CIAP Document 102 Construction Industry Authority of the Philippines UNIFORM GENERAL CONDITIONS OF...

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    Republic of the Philippines

    Department of Trade and Industry (DTI)Construction Industry Authority of the Philippines (CIAP)

    CIAP DOCUM!T "#$

    U!I%O&M '!&A CO!DITIO! O% CO!T&ACT%O& P&I*AT CO!T&UCTIO!

    TABLE O !O"TE"T#

    #E!TIO" TITLEPa$e "o%

    ection I. D%I!ITIO! A!D DOCUM!T+ ,

    Article & Definitions

    ' &%& Act of *od or Force Majeure

    '&%+ Ad,ertisement or In,itation to Bid

    '&%- A$reement

    '&% Bid

    '&%. Bid Bond

    '&%/ Bid Documents'

    &%0 Bid Bulletin'

    &%1 Brea2do3n of 4or2 and !orrespondin$ 5alue'

    &%6 !han$e Order'

    &%& !ontract'

    &%&& !ontract Documents'

    &%&+ !ontract Price'

    &%&- !ontractor'

    &%& Dra3in$s'

    &%&. inal Payment'

    &%&/ *uarantee Bond'

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    &%&0 Instruction to Bidders'

    &%&1 La3s'

    &%&6 O3ner

    '&%+ O3ner7s Representati,e

    '&%+& Payment Bond

    '&%++ Performance Bond

    '&%+- #chedule of 8aterials and inishes

    '&%+ #pecifications

    '&%+. #pecial Pro,isions or !onditions

    '&%+/ #ub'!ontractor

    '&%+0 #upplementary #pecifications

    '&%+1 #urety

    '&%+6 Time Limit or !ompletion Time

    '

    &%- 4ritten "otice'

    &%-& 4or2'

    Article + E9ecution: !orrelation: 8eanin$ of Terms and Intent ofDocuments + - +%& Intent of !ontract

    ' / +%+ #tandard of !onduct

    '

    +%- Interpretation of !ontract'

    +% !onformity to the !ontract'

    +%. 8eanin$ of Terms'

    +%/ Timely E9ercise of Administrati,e Responsibilities'

    +%0 Defecti,e E;uipment: 8aterials and 4or2'

    +%1 Re,ie3 of !ontract

    '

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    +%6 Documents and #amples at the #ite'

    +%& O3nership of !ontract and 8odels'

    Article - Dra3in$s and #pecifications'

    -%& !opies of Dra3in$s and #pecifications'

    -%+ !oordination of Dra3in$s and #pecifications'

    -%- !larification of 8eanin$ of Dra3in$s and #pecifications'

    -% Discrepancy in Dra3in$s'

    Article Detail Dra3in$s and Instructions'

    %& #upplementary Dra3in$s and Instructions'

    Article . #hop Dra3in$s'

    .%& !onditions in the Preparation of #hop Dra3in$s'

    .%+ Identification'

    .%- Letter of Transmittal'

    .% !orrections: !han$es and 5ariations'

    .%. Responsibility for Accuracy'

    ection II. A/ &'UATIO!/ IT CO!DITIO!/ P&MITA!D TA0 + "" Article / La3s and #ite !onditions

    ' && /%& La3s and Re$ulations'

    /%+ #ite !onditions'

    Article 0 Permits: Ta9es and #ur,eys'

    0%& Permits and Licenses'

    0%+ Ta9es

    '

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    0%- !onstruction #ta2es and Reference 8ar2'

    0% #er,ices of *eodetic En$ineer'

    ection III. 2UIPM!T A!D MAT&IA+ "1

    Article 1 *eneral' &-

    Article 6 E;uipment'

    6%&

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    &%& Limitation of =se'

    &%+ #afe$uard for #tructures'

    Article &. Temporary #tructures and acilities'

    &.%& Temporary Office and !ontractor7s Buildin$'

    &.%+ Temporary >ousin$ for 4or2ers'

    &.%- #afety and #anitation'

    &.% Temporary #i$ns'

    &.%. Temporary or Trial =sa$e'

    ection *I. A4O&/ O&5 A!D PA3M!T+ "6

    Article &6 Labor' &1

    ection *. P&OTCTIO! O% O&5 A!D P&OP&T3+ "7

    Article &/ Protection of 4or2 and O3ner7s Property' &6

    ection *II. CO!T&ACTO& +PA&AT CO!T&ACTO&+U4CO!T&ACTO&

    &ATIO! '$7

    Article +-? #eparate !ontracts 3ith Other !ontractors' +6

    Article +? !ontractor'#eparate !ontractors Relations'

    Article +.? #ub'!ontracts '

    ection *III. UP!IO! O% O&5 A!D T&MI!ATIO! O%CO!T&ACT + 1"Article+0? !ontractor7s Ri$ht to #uspend 4or2 or Terminate !ontract

    ' -&Article+1? O3ner7s Ri$ht to #uspend the 4or2

    'Article+6? O3ner7s Ri$ht to Terminate !ontract

    'Article-? O3ner7s Ri$ht to Proceed 3ith the 4or2 After Reduction in

    !ontractor7s#cope of 4or2@ Partial Ta2eo,er from !ontractor

    '

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    ection I0. &PO!I4IITI A!D IA4IITI O%CO!T&ACTO&

    A!D O% O!& +1,Article -&? !ontractor7s Responsibility for Accidents and Dama$es

    ' -Article -+? !ontractor7s Insurance and Bonds

    'Article --? O3ner7s Responsibilities and Liabilities

    'Article -? Liens: Disputes and Arbitration

    '

    ection 0. O!&9 &P&!TATI*+: 17

    Article -.? O3ners Representati,e

    ' -6

    ection 0I. C;DU O% TIM IMIT+ ,#

    Republic of the Philippines

    Department of Trade and Industry (DTI)Construction Industry Authority of the Philippines (CIAP)

    CIAP DOCUM!T "#$U!I%O&M '!&A CO!DITIO! O% CO!T&ACT%O& P&I*AT CO!T&UCTIO!

    CTIO! I. D%I!ITIO! A!D DOCUM!T

    A&T. "< D%I!ITIO!

