GENERAL CONDITIONS OF THE CONTRACT 1. DEFINITIONS: 1.1 The Contract Documents consist of the following: a. b. c. d. e. f. g. h. i.

The The The The The The The The The Invitation to Bid Instructions to Bidders Contractors Proposal Letter of Acceptance/Letter of Intent of Award Owner-Contractor Agreement General Conditions of the Contract Plans Specifications Bid Bulletins, if any

including all modifications thereof incorporated in the documents before their execution. 1.2 By OWNER is meant Nicole & Henry Morris. By CONTRACTOR is meant the individual, firm, partnership, corporation or association that undertakes the construction and completion of the work hereinafter described. By ARCHITECT is meant Arch. Melinda Minerva Perez Laudico and where the sense of the context so requires, his duly authorized representative or representatives. The Owner, the Contractor and the Architect are those mentioned as such in the Agreement. They are treated throughout the Contract Documents as if each were of singular number and masculine gender. The term SUBCONTRACTOR, as employed herein, refers only to those having a direct contract with the Contractor, including one who furnishes material worked to a special design according to the plans and specifications of this work, but does not include one who merely furnishes material not so worked. The term WORK of the Contractor or Subcontractor includes labor/ materials or both as well as equipment, transportation or other facilities necessary to complete the Contract. Written notice shall be deemed to have been duly served if delivered person to the individual or to a member of the firm to an officer of the corporation for whom it is intenced,

1.3

1.4

1.5

or if delivered at or sent by registered mail to last business address known to him who gives the notice. 1.6 1.7 2. All time limits stated in Contract Documents are of the essence of the Contract. The law prevailing in the locality of the building shall govern the construction of this contract.

EXECUTION, CORRELATION AND INTENT OF DOCUMENTS: 2.1 The Contract Documents shall be signed by the Owner and the Contractor. In case the Owner and the Contractor fail to sign the General Conditions, Plans or Specifications, the Architects shall identify them. The Contract Document are complementary, and what is called for by any one shall be as binding as if called for by all. The intention of the documents is to include all labor and materials, equipment and transportation necessary for the proper execution of the work. It is not intended, however, that materials or work not covered by or properly inferable from any leading, branch, call or trade of the Specifications be supplied unless distinctly so noted on the Plans. Materials or work described in words which so applied, have a well-known technical or trade meaning, shall be held to refer to such recognized standards.

2.2

3.

PLANS AND SPECIFICATIONS: 3.1 The Owner shall furnish the Contractor free-of-charged one (1) set of Plans and Specifications for construction purposes only. All plans, and detail drawings, are intended to correlate with the Specifications, to form a part thereof, and also to form a part of the Contract Documents. Where figures are given, they are to be followed in preference to measurements by scale. Anything shown on the Plans but not mentioned in the Specifications, or vice versa, or anything not expressly set forth in either but which is reasonably implied, shall be furnished as though specifically shown and mentioned in both, without any extra charge.

3.2

3.3

It shall be the duty of the Contractor to carefully examine, compare, and verify the data furnished by the Plans and Specifications. Any doubt as to the meaning of the plans (including notes thereon) and the Specifications, or any obscurity as to the wording of the Specifications will be explained. All directions and explanations necessary and proper to make more definite and certain any requirements of the Plans (including notes thereon) or of the provisions of the Specifications to give them due effect, will be given by the Architect. In any case of discrepancy in the figures of drawings, the matter shall be submitted immediately to the Architect, before any adjustments be made by the Contractor save only at the latters own risk and expense. The decision of the Architect on the adjustment of discrepancies so as to confirm the real intent of the plans and specifications shall govern and shall be followed by the Contractor without extra charge.

3.4

4.

DETAIL DRAWINGS AND INSTRUCTIONS: 4.1 The Plans referred to in these Specifications will be further supplemented by necessary additional detail drawings and instructions essential to the proper interpretation of the Plans and the proper execution of work. The Architect shall furnish, with reasonable promptness, such additional detail drawings and instructions. All such additional detail drawings and instructions shall be consistent with the Contract Documents, true developments thereof, and reasonably inferable there from. All such additional drawings and instructions are to be considered of equal force as those which originally accompany the Specifications. The work shall be executed in conformity which such detail drawings and instructions, the Contractor shall do no work without proper drawings and instructions. The Contractor and the Architect, if either so request, shall jointly prepare a schedule, subject to change from time to time, in accordance with the progress of the work, fixing the dates at which the various detail drawings will be required, and the Architect shall furnish them in accordance with that schedule. Under like conditions, a schedule shall be prepared, fixing the dates for the

4.2

4.3

submission of the shop drawings, for the beginning of manufacture and installation of materials and for the completion of the various parts of the work. 5. SHOP DRAWINGS: 5.1 The Contractor shall prepare at his own expense and submit with such promptness as to cause no delay in his own work or in that of any other contractor doing work on the same building, two (2) copies of all shop or setting drawings templates patterns, as well as schedules, required corrections, including all necessary corrections relating to artistic effect. The Contractor shall make any corrections required by the Architect, file with him two corrected copies and furnish such other copies as may be needed. The Architects approval of such drawings or schedule shall not relieve the Contractor from responsibility for deviations from Plans, Specifications, or detail drawings, unless he has in writing, called the Architects attention to such deviations at the time of submission, nor shall it relieve him from responsibility for errors of any sort in shop drawings or schedules.

5.2

6.

OWNERSHIP OF PLANS AND MODELS: 6.1 The Plans, Specifications, perspective and models, including all additional detail drawings and instructions, and copies thereof, furnished for this work are the property of the Architect. They are not to be used on any other work, and with the exception of the signed contract set, are to be returned to the OWNER on request, at the completion of the work, before final payment is made.

7.

PLANS AND SPECIFICATIONS ON THE WORK: 7.1 The Contractor shall keep at the site of the work, in good order, one copy of all Plans and Specifications, including all detail drawings and instructions, available to the Architect and to his representative.

8.

