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2. INVOICING & PAYMENTS. Johnson may invoice Purchaser monthly for all materials delivered to the job site or to an off-site storage facility and <br /> for all work performed on-site and off-site. Purchaser shall pay Johnson at the time purchaser signs this agreement an advance payment <br /> equal to <br /> 10 % of the contract price, which advance payment shall be credited against the final payment (but not any progress payment) due hereunder <br /> and <br /> purchaser agrees to pay Johnson additional amounts invoiced upon receipt of the invoice. Waivers of lien will be furnished upon request, as the <br /> work <br /> progresses, to the extent payments are received. If Johnson's invoice is not paid within 30 days of its issuance, it is delinquent. <br /> 3 . MATERIALS. If the materials or equipment included in this proposal become temporarily or permanently unavailable for reasons beyond the control <br /> and without the fault of Johnson, then in the case of such temporary unavailability, the time for performance of the work shal I be extended to <br />the extent <br /> thereof, and in the case of permanent unavailability, Johnson shall (a) be excused from furnishing said materials or equipment, and (b) be reimbursed <br /> for the difference between the cost of the materials or equipment permanently unavailable and the cost of a reasonably available substitute therefor. <br /> 4 . WARRANTY. Johnson warrants that the equipment manufactured by it shall be free from defects in material and workmanship arising from normal <br /> usage for a period of one ( 1 ) year from delivery of said equipment, or if installed by Johnson, for a period of one ( 1 ) year from installation. <br /> Johnson <br /> warrants that for equipment furnished and/or installed but not manufactured by Johnson, Johnson will extend the same warranty terms and conditions <br /> which Johnson receives from the manufacturer of said equipment. For equipment installed by Johnson, if Purchaser provides written notice to Johnson <br /> of any such defect within thirty (30) days after the appearance or discovery of such defect, Johnson shall, at its option, repair or replace <br />the defective <br /> equipment. For equipment not installed by Johnson, if Purchaser returns the defective equipment to Johnson within thirty (30) days after appearance <br /> or discovery of such defect, Johnson shall, at its option, repair or replace the defective equipment and return said equipment <br /> to Purchaser. All <br /> transportation charges incurred in connection with the warranty for equipment not installed by Johnson shall be borne by Purchaser. These warranties <br /> do not extend to any equipment which has been repaired by others, abused, altered or misused, or which has not been properly <br /> and reasonably <br /> maintained. THESE WARRANTIES ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, BUT NOT <br /> LIMITED TO, THOSE OF MERCHANTABILITY AND FITNESS FOR A SPECIFIC PURPOSE . <br /> 5 . LIABILITY. Johnson shall not be liable for any special, indirect or consequential damages arising in any manner from the equipment <br /> or material <br /> furnished or the work performed pursuant to this agreement. <br /> 6 . TAXES. The price of this proposal does not include duties, sales, use, excise, or other similar taxes, unless required by federal, <br /> state or local law. <br /> Purchaser shall pay, in addition to the stated price, all taxes not legally required to be paid by Johnson or, alternatively, shall <br /> provide Johnson with <br /> acceptable tax exemption certificates. Johnson shall provide Purchaser with any tax payment certificate upon request and after <br />completion and <br /> acceptance of the work . <br /> 7. DELAYS. Johnson shall not be liable for any delay in the performance of the work resulting from or attributed to acts or <br /> circumstances beyond <br /> Johnson's control, including, but not limited to, acts of God, fire, riots, labor disputes, conditions of the premises, acts or omissions <br />of the Purchaser, <br /> Owner, or other Contractors or delays caused by suppliers or subcontractors of Johnson, etc. <br /> 8 . COMPLIANCE WITH LAWS. Johnson shall comply with all applicable federal, state and local laws and regulations and shall obtain all temporary <br /> licenses and permits required for the prosecution of the work. Licenses and permits of a permanent nature shall be procured <br />and paid for by the <br /> Purchaser. <br /> 9 . DISPUTES. All disputes involving more than $ 15 ,000 shall be resolved by arbitration in accordance with the rules of the <br /> American Arbitration <br /> Association. The prevailing party shall recover all legal costs and attorney's fees incurred as a result. Nothing here shall <br /> limit any rights under <br /> construction lien laws. <br /> 10 . INSURANCE. Insurance coverage in excess of Johnson's standard limits will be famished when requested and required. No credit will be given <br /> or <br /> premium paid by Johnson for insurance afforded by others. <br /> 11 . INDEMNITY, The Parties hereto agree to indemnify each other from any and all liabilities, claims, expenses, losses or damages, including attorneys' <br /> fees, which may arise in connection with the execution of the work herein specified and which are caused, in whole or in part, by the negligent <br /> act or <br /> omission of die-indemnifying Party . <br /> 12 . OCCUPATIONAL SAFETY AND HEALTH, The Parties hereto agree to notify each other immediately upon becoming aware of an inspection <br /> under, or any alleged violation of, the Occupational Safety and Health Act relating in any way to the project or project site. <br /> 13 . ENTIRE AGREEMENT. This proposal, upon acceptance, shall constitute the entire agreement between the parties and supersedes <br />any prior <br /> representations or understandings. <br /> 14 . CHANGES. No change or modification of any of the terms and conditions stated herein shall be binding upon Johnson unless accepted by Johnson <br /> in <br /> writing. <br /> Page 3 of 3 <br />