    &%& A!T O *OD OR FORCE MAJEUREincludes an e,ent 3hich cannot beforeseen: or 3hich thou$h foreseen: 3as ine,itable% Rain: 3ind: flood or

    other natural phenomenon of inconse;uential de$ree for the locality shallnot be construed as an Act of *od or Force Majeure%

    &%+ AD5ERTI#E8E"T or I"5ITATIO" TO BID refers to the notice publishedby the O3ner or the in,itation issued to prospecti,e bidders: $i,in$information as to the nature of the proposed proect: conditions for theissuance of !ontract documents: date of biddin$: and information that3ould $i,e the !ontractor a $eneral idea of the ma$nitude and e9tent ofthe proect%

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    &%- A*REE8E"T is the term used to describe the a$reement si$ned bythe O3ner and the !ontractor e9cludin$ the !ontract Documents 3hichare attached thereto%

    &% BID is the tender: or proposal: or ;uotation: or offer of a bidder to

    perform the 3or2 described in the !ontract 3hich in form and substancecomplies 3ith the Instruction to Bidders%

    &%. BID BO"D refers to any acceptable form of bond accompanyin$ theBid submitted by the bidder as a $uarantee that the bidder 3ill enter intothe !ontract 3ith the O3ner for the construction of the 4or2: if the!ontract is a3arded to him%

    &%/ BID DO!=8E"T# collecti,ely refer to all documents pro,ided ormade a,ailable to prospecti,e bidders 3hich include the In,itation to Bidand a copy of the !ontract 3hich the 3innin$ bidders 3ould be re;uired tosi$n 3ith the O3ner%

    &%0 BID B=LLETI" is a document containin$ additional information on BidDocuments issued to bidders before date of biddin$%

    &%1 BREACDO4" O 4ORC A"D !ORRE#PO"DI"* 5AL=E is a listin$ ofthe different parts of the 3or2 indicatin$ each part and its correspondin$,alue%

    &%6 !>A"*E ORDER is a 3ritten order to the !ontractor issued by the

    O3ner after the e9ecution of the !ontract: authoriin$ a chan$e or,ariation in the 3or2 or an adustment in the !ontract Price or !ontracttime%

    &%& !O"TRA!T is the term used to describe the A$reement and the!ontract Documents%

    &%&& !O"TRA!T DO!=8E"T# are the documents attached to theA$reement identified therein as !ontract Documents: includin$ alladditions: deletions and modifications incorporated therein% These$enerally include the follo3in$ documents?

    a% #pecial Pro,isions or !onditionsb% *eneral !onditionsc% Dra3in$sd% #pecificationse% Other Bid Documents&%&+ !O"TRA!T PRI!E is the amount in money or other consideration tobe paid by the O3ner to the !ontractor for the e9ecution of the 4or2 inaccordance 3ith the !ontract%

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    &%&- !O"TRA!TOR is the person or firm duly re$istered and licensed bythe Philippine !ontractors Accreditation Board 3hose proposal has beenaccepted and to 3hom 3as a3arded the !ontract to e9ecute the 4or2%

    &%& DRA4I"*# are $raphical presentations of the 4or2% They include all

    supplementary details and shop dra3in$s%

    &%&. I"AL PA8E"T refers to the payment of the final pro$ress billin$and all appro,ed claims includin$ but not limited to those ,ariations in the3or2: !ontract Price adustments andFor escalation: acceleration of 3or2:and others% It does not include the retention money%

    &%&/ *=ARA"TEE BO"D is the appro,ed form of security furnished by the!ontractor and his #urety as a $uarantee of the ;uality of the materialspro,ided: the e;uipment installed: and the 3or2manship performed by the!ontractor%

    &%&0 I"#TR=!TIO" TO BIDDER# refers to the list of instructions re$ardin$the manner bids are to be prepared and the conditions for the a3ard ofthe !ontract%

    &%&1 LA4# refers to all la3s: ordinances and other $o,ernmental rulesand re$ulations applicable to the proect and to its e9ecution%

    &%&6 O4"ER is the person or entity or authoried representati,e thereof3ho si$ned the !ontract as O3ner%

    &%+ O4"ER7# REPRE#E"TATI5E refers to the person or entitycommissioned by the O3ner or authoried in 3ritin$ by the O3ner to acton his behalf%

    &%+& PA8E"T BO"D is the appro,ed form of security furnished by the!ontractor and his #urety as a $uarantee of $ood faith on the part of the!ontractor to faithfully comply 3ith the !ontract in respect of itsobli$ations arisin$ therefrom to its 3or2ers: subcontractors: and suppliers%

    &%++ PEROR8A"!E BO"D is the appro,ed form of security furnished by

    the !ontractor and his #urety as a $uarantee of $ood faith on the part ofthe !ontractor to e9ecute the 4or2 in accordance 3ith the !ontract%

    &%+- #!>ED=LE O 8ATERIAL# A"D I"I#>E# is an outline specificationenumeratin$ the type or trade names of materials re;uired to be used bythe !ontractor for the 4or2%

    &%+ #PE!II!ATIO"# are the 3ritten or printed description of the 3or2 tobe done describin$ ;ualities of the material to be used: the e;uipment tobe installed and the mode of construction%

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    &%+. #PE!IAL PRO5I#IO"# OR !O"DITIO"# are instructions 3hich areissued prior to biddin$ to supplement andFor modify the Dra3in$s:#pecifications andFor *eneral !onditions of the !ontract%

    &%+/ #=B'!O"TRA!TOR is a contractor duly re$istered and licensed by the

    Philippine !ontractors Accreditation Board ha,in$ a direct contract 3iththe !ontractor 3ho acts for or in behalf of the !ontractor in e9ecutin$ anypart of the !ontract% One 3ho merely furnishes materials 3ithout labor isa supplier and not a #ub'!ontractor%

    &%+0 #=PPLE8E"TAR #PE!II!ATIO"# refers to additional information3hich may be issued as an addition to or amendment of the pro,isions ofthe #pecifications%

    &%+1 #=RET is the person: firm or corporation 3hich issues the bondre;uired of the !ontractor%

    &%+6 TI8E LI8IT OR !O8PLETIO" TI8E is the period of time allo3ed by the!ontract for the completion of the proect or any stipulated portionsthereof%

    &%- 4RITTE" "OTI!E means information: ad,ice or notification pertinentto the proect deli,ered in person or sent by re$istered mail to anindi,idual: firm or corporation at the latter7s last 2no3n business address%

    &%-& 4ORC refers to all the !ontractor'pro,ided labor or materials or both

    as 3ell as e;uipment transportation: or other facilities necessary tocommence and complete the construction and to fulfill all his obli$ations3hich are called for in the !ontract%

    A&T. $< 0CUTIO!/ CO&&ATIO!/ MA!I!' O% T&M A!DI!T!T O% DOCUM!T+%& I"TE"T O !O"TRA!T ? The intent of the !ontract is to include alllabor and materials: e;uipment and transportation necessary for theproper e9ecution of the 4or2%

    +%+ #TA"DARD O !O"D=!T? Each party to the !ontract ac2no3led$esthat in the e9ercise of his ri$hts in the performance of his duties: he mustact 3ith ustice: $i,e the other party his due: and obser,e honesty and$ood faith%

    +%- I"TERPRETATIO" O !O"TRA!Ta% In case of conflict bet3een the pro,isions of the A$reement or of any!ontract Document: or bet3een the pro,isions of one of the !ontractDocuments and the pro,isions of another !ontract Document: or in caseof discrepancy: defecti,e description: error or omission in the !ontract:

    the follo3in$ rules shall be follo3ed?

