9:                 EQUIPMENT

9.01          QUALITY OF EQUIPMENT: In order to establish standards of quality, the Architect or the Engineer may refer to certain equipment by name and catalog number in the detailed Specifications.  This procedure, however, is not to be construed as eliminating from competition other products of equal or better quality and  fully suitable in design by other manufacturers.

9.01.a       The Contractor shall furnish the Owner and the Architect or Engineer with a complete list of proposed substitutions prior to the signing of the Contract, together with such engineering and catalog data.

9.01.b       The Contractor shall abide by the Architect’s and the Engineer’s judgments when proposed substitute items of equipment are judged to be acceptable and shall furnish the specified item of equipment in such case.  All proposals for substitutions shall be submitted in writing by the General Contractor and not by individual trades or material suppliers.  The Architect and the Engineer will approve or disapprove proposed substitutions in writing within a reasonable time.  No substitute equipment shall be used unless approved in writing.

9.02          EQUIPMENT APPROVAL DATA: The Contractor shall furnish three copies of complete catalog data for every manufactured item of equipment and all components to be used in the work, including specific performance data, material description, rating, capacity, working pressure, material gauge or thickness, brand name, catalog number, and general type.

9.02.a       This equipment data shall be compiled by the Contractor and approved by the Architect and the Engineer before any of the equipment is ordered.

9.02.b       Each data sheet or catalog in the submission shall be indexed according to specification section and paragraph for easy reference.

9.02.c       After written approval, this submission shall become a part of the Contract, and may not be deviated from except upon written approval of the Architect and Engineer.

9.02.d      Catalog data for approved equipment does not in any case supercede the Contract Documents.  The approval of the Architect and the Engineer shall not relieve the Contractor from his responsibility for deviations from Drawings or Specifications, unless he has called their attention, in writing, to such deviations nor shall he be relieved from responsibility for any error in the items submitted.  The Contractor shall check the work described by the Catalog data with the Contract Documents for deviations and errors.

9.02.e       It shall be the responsibility of the Contractor to ensure that items to be furnished shall fit the space available.  He shall make necessary field measurements to ascertain space requirements, including those for connections, and shall order such sizes and shapes or equipment that the final installation shall suit the true intent and meaning of the Drawings and Specifications.

9.02.f       Where equipment requiring different arrangement of connections from those shown is approved, it shall be the responsibility of the Contractor to install equipment that will operate properly and in harmony with the intent of the Drawings and Specifications. It shall also be his responsibility to make all changes in the work required by the different arrangement of connections.

ARTICLE 10 :     MATERIALS, FIXTURES, APPLIANCES, AND FITTINGS     FURNISHED  BY  THE  CONTRACTOR

10.01        MANUFACTURERS AND DEALERS: Names of proposed manufacturers, materials men, and dealers who are to furnish materials, fixtures, appliances or other fittings shall be submitted to the Architect for approval as early as possible, to provide sufficient time for proper investigation and checking.

10.01.a     No manufacturer will be approved for any materials to be furnished under this Contract unless he shall be of good reputation, shall have a plant of ample capacity and adequate quality control and shall have successfully produced similar products.

10.01.b     All transactions with manufacturers or sub-contractors shall be through the Contractor.

10.01.c     In asking for prices on materials, the Contractor shall provide the manufacturer or dealer with complete information from the Specifications and Drawings, and shall inform the manufacturer or dealer of all pertinent contract requirements.

10.01.d    The manufacturer or dealer shall properly code or identify all the materials, equipment, fixtures, appliances or other fittings supplied by him in accordance with the existing standards to indicate class grade or quality.

10.02        SAMPLES OF MATERIALS: The Contractor shall submit samples specified or required  materials  for approval, with such promptness as to cause no delay in work.  Work shall be in accordance with approved samples.

10.02.a     Unless otherwise specified, three samples of materials of adequate size, showing quality, type, color, range, finish and texture shall be submitted.

10.02.b     Each sample shall be labeled, bearing material name and quality, the manufacturer’s name, date, project name, and other pertinent data.

10.02.c     If the specifications require the manufacturer’s printed installation directions, such directions shall accompany the samples submitted for approval.

10.02.d    A letter of transmittal in triplicate from the Contractor requesting approval shall accompany all sets of samples.

10.02.e     Transportation charges to the Architect’s office must be prepaid on all samples forwarded.

10.02.f     Materials shall not be ordered until a written approval is received from the Architect.  All materials that shall be furnished must be substantially equal in every respect to the approved samples.

10.03        TRADE NAME  MATERIAL S AND  SUBSTITUTES:

10.03.a     Whenever an item or class of material is specified exclusively by trade name, by manufacturer’s name or by catalogue reference, only such item shall be used except as provided for in paragraph (b) hereof.

10.03.b     No substitution shall be made for any material, article, or process required under Contract unless approved, in writing, by the Architect.

10.03.c     Materials and articles installed or used without such approval shall be at the risk of subsequent rejections.

10.03.d    Samples of materials for use in reinforced concrete work such as steel bars, cement, aggregate and their certificates of origin are to be approved by the Architect.

10.04        TESTING SAMPLES OF MATERIALS: The Contractor shall submit to the Architect as many samples as may be needed for purposes of testing.  Testing of all samples shall comply with the Specifications and government standards and shall be performed by a competent entity or testing laboratory approved by the Architect.  All costs for shipment, delivery, handling, and testing of samples are to be paid by the Contractor.

10.05        QUALITY OF MATERIALS: Unless otherwise specified, all materials shall be new and of the best quality.  The work shall be performed in the best and most acceptable manner in strict accordance with the requirements of the Drawings and Specifications.

                 The decision of the Architect as to quality and quantity of work and materials shall be final and precedent to the Contractor’s right to receive any money hereunder.

10.06        STORAGE AND STOCKPILING OF MATERIALS:

10.06.a     The Contractor shall allot suitable space to sub-contractors for storage of their materials and for erection of their sheds and tool houses.

10.06.b     All cement, lime, and other materials affected by moisture shall be stored on platforms and protected from weather.  Materials shall be properly stored, ensuring the preservation of their quality and fitness for the work, shall be so located  as to facilitate prompt inspection.

10.06.c     Should it be necessary, the Contractor shall  move materials, sheds, or storage platforms at his own expense.

10.07        DEFECTIVE MATERIALS: All materials not conforming to the requirements of these Specifications shall be considered as defective.  No defective materials nor those whose defects have been subsequently corrected, shall be used until approval has been given.  Failure on the part of the Contractor to comply, the architect shall have authority to remove and replace defective materials and to deduct the cost of removal and replacement from any money due to the Contractor.

10.07.a     The apparent silence of the Specifications, Drawings, Special Provisions and Supplementary Specifications on any detail or description concerning any point shall be regarded as meaning that only the best general practice is to prevail and that only materials and workmanship of first class quality are to be used.

10.07.b     Failure or neglect on the part of the Architect, or any of his agents, to condemn or reject bad or inferior materials shall not be construed to imply an acceptance of the materials, if said bad or inferior materials are discovered at any time prior to the final acceptance of the work by the Owner and the release of the Contractor.

10.08        IMPORTED MATERIALS, FIXTURES AND EQUIPMENT: The Contractor shall take cognizance of the time element of the Contract.  He shall make early arrangements for the purchase and delivery of all specified imported materials, fixtures, appliances and equipment in order to avoid delay in the completion of the work.

                 No extension of time or substitution of materials shall be allowed due to negligence or inadvertence of the Contractor.

ARTICLE  11:    MATERIALS, EQUIPMENT, FIXTURES, APPLIANCES AND FITTINGS  FURNISHED  BY  THE  OWNER

                        Materials, equipment, fixtures, appliances and fittings, specifically indicated, may be furnished by the Owner in accordance with schedule of delivery agreed upon between the Owner and the Contractor.  The fact that the Owner is to furnish materials is conclusive evidence of its acceptability for the purpose intended, and the Contractor may continue to use it until otherwise directed.  If the Contractor discovers any defect in the materials furnished by Owner, he shall immediately notify the Architect.  The Contractor shall be responsible for any material loss or damage after receipt of any material, equipment, fixture, appliance or fitting, unless the same has been installed and accepted for safe keeping by the Owner or his representative.

ARTICLE  12:    ROYALTIES AND PATENTS

                        The Contractor shall pay all royalties and license fees on all patented materials and processes furnished by him.  He shall defend all suits or claims corresponding thereto for infringement of any patent rights and shall save the Owner from loss on account thereof.   

ARTICLE  13:     MANUFACTURER’S DIRECTIONS

                        All manufactured articles, materials, equipment appliances, fixtures and fittings shall be applied, installed, connected, erected, used, cleaned, and conditioned, in accordance with manufacturer’s printed directions, unless herein specified to the contrary.  If reference is made to manufacturer’s directions, the Contractor shall submit specified number of copies of such directions to the Architect.

SECTION IV:     PREMISES AND TEMPORARY STRUCTURES

ARTICLE  14:     USE OF PREMISES

14.01        LIMITATION OF USE: The contractor shall confine his equipment and apparatus, the storage of materials, and the operations of his workmen to limits indicated by the law, ordinances, permits, or directions of the Architect and shall not unreasonably encumber the premises with his materials.

14.02        SAFEGUARD FOR STRUCTURE. The Contractor shall not load nor permit any part of the structure to be loaded with a weight that will endanger its safety. The Contractor shall enforce the Architect’s instructions regarding signs, advertisements, fires and smoking.