MATERIALS AND WORK: 8.1 Unless otherwise stipulated, the Contractor shall provide and pay for all materials, labor, water, tools,

equipment, light power, transportation and other facilities necessary for the execution and completion of the work. 8.2 Unless otherwise specified, all materials shall be new. The quality of materials shall be of the best grade of their respective kinds for the purpose. The work shall be performed in the best and most acceptable manner in strict accordance with the requirements of the Plans and Specifications. The decision of the Architect as to quality and quantity of work and material shall be final and precedent to the Contractors right to receive any money hereunder. When the Contract contemplates the placing of materials in work, all accepted materials shall be placed carefully and securely where directed by the Architect. When reinforcing bars for concrete structures are furnished, they shall be cut, bent and placed by the Contractor to conform to Plans and Specifications. All materials and work must conform to all laws and regulations enforced in the placed of construction, not with standing anything herein specified or provided that may be construed to the contrary.

8.3

8.4

8.5

9.

SAMPLES OF AND INFORMATION ON MATERIALS: 9.1 When required by the Specifications, or when called for the Architect, the Contractor shall furnish for approval, full information and satisfactory evidence as to the kind and quality of materials or articles which he contemplates incorporating in the work. The Contractor shall furnish for the Architects approval all samples when so directed. The work shall be in accordance with approved samples. Materials and articles installed or used without such approval shall be at the risk of subsequent rejection.

9.2 10.

PROTECTION OF MATERILS, WORK AND PROPOERTY: 10.1 The Contractor shall put up and continuously maintain adequate protection of all his work from damage and shall protect the Owners property, as well as materials furnished and delivered to him by the Owner, from injury or

loss arising in connection with this Contract. He shall make good any such damage, injury or loss except such as may be caused by agents or employees of the Owner. 10.2 The Contractor shall adequately protect adjacent property as provided by law and the Contract Documents. The construction, building, or work in addition to any neighboring property or building which may be jeopardized in any manner, must be thoroughly and substantially braced against winds, floods, settling, falling, or like occurrences, and when necessary, covered and protected from sun and rain at the Contractors expense. The Contractor shall be liable for all damages occasioned in any manner by his acts or neglect, or of his agents, employees, or workmen. 10.3 If necessary in the prosecution of the work to interrupt or obstruct the natural flow of rivers or streams, the drainage of the surface, or flow of artificial drains, the Contractor shall provide for the same during progress of the work in such a way that no damage shall result to either public or private interests. For any neglect to provide for either natural or artificial drainage which he may be interrupted, he shall be held liable for all damages which may result there from during the progress of the work. 10.4 In an emergency affecting the safety of life, of the work or of adjoining property, the Contractor, without special instructions or authorization from the Architect or Owner, is hereby permitted to act at his discretion, to prevent such threatened loss or injury, and he shall so act without appeal, if so instructed or authorized. Any compensation claimed by the Contractor on account of emergency work, shall be determined by agreement or arbitration. 11. METHODS AND APPLIANCES: 11.1 The Contractor shall use such methods and appliances for the performance of all the operations connected with the work embraced under this Contract, as will produce a satisfactory quality of work and rate of progress which, in the opinion of the Architect, will insure the completion of the work within the contract time. 11.2 If, at any time before the commencement or during the progress of the work, such methods or appliances

appear to the Architect to be inefficient or inappropriate for producing the quality of work required, or insuring the required rate progress, the Architect may order the Contractor to increase the rate of their efficiency, or to improve their character, and the Contractor must comply with such order. Failure, however, of the Architect to demand such increases, efficiency or improvement of character of methods and appliances shall not relieve the Contractor from his obligation to turn out such quality of work ad rate of progress as are called for in this contract. 11.3 The Contractor shall, if required, furnish to the Architect for approval, full information and satisfactory evidence as to the name of the manufacturer of machinery, mechanical or other equipment which he contemplates installing, together with their performance capacities and other pertinent information. 12. ROYALTIES AND PATENTS: 12.1 The Contractor shall pay all royalties and licenses fees. He shall defend all suits or claims for infringement of any patent rights and shall save the Owner harmless from loss on account thereof, except that the Owner shall be responsible for all such loss when a particular manufacturer or manufacturers specified, but if the Contractor has information that the process or articles specified is in infringement of any patent he shall be responsible for such loss unless he promptly gives such information to the Architect or Owner. 13. LABOR: 13.1 The Contractor shall at all times, employ such a force of competent workmen as, in the judgment of the Architect, shall be sufficient to ensure the completion of the work within the contract time, but in no case shall the Contractor violate any of the visions of the Eight-Hour Labor Law, Act No. 4123, as amended by Act No. 4242. 13.2 The Contractor shall at all times enforce strict discipline and good order among his employees and workmen.

13.3 The Contractor shall employ only competent and skillful men to do the work, and whenever the Architect shall

inform the Contractor in writing that any men on the work are, in his opinion, unfaithful and disorderly, such men shall be discharged from the work and not again be employed on it. Such discharge shall not form the basis of any claim for compensation or damage upon the Owner. 14. SCHEDULE OF CONSTRUCTION WORK: 14.1 The Contractor shall, at such times as may be required by the Architect, submit schedules which shall show the order in which the Contractor proposes to carry out the work, with dates at which the Contractor will start the several parts of the work and estimated dates of completion of the several parts. 15. SURVEYS, PERMITS AND REGULATIONS: 15.1 The Owner shall furnish all relocation surveys unless otherwise specified. 15.2 The Contractor shall pay for all licenses, permits and all other applicable fees and taxes required to complete the construction, including the building permit ad final certificate of occupancy. 15.3 The Contractor shall give all notices and shall comply with all the laws, city and municipal ordinances, and all Government rules and regulations in so far as they are binding upon or affect the parties hereto, the work, or hose engaged thereon. If the Contractor observes that the drawings and specifications are at variance therewith, he shall promptly notify the Architect in writing and any necessary changes shall be adjusted as provided in the Contract for changes in the work. If the Contractor performs any work, knowing it to be contrary to such laws, ordinances, rules and regulations, and without such notice to the Architect, he shall bear all cost arising there form. 16. INSPECTION OF WORK: 16.1 The Architect and his representatives shall, at all times, have access to the work wherever it is in preparation or progress and the Contractor shall provide facilities for such access and for inspection.