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    R=LE &? The A$reement and the !ontract Documents shall be ta2en asmutually e9planatory of one another% The ,arious pro,isions of the!ontract shall be interpreted to$ether attributin$ to the doubtful ones thatsense 3hich may result from all of them ta2en ointly%

    R=LE +? The pro,isions of the !i,il !ode of the Philippines on theinterpretation of contracts and of the Rules of !ourt on the Interpretationof Documents shall be applied%

    R=LE -? 4here the conflict bet3een or amon$ the pro,isions of theA$reement andFor the !ontract Documents cannot be resol,ed by Rules &and +: it shall be understood that?(a) the Detailed Dra3in$s shall pre,ail o,er the *eneral Dra3in$s@ (b) fi$ures 3ritten on Dra3in$s shall pre,ail o,er the Dra3in$sthemsel,es@ and(c) calculated dimensions shall pre,ail o,er scaled dimensions%R=LE ? 4here the conflict cannot be resol,ed by applyin$ Rule - or3here Rule - does not apply: the conflict shall be resol,ed by $i,in$precedence to the A$reement or to pro,isions of a !ontract Documenthi$her in order of priority amon$ the ,arious documents 3hich comprisethe !ontract% The order of priority amon$ these documents shall be asfollo3s?(a) A$reement as modified by "otice of A3ard of !ontract: if such be thecase: and the !ontractor7s conformity thereto?(b) Instruction to Bidders and any amendment thereto@

    (c) Addenda to Bid Documents@(d) Dra3in$s@(e) #pecifications@(f) #pecial !onditions of !ontract@($) *eneral !onditions of !ontract@(h) Other !ontract Documents@ and(i) Other documents formin$ part of the !ontract attached thereto orincorporated therein by reference%

    4here the order of precedence is modified in the A$reement: suchmodified order of precedence shall be follo3ed@ ho3e,er: the mere listin$

    of !ontract Documents in the A$reement or any !ontract Document shallnot be interpreted as establishin$ an order of precedence amon$ them%

    R=LE .? 4here there is discrepancy: defecti,e description: error oromission in any !ontract Document: the !ontract Documents shall beinterpreted as bein$ complementary to each other% Thus: 3hat is calledfor in one !ontract Document: althou$h not mentioned in another!ontract Document 3here it should ha,e been mentioned: shall bedeemed to be called for by the !ontract%

    R=LE /? The apparent silence of the Dra3in$s: #pecifications or any other!ontract Document as to any detail: or the lac2 of detailed description

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    concernin$ any part of the 3or2: shall be understood to mean that $oodand accepted construction practice in accordance 3ith the usa$e orcustom of the place shall be follo3ed%

    R=LE 0? Rules & to / shall yield to specific rules of interpretation in this

    document or in the !ontract%

    b% The O3ner shall resol,e the conflict: or interpret or e9plain suchdiscrepancy: defecti,e description: error or omission 3ith due re$ard toArticle +% belo3%

    c% The interpretation of or e9planation by the O3ner shall be issued in theform of instructions to the !ontractor% 4here the O3ner fails to issue theinstruction in 3ritin$: the e9ecution of that part of 3or2 affected by theinterpretation or e9planation 3ithout a timely obection or protest of theO3ner shall be deemed to ha,e been e9ecuted in accordance 3ith theO3ner7s e9planation or interpretation%

    d% In all cases 3here a de,ice: item or part of e;uipment is referred to inthe sin$ular number: it is intended that such reference shall apply to asmany such de,ices: items: or parts as are re;uired to complete the 3or2%

    +% !O"OR8IT TO T>E !O"TRA!T? The 4or2 shall be e9ecuted inaccordance 3ith the !ontract%

    a% If there be a ,ariance bet3een the Dra3in$s and the #pecifications: the

    pro,isions of the #pecifications shall control% In case of conflict bet3eenthe *eneral !onditions or any modification thereof and the detailedspecification re;uirements: the detailed specification re;uirements shallcontrol%

    b% Any discrepancy found bet3een the Dra3in$s and #pecifications andsite conditions or any error or omission in the Dra3in$s or #pecificationsshall be immediately reported to the O3ner: 3ho shall promptly correctsuch discrepancy: error: or omission% Any 3or2 in,ol,in$ suchdiscrepancies shall be estimated by the !ontractor and unit prices or lumpsum amounts shall be a$reed upon by the parties 3hene,er possible

    before the 3or2 is done% Any 3or2 done by the !ontractor in,ol,in$discrepancies found by the !ontractor and not reported to and 3ithout the2no3led$e of the O3ner shall be considered as ha,in$ been done at the!ontractor7s ris2%

    c% The O3ner shall be fully responsible for ade;uacy of the desi$n and forsufficiency of the Dra3in$s and #pecifications% The complete re;uirementsof the 4or2 shall be set forth in Dra3in$s and #pecifications to besupplied by the O3ner%

    +%. 8EA"I"* O TER8#

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    a% APPRO5ED: DIRE!TED A"D A!!EPTABLE ? The 3ords Gappro,edG:GdirectedG and GacceptableG: or 3ords of li2e import shall mean appro,ed:directed by or acceptable to the O4"ER%

    b% =R"I#> ? The 3ord GfurnishG shall be understood to mean Gpurchase

    andFor fabricate and deli,er to the obsite or other location 3hen sodesi$nated%G

    c% I"#TALL ? The 3ord GinstallG shall mean to build in: mount in positions:connect or apply any obect specified ready for the intended use%

    d% PRO5IDE ? The 3ord Gpro,ideG shall be understood to mean Gfurnish andinstall%G

    e% RE

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    e;uipment or to replace bad or defecti,e 3or2: the O3ner: if he isrepresented by a professional duly authoried to super,ise the!ontractor7s 3or2 and to e9ercise the discretion and authority of theO3ner: shall condemn such materials: e;uipment or 3or2 in order tominimie the dama$e or loss of the !ontractor% >o3e,er: 3here e,en 3ith

    the e9ercise of due dili$ence: the O3ner could not ha,e disco,ered theuse of inferior materials and e;uipment or the defecti,e 3or2: the O3nermay condemn it upon disco,ery: and the !ontractor shall bear all the costof remo,in$ and replacin$ the defecti,e or inferior material or e;uipmentor the defecti,e 3or2%