ARTICLE  15:     TEMPORARY STRUCTURES AND FACILITIES

15.01        TEMPORARY OFFICE AND CONTRACTOR’S BUILDING: The Contractor shall at all times provide and maintain an adequate and weather-tight temporary office with water, light, telephone, and toilet facilities for the use of the Architect, resident engineers, inspectors, contractor, and sub-contractors.  This office shall be provided with wooden floor raised above the ground, windows, doors with locks, tables, closet, blackboard, tackboard, benches and racks for drawings.  One room of approximately 12 square meters shall be provided for the Architect’s use.

15.02        TEMPORARY HOUSING FOR WORKERS: The temporary buildings for housing men, or the erection of tents or other forms of protection will be permitted only at such places as the Owner or Architect shall designate. The sanitary condition of the grounds in or about such structures shall at all times be maintained in a manner satisfactory to the Owner and the Architect.  Nobody shall be allowed to sleep or cook within the building line of the project under construction.

15.03        TEMPORARY SANITARY FACILITIES AND FIRST AID STATION: The Contractor shall provide, construct and maintain for the duration of the contract, ample sanitary toilet accommodation and other necessary conveniences, including water connections for the use of personnel and laborers on the work. Such temporary sanitary facilities must be properly secluded form public observation and shall be approved by the Architect.  The use of these facilities shall be strictly enforced.  He shall keep such places clean and free from flies, remove all connections and appliances connected therewith prior to the completion of the contract and leave the premises perfectly clean.

15.04        TEMPORARY BARRICADES AND GUARD LIGHTS: The Contractor shall furnish and put up all temporary barricades and guard lights necessary for the proper execution and completion of work.  The guard lights at the top of the falsework tower, barricades, railings, etc., shall be provided and maintained by the Contractor throughout in the prosecution of the project.

15.05        TEMPORARY WATER, POWER AND TELEPHONE FACILITIES: The Contractor shall make all necessary arrangements with the local utility companies to provide temporary facilities for water, power, and telephone until the work has been completed.  All expenses incurred in connections therewith shall be paid by the Contractor.

15.06        TEMPORARY SIGNS: No signs or advertisements will be displayed without the Architect’s approval.  The Contractor may erect one painted sign as approved by the Architect, giving names and addresses of the Architect, Contractor and various sub-contractors.  The Architect shall approve the size, color, lettering, and sign location.

15.07        TEMPORARY ROADWAYS: The Contractors shall construct and properly maintain temporary roadways within and adjacent to site in order to provide proper access to the building.  Such temporary roadways must be able to adequately sustain loads to be carried on them and must be so constructed as not to endanger existing or newly installed underground structures.

15.08        TEMPORARY STAIRS, LADDERS, RAMPS, RUNWAYS: The Contractor shall furnish and maintain all equipment such as temporary stairs, ladders, ramps, scaffolds, runways, derricks, chutes, and the like, as required for proper execution of work b all trades.  All such apparatus, equipment, and construction must meet all requirements of local laws applicable thereto.

15.09        TEMPORARY ELEVATORS AND HOISTS: The Contractor shall install and operate an adequate number of hoists and elevators.  No hoists shall be constructed on locations that will interfere with or affect construction of floor arches (or work of other Contractors).  They may be located at exterior sides of structure and extend upward adjacent to line of window openings.  They must be located at a sufficient distance from exterior walls and be so protected as to prevent damage, staining, or marring the permanent work.

15.10        TEMPORARY ENCLOSURES: The Contractor shall provide temporary weather tight enclosure for all exterior openings as soon as walls and roof are built so as to protect all work from weather.  All exterior doors shall be equipped with self-closing hardware and padlocks.  All exterior windows shall be provided with temporary sash frames securely fastened in place but removable when required.  Such sash frames shall be covered in approved manner.

15.11        TEMPORARY OR TRIAL USAGE: Temporary or trial usage by the Owner of any mechanical device, machinery, apparatus, equipment, or any work or materials supplied under Contract before final completion and before written acceptance by the Architect shall not be construed as evidence of the Architect’s acceptance of same.

                 The Owner shall have the privilege of such temporary or trial usage, for such reasonable length of time as the Architect shall deem to be proper.  No claim for damage shall be made by the Contractor for injury to or breaking of any parts of such work, which may be caused by weakness or inaccuracy of structural parts or by defective material or workmanship.

                 If the Contractor so elects, he may, at his own expense, place persons satisfactory to the Architect to make such trial usage.

15.12        REMOVAL OF TEMPORARY STRUCTURES: The Contractor shall remove all temporary work form premises, which have been erected by him, and shall clean the premises as a condition for completing the work and before acceptance of the work by the Owner.

SECTION V:  PROTECTION OF WORK AND PROPERTY

ARTICLE  16:    PROTECTION OF WORK AND OWNER’S PROPERTY

16.01        SAFEGUARD MEASURES: The Contractor shall put up safety measures and continuously maintain adequate protection of all his work from damage. He shall protect the Owner’s property, as well as all materials furnished and delivered to him by the Owner.  He shall make good any such damage, injury or loss, except such as may caused by agents or employees of the Owner, or due to causes considered as Act of God.

16.01.a     The Contractor shall provide reliable and competent watchmen to guard the site and premises, from the commencement of operations until the building is fully completed.  All doorways must be provided with locks, and the Contractor shall lock doors at the close of each day’s work.  In the event that the Architect, at any time, deems watchmen service inadequate or incompetent, the Contractor shall increase or change the watchmen personnel to the Architect’s satisfaction.

16.01.b     Smoking on premises shall be prohibited except in designated places, where signs to this effect shall be posted conspicuously.  Fires shall not be built on premises except by express consent of the Architect.

16.01.c     The Contractor shall provide and maintain barrels of water and fire buckets on premises for fire protection.  Such equipment shall not be used for any other purpose.

16.01.d    The Contractor shall provide and maintain in good working order an adequate number of fire extinguishers.

16.02        OLD MATERIALS: All old materials of value found by the Contractor at the site of  the work  shall be carefully piled and stored at a place designated by Owner or the Architect, and the Contractor shall be responsible for the same until final acceptance of the work.

16.03        TREES AND OTHER PLANTS: Existing trees, plants, shrubs, etc., which are to remain shall be boxed and otherwise protected from damage.  No trees within site or located outside building lines shall be cut or removed without specific approval from the Owner and the Architect.

16.03.a     All trees and other plants that need to be transplanted elsewhere within fifty (50) meters from the building lines shall be done by the Contractor at his own expense in accordance with instructions from the Architect or from the authorities concerned.

16.03.b     Undue damage to trees, plants, shrubs, streets, sidewalks, etc., resulting from and in connection with the construction work shall be made good and/or replaced by the Contractor at his own expense to the satisfaction of the Owner and the Architect.

16.04        DRAINAGE: If it is necessary in the prosecution of the work to interrupt or obstruct the natural flow of rivers or streams, the drainage of the surface, or the flow of artificial drains,  the Contractor shall provide for the same during the progress of the work in such a way that no damage shall result to either public or private interests. He shall solely be held liable for all damages, which may result from any neglect to provide for other natural or artificial drainage, which he may have interrupted.

ARTICLE 17:     PROTECTION OF ADJACENT PROPERTY AND EXISTING UTILITIES

17.01        CONTRACTOR’S SOLE RESPONSIBILITY: The Contractor shall adequately protect adjacent property as provided by law and the Contract Documents.  The construction building or work, in addition to any neighboring property or building, which may be jeopardized in any manner, must be thoroughly and substantially braced against winds, floods, setting, falling, or like similar occurrences, and when necessary, covered and protected from sun and rain at the Contractor’s expense.  The Contractor shall solely be liable and pay for all damages occasioned in any manner by his acts or neglect, or of his agents, employees, or workmen.

17.02        EXISTING UTILITIES: Existing utilities, which have been damaged due to the negligence or fault of the Contractor, shall be repaired by the Contractor at his expense.

ARTICLE 18 :        PROTECTION OF LIFE, WORK AND PROPERTY DURING AN EMERGENCY

18.01        AUTHORIZATION  TO CONTRACTOR:  In an emergency affecting the safety of life, of the work or of the adjoining property, the Contractor, without special instructions or authorization from the Architect or Owner, is hereby permitted to act, at his discretion,  to prevent such threatened loss or injury and he shall so act, without appeal, if so instructed or authorized.  Any compensation claimed by the Contractor on account of emergency work, shall be determined by agreement of arbitration.

SECTION VI :    LABOR, WORK AND PAYMENTS

ARTICLE  19:    LABOR

19.01        CHARACTER OR WORKMEN: The Contractor shall employ only competent and efficient engineers, superintendents, foremen, mechanics, laborers, or artisans.  Whenever, in the opinion of the Architect, any employee is careless, incompetent or obstructive in the progress of the work or acts contrary to instructions or conducts himself improperly, the  Contractor shall, upon written request of the Architect, discharge or otherwise remove him from the work and not employ him again upon it.

                 Should the Contractor fail to remove unsatisfactory workmen or fail to furnish suitable and sufficient personnel for the proper prosecution of the work, the Architect may withhold payment which are or may become due, or may suspend the work until such orders are compiled with.