16.2 If the specifications, the Architects instructions, laws, ordinances or any public authority require any work to be specially tested or approved, the Contractor shall give the Architect timely notice of its readiness for inspection, and if the inspection is by another authority than the Architect, of the date fixed for such inspection. Inspections by the Architect shall be promptly made, and where practicable, at the source of supply. If any work should be covered up without approval or consent of the Architect, it must, if required by the Architect, be uncovered for examination at the Contractors expense. 16.3 The Contractor shall furnish promptly, without additional charge, all reasonable facilities, labor, and materials necessary for the safe and convenient inspection and test that may be required by the inspector. All inspections and tests shall be performed in such a manner as not to unnecessarily delay the work. Special, full load, and performance tests shall be as described in the Specifications. The Contractor shall be charged for any additional cost of inspection when material and workmanship are not ready at the time inspection is requested by the Contractor. 16.4 Should it be considered necessary or advisable by the Architect at any time before final acceptance of the entire work, to make an examination of the work already completed, remove or tear out same, the Contractor shall, on request, promptly finish all necessary facilities, labor, and material. If such work is found to be defective in any material respect, due to the fault of the Contractor or his subcontractors, he shall defray all expenses of such examination and of satisfactory reconstruction. If however, such work is found to meet the requirements of the Contract, the actual cost of labor and material necessarily involved in the examination and replacement, plus 15 percent, shall be allowed the Contractor and he shall, in addition, if completion of the work has been delayed thereby, be granted a suitable extension of time on account of the additional work involved. 16.5 Defective work and material may be condemned by the Architect at any time before the final acceptance of the work. When such work has been condemned it shall be taken out immediately by the Contractor and rebuilt in accordance with the Plans and Specifications. When

defective materials have been condemned, they shall be removed at once by the Contractor from the line of the work. 16.6 Failure or neglect on the part of the Architect, or any of his agents, to condemn or eject bad or inferior work or materials shall not be construed to imply an acceptance of the work of the same, if such bad or inferior work or materials are discovered at any time prior to the final acceptance of the work by the Owner and the release of the Contractor. 17. SUPERINTENDENCE AND SUPERVISION: 17.1 The Contractor, if he supervises the work personally, must be a licensed engineer or architect; otherwise he must have in his employ, a licensed engineer or architect; acceptable to the Architect, who will supervise the work personally and inspect the project every working day and make the necessary certification as Concrete Inspector of the project, as required by the local authorities. 17.2 The Contractor shall keep on his work, during its progress, a competent Project Engineer or Superintendent and any necessary assistants, all satisfactory to the Architect. The Project Engineer or Superintendent shall not be changed except with the consent of the Architect, unless the Project Engineer or Superintendent proves to be unsatisfactory to the Contractor and ceases to be in his employ. The Project Engineer or Superintendent shall represent the Contractor in his absence and all directions given to him shall be as binding as if given to the Contractor. Important directions shall be confirmed in writing to the Contractor. Other directions shall be so confirmed on written request in each case. 17.3 The Contractor shall give efficient supervision to the work, using his best skill and attention. He shall carefully study and compare all drawings, specifications and other instructions and shall at once report to the Architect any error, inconsistency or omission which he may discover, however, the Contractor shall not be held responsible for the their existence or discovery. 18. LAYING OUT THE WORK:

18.1 The Contractor shall engage the services of a licensed surveyor to lay out the lines and grades of the work under the supervision of the Architect. The Contractor shall be guided by such lines and grades given and approved by the Architect. 18.2 The Contractor shall check all the dimensions as a whole and in detail, and become responsible for the extent, position, and elevation of all the parts of the work. All stakes, bench marks, etc., placed by the Contractor in laying out the work, under the supervision of an with the approval of the Architect, shall be carefully guarded and preserved by the Contractor. In case such stakes or marks are displaced or rendered useless through the carelessness or neglect of the Contractor or of his agent, employees, or workmen, they should be replaced by the Contractor at his own expense. 19. USE OF PREMISES: 19.1 The Contractor shall confine his apparatus, storage of materials and the operations of his workmen to limits indicated by law, ordinances, permits or directions of the Architect and shall not unreasonably encumber the premises with his materials. 19.2 The Contractor shall not load or permit any part of the structure to be loaded with a weight that will endanger its safety. The Contractor shall enforce the Architects instructions regarding signs, advertisements, fires and smoking. 19.3 All old materials of value, found by the Contractor upon the work, shall be carefully piled where designated by the Architect; the Contractor shall be responsible for the same until final acceptance of the work. 19.4 The Contractor shall maintain such sanitary and other essential services, such as latrines, drinking water, first-aid station, etc., for his staff and workmen at the construction site, the minimum requirements thereof, as well as their location, to be determined by the Architect. 20. CHANGES IN THE WORK: 20.1 The Owner may at any time, without invalidating the Contract and without notice to the sureties, order extra

work or make changes by altering, adding to, or deducting from the work, as covered by the Plans and Specifications of the Contract and within the General scope thereof. Such changes shall be ordered by the Owner in writing, and no change or omission from the Plans and Specifications shall be considered to have been authorized without written instructions signed by the Owner. 20.2 If, during the progress of the work, subsurface and/or latent conditions at the site materially different from those shown on the Plans or indicated in the Specifications are discovered or encountered, the attention of the Owner shall be called immediately to such conditions before they are disturbed. The Architect shall there upon promptly investigate the conditions, and if he finds that they materially differ from those shown on the Plans or indicated in the Specifications, he shall at once, with the approval of the Owner, make such changes in the Plans and Specifications as he may find necessary. 20.3 All such work shall be executed under the conditions of the original Contract. If such changes cause an increase or decrease in the amount due under this Contract or in the time required for its performance, an equitable adjustment shall be made and the Contract shall be modified in writing, accordingly. The express consent of the sureties shall be obtained in writing. In the event that the work involved is increased by such changes, the Contractor shall furnish proportionate additional performance bond. 20.4 Except in an emergency endangering life or property, no extra work or change shall be made unless in pursuance of a written order from the Owner signed or countersigned by the Architect or a written order from the Architect stating that the Owner has authorized the extra work or change. No claim for an addition to the Contract Sum shall be valid unless so ordered. 20.5 The value of any such extra work or change shall b determined in any one or more of the following ways. a. By estimate and acceptance in lump sum. b. By unit prices named in the Contract and subsequently agreed upon. c. By cost and percentage or by cost and affixed free.

