.3 because the Architect has not issued a Certificate for Payment and has not notified the Contractor of
<br /> the reason for withholding certification as provided in Section 9 .4. 1 , or because the Owner has not
<br /> made payment on a Certificate for Payment within the time stated in the Contract Documents ; or
<br /> .4 the Owner has failed to furnish to the Contractor promptly, upon the Contractor' s request, reasonable
<br /> evidence as required by Section 2 .2 . 1 .
<br /> § 14. 1 .2 The Contractor may terminate the Contract if, through no act or fault of the Contractor or a Subcontractor,
<br /> Sub-subcontractor or their agents or employees or any other persons or entities performing portions of the Work
<br /> under direct or indirect contract with the Contractor, repeated suspensions , delays or interruptions of the entire Work
<br /> by the Owner as described in Section 14 .3 constitute in the aggregate more than 100 percent of the total number of
<br /> days scheduled for completion, or 120 days in any 365 -day period, whichever is less .
<br /> § 14. 1 .3 If one of the reasons described in Section 14 . 1 . 1 or 14 . 1 . 2 exists, the Contractor may, upon seven days '
<br /> written notice to the Owner and Architect, terminate the Contract and recover from the Owner payment for Work
<br /> properly executed and for payment of reasonable costs directly related to Work thereafter performed by Contractor
<br /> in terminating the Contract, including reasonable, documented demobilization and cancellation charges, and proven
<br /> loss with respect to materials, equipment, tools, and construction equipment and machinery, including reasonable
<br /> everhead,overhead and profit thereon. Demobilization and cancellation charges will include costs incurred by the
<br /> Contractor to relocate and damages reassign employees including reasonable direct and indirect labor costs .
<br /> Contractor will diligently pursue reassignment of staff and in no case will charge more than 10 weeks of personnel
<br /> costs per person assigned to the project after termination of Contract.
<br /> § 14. 1 .4 If all of the Work is stopped for a period of 60 consecutive days through no act or fault of the Contractor or
<br /> a Subcontractor or their agents or employees or any other persons performing portions of the Work under contract
<br /> with the Contractor because the Owner has persistently failed to fulfill the Owner' s obligations under the Contract
<br /> Documents with respect to matters important to the progress of the Work, the Contractor may, upon seven additional
<br /> days ' written notice to the Owner and the Architect, terminate the Contract and recover from the Owner as provided
<br /> in Section 14. 1 . 3 .
<br /> § 14.2 TERMINATION BY THE OWNER FOR CAUSE
<br /> § 14.2.1 The Owner may terminate the Contract if the Contractor:
<br /> . 1 persistently or repeatedly refuses or fails to supply enough properly skilled workers or proper
<br /> materials ;
<br /> .2 fails to make payment to Subcontractors for materials or labor in accordance with the respective
<br /> agreements between the Contractor and the Subcontractors ;
<br /> .3 persistently disregards laws, ordinances, or rules, regulations or orders of a public authority having
<br /> jurisdiction; or
<br /> .4 otherwise is guilty of substantial breach of a material provision of the Contract Documents .
<br /> § 14.2.2 When any of the above reasons exist, the Owner, upon certification by the Architect that sufficient cause
<br /> exists to justify such action, may without prejudice to any other rights or remedies of the Owner and after giving the
<br /> Contractor and the Contractor' s surety, if any, sevei3-fifteen ( 15 ) days ' written notice, terminate employment of the
<br /> Contractor and may, subject to any prior rights of the surety :
<br /> .1 take possession of the site and of all materials, equipment, tools, and construction equipment and
<br /> machinery thereon owned by the Contractor;
<br /> .2 accept assignment of subcontracts pursuant to Section 5 .4 ; and
<br /> .3 finish the Work by whatever reasonable method the Owner may deem expedient. Upon request of the
<br /> Contractor, the Owner shall furnish to the Contractor a ad an accounting of the costs incurred by
<br /> the Owner in finishing the Work.
<br /> § 14.2.3 When the Owner terminates the Contract for one of the reasons stated in Section 14 .2. 1 , the Contractor shall
<br /> not be entitled to receive further payment until the Work is finished.
<br /> § 14.2.4 If the unpaid balance of the Contract Sum exceeds costs of finishing the Work, including compensation for
<br /> the Architect' s services and expenses made necessary thereby, and other damages incurred by the Owner and not
<br /> expressly waived, such excess shall be paid to the Contractor. If such costs and damages exceed the unpaid balance,
<br /> the Contractor shall pay the difference to the Owner. The amount to be paid to the Contractor or Owner, as the case
<br /> AIA Document A201TM — 1997. Copyright ® 1911 , 1915, 1918, 1925, 1937, 1951 , 1958 , 1961 , 1963 , 1966, 1967, 1970, 1976, 1987 and
<br /> 1997 by The
<br /> American Institute of Architects. All rights reserved. WARNING : This AIA® Document is protected by U.S. Copyright Law and International Treaties.
<br /> 41
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<br /> No. 1000126313_1 which expires on 6/29/2005, and is not for resale.
<br /> User Notes: (3418817618)
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