19.02        SUPERINTENDENCE AND SUPERVISION: The Contractor, if he supervises the work personally, must be a licensed engineer or architect; otherwise, he must have in his employ a licensed engineer or architect acceptable to the Architect who will supervise the work personally and inspect it at least once a week.

                 The Contractor shall keep in his project site, during the work’s progress, a competent Project Engineer or Superintendent and any necessary assistant, who is satisfactory to the Architect.

                 The Project Engineer or Superintendent shall represent the Contractor in his absence and all directions given to him shall be as binding as if given to the Contractor.  He shall have full authority to execute the orders or directions of the Architect without delay and to promptly supply such materials, tools, plants, equipment, and labor as may be required.

 

ARTICLE  20:     WORK

20.01        METHODS AND APPLIANCES: The Contractor shall use such methods and appliances for the performance of all the operations connected with the work embraced under this Contracts that will produce a satisfactory quality of work and rate of progress which, in the opinion of the Architect, will ensure the completion of the work within the contract time.

20.01.a     If, at any time before the commencement or during the progress of the work, such methods or appliances appear to the Architect to be inefficient or inappropriate for producing the quality of work required, or insuring the required rate of progress, the Architect may order the Contractor to increase the rate of their efficiency, or to improve their system of operation.  The Contractor must comply with such order.  Failure, however, of the Architect to demand such increase of efficiency or improvement of character of methods and appliances shall not relieve the Contractor from his obligation to turn out such quality of work and rate of progress as called for in this Contract.

20.01.b     The Contractor shall, if required, furnish to the Architect for approval full information and satisfactory evidence as to the name of the manufacturer of machinery, mechanical or other equipment, which he contemplates using, together with the performance capacities and other pertinent information.

20.02        LAYING OUT THE WORK: The Contractor shall lay out the lines and grades of the work as per conditions set forth under Article 7.03 (Construction Stakes and Reference Mark) of the General Conditions.

                 All stakes, benchmarks, etc., placed by the Contractor in laying out the work, as approved by the Architect, shall be carefully guarded and preserved by the Contractor.  In case such stakes or marks are displaced or rendered useless through the carelessness or neglect of the Contractor or of his agents, employees, or workmen, they should be replaced by the Contractor at his own expense.

20.03        INSPECTOR OF WORK: The Owner, the Architect and their representatives shall at all times have access to the work, whether it is in preparation or progress, and the Contractor shall provide proper facilities for such access and for inspection.

20.03.a     If the Specifications, the Architect’s instructions, laws, ordinances or any public authority require any work to be specifically tested or approved, the Contractor shall give the Architect and other parties, who are  required to make the inspection, timely notice of its readiness for inspection  If any work should be covered up without approval or consent of the Architect, it must, if required by the Architect, be uncovered for examination at the Contractor’s expense.

20.03.b     The Architect may order the re-examination of work, and the Contractor, for his part, must uncover the questioned work. If such work be found not in accordance with the Contract Documents, the Contractor shall pay the cost.

20.03.c     The Contractor shall furnish promptly and without additional charge all reasonable facilities, labor, and materials necessary for the safe and convenient inspection and tests that may be required by the inspectors.  All inspection and tests shall be performed in such manner that will not unnecessarily delay the work.

20.03.d    If there are indications that the work done are not in accordance with the plans and specifications, the Architect may, at any time before the final acceptance of the entire work, make an examination of the work already completed.  By removing or tearing out the same, the Contractor shall, upon request, promptly furnish all necessary facilities, labor, and materials.  If such work is found to be defective in any material respect due to fault of the Contractor or his subcontractors, he shall defray all the expenses of such examination and of satisfactory reconstruction.  If, however, such work is found to meet the requirements of the Contract, the actual cost of labor and materials necessarily involved in the examination and replacement plus 15 percent, shall be allowed the Contractor and he shall, in addition, be granted a suitable extension of time if completion of the work has been delayed on account of the additional work involved.

20.04        DEFECTIVE WORK: Defective work may be condemned by the Architect at any time before the final acceptance of the work and, when such work has been condemned, it shall be taken out immediately by the Contractor and rebuilt in accordance with the Drawings and Specifications.  Failure or neglect on the part of the Architect or any of his agents to condemn or reject bad or inferior work  shall not be construed to imply an acceptance of the work of the same if such bad or inferior work is discovered at any time prior to the final acceptance of the work by the Owner and the release of the Contractor.

20.05        WORK DURING AN EMERGENCY: The Contractor shall perform any work and shall furnish and install all materials and equipment necessary during an emergency endangering life or property.  In such cases, he shall notify the Architect and the Engineer of the emergency as soon as practicable, but he shall not wait for instructions before proceeding to properly protect both life and property.

20.06        INCREASED OR DECREASED QUANTITIES OF WORK: Adjustments of Drawings to suit field conditions, which cannot be foreseen at the time of  calling for bids, may be necessary  during construction.  It is the essence of the Contract to recognize such changes in Drawings as constituting a normal and expected margin of adjustment, and not involving nor permitting change or modification of Contract Prices, provided only, that resulting overruns or underruns form the quantities in the Proposal do not exceed five percent.  In case of discrepancy, the matter shall be submitted immediately to the Architect, before any adjustment shall be made by the Contractor, otherwise it shall be at his own risk and expense.

20.07        CHANGES IN THE WORK

20.07.a     CHANGES ORDERED BY OWNER: The Owner may at any time, without invalidating the Contract and without notice to the sureties, order extra work or make changes by altering, adding to or deducting from the work, as covered by the Drawings and Specifications of this Contract and within the general scope thereof.  Such changes shall be ordered by the Owner in writing, and no change or omission from the Drawings and Specifications shall be considered to have been authorized without written instructions signed by the Owner. 

20.07.b     CHANGE OF SUB-SURFACE CONDITIONS: If, during the progress of the work, sub-surface conditions at the site are found  or discovered to be materially different from those shown on the Drawings or indicated in the Specifications, the attention of the Architect shall be called immediately to such conditions before they are disturbed.  The Architect shall thereupon promptly investigate the conditions, and if he finds that they materially differ from those shown on the Drawings or indicated in the Specifications, he shall, at once and with the approval of the owner, make such changes in the Drawings and Specifications as he may find necessary.

20.07.c     ADJUSTMENT OF CONTRACT: All work shall be executed under the conditions of the original contract.  If  changes cause an increase or decrease in the amount due under this Contract, or in the time required for its performance, an equitable adjustment shall be made and the contract should be modified in writing accordingly.  The express consent of the sureties shall be obtained in writing.  In the event that the work involved is increased by such changes, the Contractor shall furnish proportionate additional performance bond.

20.07.d    VALUE OF EXTRA WORK: The value of extra work or change shall be determined in any one or more of the following ways:

                 1)   By estimate and acceptance in a lump sum.

2)    By unit prices stipulated in the Contract or subsequently agreed upon, provided the extra or credit does not exceed twenty-five percent (25%) of original contract of the particular work involved.

3)    By actual direct cost plus fifteen percent (15%) for contractor’s profit, overhead and contractor’s tax.

                 Under case (3), he shall keep and present in such form as the Architect may direct, a correct account of the cost, together with vouchers.  In any case, the Architect shall certify to the amount including the fifteen percent allowance for overhead and profit due the Contractor.

20.07.e     PERIOD FOR WHICH CLAIM FOR ADJUSTMENT HAS TO BE ASSERTED: Any claim for adjustment involving questions of fact must be asserted within fifteen (15) days from the date the change is ordered unless the Architect shall, for proper cause, extend such time.  Except as otherwise specifically provided in this Contract, all disputes concerning questions of fact arising under this Contract shall be decided by the Architect or his duly authorized representative.  Nothing, however, as provided for in Article 20.07, shall excuse the Contractor from proceeding with the prosecution of the work so changed.

20.07.f     CHANGES ORDERED BY THE ARCHITECT: In giving instructions, the Architect shall have the authority to make minor changes in the work, not involving extra cost, and not inconsistent with the design concept of the building.

20.07.g     AWARD OF EXTRA WORK TO OTHER CONTRACTORS: In case any extra work shall be required in the proper performance of the work contemplated under this Contract, it is understood that, if the Contractor and the Owner fail to arrive at any agreement as to the price of such extra work, the Owner reserves the right to have such extra work done by any other person, firm, or corporation than said Contractor.

20.08        CLAIMS FOR EXTRA COST: If the Contractor claims that any instruction by drawings or otherwise involve extra cost under this Contract, he shall give the Architect written notice thereof within fifteen (15) days after the receipt of such instruction, before proceeding to execute the work, except in emergency endangering life or property, as provided for in Article 20.05 (Work During and Emergency) of the General Conditions.  No such claim shall be valid unless so made.

                 In like manner, if the Contractor incurs a delay in the mobilization and/or in the progress of his work for reasons attributable to the Owner, e.g., Owner-supplied materials not arriving on time, movements or work executed by the Owner which interfere with the progress of the Contractor’s work, delayed decisions and other matters related thereto, he shall give the Architect written notice thereof within fifteen (15) days after recognition of such delay and proceed to claim for extra cost that may arise from such delays.  No claim shall be valid unless such written notice has been executed.

20.09        CLEANING UP AT COMPLETION OF WORK: The Contractor shall at all times keep the premises free from accumulations of waste materials or rubbish caused by his employees or work.  At the completion of the work, he shall remove all his rubbish from and about the building and all his tools, scaffolding and surplus materials and turn over the work for occupancy.