    +%1 RE5IE4 O !O"TRA!T% The !ontractor shall carefully study andcompare the ,arious documents that comprise the !ontract and shallreport to the O3ner any error: inconsistency or omission that may bedisco,ered in its pro,isions% The !ontractor: ho3e,er: shall not be liable tothe O3ner for any dama$e resultin$ from any such error: inconsistency oromission in the !ontract% The !ontractor shall follo3 the Dra3in$s and#pecification and all additional detail dra3in$s and instruction issued bythe O3ner as bein$ in full and strict conformity 3ith the !ontract and there;uirements of the 4or2% E9cept for shop dra3in$s: product data andsamples for any portion of the 3or2 pro,ided or supplied by a specialtycontractor: the O3ner7s appro,al thereof shall be construed as theO3ner7s ac2no3led$ment that the appro,ed shop dra3in$s: product dataand sample comply 3ith the !ontract% The !ontractor shall not be liable tothe O3ner for undetected error: inconsistency or omission in the !ontractor for complyin$ 3ith instructions or follo3in$ Dra3in$s or #pecifications:

    or for usin$ or follo3in$ the appro,ed shop dra3in$s: product data orsample%

    +%6 DO!=8E"T# A"D #A8PLE# AT T>E #ITE% The !ontractor shallmaintain in $ood order at the Proect site on a current basis one recordcopy of all Dra3in$s: #pecifications: addenda: !han$e Orders and othermodifications: and chan$es made durin$ construction: includin$ appro,edshop dra3in$s: product data and samples% These documents and samplesshall be a,ailable to the O3ner for the latter7s inspection% The !ontractorshall ad,ise the O3ner: on a current basis and in 3ritin$: of chan$es in the4or2 made durin$ construction: e9cept those made in accordance 3ith

    !han$e Orders or O3ner7s instruction%

    +%& O4"ER#>IP O !O"TRA!T A"D 8ODEL#? The Dra3in$s:#pecifications and models: includin$ all additional instructions and copiesthereof: furnished to the !ontractor shall remain the property of theO3ner% They are not to be used by the !ontractor on any other 3or2: and:3ith the e9ception of the si$ned !ontract inclusi,e of !ontractDocuments: they shall be returned to the O3ner upon completion of the4or2 before inal Payment to the !ontractor is made%

    A&T. 1< D&AI!' A!D PCI%ICATIO!

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    -%& !OPIE# O DRA4I"*# A"D #PE!II!ATIO"#? The O3ner shall furnishthe !ontractor: free of char$e: three sets of Dra3in$s and #pecificationsinclusi,e of the si$ned !ontract% All other copies of Dra3in$s and#pecifications as re;uired by the !ontractor 3ill be furnished to him atcost of reproduction%

    -%+ !OORDI"ATIO" O DRA4I"*# A"D #PE!II!ATIO"#? All Dra3in$sand models are to be read and understood to$ether 3ith the#pecifications: to form a part thereof% 4here fi$ures are $i,en: they are tobe follo3ed in preference to measurements by scale% Anythin$ sho3n onthe Dra3in$s but not mentioned in the #pecifications: or ,ice ,ersa: oranythin$ not e9pressly set forth in either but 3hich is reasonably implied:shall be furnished as if specifically sho3n and mentioned in both%

    -%- !LARII!ATIO" O 8EA"I"* O DRA4I"*# A"D #PE!II!ATIO"#?=pon re;uest of the !ontractor: the O3ner 3ill e9plain (i) the meanin$ ofthe Dra3in$s (includin$ notes thereon) or of the #pecifications: or (ii) anyobscurity as to the 3ordin$ of the #pecifications% The O3ner shall pro,idethe !ontractor directions and e9planations necessary and proper to ma2emore definite and certain any re;uirement of the Dra3in$s (includin$notes thereon) or of the pro,isions of the #pecifications%

    -% DI#!REPA"! I" DRA4I"*#? The !ontractor shall report to theO3ner any discrepancy in the fi$ures in the dra3in$s immediately uponits disco,ery% The O3ner shall ma2e the necessary correction% The!ontractor shall not be entitled to an adustment of his !ontract Price and

    !ompletion Time should his 3or2 be ordered re'done if such 3or2 3asmade 3ithout notifyin$ the O3ner of the disco,ery of the discrepancy andbefore the O3ner ma2es the necessary correction%

    A&T. ,< DTAI D&AI!' A!D I!T&UCTIO!

    %& #=PPLE8E"TAR DRA4I"*# A"D I"#TR=!TIO"#? The O3ner shallfurnish additional detail dra3in$s and instructions essential to their properinterpretation and proper e9ecution of the 4or2% All such additionaldra3in$s and instructions are to be considered of e;ual force as those3hich ori$inally accompany the #pecifications%

    A&T. 8< ;OP D&AI!'.%& !O"DITIO"# I" T>E PREPARATIO" O #>OP DRA4I"*#? The!ontractor shall prepare at his o3n e9pense and submit t3o copies of allshop or settin$ dra3in$s: templates: patterns and models and the O3nershall pass upon them ma2in$ desired corrections: if any% The !ontractorshall ma2e the corrections in the shop dra3in$s re;uired by the O3nerand file 3ith the latter three (-) corrected copies thereof%

    .%+ IDE"TII!ATIO"? #hop dra3in$s 3hich shall be numberedconsecuti,ely shall represent?

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    a% All 3or2in$ and erection dimensions%b% Arran$ement and sectional ,ie3s%c% "ecessary details: includin$ complete information for ma2in$connections 3ith other 3or2%

    d% Cinds of materials and finishes%

    #hop dra3in$s shall be dated and contain (a) the name of proect: (b) thedescripti,e names of e;uipment: materials: and classified item numbersand (c) the location at 3hich materials or e;uipment are to be installed inthe 4or2%

    .%- LETTER O TRA"#8ITTAL? #ubmission of shop dra3in$s shall beaccompanied by a letter of transmittal in duplicate: containin$ the nameof the proect: the !ontractor7s name: number dra3in$s: titles: and otherpertinent data%