If none of the above methods is agreed upon, the Contractor, provided he receives an order as above, shall proceed with the work. In such case and also under case (c), he shall keep and present in such forms as the Architect may direct, a correct account of the cost, together with vouchers. In any case, the Architect shall certify to the amount, including reasonable allowances for overhead and profit due to the Contractor. Pending final determination of value, payments on account of changes shall be made on the Architects certificate. 20.6 Any claim for the adjustment involving questions of fact must be asserted within ten days from the date change is ordered, unless the Architect shall for proper cause, extend such time. Excepts as otherwise specifically provided in the Contract, all disputes concerning questions of a fact arising under this Contract shall be decided by the Architect or his duly authorized representative; nothing, however, provided in the preceding paragraphs 19.1, 19.2, 19.3, and 19.4 shall excuse the Contractor from proceeding with the prosecuting of the work so changed. 20.7 In giving instructions, the Architect shall have the authority to make minor changes in the work, not involving extra cost, and not inconsistent with the purposes of the building. 20.8 In case any extra work shall be required in the proper performance of the work contemplated under this contract, it is understood that if the Contractor and the Owner fall to arrive at any agreement as to the price of such extra work, the Owner reserves the right o have such extra work done by any other person, firm or corporation than the said Contractor, or to perform the same by day labor under the charged and supervision of the Architect. 20.9 Should the Owner award extra work or other contract for additional work to any other person, firm or corporation, the Contractor agrees that he will not in any way interfere with or, molest such person, firm, or corporation, and that he will suspend such part of the work herein specified or will carry on the same in such a manner as may be ordered by the Architect, so as to afford all reasonable facilities for doing such work. 21. CLAIMS FOR EXTRA COST:

21.1 If the Contractor claims that any instructions by drawings or otherwise, involve extra cost under this Contract, he shall give the Architect written notice thereof within seven (7) working days after the receipt of such instruction, and in any event before proceeding to execute the work, except in emergency endangering life or property, and the procedure shall be as provided for changes in the work. No such claim shall be valid unless so made. 22. TIME OF COMPLETION: 22.1 The Contractor shall commerce the work herein contracted to be done within the stipulated calendar days from the date he signs the Owner- Contractor Agreement. The rate of progress of his work shall be such as, I the opinion of the Architect, will ensure completion of the work within the time specified in the Contract. If the Contractor undertakes actual construction on the proposed work, including the delivery of equipment of materials (in the case of contract for furnishing materials) or the performance of any other kind of work whatsoever, before he signs the Owner- Contractor Agreement, he does so at his personal risk, unless he has received a duly signed copy of letter of intent of award. 22.2 Unless extraordinary and unforeseen events or conditions supervene, the Contract time stipulated in this Contract for the completion of the work shall not be exceeded. 22.3 Should the Contractor be obstructed or delayed in the prosecution or completion of the work by the act, neglect, delay, or default of the Owner or the Architect, or any other contractor employed by the Owner on the work, or by strikes, fire, flood, lighting, earthquakes, or typhoons, by abandonment of the work by employees, by act of the Owner, by unavoidable calamity, through no fault or negligence of the Contractor, or by delay authorized by the Architect pending arbitration, then the Architect, with the approval of the Owner may waive the limit and permit the Contractor to finish the work within a reasonable period, to be determined by the Architect. 22.4 If no schedule or agreement stating the dates upon which drawings shall be furnished is made, then no claim for delay shall be allowed on account of failure to furnish

drawings until two (2) weeks after demand for such drawings and not then unless such claim be reasonable. 22.5 The Contractor shall not be entitled to any damages for any hindrance or delay due to any cause whatsoever in the progress of the work, but said hindrance may entitle the Contractor to an extension of time for completing the Contract as herein provided. 22.6 If the work is interrupted for any reason, it must be promptly resumed upon the removal or cessation of the cause of delay. 22.7 The Contractor shall give written notice to the Architect at least ten (10) working days prior to beginning, suspending (except in case of accident) , or resuming the work, to the end that the Architect may make the necessary preparations for inspection without delaying the work. All delays or losses resulting from failure of the Contractor to give such notice will be at the Contractors risk; and all extra cost to the Owner for such delays (said cost to be determined by the Architect) shall be deducted from the final payment. 23. DEDUCTIONS FOR UNCORRECTED WORK: 23.1 If the Architect and Owner deem it inexpedient to correct work injured or done not in accordance with the Contract, an equitable deduction from the contract price must be made therefore. 24. CORRECTION OF WORK BEFORE FINAL PAYMENT: 24.1 The Contractor shall promptly remove from the premises all materials condemned by the Architect as failing to conform to the Contract, whether incorporated in the work or not, and the Contractor shall promptly replace and reexecute his work in accordance with the Contract and without expense to the Owner and shall bear the expenses of making good all work of other contractors destroyed or damaged by such removal or replacement. 24.2 If the Contractor does not remove such condemned work and materials within a reasonable time, fixed by written notice, the Owner may remove them and may store the material at the expense of the Contractor. If the