20.09.a     All dirt, stains and the like on all finishing of floors, walls, ceiling, decorative work, finishing hardware and fixtures must be removed.

20.09.b     All woodwork, finishing hardware and all metal  works must be cleaned and polished.

20.09.c     All glazing, marble and tile work must be washed and polished.  The Contractor shall so clean the building site as shown in the Drawings and all areas that the Contractor used in the operation of the project.

                 At no time shall any rubbish be thrown from windows or other parts of the building without the use of rubbish chutes.

20.10        USE OF COMPLETED PORTIONS OF WORK: The owner shall have the right to take possession of and use any completed or partially completed portions of the work, notwithstanding that the time for completing the entire work or such portions may not have expired. Such taking possession and use shall not be deemed an acceptance of any work not completed in accordance with the Contract Documents  nor  shall it be deemed a waiver by the Owner of the rights to claim for damages due to delays in the completion of the work.  If such prior use increase the cost of or delays the completion of uncompleted work, the Contractor shall be entitled to such extra compensation, or extension of time or both, as agreed upon prior to the occupancy.

20.11        CERTIFICATE OF COMPLETION OF WORK: Upon due notice from the Contractor that he has substantially completed the work,  the Architect shall make an inspection of the project.  Substantial completion shall mean that the value of the work completed shall not be less than ninety-eight percent (98%) of the contract amount and that the remaining unfinished work shall be of a minor nature only.  If the contract covers the furnishing and/or installation of equipment, fixtures and utilities, said equipment, fixtures and utilities shall be fully tested and test-run in order that the work can be considered as substantially completed. However, should the Contractor, through no fault of his be unable to test run the equipment at the time of substantial completion , he shall be given the necessary time extension for that portion of the work.  As soon as, in the opinion of the Architect, the work shall have been substantially completed and shall have satisfactorily passed any final test of materials that may be prescribed by the Contract, the Architect shall issue a Certificate of Completion with respect to the work.  Even before the completion of the whole work, upon written application of the Contractor, the Architect may likewise issue such a Certificate of Completion with respect to any substantial part of the work that has been completed to the satisfaction of the Architect and occupied or used by the Owner.

                 In all cases, prior to the issue of said Certificate of Completion, the Contractor shall execute a written undertaking to finish any outstanding work during the Period of Making Good of Known Defects or Faults as defined in Article 20.12 hereof.

20.12        PERIOD OF MAKING GOOD OF KNOWN DEFECTS OR FAULTS: The expression “Period of Making Good of Known Defects or Faults” shall mean a period of not more than sixty (60) calendar days, unless otherwise expressly named in the contract, calculated from the date of issue of the Certificate of Completion of the whole work or of any part thereof, in accordance with Article 20.11.

20.13               MAKING GOOD OF KNOWN DEFECTS OR FAULTS: The Contractor shall execute at his own expense all work necessary for making good of known defect, imperfections or faults (fair, wear and tear expected) within the period of sixty (60) days after the issuance of Certificate of Completion or within fifteen (15) days after its expiration as a result of an inspection made by or on behalf of the Architect prior to its expiration.

                 If, in the opinion of the Architect, the defect or fault is due to the Owner or Owner’s representative, the value of such work shall be ascertained and paid for as it were additional work.

                 If the Contractor shall fail to do any such work as aforesaid, the Owner shall upon written notice to the contractor be entitled to carry out such work by his own workmen or by other contractors, and if such work which the Contractor should have carried out is at the Contractor’s cost, the Owner shall be entitled to recover from the Contractor the cost thereof, or may deduct the same from any amount due or may become due to the Contractor.

20.14        SEARCH FOR CAUSES OF DEFECTS OR FAULTS: The Contractor shall, upon a written request of the Architect, search for the cause of any defect, imperfection or fault. If such defect, imperfection of fault shall be one for which the Contractor is not liable under the Contract, the cost of the work carried out by the Contractor in searching for said defect shall be borne by the Owner.  But, if such defect, imperfection or fault shall be one for which the Contractor is liable, the costs of the work carried out in searching said defects shall be borne by the Contractor and he shall, in such case, repair, rectify and make good such defect, imperfection or fault at his own expense, in accordance with the provisions of Article 20.13 hereof.

ARTICLE  21:     TIME OF COMPLETION OF WORK

21.01        NOTICE TO PROCEED: Following the execution of the Contract Agreement by the Owner, a written Notice to Proceed with the work shall be given to the contractor.  The Contractor shall begin and shall prosecute the work regularly and uninterruptedly thereafter (unless otherwise directed in writing by the owner) to ensure the completion of the work within the time stated in the contract.  If the Contractor undertakes actual construction on the proposed work, including the delivery of equipment or materials (in the case for furnishing materials) or the performance of any other kind of work whatsoever before he receives a copy of the duly executed Contract or Notice to Proceed, he does so at his own risk.

21.02        CONTRACT TIME: The Contractor shall complete, in an acceptable manner, all of the work contracted for in the time stated in the Contract.  Computation of Contract Time shall commence on the seventh (7^th) day from receipt of the Notice to Proceed, unless otherwise stipulated in the contract, and every calendar day following, shall be counted as a working day.

21.03        SCHEDULE OF COMPLETION: The Contractor shall submit, for approval, the Schedule of Construction Work in Critical Path Method form or  any other form acceptable to the Architect, indicating the approximate date each item will be started and completed, the equipment to be used and number of men to be employed to complete it, in accordance with his schedule.  The progress of the work shall be at a rate sufficient to complete the Contract in an acceptable manner within the period of time specified.  If it appears that the rate of progress is such that the Contract will not be completed within the time limit, the Architect may order the Contractor to take such steps as he considers necessary to complete the Contract within the period provided.

21.04        EXTENSION OF TIME: The Contractor will be allowed an extension of time based on the following conditions:

21.04.a     Should the Contractor be obstructed or delayed in the prosecution or completion of the work by the act, neglect, delay, or default of the Owner or any other contractor employed by the Owner, by strikes or lockouts, by an Act of god or Force Majeure as defined in Article 1.26, or by delay authorized by the Architect pending arbitration, then the Contractor  shall file the necessary request for extension within fifteen (15) days from the occurrence of such delay.  The Architect may grant the request for extension for such period of time as he considers reasonable.

                 However, no such extension of time shall be granted for any alleged failure of the Owner to furnish materials or information unless they be required in the proper prosecution of the work in the order prescribed by the Architect and unless the Contractor shall have made written request for them at ten (10) days before they are actually needed.

21.04.b     The WRITTEN CONSENT OF THE BONDSMEN must be attached to any request of the Contractor for an extension of time and submitted to the Owner for consideration.

21.04.c     If the satisfactory fulfillment of the Contract shall require the performance of work in greater quantities than those set forth in the Contract, the time allowed for performance shall be increased in the same ratio as that of the total cost of work actually performed to the total cost in the Contract.  However, if in the opinion of the Architect, the nature of the increased work is such that the new Contract Time as computed above is unreasonably short, the time allowance for any extension and increases shall be as agreed upon in writing.

21.04.d    If no schedule or agreement stating the dates upon which drawings shall be furnished is made, then no claim for delay shall be allowed on account of failure to furnish drawings until two (2) weeks after demand for such drawings and unless such claim be reasonable.

21.04.e     If the work is interrupted for any reason, it must be promptly resumed upon the removal or cessation of the cause of delay.

21.04.f     The Contractor shall give written notice to the Architect at least ten (10) days prior to beginning, suspending (except in case of accident), or resuming the work to enable the Architect to make the necessary preparations for inspection without delaying the work.  All delays or losses resulting from failure of the Contractor to give such notice will be at the Contractor’s risk, and all extra costs to the Owner for such delay (said costs to be determined by the Architect) shall be deducted from the Final Payment.

21.05        LIQUIDATED DAMAGES: It is understood that time is an essential feature of this Contract, and that upon failure to complete the said Contract within the contract time, the Contractor shall be required to pay the Owner the liquidated damages in the amount stipulated in the Contract Agreement. The said payment to be made as liquidated damages, and not by way of penalty.  The Owner may deduct from any sum due or to become due to the Contractor any sum accruing for liquidated damages as herein stated.  For purposes of calculating, the actual completion date shall be the date certified by the Architect under Article 20.11 hereof.

ARTICLE  22:     PAYMENTS

22.01        DETAILED BREAKDOWN OF CONTRACT AMOUNT: Except in cases where unit prices form the basis for payment under the Contract, the Contractor shall, within (15) days from the receipt of Notice to Proceed, submit a complete Breakdown of Work and Corresponding Value of the Contract Amount showing the value assigned to each part of the work, including the allowance for profit and overhead.  Upon approval of the Breakdown of Work and Corresponding Value by the Architect, it shall be used as the basis for all Requests for Payment.

22.02        REQUESTS FOR PAYMENT: The Contractor may submit periodically, but not more than once each month, a Request for Payment for work done.  The Contractor shall furnish the Architect all reasonable facilities required for obtaining the necessary information relative to the progress and execution of the work.  Each Request for Payment shall be computed from the work completed on all items listed in the Breakdown of Work and Corresponding Value, less the 10% retention, unless otherwise agreed upon, and less previous payments.  When 50% of the Contract has been accomplished, no further retention shall be made on the balance of the Contract.

