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Bond satisfactory to OWNER to secure the <br /> satisfaction and discharge of such Liens ; <br /> c . there are other items entitling OWN - <br /> ER to a set-off against the amount <br /> recommended ; or <br /> d . OWNER has actual knowledge of the <br /> occurrence of any of the events enumerated <br /> in paragraphs 14 . 02 . B . 5 . a through <br /> 14 . 02 . B . 5 . c or paragraph 15 . 02 .A . <br /> 2 . If OWNER refuses to make payment <br /> of the full amount recommended by <br /> ENGINEER , OWNER must give <br /> CONTRACTOR immediate written notice (with <br /> a copy to ENGINEER) stating the reasons for <br /> such action and promptly pay CONTRACTOR <br /> any amount remaining after deduction of the <br /> amount so withheld . OWNER shall promptly <br /> pay CONTRACTOR the amount so withheld , or <br /> any adjustment thereto agreed to by OWNER <br /> and CONTRACTOR , when CONTRACTOR <br /> corrects to OWNER' s satisfaction the reasons <br /> for such action . <br /> 3 . If it is subsequently determined that <br /> OWNER' s refusal of payment was not justified , <br /> the amount wrongfully withheld shall be treated <br /> as an amount due as determined by paragraph <br /> 14 . 02 . C . 1 . <br /> 14 . 03 CONTRACTOR 's Warranty of Title <br /> A . CONTRACTOR warrants and guarantees <br /> that title to all Work , materials , and equipment covered <br /> by any Application for Payment, whether incorporated <br /> in the Project or not, will pass to OWNER no later than <br /> the time of payment free and clear of all Liens . <br /> 00700 - General Conditions REV 04-07.doc <br /> 00700 - 40 <br /> F:\Engineering\Special Projects\Enclave Subdivision\Contract Documents\Contract Documents\The Enclave.doc\00700 - General Conditions REV 04-07 .doc <br />