Contractor does not pay the expenses of such removal within ten (10) days time thereafter, the Owner may, upon ten (10) days written notice, sell such materials at auction or at private sale and shall account for the net proceeds thereof, after deducting all the cost and expenses that should have been borne by the Contractor. 25. CORRECTION OF WORK AFTER FINAL PAYMENT: 25.1 Neither the final certificate, nor payment, nor any provision in the Contract Documents shall relieve the Contractor of the responsibility for faulty materials or workmanship and, unless otherwise specified, he shall remedy any defects due thereto and pay for any damage to other work resulting there from, which shall appear within a period of one (1) year from the date of substantial completion. 25.2 The Owner shall give notice of observed defects with reasonable promptness. All questions arising under this article shall be decided by the Architect, subject to arbitration. 26. THE OWNERS RIGHT TO DO WORK: 26.1 If the Contractor should neglect to execute the work property or fail to perform any provision of this contract, the Owner, after three (3) days written notice to the Contractor may, without prejudice to any other remedy he may have, make good such deficiencies and may deduct the cost thereof from the payment then or thereafter due the Contractor, provided, however, that the Architect shall approve such action and amount charged to the Contractor. 27. OWNERS RIGHT TO TERMINATE CONTRACT: 27.1 If the Contractor should be adjudged bankrupt, or if he should make a general assignment for the benefit of his creditors, or if a receiver should be appointed on account of his insolvency, or if he should persistently or repeatedly refuse or should fail, except in cases for which extensions of time is provided, to supply enough properly skilled workmen or proper materials, or if he should fail to make prompt payment to subcontractors or for material or labor, or persistently disregard laws, ordinances or the instructions of the Architect, or otherwise be guilty of a

substantial violation of any provision of the Contract, then the Owner, upon the certificate of the Architect that sufficient cause exist to justify such action, may, without prejudice any other right or remedy and after giving the Contractor seven (7) days written notice, terminate the employment of the Contractor and take possession of the premises and of all materials, tools and appliances thereon and finish the work by whatever method he may deem expedient. In such case the Contractor shall not be entitled to receive any further payment until the worked is finished. 27.2 If the unpaid balance of the Contract Sum shall exceed the expense of finishing the work including compensation for additional managerial and administrative services, such excess shall be paid to the Contractor. If such expense shall exceed such unpaid balance, the Contractor shall pay the difference to the Owner. 27.3 The expense incurred by the Owner as herein provided, and the damage incurred through the Contractors default shall be certified by the Architect. 28. CONTRACTORS RIGHT TO STOP WORK OR TERMINATE CONTRACT: 28.1 If the work should be stopped under an order of any court or other public authority, for a period of three (3) months, through no act or fault of the Contractor or of anyone employed by him, or if the Architect should fail to issue any certificate for payment within seven (7) days after it is due, or if the Owner should fail to pay to the Contractor within fourteen (14) days after it is due, or if the Owner should fail to pay the Contractor within fourteen (14) days of its maturity and presentation, any sum certified by the Architect or awarded by arbitrators, then the Contractor may, upon seven (7) days written notice to the Owner and the Architect, stop work or terminate the Contract and recover from the Owner payment for all work executed and any loss sustained upon any plaint or materials and reasonable profits and damages. 29. SEPARATE CONTRACTS: 29.1 The Owner reserves the right to let other contracts in connection with this work. The Contractor under this

Contract shall afford other contractors reasonable opportunity for the introduction and storage of their materials and the execution of their work, and shall properly connect and coordinate his work with theirs. 29.2 If any part of the Contractors work depends for proper execution or results upon the work of any other contractor, the Contractor shall inspect and promptly report to the Architect any defects in such work that render it unsuitable for such proper execution and results. His failure so to inspect and report shall constitute an acceptance of the other contractors work as fit and proper for the reception of his work except as to defects which may develop in the other contractors work after the execution of his work. 29.3 To ensure the proper execution of his subsequent work, the Contractor shall measure already in place and shall at once report to the Architect any discrepancy between the executed work and the drawings. 30. SUBCONTRACTS: 30.1 It is understood and agreed that the entire work called for by this Contract shall not be sublet or subcontracted and that no part thereof may be sublet or subcontracted without the express prior authorization of the Architect, and that a subcontract, even if authorized, shall not be so understood as to relieve the Contractor and his bondsmen from their obligation and responsibility to the Owner for the satisfactory completion of the work and for the payment for the wages of laborers and for materials furnished for the work. 30.2 The Contractor shall, as soon as practicable after the execution of the contract, notify the Architect in writing of the names of subcontractors proposed for the principal parts of the work and for such others as the Architect may direct and shall not employ any that the Architect may, within a reasonable time object to as incompetent or unfit. 30.3 If the Architect notifies the Contractor in writing that any subcontractor is unacceptable and the Contractor should thereafter accept and use on the job, work or labor furnished by such unacceptable subcontractor, then the value of such work or labor so used shall be deducted from the contract price of the job.

30.4 Nothing contained in the Contract Documents shall create any contractual relation between any subcontractor and the Owner. 30.5 The Contractor agrees that he is as fully responsible to the Owner for the acts and omissions of his subcontractors and of persons either directly or indirectly employed by them, as he is for the acts and omissions of persons directly employed by him. 31. RELATION TO OTHER CONTRACTORS: 31.1 The Contractor shall, as far as possible, arrange his work and dispose of his materials so as not to interfere with the work or storage of materials of other contractors engaged upon the work. He shall also join his work to that of others in proper manner, and in accordance with the spirit of the Plans and Specifications, and perform his work in the proper sequence in relation to that of other contractors, and as may be directed by the Architect. 32. MUTUAL RESPONSIBILITY OF CONTRACTORS: 32.1 Should the Contractor cause damage to any separate contractor on the work, the Contractor agrees, upon due notice, to settle with such contractor by agreement or arbitration, if he will so settle. If such separate contractor sues the Owner on account of any damage alleged to have been so sustained, the Owner shall notify the Contractor, who shall defend such proceedings at the Owners arise there from the Contractor shall pay or satisfy and pay all cost incurred by the Owner. 33. CUTTING, PATCHING AND DIGGING: 33.1 The Contractor shall do all cutting, fitting or patching of his work that may be required to make its several parts come together properly and fit it to receive or be received by work of and other contractors shown upon, or reasonably implied by the Plans and Specification for the completed structure, and shall make good after them as the Architect may direct. 33.2 Any cost caused by defective or ill-timed work shall be borne by the party responsible therefore. The Contractor