    .% !ORRE!TIO"#: !>A"*E# A"D 5ARIATIO"#? The !ontractor shallsubmit three sets of prints of shop dra3in$s to the O3ner for appro,al%#atisfactory shop dra3in$s 3ill be so identified by the O3ner: dated: andone copy thereof returned to the !ontractor% #hould shop dra3in$s bedisappro,ed by the O3ner: one set of such shop dra3in$s 3ill be returnedto the !ontractor indicatin$ therein the corrections and chan$es to bemade%a% The !ontractor shall ma2e the re;uired corrections and chan$es and

    resubmit the shop dra3in$s: in duplicate: until the O3ner7s appro,al isobtained%

    b% =pon receipt of such appro,al: the !ontractor shall insert the date ofappro,al on the tracin$s and promptly furnish the O3ner 3ith threeadditional prints of appro,ed dra3in$s%

    c% "o 3or2 called for by the shop dra3in$s shall be e9ecuted by the!ontractor until the O3ner7s appro,al is $i,en%

    d% If the shop dra3in$s sho3 ,ariations from the !ontract re;uirements

    because of standard shop practice or other reasons: the !ontractor shallma2e specific mention of such ,ariations in his letter of submittal%.%. RE#PO"#IBILIT OR A!!=RA!? If the !ontractor is a specialtycontractor or is en$a$ed by the O3ner as a specialty contractor: theO3ner7s appro,al of shop dra3in$s 3ill be $eneral% It shall not relie,e the!ontractor of responsibility for accuracy of such shop dra3in$s: nor forproper fittin$ and construction of 3or2: nor for furnishin$ of materials or3or2 re;uired by the !ontract and not indicated on the shop dra3in$s%The O3ner7s appro,al of such dra3in$s or schedule shall not relie,e the

    specialty contractor from responsibility for de,iations from the Dra3in$sor #pecifications: unless he has: in 3ritin$: called the O3ner7s attention to

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    such de,iations at the time of submission and secured the O3ner7s 3rittenappro,al%

    CTIO! II. A/ &'UATIO!/ IT CO!DITIO!/ P&MITA!D TA0

    A&T. -< A A!D IT CO!DITIO!

    /%& LA4# A"D RE*=LATIO"#? In $eneral: the !ontractor shall comply3ith all La3s in so far as they are bindin$ upon or affect the partiesthereto: or the 4or2% >e shall also comply 3ith re$ulations of firmsfurnishin$ utilities such as 3ater: $as: telephone and electricity for theproect%

    If the !ontractor performs any 3or2 contrary to such La3s or utilities7re$ulations: he shall bear all additional costs arisin$ therefrom%

    /%+ #ITE !O"DITIO"#? Before the biddin$ and the a3ardin$ of the!ontract: the !ontractor is e9pected to ha,e ,isited the proect site andmade his o3n estimate of the facilities re;uired in and difficultiesattendin$ the e9ecution of the 4or2: on account of local conditions and allother contin$encies% The O3ner shall: ho3e,er: furnish the !ontractor a$eodetic sur,ey and sub'surface e9ploration 3hich the !ontractor mayrely upon in the preparation of his Bid%

    A&T. =< P&MIT/ TA0 A!D U&*30%& PER8IT# A"D LI!E"#E#? The O3ner: 3ith the !ontractor7sassistance: shall secure and pay all construction permits and licensesnecessary for the e9ecution of the 4or2 or of any temporary 3or2 andeasements in relation thereto%

    The !ontractor shall secure the final occupancy permit but he shall not be

    responsible to the O3ner if: 3ithout his fault: the license is not issued orthere 3as delay in its issuance%

    0%+ TAHE#? 4here,er the la3 of the place 3here the proect is locatedre;uires a sales: consumer: use: or other similar ta9 related or pertinentonly to the construction of the proect: the !ontractor shall pay such ta9%

    0%- !O"#TR=!TIO" #TACE# A"D REERE"!E 8ARC? The O3ner shallfurnish all sur,eys describin$ the physical characteristics: le$allimitations: and utility locations of the site% >e shall also furnish ri$hts'of'

    3ay for access to the site% The O3ner shall be responsible for theestablishment of lot lines: boundary lines: easements and benchmar2s

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    3hich shall be made by a certified sur,eyor% The O3ner may re;uest the!ontractor to ,erify before the start of the construction the result of suchsur,eys: pro,ided the O3ner shall pay for the cost of such ,erification%The O3ner shall also pay for any dama$e or cost to the !ontractorbrou$ht about by errors in data furnished%

    All other $rade: lines: le,els: and benchmar2s necessary for theprosecution of the 3or2 shall be established and maintained by the!ontractor%

    The !ontractor shall pro,ide and maintain 3ell'built batterboards at allcorners% >e shall establish benchmar2s in not less than t3o 3idelyseparated places% As 3or2 pro$resses: the !ontractor shall establishbenchmar2s at each floor $i,in$ e9act le,els of ,arious floors: and shalllay'out the e9act locations of all partitions as a $uide to all trades%

    0% #ER5I!E# O *EODETI! E"*I"EER? The !ontractor shall: at hisoption or 3hen so re;uired under the !ontract: en$a$e the ser,ices of alicensed *eodetic En$ineer to confirm and certify the location of columncenters: piers: 3alls: pits: trenches: pipe 3or2: utility lines and 3or2 of asimilar nature%

    The *eodetic En$ineer shall also ,erify and certify the lines and le,els ofany part of the 4or2 at any time if so re;uired by the O3ner%

    The certification shall be pro,ided the O3ner and the !ontractor% If the

    *eodetic En$ineer finds any de,iation from the Dra3in$s in the 4or2 ofthe !ontractor: he shall report his findin$s to the O3ner 3ithin + hoursfrom disco,ery%

    The !ontractor shall be responsible for loss or dama$e caused by the actor omission of the *eodetic En$ineer% >o3e,er: 3ithout e9emptin$ the!ontractor from liability: but in miti$ation of it: the *eodetic En$ineer7scertification shall be re$arded as an independent and disinterested,erification of such lay'out%

    CTIO! III. 2UIPM!T A!D MAT&IA

    A&T. 6< '!&A

    All materials and e;uipment must conform to all La3s no3 or 3hich maybe in force and applicable durin$ the period of construction% The!ontractor shall bear all dama$es by reason of any delay in the 4or2

    arisin$ from his failure to comply 3ith this pro,ision% 4here any re,isionor amendment to such La3s is made durin$ the construction period 3hich

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    affects the cost or time of completion of the !ontract: a constructi,echan$e in the 4or2 shall be reco$nied and a correspondin$ !ontractPrice and !ompletion Time adustment shall be made%

    A&T. 7< 2UIPM!T

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    &%+ TRADE "A8E 8ATERIAL# A"D #=B#TIT=TE# ?a% 4hene,er an item or class of materials is specified e9clusi,ely by tradename: by manufacturer7s name or by catalo$ reference: only such item

    shall be used e9cept as pro,ided in para$raph (b) hereof%

    b% "o substitution shall be made of any material: article: or processre;uired under the !ontract unless the substitution is appro,ed in 3ritin$by the O3ner%

    c% The !ontractor shall be responsible for materials and articles installedor used 3ithout such appro,al%

    d% #amples of materials for use in reinforced concrete 3or2 such as steelbars: cement: and a$$re$ates and their certificates of ori$in shall beappro,ed by the O3ner%&%- TE#TI"* #A8PLE# O 8ATERIAL#? The !ontractor shall submit tothe O3ner as many samples as may be needed for purposes of testin$%Testin$ of all samples shall comply 3ith the #pecifications and$o,ernment standards and shall be performed by a competent entity ortestin$ laboratory appro,ed by the O3ner%