22.02.a     In general, no payment shall be made for materials or items not incorporated in the work.  However, exception to this condition may be made in the case of materials or items, which may require immediate acquisition and compensation due to shortages or import or transportation difficulties.  In the event of such exceptions, payment shall be conditioned upon the submission by the Contractor of bills of sale or such other procedures as will establish the Owner’s title to such material or item or otherwise adequately protect the Owner’s interest.

22.03        PROGRESS PHOTOGRAPHS TO ACCOMPANY REQUEST FOR PAYMENT: The Contractor at his own expense shall furnish the Architect progress photographs which shall be taken monthly, starting when the work begins and continuing so long as the work is in progress, on the outside of the building and from station points designated by the Architect.

22.03.a.    The photographs shall be 6” x 8”.  At each period four exposures shall be taken, one on each side of the building.  Eight (8) prints dull finish, (2 copies for each exposure) shall be delivered to the Architect and all negatives shall bear the date of exposure and name of the work.

22.03.b     No partial payment shall be considered for approval without the above mentioned prints accompanying the Request for Payment.

22.04        ARCHITECT’S ACTION ON A REQUEST FOR PAYMENT: Within fifteen (15)  days after receipt of any Request for Payment by the Contractor, the Architect shall either issue a Certificate of Payment or withhold the Request for Payment.  When the Architect decides to withhold the Request for Payment, he shall inform the contractor, in writing, the reasons for withholding it.  If the Contractor and Architect cannot agree on a revised amount, the Architect will issue a certificate of payment for the amount for which he is able to make representation to the owner.

                 The Certificate of Payment shall include the value of work accomplished by the Contractor during the period covered by the certificate and recommendation to the Owner for payment in an amount the Architect decides to be property due.

22.05        APPROVAL WITHHELD: The Architect may recommend withholding of payment in whole or in part on any approved Request for Payment on account  of any of the following reasons:

22.05.a     Defective work not remedied

22.05.b     Claims filed or reasonable evidence indicating probable filing of claims.

22.05.c     Failure of the Contractor to make payments properly to sub-contractors for material or labor.

22.05.d    A reasonable doubt that the Contract can be completed for the balance then unpaid.

22.05.e     Damage to another Contractor.

                 When the above grounds are removed, payments shall be made for amounts withheld.

22.06        CONDITIONS RELATIVE TO CERTIFICATES OF PAYMENTS:

22.06.a     The Architect shall estimate the value of work accomplished by the Contractor using, as a basis, the schedule stipulated in the Breakdown of Work and Corresponding Value.  Such estimates of the Architect shall be final and conclusive evidence of the amount of work performed and shall be taken as the basis for the full measure of compensation to be received at the time by the Contractor.  Such Preliminary estimates of amount and quantity shall not be required to be made by strict measurement or with exactness, but they may, at the option of the Architect, be approximate only.

22.07        OWNER’S ACTION ON AN APPROVED REQUEST FOR PAYMENT OR CERTIFICATE OF PAYMENT: Within fifteen (15) days from the date of approval of a Request for Payment or of issuance of a Certificate of Payment by the Architect, the Owner shall pay the amount as certified by the Architect or pay such other amount as he shall decide is due the Contractor, informing the Contractor and the Architect, in writing, of his reasons for paying the amended amount.

                 Owner’s failure to pay the amount involved would be subject to payment of interest based on banking loan rates prevailing at the time of the signing of the Contract.

22.08        PAYMENT OF CONTRACTOR’S  OBLIGATIONS: The Contractor shall pay punctually all workmen employed by him on his project at such rates as are provided by existing laws.  He shall also pay promptly all materials and equipment used by him on his project, and all taxes due from him.  He shall remit as required by law all amount withheld from the salaries or wages of his employees or workmen.

                 If required, he shall furnish the Owner with a statement sworn to before an officer duly authorized to administer oath that all persons who have done work or furnished materials under this Contractor have been duly paid.  If such written evidence is not furnished before the final payment under the Contract falls due, said Owner may after due notice to and clearance by the Contractor, pay such lawful claims in whole or in part to any person, firm, or corporation claiming the same, and charge the amount thus paid to said Contractor, who will accept the same as payment from the amount due on the Contract.

22.09        PAYMENTS OVER 65 PERCENT: Non payment shall be made on contracts in excess of sixty five percent (65%) of the Contract Price, unless a statement sworn before an officer duly authorized to administer oath is submitted by the Contractor to the effect that all bills for labor, other than current wages, and all bills for materials have been duly paid for by the Contractor and his Sub-contractor.  However, should such sworn statement turn out false, the Owner and the work covered thereby shall not be liable for any claim or lien arising from the failure of the Contractor to pay .  The Contractor does hereby bind itself solely answerable for any such lien should the same arise.

22.10        CORRECTION OF WORK BEFORE FINAL PAYMENT: The Contractor shall promptly remove from the premises all work condemned by the Architect as failing to conform to the Contract, whether incorporated or not, and the Contractor shall promptly replace and re-execute his own work in accordance with the Contract and without expense to the Owner and shall bear the expenses of making good all work of other contractors destroyed or damaged by such removal or replacement.

                 If the Contractor does not remove such condemned work within a reasonable time, fixed by written notice, the Owner may remove them and may store the material at the expense of the Contractor.  If the Contractor  does not pay the expenses of such removal within ten days’ time thereafter, the Owner may, upon ten days’ written notice, sell such materials at auction or at private sale and shall account for the net proceeds thereof, after deducting all the costs and expenses that should have been borne by the Contractor.

22.11        OTHER REQUIREMENTS BEFORE FINAL PAYMENT: The contractor shall submit (aside from those provided in the Contract Document) the following before final payment if made.

22.11.a     Certificate of Final Building Occupancy unless such certificate cannot be obtained through no fault of the Contractor.

22.11.b     Certificate of Final Inspection of electrical, telephone, sanitary, mechanical, water, gas, safety and other utilities unless such certificate cannot be obtained through no fault of the Contractor.

22.11.c     Original and three (3) sets of prints of “As-Built Drawings” of Electrical, Sanitary, Gas, Telephone and Mechanical works, if such works are within the scope of the contract.  “As-Built Drawings” are the working drawings showing the system and actual locations of outlets, fixtures, services and equipment that were installed.

22.11.d    Three (3) copies of Directory of Panel Boards and list of circuits.

22.11.e     Three (3) copies of Instructions and Manual for operating and maintaining of fixtures and equipment.

22.11.f     Three (3) copies of keying Schedule.

22.11.g     A Guarantee Bond, equivalent to thirty percent (30%) of the Contract Price covering a period of one year after the Final Acceptance of the work which guarantee the quality of the contract work and materials installed, may be required if the Owner, upon acceptance of the building, releases to the Contractor the Performance Bond and Payment Bond. The Guaranteed Bond shall  be in the form of securities as approved by the Owner.

22.12        ACCEPTANCE AND FINAL PAYMENT: Whenever this Contract, in the opinion of the Architect, has been completely performed on the part of the Contractor, the Architect shall proceed to verify the work, shall make the final estimates, shall certify as to the completion of the work, and shall accept the same.

22.12.a     The Owner shall then, except for causes herein specified, pay to the Contractor promptly, after the execution of said certificate, the remainder of the sum due to the Contractor, excepting therefrom such sum or sums as may be lawfully retained under any of the provision of the Contract; PROVIDED THAT FINAL PAYMENT ON THE CONTRACT SHALL NOT BE MADE UNTIL THE CONTRACTOR HAS SUBMITTED A STATEMENT SWORN TO BEFORE AN OFFICER DULY AUTHORIZED TO ADMINISTER OATH, SHOWING THAT ALL TAXES DUE FROM HIM, AND ALL OBLIG-ATIONS FOR MATERIALS USED AND LABOR EMPLOYED IN CON-NECTION WITH THIS CONTRACT HAVE BEEN DULY PAID; AND PROVIDED, FURTHER that nothing here in contained shall be construed to waive the right of the Architect to reject the whole or any portion of the aforesaid work, should the same be found to have been constructed in violation of the Drawings and Specifications or of any of the conditions or covenants of this Contract within the guarantee period.

22.12.b     The making and acceptance of the final payment shall constitute a waiver of all claims by the Contractor.

22.13        CORRECTION  OF  WORK  AFTER  FINAL  PAYMENT:

22.13.a     Neither the final certificate nor payment nor any provision in the Contract Documents shall relieve the Contractor of responsibility for faulty materials or workmanship and, he shall remedy any defects due thereto and pay for any damage to other work resulting therefrom, which shall appear within a period of one year from the date of acceptance of work by the Owner.

22.13.b     Neither foregoing nor any provision in the contract documents, nor any special-guarantee limit, shall be held to limit the Contractor’s liability for defects and damages and the right of the Owner under the provisions of the New Civil Code, and all laws, regulations and ordinances applicable to the plans and construction of the building.

22.13.c     The Owner shall give notice of observed defects with reasonable promptness.  All questions arising under this article shall be decided by the Architect whose decision shall be subject to arbitration.

22.14        RELEASE OF RETENTION: The amount retained by the Owner under the provision of the Contract shall be released within three (3) months after the date of final payment.

SECTION VII     :        CONTRACTOR-SEPARATE CONTRACTOR-

                             SUB-CONTRACTORS RELATIONS

ARTICLE  23:     SEPARATE CONTRACTS TO OTHER CONTRACTORS

23.01        OWNER’S RIGHT TO LET OTHER CONTRACTS: The Owner reserves to right to let other contracts in connection with this work.