shall not endanger any work by cutting, digging, or otherwise, and shall not cut or alter the work of any other contractor save with consent of the Architect. 34. APPLICATION FOR PAYMENTS: 34.1 The Contractor shall submit to the Architect an application for each payment, and if required, receipts or other vouchers, showing his payments for materials and labor, including payments to subcontractors. 34.2 If payments are made on valuation of work done, such application shall be submitted at least five (5) days before each payment falls due, and if required, the Contractor shall, before the first application, submit to the Architect a schedule of values of the various parts of the work, including quantities, aggregating the total sum of the Contract, divided so as to facilitate payments to subcontractors, made out in such form as the Architect and the Contractor may agree upon, and, if required, supported by such evidence as to its correctness as the Architect may direct. This schedule, when approved by the Architect, shall be used as a basis of payment, unless it be found to be in error. In applying for a payment, the Contractor shall submit a statement based upon this schedule, and, if required, itemized in such form and supported by such evidence as the Architect may direct, showing his right to the payment claimed. 34.3 If payments are made on account of materials delivered and suitable, stored at the site but not incorporated in the work, they shall, if required by the Architect, be conditional upon submission by the Contractor of bills of sale or such other procedure as will establish the Owners title to such material or otherwise adequately protect the Owners interest. 35. CERTIFICATES OF PAYMENT: 35.1 If the Contractor has made application as above, the Architect, shall not later than the date when each payment falls due, issue to the Contractor a certificate for such amount as he decides to be properly due. 35.2 The Architect shall, once a month, on or about the last day of each month, make an estimate in writing of the amount

of work done to said date, and of the value thereof, according to the terms of the Contract. The first such estimate shall be of the amount of quantity and value of the work done since the contractor commenced the performance of this Contract, and every subsequent estimate (except the final one) shall be of the amount or quantity and value of the work done since the last preceding estimate was made. Such estimates of the Architect shall be final and conclusive evidence of the amount of work performed, and shall be taken as the basis for the full measure of compensation to be received at the time by Contractor. Such preliminary estimates of amount and quantity shall not be required to be made by strict measurement or with exactness, but they may, at the option of the Architect, be approximate only and shall conform to the agreed Schedule of Work and Payments. 35.3 Payments will be made only upon satisfactory completion of each stage of work as stipulated in the Schedule of Work and Payments. Upon such schedule, the Owner shall pay to the Contractor a sum equal to ninety percent (90%) thereof up to and until such time as the total work shall have been completed or the contract canceled, as herein provided. 35.4 No certificate issued nor payment made to the Contractor, nor partial or entire use or occupancy of the work by the Owner, shall be an acceptance of any work or materials not in accordance with this Contract. The making and acceptance of the final payment shall constitute a waiver of all claims by the Owner, other than those arising from unsettled liens, from faulty work appearing after final payment or from requirement of the Specifications, and of all claims by the Contractor, except those previously made and still unsettled. 35.5 Whenever the Contract, in the opinion of the Architect, shall be completely performed on the part of the Contractor, the Architect shall proceed promptly to measure the work, shall make the final estimates, shall certify as to the completion of work, and accept the same. The Owner shall then, excepting for causes herein specified, pay to the Contractor promptly, after the execution of said certificate, the remainder which shall be found due, excepting there from such sum or sums as may be lawfully retained any of the provisions of this Contract;

PROVIDED THAT FINAL PAYMENT ON THE CONTRACT SHALL NOT BE MADE UNTIL THE CONTRACTOR HAS SUBMITTED A STATEMENT SWORN TO BEFORE AN OFFICER DULY AUTHORIZED TO ADMINISTER OATH SHOWING THAT ALL TAXES DUE FROM HIM, AND ALL OBLIGATIONS FOR MATERIALS USED AND LABOR EMPLOYED IN CONNECTION WITH THIS CONTRACT HAVE BEEN DULY PAID; and PROVIDED, FURTHER, That nothing herein contained shall be construed to waive the right of the Architect hereby reserved to reject the whole or any portion of the aforesaid work, should the same be found to have been construed in violation of the plans and specifications or of any of the conditions or covenant-of this Contract. 36. PAYMENTS WITHHELD: 36.1 The Architect may withhold or, on account of subsequently discovered evidence, nullify the whole or a part of any certificate to such extent as may be necessary to protect the Owner from loss on account of: a. Defective work not remedied. b. Claims filed or reasonable evidence indicated probable filing of claims. c. Failure of the contractor to make payments properly to subcontractors or for material or labor. d. A reasonable doubt that the Contract can be completed for the balance then unpaid. e. Damage to another contractor. When the above grounds are removed, payments shall be made for amounts withheld because of them. 37. UNPAID CLAIMS: 37.1 The Contractor shall pay punctually the workmen employed on the work and the persons furnishing material therefore, and deliver the work free from all claims of any description. If required, he shall furnish the Owner with a statement sworn to before an officer duly authorized to administer oath that all persons who have done work or furnished materials under this contract, and shall have filed any account of such claims with said Owner, have been fully paid and in such case evidence not be furnished as aforesaid, such amount as said, Owner may consider necessary to meet the lawful claims of the persons

aforesaid shall be deducted from the money due to said Contractor, and shall not be allowed until the liabilities aforesaid shall have been fully discharged and the evidence thereof furnished said Owner or until their lack of equity has been established. If such written evidence is not furnished before the final payment under this Contract falls due, said Owner may pay such lawful claims in whole or in part to person or persons, firm or corporation claiming the same, and charged the amount thus paid to said Contractor, who shall accept the same as payment from the amount due on this Contract. 38. PAYMENTS OVER 65 PERCENT: 38.1 No payment shall be made on contracts in excess of sixtyfive percent (65%) of the contract price, unless a statement sworn to before an officer duly authorized to administer oath is submitted by the Contractor to the effect that all bills for labor, other than current wages, and all bills for materials have been duly paid by the Contractor and his subcontractor, if any, excepting only such bills as may be enumerated in such sworn statement. 39. RESPONSIBILITY FOR ACCIDENTS AND DAMAGES: 39.1 The Owner shall NOT BE RESPONSIBLE for the death contracted or injury received by the Contractor or by any employee or laborer of the Contractor, for the Contractors plant or material, for any damage done by or to them from any source or cause, and damages cause by the Contractor or by his employees to any property of the Owner shall at once be repaired by the Contractor at his own expense, and to the satisfaction of the Architect, whose decision as to such matters shall be final. And in the event of failure of the Contractor to repair at once such damages the Owner may repair the same and deduct the entire cost of such repairs from the payments due to the Contractor. 39.2 The Contractor shall take all necessary precautions for the safety of employees and workmen on the work and shall comply with all applicable provisions of city, municipal and national safety laws and building codes and all government rules and regulations, to prevent injury to persons on, about or adjacent to the premises where work is being performed. The Contractor shall erect and properly maintain at all times, as required by the conditions and