    All costs of shipment: deli,ery: handlin$ and testin$ of !ontractor'suppliedsamples are to be paid by the !ontractor%

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    or replace defecti,e materials 3hen ordered to do so by the O3ner% =ponthe !ontractor7s failure to do so: the O3ner may remo,e and replace themand deduct the cost of remo,al and replacement from any money due orto become due the !ontractor% "o materials: the defects of 3hich ha,ebeen subse;uently corrected shall be used until the O3ner7s appro,al is

    $i,en%

    #hould the #pecifications: Dra3in$s: #pecial Pro,isions and#upplementary #pecifications fail to pro,ide any detail or descriptionconcernin$ the nature and ;uality of the 4or2 to be performed it shouldbe understood that $enerally accepted construction practice shall befollo3ed%

    &%0 I8PORTED 8ATERIAL#: IHT=RE# A"D Ee shall defend all suits orclaims correspondin$ thereto for infrin$ement of any patent ri$hts andshall sa,e the O3ner harmless from loss on account thereof%

    A&T. "1< MA!U%ACTU&&9 DI&CTIO!

    All manufactured articles: materials: e;uipment: appliances: fi9tures and

    fittin$s supplied by the !ontractor shall be applied: installed: connected:erected: used: cleaned: and conditioned by him: in accordance 3ith

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    manufacturer7s printed directions% 4here reference is made to themanufacturer7s directions: the !ontractor shall submit the specifiednumber of copies of such directions to the O3ner%

    CTIO! I*. P&MI A!D TMPO&A&3 T&UCTU&

    A&T. ",< U O% P&MI

    &%& LI8ITATIO" O =#E? The !ontractor shall confine his apparatus: the

    stora$e of materials: and the operations of his 3or2men to limits indicatedby La3 or directions of the O3ner and shall not unreasonably encumberthe 3or2 premises 3ith his materials%

    &%+ #AE*=ARD OR #TR=!T=RE? The !ontractor shall not load orpermit any part of the structure to be loaded 3ith a 3ei$ht that 3illendan$er its safety%

    The !ontractor shall enforce the O3ner7s safety instructions re$ardin$si$ns: ad,ertisements: fires and smo2in$%

    A&T. "8< TMPO&A&3 T&UCTU& A!D %ACIITI

    &.%& TE8PORAR OI!E A"D !O"TRA!TOR7# B=ILDI"*? The !ontractorshall: ta2in$ into account the location and sie of the site: at all timespro,ide and maintain an ade;uate 3eatherti$ht temporary office 3ithnecessary basic facilities such as 3ater: li$ht: and telephone% 4henpracticable or dependin$ upon the nature and comple9ity of the proect:the O3ner may re;uire the !ontractor to comply 3ith other re;uirementsfor temporary structures and facilities as pro,ided for in the !ontract%

    &.%+ TE8PORAR >O=#I"* OR 4ORCER#? The temporary buildin$s forhousin$ men: or the erection of tents or other forms of protection 3ill be

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    permitted only at such places as the O3ner shall desi$nate@ pro,ided:ho3e,er: that if no particular area is desi$nated: the !ontractor may usehis o3n discretion in determinin$ such areas in consultation 3ith theO3ner% The sanitary condition of the $rounds in or about such structuresat the proect site shall at all times be maintained in a manner satisfactory

    to the O3ner% "obody shall be allo3ed to sleep or coo2 3ithin the buildin$line of the proect under construction%

    &.%- #AET A"D #A"ITATIO"? The !ontractor shall: from thecommencement of the 4or2 and until its completion? (a) furnish and putup all temporary barricades and $uard li$hts necessary for the protection:proper prosecution and completion of the 4or2: (b) maintain $uard li$htsat the top of the false3or2 to3er: barricades: railin$s: etc%@ (c) pro,ide andmaintain ample sanitary toilet accommodation and other necessarycon,eniences includin$ 3ater connections for the use of personnel andlaborers on the 3or2 properly secluded from public obser,ation in suchmanner and at such points as shall be appro,ed by the O3ner: and theiruse shall be strictly enforced@ (d) 2eep such places clean and free fromflies@ and (e) remo,e all connections and appliances connected there3ithprior to the completion of the 4or2%

    &.% TE8PORAR #I*"#? "o si$ns or ad,ertisements 3ill be allo3ed tobe displayed 3ithout the O3ner7s appro,al% The !ontractor may erect onepainted si$n: $i,in$ the names and addresses of the O3ner: the!ontractor: and the ,arious sub'contractors% The O3ner shall appro,e thesie: color: letterin$: and location of such temporary si$ns%

    &.%. TE8PORAR OR TRIAL =#A*E? Temporary or trial usa$e by theO3ner of any mechanical de,ice: machinery: apparatus: e;uipment: orany 3or2 or materials supplied by the !ontractor before final completionand 3ritten acceptance by the O3ner shall not be construed as e,idencethat the O3ner has accepted it%

    #uch test run shall be made by the O3ner for such reasonable len$th oftime as the O3ner shall deem necessary% The O3ner shall not be liable forinury to or brea2in$ of any part of such 3or2 3hich may be caused by3ea2ness or inaccuracy of structural parts or by defecti,e material or

    3or2manship%

    The !ontractor may: at his o3n e9pense: ma2e such trial usa$e 3ith priornotice to and for the benefit of the O3ner

    CTIO! *. P&OTCTIO! O% O&5 A!D P&OP&T3

    A&T. "-< P&OTCTIO! O% O&5 A!D O!&9 P&OP&T3

    &/%& #AE*=ARD 8EA#=RE#? The !ontractor shall?