 

 

ARTICLE  24:     CONTRACTOR-SEPARATE CONTRACTORS RELATIONS

24.01        STORAGE OF MATERIALS AND WORK COORDINATION: The Contractor under this Contract shall afford other contractors reasonable opportunity for the introduction and storage of their materials and the execution of their work, and shall property connect and coordinate his work with theirs so as to minimize interference or obstruction in the progress of the work.

24.02        CUTTING, PATCHING AND DIGGING: The Contractor shall do all cutting, fitting or patching of his work that may be required to make its several parts come together properly and fit it to receive or be received by work of other contractors shown upon, or reasonably implied by, the Drawings and Specifications for the completed structure, and he shall make good after them as the Architect may direct.

                 Any cost caused by defective or ill-timed work shall be borne by the party responsible therefor.

                 The Contractor shall not endanger any work by cutting, digging or otherwise and shall not cut or alter the work of any other contractor, except with the consent to the Architect.

24.03        DEFECTIVE WORK BY SEPARATE CONTRACTORS: If any part of the Contractor’s work depends upon the work of any other contractor for proper execution or results, he shall inspect and promptly report to the Architect any defect in such work that renders it unsuitable for such proper execution and result.  His failure to inspect and report shall constitute an acceptance of the other contractor’s work as fit and proper for the reception of his work, except as to defects which may develop in the other contractor’s work after the execution of his work.

                 To ensure the proper execution of his subsequent work, the Contractor shall verify work already in place and shall at once report to the Architect any discrepancy between the executed work and the drawings.

24.04        DAMAGE CAUSED BY CONTRACTOR TO SEPARATE CONTRAC-TORS:  Should the Contractor cause damage to any separate contractor on the work, the Contractor agrees, upon due notice, to settle with such contractor by agreement or arbitration and to relieve the Owner of any liability which may arise therefrom.

 

ARTICLE  25:     SUB-CONTRACTS

25.01        GENERAL:  It is understood and agreed that the entire work called for by this Contract shall not be sublet or sub-contracted.  However, any part thereof or any specialty work therein, may be sublet or sub-contracted, subject to the provision of Article 25.02.  Nothing contained in the Contract Documents shall create any contractual relation between any sub-contractor and the Owner.

25.02        COMPETENCY OF SUB-CONTRACTOR: At least fifteen (15) days prior to the date of  bidding, the Contractor shall seek the Architect’s clarification as to the particular areas or parts of the work for which the competence of the sub-contractor shall be subject to evaluation by the Architect.  Immediately thereafter, the Contractor shall submit to the Architect a list of his prospective sub-contractors for approval.

25.03        CONTRACTOR’S RESPONSIBILITY: The Contractor agrees that he is as fully responsible to the Owner for the acts and omission of his sub-contractors and the persons either directly or indirectly employed by them, as he is for the acts and omissions of persons directly employed by him.

 

ARTICLE  26:     CONTRACTOR-SUB-CONTRACTORS RELATIONS

26.01        THE  CONTRACTOR  AGREES:

26.01.a     To be bound to the Sub-contractor by all the obligations that the Owner assumes to the Contractor under the Agreement, General Conditions, the Drawings and Specifications, and by all the provisions thereof affording remedies and redress to the Contractor from the Owner.

26.01.b     To pay the Sub-contractor, upon the payment of certificates, under the schedule of values as described in Article 22 (Payments) of the General Conditions, the amount allowed to the Contractor on account of sub-contractor’s work to the extent of the Sub-contractor’s interest therein.

26.01.c     To pay the Sub-contractor, to such extent as may be provided by the Contract Documents or the sub-contract.

26.01.d    To pay the Sub-contractor on demand for his work or materials, as far as executed and fixed in place, less the retained percentage, at the time the certificate should be issued, even though the Architect fails to issue it through no fault of the Sub-contractor.

26.01.e     To pay the Sub-contractor a just share of any fire insurance money received by him, the Contractor, under Article 31 (Contractor’s Insurance and Bonds) of the General Conditions.

26.01.f     To make no demands on the Sub-contractor for liquidated damages or penalty for delay in any sum in excess of such amount as may be specifically named in the sub-contract.

26.01.g     To give the Sub-contractor an opportunity to be present and to submit evidence in any arbitration involving his rights.

26.02        THE  SUB-CONTRACTOR  AGREES:

26.02.a     To be bound to the Contractor by the Terms of Agreement, General Conditions of the Contract, the Drawings and Specifications, and to assume toward him all the obligations and responsibility that he, by those documents, assumes toward the Owner.

26.02.b     To submit to the Contractor application for payment in such reasonable time as to enable the Contractor to apply for payment under Article 22 (Payments) of the General Conditions.

26.02.c     To make all claims for extras, for extensions of time, for damages, for delays or otherwise, to the Contractor in the manner provided in the General Conditions of the Contract for like claims by the Contractor upon the Owner, except that the time for making claims for extra cost is one week.

26.03        THE CONTRACTOR AND THE SUB-CONTRACTOR AGREE THAT: In the matter arbitration, their rights and obligations and all procedure shall be analogous to those set forth in the contract; provided, however, that a decision by the Architect shall not be a condition precedent to arbitration.

SECTION VIII   :    SUSPENSION OF WORK AND TERMINATION OF CONTRACT

ARTICLE  27:    CONTRACTOR’S RIGHT TO SUSPEND WORK OR TERMINATE CONTRACT:

                 The Contractor may suspend work or terminate Contract upon fifteen (15) days’ written notice to the Owner and the Architect for any of the following reasons:

27.a          If an order of any court or other public authority caused the work to be stopped or suspended for a period of ninety (90) days through no act or fault of the Contractor or his employees.

27.b          If the Architect should fail to act upon any Request for Payment within fifteen (15) days after it is presented in accordance with the General Condition of the Contract.

27.c          If the Owner should fail to act upon any Request for payment or certificate of payment within (15) days after its certification by the Architect.

27.d         If the Owner should fail to pay the Contractor any sum within thirty (30) days after its award by arbitration.

                 If the Contractor is compelled to suspend work due to hardships or difficulties under b, c, and d above, then the contract sum shall be increased by the amount of the contractor’s reasonable costs of shutdown delay and start up, which shall be effected by appropriate change order.

 

ARTICLE  28:     OWNER’S RIGHT TO TERMINATE CONTRACT

                 The Owner, upon the certification of the Architect that sufficient cause exists to justify his action, may without prejudice to any other right or remedy and after giving the Contractor and his surety, if any, fifteen (15) days’ written notice, terminate the contract with the Contractor and take possession of the premises and of all materials, tools and appliances thereon and finish work by whatever method he may deem expedient.  Sufficient cause to justify termination of the Contract shall deem to exist whenever the Contractor does any of the following:

28.a          Declare bankruptcy, become insolvent or assign his assets for the benefit of his creditors.

                

28.b          Disregard or violate provisions of the Contract Documents or Architect’s instructions, or fail to prosecute the work according to the agreed Schedule of Completion, including extensions thereof.

28.c          Fail to provide a qualified superintendent, competent workmen or sub-contractors, or proper materials.

28.d         Fail to make prompt payment to sub-contractors, workmen or material dealers.

ARTICLE 29:     OWNER’S RIGHT TO PROCEED WORK AFTER TAKEOVER FROM CONTRACTOR

29.01        USE OF MATERIALS AND EQUIPMENT AT SITE: The Contractor, upon receiving notice of the termination of contract, shall vacate possession and deliver the said work, or the parts thereof specified in said notice, peaceable to the Owner.  All materials, plant, appliances and other essential equipment as may be needed by the construction of the project shall, at the option of the Architect, remain on the work until completed, at such rental as may be considered reasonable.

                 In case such materials and/or equipment do not belong to the Contractor, then the Architect shall have the option to retain them for use in the project at the cost of the failing Contractor, or pay reasonable rent for the use,  chargeable against the Contractor.

29.02        OWNER TO COMPLETE WORK: The Owner shall then take over the work and proceed to complete the same by administration or otherwise, and use such tools, appliances and materials of every description as may be found upon the line of said work, or at point where materials are built or framed for the work and also procure such other tools and materials for the completion of the work as may be required.

29.03        EVALUATION OF COST OF WORK: It is agreed and understood that, upon such termination of this Contract, the Architect will ascertain and fix the value of the work completed by the Contractor and not paid for by the Owner and of all usable materials on the line of the work taken over  by the Owner at the time of said termination.

29.03.a     In the event that the total expenditures of the Owner upon completion of the work, including all charges against the project prior to termination of the Contract and compensation for additional architectural managerial and administrative services, are not in excess of the Contract Price, then the difference between the said total expenditures of the Owner and Contract Price may be applied to settle claims filed, and the balance, if any, may be paid to the Contractor.

29.03.b     No amount in excess of the combined value of the unpaid completed work, retained percentage and usable materials taken over by the Owner at the time of the Termination of the Contract shall be paid, nor shall any claim for prospective profits on the work done after termination of the Contract be considered or allowed.

29.03.c     In case of suspension of work, all unpaid work executed, including expenses incurred during suspension, shall be evaluated by the Architect and charged to the Owner.

29.04        OWNER’S RIGHT TO RECOVER LIQUIDATED DAMAGES: Neither the taking over by the Owner of the work for completion by administration nor the re-letting of the same to another Contractor shall be construed as a waiver of the Owner’s rights to recover damages against the original Contractor and/or his sureties for the failure to complete the work as stipulated.