progress of the work, such barriers, lights, danger signs and necessary safeguards, as will protect workmen and the public and as will prevent any accident in consequence of his work. 39.3 The Contractor shall designate a responsible member of his organization on the work, whose duty shall be the prevention of accidents. The name and position of the person so designated shall be reported to the Architect by the Contractor. 40. CONTRACTORS LIABILITY INSURANCE: 40.1 The Contractor shall maintain such insurance as will protect him from claims under workmens compensation acts and from any other claims for damages for personal injury, including death, which may arise from operations under this Contract, whether such operations be by himself or by any subcontractor or anyone directly or indirectly employed by either of them. Certificates of such insurance shall be filled with the Owner, if he so requires, and shall be subject to his approval for adequacy of protection 41. OWNERS LIABILITY INSURANCE: 41.1 The Owner shall be responsible for, and at his option, may maintain such insurance as will protect him from his contingent liabilities for damages, for personal injury, including death, which may arise from operations under this Contract. 42. GUARANTEE BONDS: 42.1 The Contractor, prior to signing the Contract, shall furnish a performance bond equal to twenty percent (20%) of the contract amount for the faithful performance of his work and twenty percent (20%) payment bond covering payments and obligations arising from his Contract. Such bonds shall be in the form of securities as approved by the Owner. Such bonds shall be effective within a period of six (6) months after due acceptance of the work by the Owner or his duly authorized representative. 43. ABANDONMENT:

43.1 It is understood that, in case of failure on the part of the Contractor to complete the Contract as herein specified and agreed upon, or if the work to be done under this Contract be abandoned by the Contractor, or if this Contractor, or if this Contract be assigned by the Contractor otherwise than herein specified or if at any time the Architects is of the opinion, after verifying the facts, that the work is unnecessarily or unreasonably delayed, or that the Contractor is willfully violating any of the conditions, covenants, and agreements of this Contract, or is not executing said Contract in good faith, or is not making such progress in the execution of the work as to insure its completion within he required time, then, in any of these case, the Owner shall have the power to rescind this Contract by giving notice in writing to that effect to the Contractor and his bondsmen. 43.2 Upon giving such notice, the Owner shall then take over the work and proceed to complete the same by administrative or otherwise, and use such tools, appliances and materials of every description as may be found upon the line of said work or at points where materials is built or framed for the work and also procure such other tools and materials for the completion of the work as may be required. 43.3 It is agreed and understood that, upon such rescission of the Contract, the Architect will ascertain and fix the value of the work completed by the Contractor and not paid for by the Owner at the time of said rescission. 43.4 In the event that the total expenditures of the Owner on completion of the work, including all charges against the project prior to rescission of the Contract, are not in excess of the contract price, then the difference between the said total expenditures of the Owner and the contract price may be applied, to settle claims filed under paragraph 37, and the balance, if any, may be paid to the Contractor, but no amount in excess of the combined value of the unpaid completed work, retained percentage and usable materials taken over by the Owner at the time of the rescission of the Contract shall be so paid, nor shall any claim for prospective profits on the work done after rescission of the Contract be considered allowed.

43.5 The Contractor and his sureties shall be liable to the Owner for any cost occasioned the Owner in excess of the contract price. 43.6 Neither an extension of time nor the acceptance of any part of the work called for in the Contract shall be deemed a waiver by the Owner of the right to abrogate the contract for any of the cases expressly provided in paragraph 40.1. 44. LIENS: 44.1 Neither the final payment nor any part of the retained percentage shall become due until the Contractor, if required, shall deliver to the Owner a complete release of all liens arising out of this Contract, or receipts in full, in lieu thereof and, if required in either case, and affidavit that so far as he has knowledge or information the releases and receipts in include all the labor and material for which all a lien could be filed but the Contractor may, if any subcontractor refuses to furnish a release or receipt in full, furnish a bond satisfactory to the Owner, to indemnify him against any lien. If any lien remains unsatisfied after all payments are made, the Contractor shall refund to the Owner all money that the latter may be compelled to pay in discharging such lien, including all costs and a reasonable attorneys fee. 45. ASSIGNMENT: 45.1 This Contract shall not be assigned to any other party or parties, nor shall this Contact be sublet as a whole, nor shall the Contractor assign any money due or to become due to him hereunder, without the previous written consent of the Owner. 45.2 In case of any such transfer without the previous written consent of the Owner, the Owner may refuse to carry out the Contract either with the transfer to transferee but all nights of action for any breach of this Contract by the Contractor shall be reserved o and remain within said Owner. 46. CLEANING UP: 46.1 The Contractor shall at all times keep the premises free from accumulations of waste material or rubbish cause by

his employees or work, and at the completion of the work he shall remove all his rubbish from and about the building and all his tools, scaffolding and surplus materials and shall leave his work broom clean or its equivalent, unless more exactly specified. In case of dispute the Owner may remove the rubbish and charge the cost to the several contractors as the Architect shall determine to be just. 47. DISPUTES: 47.1 The Architect shall, within a reasonable time, make decisions on all claims of the Owner or Contractors and on all matters relating to the execution and progress of the work or the interpretation of the Contract Documents. 47.2 Except as otherwise specifically provided in this Contract, all disputes concerning questions of fact arising under this Contract shall be decided by the Architect whose decision shall be final and conclusive upon the parties thereto as to questions of fact. 47.3 The Architects decision, in matters relating to artistic effect, shall be final, if within the terms of the Contract Documents. 48. ARCHITECTS STATUS: 48.1 The Architect shall have general supervision and direction of the work. He is the agent of the Owner to the extent provided in the Contract Documents and when in special instances he shall upon request, show the Contractor written authority. He has authority to stop the work whenever such stoppage may be necessary to ensure the proper execution of the Contract. 48.2 As the Architect, in the first instance, the interpreter of the conditions of the Contract and the judge of its performance, he shall side neither with the Owner nor with the Contractor, but shall use his powers under the Contract to enforce its faithful performance by both. 49. TEMPORARY BARRICADES AND GUARD LIGHTS: 49.1 The Contractor shall furnish and put up all temporary barricades and guard lights necessary for the protection, proper prosecution and completion of the work. The guard

lights at the top of the false work tower, barricades, railings, etc., shall be provided and maintained by the Contractor throughout the project.