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    interrupted: the !ontractor shall be liable for all dama$es 3hich mayresult therefrom%A&T. "=< P&OTCTIO! O% AD>AC!T P&OP&T3 A!D 0ITI!'UTIITI

    &0%& !O"TRA!TOR7# RE#PO"#IBILIT? The !ontractor shall ade;uatelyprotect adacent property as pro,ided by La3 and the !ontract% Anynei$hborin$ property or buildin$ 3hich may be eopardied in any mannermust be thorou$hly and substantially protected a$ainst dama$e durin$construction at the !ontractor7s e9pense%

    &0%+ The !ontractor shall be liable for and pay for all dama$es toadacent and e9istin$ utilities occasioned in any manner by his act orne$lect: or by that of his a$ents: employees: or 3or2men%A&T. "6< P&OTCTIO! O% I%/ O&5 A!D P&OP&T3 DU&I!' A!M&'!C3&1%& A=T>ORIATIO" TO !O"TRA!TOR? In an emer$ency endan$erin$life: the 4or2 or the adoinin$ property: the !ontractor: e,en 3ithoutspecial instruction or authoriation from the O3ner: shall act: at hisdiscretion: to pre,ent or minimie such threatened loss or inury%

    Emer$ency 3or2 performed by the !ontractor shall be treated as oneperformed under a !han$e Order unless the emer$ency 3as caused or

    brou$ht about by his fault or ne$li$ence%CTIO! *I. A4O&/ O&5 A!D PA3M!T

    A&T. "7< A4O&&6%& !>ARA!TER O 4ORC8E"? The !ontractor shall employ onlycompetent and duly ;ualified professionals: technical personnel: foremen:mechanics and 3or2ers to super,ise or e9ecute the 4or2% =pon 3rittenre;uest of the O3ner: the !ontractor shall remo,e from the site anemployee 3ho is careless or incompetent or obstructs the pro$ress of the

    3or2 or acts contrary to instructions or conducts himself improperly%A&T. $#< O&5+%& 8ET>OD# A"D APPLIA"!E#? The !ontractor shall use such methodsand appliances for the performance of the 4or2 as 3ill ensure thecompletion of the 4or2 of the re;uired ;uality 3ithin the !ompletionTime%

    If: at any time before the commencement or durin$ the pro$ress of the

    4or2: such methods or appliances appear to the O3ner to be inefficient orinappropriate for producin$ the ;uality of 3or2 re;uired: or insurin$ the

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    re;uired rate of pro$ress: the O3ner may order the !ontractor to increasethe rate of their efficiency: or to impro,e their system of operation% The!ontractor must comply 3ith such order% ailure: ho3e,er: of the O3nerto demand such increase of efficiency or impro,ement of the character ormethods of 3or2 or of the appliances shall not relie,e the !ontractor from

    his obli$ation to turn out such ;uality of 3or2 and rate of pro$ress as arecalled for in the !ontract%

    +%+ LAI"* O=T T>E 4ORC? All sta2es and benchmar2s placed by the!ontractor in layin$ out the 3or2 and appro,ed by the O3ner shall becarefully $uarded and preser,ed by the !ontractor% =nless such sta2es ormar2s are displaced or rendered useless throu$h the carelessness orne$lect of the O3ner or of his a$ents or employees: they shall be replacedby the !ontractor at his e9pense%

    +%- DEE!TI5E 4ORC? 4or2 that fails to comply 3ith the !ontract isdefecti,e% Defecti,e 3or2 shall be condemned by the O3ner upondisco,ery: and 3hen such 3or2 has been condemned it shall beimmediately remo,ed by the !ontractor and replaced in accordance 3iththe Dra3in$s and #pecifications%

    +% I"#PE!TIO" O 4ORC

    a% The O3ner shall ha,e access: at all times: to the 4or2% The O3ner shallpro,ide a sufficient number of inspectors 3hile 4or2 is in pro$ress toensure its timely inspection%

    b% The !ontractor shall furnish 3ithout additional char$e all reasonablefacilities: labor and materials necessary for the con,enient inspection andtests that may be re;uired by the inspectors%

    c% The O3ner shall pro,ide inspectors authoried to 3itness the pourin$ ofconcrete and the absence of the O3ner7s inspectors at any time durin$the pro$ress of the 3or2 shall be an implicit appro,al of the ;uality of thecement mi9 and the authority to pour it%

    d% If the #pecifications: the O3ner7s instructions: the La3s: or any public

    authority re;uires any 3or2 to be specifically tested or appro,ed: the!ontractor shall $i,e timely notice to the O3ner and other partiesre;uired to ma2e or be present at the inspection of the date and time ofsuch inspection% Inspection by the O3ner shall be made: 3herepracticable: at the source of supply%

    e% If any 3or2 should be co,ered up 3ithout timely notice to the O3ner: orbefore the O3ner can ma2e a timely inspection thereof: it must: ifre;uired by the O3ner: be unco,ered for e9amination at the !ontractor7se9pense% >o3e,er: not3ithstandin$ the failure of the O3ner to ma2e a

    timely inspection of the 3or2 before it is co,ered: its re'e9amination maybe ordered by the O3ner and if so ordered: the 3or2 must be unco,ered

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    by the !ontractor at the O3ner7s e9pense but if such 3or2 be found not inaccordance 3ith the !ontract: the !ontractor shall shoulder the cost ofunco,erin$ and re'doin$ the 3or2%

    f% If there are indications that the 3or2 done is not in accordance 3ith the

    Dra3in$s and #pecifications: the O3ner may at any time before finalacceptance of the 4or2 ma2e an e9amination of the portion alreadycompleted by remo,in$ or tearin$ out the same% The !ontractor shall: onre;uest: furnish all necessary facilities: labor: and materials% If such 3or2is found to be defecti,e in any material respect due to fault of the!ontractor or his sub'contractors: the !ontractor shall defray all thee9penses of such e9amination and of satisfactory reconstruction% If:ho3e,er: such 3or2 is found to meet the re;uirements of the !ontract:the actual cost of labor and materials necessarily in,ol,ed in thee9amination and replacement plus &. percent (&.J): shall be allo3ed the!ontractor and he shall: in addition: if completion of the 3or2 has beendelayed thereby: be $ranted a suitable e9tension of time on account ofthe additional 3or2 in,ol,ed%

    $% All inspection and tests shall be performed as not to delay the 3or2unnecessarily%

    +%. 4ORC D=RI"* A" E8ER*E"!? The !ontractor shall perform any3or2 and shall furnish and install all materials and e;uipment necessarydurin$ an emer$ency endan$erin$ life or property% In such cases: Article&1%& shall apply%

    +%/ I"!REA#ED OR DE!REA#ED

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    materials: e;uipment: appliances or fi9tures to be pro,ided shall betreated as sufficient 3ritten instruction of the O3ner to the !ontractor toe9ecute the chan$e%

    B% !>A"*E O #=B'#=RA!E !O"DITIO"#? If: durin$ the pro$ress of the

    3or2: sub'surface conditions at the site materially different from thosesho3n on the Dra3in$s or indicated in the #pecifications or in any!ontract Document: are disco,ered or encountered: the attention of theO3ner shall be called to such conditions before they are disturbed% TheO3ner shall thereupon in,esti$ate the conditions: and if he finds that theymaterially differ from those sho3n on the Dra3in$s or indicated in the#pecifications or in the report of the O3ner7s $eodetic sur,ey and sub'surface e9ploration: he shall ma2e such chan$es in the Dra3in$s and#pecifications as he may find necessary%