                 In such case, the full extent of the damages for which the Contractor and/or his sureties shall be liable shall be:

29.04.a     The total daily liquidated damages up to and including the day immediately before the date the Owner effectively takes over the work.

29.04.b     The excess cost incurred by the Owner in the completion of the project over the Contract Price.  This excess cost includes cost of architectural managerial and administrative services, supervision and inspection from the time the Owner effectively took over the work by administration or by re-letting same.

SECTION IX :    RESPONSIBILITIES AND LIABILITIES OF CONTRACTOR AND THE OWNER

ARTICLE  30:      CONTRACTOR’S RESPONSIBILITY FOR ACCIDENTS AND DAMAGES

30.01        SAFETY  MEASURES TO BE UNDERTAKEN BY CONTRACTOR: The Contractor shall take all necessary precautions for the safety of employees and workmen on the work, and shall comply with all applicable provisions of city, municipal and national safety laws and building codes and all government rules and regulations, to prevent injury to persons on about or adjacent to the premises where work being performed.  The Contractor shall erect and properly maintain at all times, as required by the conditions and progress of the work, such barriers, shoring, supports, braces, lights, danger signs and necessary safeguards that will protect workmen and the public and that will effectually prevent any accident and damage to property in consequence of his work.

                 The Contractor shall designate a responsible member of his organization on the work, whose duty shall be the prevention of accidents and damage to the Owner’s property and adjoining property.  The name and position of the person so designated shall be reported to the Architect by the Contractor.

     30.02   CONTRACTOR’S RESPONSIBILITY: The Owner shall not be responsible for the death, any disease contracted, or injury received by the Contractor or any of his employees or laborers.  All damages shall be the responsibility of the Contractor.

     30.03   INDEMNITY: The Contractor shall indemnify and exempt the Owner from all losses and all claims, demands, payments, suits, actions, recoveries, and judgment of every nature and description brought or recovered against him, by reason of any act or omission of said Contractor, his agents or employees, in the execution of the work or the guarding of it.

                 Claims for payment and repairs for damages shall be settled by the Contractor at his own expense and to the satisfaction of the Architect and the parties concerned.  In the event of failure of the Contractor to repair at once such damages, and pay other claims, the Owner may repair the same and pay the claims, and deduct the entire cost of such repairs and claims from the payments due the Contractor.

 

ARTICLE  31:     CONTRACTOR’S INSURANCE AND BONDS

31.01        CONTRACTOR’S LIABILITY INSURANCE: The Contractor shall secure and maintain such insurance from an insurance company acceptable to the Owner as will protect himself, his sub-contractors, and the Owner from claims for bodily injury, death or property damage which may arise from operations under this Contract.  The Contractor shall not commence work under the Contract until he has obtained all insurance required under this section and shall have filed the certificate of insurance or the certified copy of the insurance policy with the Owner.  Such insurance policy shall contain a clause providing that it shall not be cancelled by the insurance company without ten (10) days’ written notice to the Owner of the intention to cancel. The amounts of such insurance shall be as agreed upon.

31.02        CONTRACTOR’S FIRE INSURANCE: In addition to such Fire Insurance as the Contractor elects to carry for his work protection, he shall secure and maintain in the name of the Owner  policies upon such structures and materials and in such amount as shall be designated.  These policies shall be secured from a company, which is satisfactory to the Owner and delivered to the Owner.

31.03        CONTRACTOR’S PERFORMANCE AND PAYMENT BONDS: The Contractor, prior to signing the Contract, shall furnish a Performance Bond equal to fifteen percent (15%) of the Contract amount for the faithful performance of his work and fifteen percent (15%) Payment Bond covering payments and obligations arising from his Contract.  Such bonds shall be in the forms of sureties as approved by the Owner.  Such bonds shall remain in effect until replaced by the Contractor’s Guarantee Bond.

31.04        CONTRACTOR’S GUARANTEE BOND: The Performance and Payment Bonds will be released by the Owner after the expiration of two (2) months from the final acceptance of the work and only after the Contractor has furnished the Owner a Guarantee Bond in the amount of thirty percent (30%) of the Total Contract cost.  The Guarantee Bond shall be for a period of one (1) year commencing from the date of acceptance as a guarantee that all materials and workmanship installed under Contract are of good quality.

31.05        CONTRACTOR’S  GUARANTY-WARRANTY:

31.05.a     The Contractor shall, in case of work performed by his sub-contractors and where guarantees are required, secure warranties from said sub-contractors and deliver copies of same to the Owner upon completion of work.

31.05.b     The Contractor shall and thereby warrants all work performed by him directly and for which guarantee are required.

31.05.c     The Contractor shall and thereby warrant and/or guarantee for a period of one year, or for longer periods where so provided in Specifications, as evidenced by date of final certificate issued by the Architect, that all materials and workmanship installed under Contract to be of good quality in every respect and to remain so for periods described herein.

31.05.d    Should any defects develop in aforesaid work, within the specified periods, due to faults in material and/or workmanship, the Contractor thereby agrees to make all repairs and do all necessary work to correct defective work to the Architect’s satisfaction.  Such repairs and corrective works shall be done without cost to the Owner and at entire cost and expense of the Contractor within five (5) days after written notice to the Contractor by the Owner.

31.05.e     In case the Contractor fails to do the work, so ordered, the Owner may have the work done and charge the cost thereof against any amount retained as provided for in the Agreement and, if said retained monies shall be insufficient to pay such cost, or if no money is available, the Contractor and his sureties agree to pay to the Owner the cost of such work.

31.05.f     All the foregoing are without prejudice to the right of the Owner under the New Civil Code, and other laws now or hereafter that may be applicable.

ARTICLE  32:     OWNER’S  RESPONSIBILITIES  AND  LIABILITIES

32.01        PROTECTION OF EMPLOYEES AND PROFESSIONALS PER-FORMING SERVICES FOR THE OWNER: The Owner shall be responsible for and shall maintain such insurance as will protect him for personal injury including disease and death of persons under his employ or services, temporary or permanent in status, that are assigned for the project.

                 Prior to the start of the construction, the Owner and the Architect shall give a list of personnel assigned to the project who need to be covered by insurance and with the corresponding amount of coverage.

32.02        OWNER’S OPTIONAL INSURANCE: The Owner, at his option, may maintain such insurance that will protect him from his contingent liability for damages, for personal injury, including death, which may arise from the operations under this Contract, and any other liability for damages, which the Contractor is required to insure under any provision of this Contract.

 

ARTICLE  33:     LIENS, DISPUTES AND ARBITRATION

33.01        LIENS: Neither the final payment nor any part of the retained percentage shall become due until the Contractor, if required, shall deliver to the Owner a complete release of all liens arising out of this Contract, or receipts in full in lieu thereof and, if required in either case, an affidavit that, so far as he has knowledge or information, the releases and receipts include all the labor and materials for which a lien could be filed. The Contractor may, if any sub-contractor refuses to furnish a release or receipt in full, furnish a bond satisfactory to the Owner, to indemnify him against any lien.  If any lien remain unsatisfied after all payments are made, the Contractor shall refund to the Owner all monies that the latter may be completed to pay in discharging such lien, including all costs and a reasonable attorney’s fee.

33.02        ASSIGNMENT:

33.02.a     This Contract shall not be assigned in whole or in part by the contractor nor shall any part of the work be sublet by the Contractor without the prior written consent of the Owner and such consent shall not relieve the Contractor from full responsibility for the work hereunder and for the due performance of all the terms and conditions of the Contract.

33.02.b     The Owner’s consent to any subletting of work hereunder shall not be granted in any event until the Contractor has furnished the Owner with satisfactory evidence that the sub-contractor is carrying ample insurance to the same extent and in the same manner as is herein provided to be furnished by the Contractors.

33.02.c     If the Contract is assigned or any part thereof is sublet, the  Contractor shall exonerate, indemnify and exempt the Owner from and against any and all loss or expense  caused thereby.

33.02.d    In case of any such transfer without the previous written consent of the Owner, the Owner may refuse to carry out the Contract either with the transferor or transferee; but all rights of action for any breach of this Contract by the Contractor shall be reserved to and remain within said Owner.

33.03        DAMAGES: Should either party to this Contract suffer damages because of any wrongful act or neglect of the other party or of anyone employed by him, claim shall be made in writing to the party liable within a reasonable time of the first observance of such damage and not later than the final payment, except as expressly stipulated  otherwise in the case of faulty work or materials, and shall be adjusted by agreement or arbitration.

33.04        DISPUTES:

33.04.a     The Architect shall, within a reasonable time, make decisions on all claims of the Owner or Contractor and on all matters relating to the execution and progress of the work or the interpretation of the Contract Documents.

33.04.b     Except as otherwise specifically provided in the Contract, all disputes concerning questions of fact arising under the Contract shall be decided by the Architect, whose decision shall be final and conclusive upon the parties thereto.

33.04.c     The Architect’s decisions shall be final, if within the terms of the Contract Documents.

33.04.d    If, however, the Architect fails to render a decision within fifteen  (15) days after the parties have presented their evidence, either party may then demand arbitration.  If the Architect renders a decision after arbitration proceedings have been initiated, such decision may be entered as evidence, but shall not disturb or interrupt such proceedings, except where such decision is acceptable to the parties concerned.