50.

TEMPORARY OFFICE AND CONTRACTORS BUILDING: 50.1 The Contractor shall at all times provide and maintain adequate weather tight temporary office with water, light, telephone and toilet facilities for the use of the resident, engineers, inspector, contractors, and subcontractors. This office shall be provided with wooden floor raised above the ground, windows, doors and locks, tables, benches and racks for drawings. Submit sketch and location to the Architect for approval before construction. 50.2 The temporary buildings for housing workmen, or the erection of tents or other forms of protection will be permitted only at such places as the Owner and/or Architect shall provide, the sanitary condition of the grounds in or about such structures shall at all times be maintained in a manner satisfactory to the Owner and/or Architect. NOBODY IS ALLOWED TO SLEEP AND/OR COOK WITHIN THE BUILDING LINE OF THE PROJECT UNDER CONSTRUCTION.

51.

TEMPORARY TOILETS AND NECESSARY CONVENIENCES: FIRST AID STATION

SANITARY

51.1 The Contractor shall provide, construct and maintain for the duration of the contract, sample sanitary toilet accommodations and other necessary conveniences including water connections for the use of personnel and laborers on the work, properly secluded from public observation, in such a manner and at such points as shall be approved by the Architect, and their use shall be strictly enforced. He shall keep such places clean and free from flies, remove all connections and appliances connected therewith prior to the completion of the contract, and leave the premises perfectly clean. 52. WATCHMAN:

52.1 The Contractor shall provide the necessary watchman to guard the site and premises at all times except during regular working hours. Unless otherwise stated. 53. PLACING ORDER OF MATERIALS, HARDWARE, PLUMBING PIPES AND FIXTURES, ETC.: 53.1 The Contractor shall place his order for all materials, hardware, plumbing pipes and fixtures, and all other imported items that cannot be procured locally in order to avoid delay in the completion of the work. 53.2 No request for extension of time shall be entertained by the Owner and/or Architect due to this delay. 53.3 And no substitution of any of the above items specified hereinafter shall be allowed due to negligence or inadvertence of the Contractor on this matter. 54. PHOTOGRAPHS, PROGRESS: 54.1 The Contractor shall furnished to the Architect at his own expense progress photographs which shall be taken monthly, starting when the work begins and continuing so long as the work is in progress, on the outside of the building on the station points designated by the Architect. 54.2 The photographs shall be 6 x 8. At each period, take for exposures, one on each side of the building. 54.3 Twelve (12) prints, matte finish, 3 copies for each exposures shall be delivered to the Architect and all negatives shall bear the date of exposures and name of the work. 55. CONTRACTORS PREMISES: USE OF AND RESPONSIBILITY ON

55.1 Existing trees, plants, shrubs, etc., which are to remain shall be boxed and otherwise protected from damage. No trees within site or located outside the building lines shall be cut or removed without specific approval from the Owner and the Architect. 55.2 All trees and other plants that need to be transplanted elsewhere within fifty (50) meters from the building lines shall be done by the Contractor at his own expense in

accordance with instructions from the Architect or from the authorities concerned. 55.3 Undue damage to trees, plants, shrubs, etc., within the premises resulting from and in connection with the construction work shall be made good and/or replaced by the Contractor at his own expense to the satisfaction of the Owner/Architect. 55.4 The Contractor shall enforce the Architects instruction regarding signs, advertisements, fires and smoking.

56.

CLEANING UP: 56.1 The Contractor shall provide a tightly built rubbish chute, serving each floor which shall lead down to angle offset, and gate at convenient leading points for trucks or wagons. 56.2 At no time shall any rubbish be thrown from the windows of the building. 56.3 Besides the general broom cleaning the Contractor shall do the following cleaning for all trades at the completion of the work. a. Cleaning of all Glass: Contractor shall remove putty stains and paint from all glass and shall wash and polish same. b. Cleaning of all painted and stained works: Contractor shall remove all mark, stains, fingerprints and other soil or dirt from all painted and stained work. c. Removing of all Temporary Protections: Contractors shall remove all temporary protections and shall clean and polish all floors and walls upon completion. d. Cleaning and Polishing of all Hardware. Contractor shall clean and polish all hardware for all trades; this shall include removal of all stains, dust, dirt, paint, etc., upon completion.

e. Removal of all Spots, Soil and Paint from all Tile Works: Contractor shall remove all spots and paint from all the tile work and shall wash same upon completion. f. Cleaning of Fixtures and Equipment: Contractor shall clean all fixtures and equipment, removing all stains, paints, dirt and dust. 57. ITEMIZED BREAKDOWN OF WORK: 57.1 Immediately after the award of contract and before the Contactor commences the work, he shall submit the following to the Architect for approval. a. Itemized breakdown of branch of work of the project and the corresponding percentage weight of each item and sub-item. b. Construction Progress Schedule based on the approved breakdown. c. Bio-data of Project Engineer/Architect and Foreman. 58. OTHER REQUIREMENTS: 58.1 No claim for extra compensation by the Contractor shall be entertained by the Owner and/or Architect for negligence or inadvertence on his (Contractor) part in obtaining all necessary and pertinent data and clarifications. 58.2 No pouring of concrete shall be done by the Contractor unless bearing surfaces and bar reinforcement has been approved by the Architect, Structural Engineer, or Project Inspector and the authority to proceed has been received by the Contractor.