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substitute <br />for or a <br />waiver of the <br />provisions of any applicable <br />statute of <br />limitation <br />or repose. <br />the Agreement. <br />13.08 Acceptance of Defective Work <br />A. If, instead of requiring correction or removal and <br />replacement of defective Work, OWNER (and, prior to <br />ENGINEER's recommendation of final payment, ENGINEER) <br />prefers to accept it, OWNER may do so. CONTRACTOR shall <br />pay all Claims, costs, losses, and damages (including but not <br />limited to all fees and charges of engineers, architects, <br />attorneys, and other professionals and all court or arbitration or <br />other dispute resolution costs) attributable to OWNER's <br />evaluation of and determination to accept such defective Work <br />(such costs to be approved by ENGINEER as to <br />reasonableness) and the diminished value of the Work to the <br />extent not otherwise paid by CONTRACTOR pursuant to this <br />sentence. If any such acceptance occurs prior to ENGINEER's <br />recommendation of final payment, a Change Order will be <br />issued incorporating the necessary revisions in the Contract <br />Documents with respect to the Work, and OWNER shall be <br />entitled to an appropriate decrease in the Contract Price, <br />reflecting the diminished value of Work so accepted. If the <br />parties are unable to agree as to the amount thereof, OWNER <br />may make a Claim therefore as provided in paragraph 10.05. If <br />the acceptance occurs after such recommendation, an <br />appropriate amount will be paid by CONTRACTOR to OWNER. <br />13.09 OWNER May Correct Defective Work <br />A. If CONTRACTOR fails within a reasonable time after <br />written notice from ENGINEER to correct defective Work or to <br />remove and replace rejected Work as required by ENGINEER <br />in accordance with paragraph 13.06.A, or if CONTRACTOR <br />fails to perform the Work in accordance with the Contract <br />Documents, or if CONTRACTOR fails to comply with any other <br />provision of the Contract Documents, OWNER may, after seven <br />days written notice to CONTRACTOR, correct and remedy any <br />such deficiency. <br />B. In exercising the rights and remedies under this <br />paragraph, OWNER shall proceed expeditiously. In connection <br />with such corrective and remedial action, OWNER may exclude <br />CONTRACTOR from all or part of the Site, take possession of <br />all or part of the Work and suspend CONTRACTOR's services <br />related thereto, take possession of CONTRACTOR's tools, <br />appliances, construction equipment and machinery at the Site, <br />and incorporate in the Work all materials and equipment stored <br />at the Site or for which OWNER has paid CONTRACTOR but <br />which are stored elsewhere. CONTRACTOR shall allow <br />OWNER, OWNER's representatives, agents and employees, <br />OWNER's other contractors, and ENGINEER and ENGINEER's <br />Consultants access to the Site to enable OWNER to exercise <br />the rights and remedies under this paragraph. <br />C. All Claims, costs, losses, and damages (including but <br />not limited to all fees and charges of engineers, architects, <br />attorneys, and other professionals and all court erarbitratior or <br />other dispute resolution costs) incurred or sustained by <br />OWNER in exercising the rights and remedies under this <br />paragraph 13.09 will be charged against CONTRACTOR, and a <br />Change Order will be issued incorporating the necessary <br />revisions in the Contract Documents with respect to the Work; <br />and OWNER shall be entitled to an appropriate decrease in the <br />Contract Price. If the parties are unable to agree as to the <br />amount of the adjustment, OWNER may make a Claim <br />therefore as provided in paragraph 10.05. Such claims, costs, <br />losses and damages will include but not be limited to all costs of <br />repair, or replacement of work of others destroyed or damaged <br />by correction, removal, or replacement of CONTRACTOR's <br />defective Work. <br />D. CONTRACTOR shall not be allowed an extension of <br />the Contract Times (or Milestones) because of any delay in the <br />performance of the Work attributable to the exercise by <br />OWNER of OWNER's rights and remedies under this <br />paragraph 13.09. <br />ARTICLE 14 - PAYMENTS TO CONTRACTOR AND <br />COMPLETION <br />14.01 Schedule of Values <br />A. The schedule of values established as provided in <br />paragraph 2.07.A will serve as the basis for progress payments <br />and will be incorporated into a form of Application for Payment <br />acceptable to ENGINEER. Progress payments on account of <br />Unit Price Work will be based on the number of units <br />completed. <br />14.02 Progress Payments <br />A. Applications for Payments <br />1.At least 20 days before the date established for <br />each progress payment (but not more often than once a <br />month), CONTRACTOR shall submit to ENGINEER for <br />review an Application for Payment filled out and signed <br />by CONTRACTOR covering the Work completed as of <br />the dale of the Application and accompanied by such <br />supporting documentation as is required by the Contract <br />Documents. If payment is requested on the basis of <br />materials and equipment not incorporated in the Work <br />but delivered and suitably stored at the Site or at <br />another location agreed to in writing, the Application for <br />Payment shall also be accompanied by a bill of sale, <br />invoice, or other documentation warranting that <br />OWNER has received the materials and equipment free <br />and clear of all Liens and evidence that the materials <br />and equipment are covered by appropriate property <br />insurance or other arrangements to protect OWNER's <br />interest therein, all of which must be satisfactory to <br />OWNER. <br />2.Beginning with the second Application for <br />Payment, each Application shall include an affidavit of <br />-CONTRACTOR stating that all previous progress <br />payments received on account of the Work have been <br />applied on account to discharge CONTRACTOR's <br />legitimate obligations associated with prior Applications <br />for Payment. <br />3.The amount <br />of <br />retainage with <br />respect to pro- <br />gress payments will <br />be <br />as stipulated in <br />the Agreement. <br />B. Review of Applications <br />1.ENGINEER will, within 10 days after receipt of <br />each Application for Payment, either indicate in writing a <br />recommendation of payment and present the <br />00700 General Conditions (EJCDC).doc <br />00700-30 <br />J M 029 12 Inch W M - Vera lake Contract Specifications9I0700 Geneml Conditions (EfCDC).doc <br />