33.05        ARBITRATION: All disputes, claims or questions subject to arbitration under this Contract shall be settled in accordance with the provision of this article.

33.05.a     Notice of the demand for arbitration of a dispute shall be filed in duplicate, one copy with the other party to the Contract and another copy filed with the Architect.  The demand for arbitration shall be made within a reasonable time after the dispute has arisen.  In no case, however, shall the demand be made later than the time of final payment, except as otherwise expressly stipulated in the contract.

33.05.b     When formal arbitration is requested, a Board of Arbitration shall be formed in the following manner.  The Owner and the Contractor shall each appoint one member of this board and these members shall appoint a third member, who shall act as chairman.  No one with a financial interest in the subject under arbitration will be permitted to serve on this board.  This board may engage experts to act in an advisory capacity.  Minutes shall be kept of all meetings and signed by all members of this board.  Decisions of the board shall require only a simple majority and all interested parties shall be informed thereof.  Expenses of the Board shall be paid in accordance with the agreement set forth before the proceedings of the board.

33.05.c     It is mutually agreed that the decision of the arbitrators shall be a condition precedent to any right of legal action that either party may have against the other.  The Contractor shall not cause a delay of the work during any arbitration proceedings, except by agreement with the Owner.

SECTION X   :    AUTHORITY OF ARCHITECT, ENGINEERS AND PROJECT REPRESENTATIVES

ARTICLE  34     :     ARCHITECT’S STATUS

34.a          The Architect shall be the Owner’s representative during the construction period and he shall observe the work in progress in behalf of the Owner.  He shall have authority to act in behalf of the Owner, only to the extent expressly provided in the Contract Documents.  He shall have authority to stop the work whenever such stoppage may be necessary, in his reasonable opinion, to ensure the proper execution of the Contract.  The Architect’s failure to stop the work does not relieve the Contractor from his responsibility of complying with the Contract Documents and from the sole responsibility of protecting persons on, about, or adjacent to the premises against injury and death, where work is being performed. It does not relieve him also of his responsibility of protecting the Owner’s property and adjoining property against damage.

34.b          The Architect shall decide any and all questions that may arise as to the quality and acceptability of materials furnished, the work performed, the manner of performance and the rate of progress of work. He shall decide all questions that may arise as to the interpretation of the Drawings and Specifications, and all questions as to the acceptable fulfillment of the terms of the Contract.

34.c          As the Architect is, in the first instance, the interpreter of the conditions of the Contract and the judge of its performance, he shall side neither with the Owner nor with the Contractor, but shall use his powers, under the Contract, to enforce its faithful performance by both.

34.d         In case of the termination of the employment of the Architect, the Owner shall appoint a capable and reputable Architect, whose status under the Contract shall be as that of the former Architect. Any dispute in connection with such appointment shall be subject to arbitration.

 

ARTICLE  35:    AUTHORITY AND RESPONSIBILITIES OF THE ENGINEERS

35.a          The Engineers shall be solely responsible for their respective designs, computations and other professional services they rendered in connection with the preparation of Drawings and Specifications.  They shall assist the Architect in the general supervision and direction of that particular portion of the work where their professional services are concerned.

35.b          The Engineers shall inspect the work for conformance with the approved Drawings and Specifications and shall report to the Architect any discrepancy between such work and said Drawings and Specifications.  They shall make recommendations when necessary and as required consistent with the ethics of the profession.

35.c          The Engineers shall perform any professional service necessary for he accomplishment of the work subject to the terms and conditions of the inter-professional agreement between the Architect and the Engineers or any existing contract affecting or relative to the project.

ARTICLE 36 :     AUTHORITY AND DUTIES OF THE PROJECT REPRESENTATIVES , RESIDENT ARCHITECTS, RESIDENT ENGINEERS OR CONSTRUCTION INSPECTORS

36.01        EMPLOYED BY THE OWNER: Technically qualified men, referred to as Project Representatives, Resident Architects, Resident Engineers or Construction Inspectors, who have been recommended by the Architect and employed by the Owner, may be stationed on the Project to assist the Architect and the Engineer in the general supervision and direction of the Work.

36.02        DUTIES: The duties of the Project Representatives, Resident Architects, Resident Engineers and Construction Inspectors are stipulated in the Special Provision of the Contract.

36.03        DISPUTES: In case of any dispute arising between the Project Representative, Resident Architect, Resident Engineer, or Construction Inspector, and the Contractor, they shall have authority to reject materials or suspend the work until the question at issue can be referred to and decide by the Architect.

                 Nothing in the provision of this article will relieve the Contractor from the responsibility of performing the work in accordance with the Drawings, Specifications and other Contract Documents.

SECTION XI    :        SCHEDULE OF TIME LIMITS

The Contractor performs his work subject to certain Time Limits.  This indexed section, as based on the entire General Conditions, is provided for in order to facilitate the execution of his work.

ITEM NO.	TITLE	TIME   LIMIT	REFERENCE ARTICLE NO.
1	CONTRACT  TIME
1.1	Contract Time Reckoning	To commence on the 7th day from receipt of “Notice to Proceed”	21.02
1.2	Request for Time Extension	To be filed within 15 days from occurrence of delay	21.04 a
1.3	Beginning, Suspending or Resuming of Work	Written notice to be given to Architect at least 10 days prior to beginning, suspending (except in case of accident), or resuming the work	21.04 f
1.4	Other Related Matters: a)   Request for supply of  Owner-furnished materials	Written request to be made 10 days before they are actually needed	21.04 a
	b)   Claim for Delay	No claim for delay shall be allowed on account of failure to furnish drawings until two weeks after demand for such drawings	21.04 d
2	CONTRACT  SUM
2.1	Contract Sum Breakdown	To be submitted within 15 days from the receipt of  “Notice to Proceed”	22.01
2.2	Claim for Extra Cost	Notice to be given to Architect within 15 days: 1)      after receipt of instruction involving extra cost, or 2)     after recognition of delay due to Owner’s fault	20.08
3	PROGRESS  PAYMENT
3.1	Architect’s  Action on Payment	To be made within 15 days after receipt of request for payment	22.04
3.2	Owner’s Action on Payment Request	To act within 15 days from date of Architect’s approval of the Payment Request	22.07
3.3	Release of Retention	To be released within 3 months after date of final payment	22.14
4	CORRECTION  OF  WORK
4.1	Correction Before Final Payment	Contractors to promptly remove from the premises all work condemned by Architect as failing to conform to the Contract, whether incorporated or not, and promptly replace and re-execute his own work in accordance with the Contract without expense to the Owner.       If  Contractor fails to remove condemned work within a reasonable time from notice, Owner may remove and store the same at Contractor’s expense.       Contractor must pay expenses within 10 days from removal by the Owner. In default thereof, the Owner may sell the materials after 10 days, from written notice of intent to sell.	22.10
4.2	Correction After Final Payment	Contractor should remedy any defect due to fault materials or workmanship, which may appear within a period of one year from date of acceptance of work by Owner	22.13 a
		Repairs and corrective work at the expense of Contractor should be done within 5 days after written notice by Owner.	31.05 d
5	SUB-CONTRACTOR’S  CLAIM  FOR  EXTRA  COST
	Sub-contractor’s Claim for Extra Cost	Sub-contractor may make all claims for extras, for extension of time , for damages, for delays or otherwise from the Contractor in the manner provided for in the General Conditions of the Contract for like claims by the Contractor upon the Owner, except that the time for making such claims for extra cost is one week.	26.02 c
6	CONTRACTOR’S  RIGHT  TO  SUSPEND  WORK  OR TERMINATE  CONTRACT
	Contractor’s Right to Suspend Work or Terminate Contract	Contractor may suspend work or terminate Contract upon 15 days written notice to Owner and Architect, due to any of the following reasons: 1)  If any court or public authority orders work to be stopped or suspended for 90 days through no fault of the Contractor or his employees. 2)  If Architect fails to act upon request for payment within 15 days after presentation 3)  If Owner fails to act upon request for payment within 15 days after Architect’s certification 4)  If Owner fails to pay Contractor the agreed sum within 30 days after its reward by arbitrators	27
7	OWNER’S  RIGHT  TO  TERMINATE  CONTRACT
	Owner’s Right to Terminate Contract	The Owner may terminate Contract after giving 15 days written notice to the Contractor or his Surety  if  Contractor should: 1)  Declare bankruptcy, become insolvent or assign his assets for the benefit of his creditors 2)  Disregard or violate provisions of the Contract Documents or Architect’s  instructions 3)  Fail to provide superintendent, workmen, sub-contractors, or proper materials 4)  Fail to make prompt payment to sub-contractors, workmen or material dealers	28
8	DISPUTES
	Disputes	If Architect fails to render a decision within 15 days after parties have presented their evidence, either party may demand arbitration.	33.04 d
9	BONDS  AND  INSURANCES
	Cancellation	Insurance policy shall not be cancelled by insurance company without 10 days written notice to Owner of intention to cancel	31.01
9.2	Contractor’s Performance and Payment Bond	Such bonds shall remain in effect until replaced by the Contractor’s Guarantee Bond	31.03
9.3	Contractor’s Guarantee Bond	To be furnished to the Owner after expiration of Performance and Payment Bonds and shall be effective for a period of one year commencing from the date of acceptance as a guarantee that all materials and workmanship installed are of good quality	31.04