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schedules. The Completing Contractor warrants and agrees that it will enter into a Completion Contract with the Owner in the form attached as Exhibit "A" for completion of the Original Contract. The Completing Contractor and the Owner agree that the Surety shall have no responsibility for making any payments to the Completing Contractor, for any changes to the Original Contract, or for any claims whatsoever by the Completing Contractor, its subcontractors, laborers, materialmen and suppliers or arising out of or related to the work of the Completing Contractor, who is providing a bond to the Owner. Surety, Owner and Completing Contractor agree that there shall be an allowance of up to $60,000.00 for the correction of any latent defects discovered after the date of this Agreement in the work previously performed by Original Contractor (the "Latent Defect Allowance"). Surety shall not be required to fund the Latent Defect Allowance or any part thereof unless or until (1) the Surety is given notice of the latent defect and 5 (five) business days to inspect the alleged latent defect; (2) Completing Contractor provides Surety with the actual cost (materials and labor) with supporting quotations for the work; and (3) Surety approves the work under the Latent Defect Allowance, in writing, which approval shall not be unreasonably withheld and provided within three (3) days of receipt of all information. Completing Contractor agrees that its mark-up of the actual cost of work under the Latent Defect Allowance for fee/overhead/profit and general conditions shall be limited to 15% of the actual cost of the work. Within ten (10) business days of the Surety's approval of work under the Latent Defect Allowance, Surety will tender the approved amount to Owner. Owner shall be solely responsible for paying Completing Contractor for work under the Latent Defect Allowance and nothing herein shall create a direct claim by Completing Contractor against Surety. 4. Payment by Surety. Within ten (10) business days of the Owner providing to the Surety an executed copy of this Agreement, Surety shall pay to the order of the Owner, the sum of $279,640.00 (the "Surety Payment"), which represents the difference between the Undisputed Contract Balance and the Completion Contract Sum to provide the Owner with funds to complete the Original Contract. The Surety Payment shall reduce the Penal Sum of the Bond, dollar for dollar. In addition, any payments made by the Surety under the Latent Defect Allowance shall reduce the Penal Sum of the Bond, dollar for dollar. 5. No Further Responsibility of Surety. In the event of any default by the Completion Contractor under the terms of the Completion Contract, the Owner agrees to make demand and look solely to the Completion Contractor and the Completion Contractor's Bond surety for performance of its obligations, and the Owner shall make no further demands and assert no further liability related to the Original Contract upon the Surety, except for latent defects in work performed by the Original Contractor discovered after the date of this Agreement (the "Latent Defect Reservation"). The Owner warrants that it is not currently aware of any defects or deficiencies in work performed by the 3