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40 <br />i under this paragraph. All direct, indirect and consequential costs of OWNER in exercising <br />such rights and remedies will be charged against CONTRACTOR in an amount approved as <br />to reasonableness by ENGINEER, and a Change Order will be issued incorporating the <br />necessary revisions in the Contract Documents with respect to the Work; and OWNER shall <br />be entitled to an appropriate decrease in the Contract Price, and, if the parties are unable to <br />agree as to the amount thereof, OWNER may make a claim therefor as provided in Article 11. <br />Such direct, indirect and consequential costs will include but not be limited to fees and <br />charges of engineers, architects, attorneys and other professionals, all court and arbitration <br />costs and all costs of repair and replacement of work of others destroyed or damaged by <br />correction, removal or replacement of CONTRACTOR's defective Work. CONTRACTOR <br />1 shall not be allowed an extension of the Contract Time because of any delay in performance <br />of the Work attributable to the exercise by OWNER of OWNER's rights and remedies <br />hereunder. <br />ARTICLI 11- PA ENIS TO CONTRACTOR AND COMPLETION <br />i <br />Schedule of Values: <br />14.1 The schedule of values established as provided in paragraph 2.9 will serve as the basis for <br />progress payments and will be incorporated into a form of Application for Payment acceptable <br />to ENGINEER. Progress payments on account of Unit Price Work will be based on the <br />number of units completed. <br />i Application for Progress Payment: <br />14.2 At least twenty (20) days before each progress payment is scheduled (but not more often than <br />once a month), CONTRACTOR shall submit to ENGINEER for review an Application for <br />Payment filled out and signed by CONTRACTOR covering the Work completed as of the <br />date of the Application and accompanied by such supporting documentation as is required by <br />the Contract Documents. If payment is requested on the basis of materials and equipment not <br />j incorporated in the Work but delivered and suitably stored at the site or at another location <br />agreed to in writing, the Application for Payment shall also be accompanied by a bill of sale, <br />invoice or other documentation warranting the OWNER has received the materials and <br />l_. equipment free and clear of all liens, charges, security interests and encumbrances (which are <br />hereinafter in these General Conditions referred to as "Liens") and evidence that the materials <br />and equipment are covered by appropriate property insurance and other arrangements to <br />protect OWNER's interest therein, all of which will be satisfactory to OWNER. The amount <br />of retainage with respect to progress payments will be as stipulated in the Agreement. <br />CONTRACTOWs Warranty of Title: <br />14.3 CONTRACTOR warrants and guarantees that title to all Work materials and equipment <br />covered by any Application for Payment, whether incorporated in the Proj ect or not, will pass <br />to OWNER no later than the time of payment, free and clear of all Liens. <br />Review of Applications for Progress Payment: <br />M L <br />GENERAL CONDITIONS <br />GC35 <br />