    If as a result of sub'surface conditions: additional or a different type of3or2 be re;uired: althou$h no chan$e in the Dra3in$s or #pecificationsmay be re;uired: a !han$e Order shall be necessary and issued to the!ontractor%

    !% ADK=#T8E"T O !O"TRA!T? The 4or2 shall be e9ecuted under theconditions of the !ontract% If chan$es under para$raphs A and B shallcause an increase or decrease in the amount due under the !ontract: or inthe time re;uired for or manner of its performance: an e;uitableadustment shall be made and the !ontract modified accordin$ly% In thee,ent that the 4or2 is increased by such chan$es: the !ontractor shall

    furnish proportionate additional performance bond%

    D% 5AL=E O EHTRA 4ORC? The ,alue of any e9tra 3or2 or chan$e shallbe determined by the O3ner in any one or more of the follo3in$ 3ays?(a) By a lump sum acceptable to the !ontractor%

    (b) By unit prices either stipulated in the !ontract or subse;uently a$reedupon: pro,ided the a$$re$ate ,alue of chan$es does not e9ceed +.J ofthe ori$inal !ontract Price of the particular pay item%

    (c) By actual direct cost plus ,alue added ta9: if any: plus fifteen percent(&.J) for !ontractor7s profit and o,erhead% !han$es re;uired by theO3ner 3hich in the a$$re$ate e9ceed +.J for o,er'runs shall be co,eredby a supplemental contract% The !ontractor shall not be obli$ed toe9ecute such chan$es in accordance 3ith the unit rate specified in his Bid:a supplementary contract bein$ treated as one separate from andindependent of the !ontract%

    4here the a$$re$ate ,alue of all chan$es per pay item e9ceed +.J andthe !ontractor: 3ithout demandin$ the e9ecution of a supplemental

    contract e9ecutes the additional 3or2 re;uired 3ith obection or protest:

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    the ,alue of the chan$es shall be determined in accordance 3ithsubpara$raph (b) abo,e%

    =nder case (c) abo,e: the !ontractor shall 2eep and present: in such formas the O3ner may direct: a correct account of the direct cost to$ether

    3ith ,ouchers and other supportin$ documents%

    E% A4ARD O EHTRA 4ORC TO OT>ER !O"TRA!TOR#? In case any e9tra3or2 shall be re;uired in the proper performance of the 4or2: and the!ontractor and the O3ner shall fail to arri,e at any a$reement as to theadustment of !ontract Price andFor !ompletion Time: the O3ner maya3ard such e9tra 3or2 to another contractor%

    +%1 !LAI8# OR EHTRA !O#T? If the !ontractor claims that anyinstructions by the O3ner or the Dra3in$s or #pecifications issued aftersubmission of the Bid: in,ol,e a chan$e: he shall $i,e the O3ner 3rittennotice thereof 3ithin fifteen (&.) days after the receipt of such instruction:Dra3in$s or #pecifications: as much as possible: before proceedin$ toe9ecute the 3or2: e9cept in emer$ency endan$erin$ life or propertypro,ided for in Article &1%&%

    In li2e manner: if the !ontractor incurs a delay in the mobiliation andForin the pro$ress of his 3or2 for reasons attributable to the O3ner: e%$%:O3ner'supplied materials not arri,in$ on time: mo,ements or 3or2e9ecuted by the O3ner 3hich interfere 3ith the pro$ress of the!ontractor7s 3or2: delayed decisions by the O3ner and other matters

    related thereto: he shall $i,e the O3ner 3ritten notice thereof 3ithinfifteen (&.) days after reco$nition of such delay %

    The amount due to the !ontractor under this article shall be paid by theO3ner in the same manner as any other sum to 3hich the !ontractor maybe entitled under the !ontract: particularly under Articles +%/: +%0:++%. and ++%&% Delay in said payment shall entitle the !ontractor to ane9tension of time and to payment of interest in accordance 3ith Article++%.% Refusal or unreasonable delay by the O3ner to pay the amountdue shall entitle the !ontractor to suspend or terminate the !ontract3hene,er permitted under Article +0%

    +%6 !LEA"I"* =P AT !O8PLETIO" O 4ORC? The !ontractor shall at alltimes 2eep the premises free from accumulations of 3aste materials orrubbish caused by his employees% Rubbish shall not be thro3n from3indo3s or other parts of the structure 3ithout the use of rubbish chutes%At the completion of the 4or2: he shall remo,e all temporary 3or2: hisrubbish therefrom and all his tools: scaffoldin$ and surplus materials andturn o,er the 3or2 for occupancy%

    All dirt: stains: and the li2e on all finishin$ of floors: 3alls and ceilin$:

    decorati,e 3or2: finishin$ hard3are and fi9tures shall be remo,ed%

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    All 3ood3or2: finishin$ hard3are and all metal 3or2s shall be cleaned andpolished%

    All $lain$: marble and tile 3or2 shall be 3ashed and cleaned% The!ontractor shall also clean the site as sho3n in the Dra3in$s and all areas

    3hich the !ontractor used in the e9ecution of the proect%

    If the !ontractor fails to clean up after due notice at the completion of the4or2: the O3ner may do so and the cost thereof char$ed to the!ontractor%

    If a dispute arises bet3een the !ontractor and separate contractors as totheir responsibility for cleanin$ up: the O3ner may clean up the site andchar$e the cost thereof to the contractors responsible therefor as theO3ner shall determine to be ust%

    +%& =#E O !O8PLETED PORTIO"# O 4ORC? The O3ner may ta2epossession of and use any completed or partially completed portion of the4or2: althou$h the time for completin$ it or portions thereof may notha,e e9pired@ but such ta2in$ of possession and use shall not be deemedan acceptance of any 3or2 not completed in accordance 3ith the!ontract% "either shall it be deemed a 3ai,er by the O3ner of the ri$ht toclaim dama$es due to delay in the completion of the 4or2% If such prioruse increases the cost or delays the completion of uncompleted 3or2 orcauses refinishin$ of completed 3or2: the !ontractor shall be entitled toe9tra compensation or e9tension of time or both%

    +%&& #=B#TA"TIAL !O8PLETIO" A"D IT# EE!T?

    A% aM There is substantial completion 3hen the !ontractor completes 6.Jof the 4or2: pro,ided that the remainin$ 3or2 and the performance of the3or2 necessary to complete the 4or2 shall not pre,ent the normal use ofthe completed portion%

    bM The appro,al by the O3ner of the !ontractor7s billin$ for completin$ atleast 6.J of the 4or2 shall be deemed the O3ner7s ac2no3led$ment thatthe !ontractor has substantially completed the 4or2 unless the O3ner

    can establish that the unfinished 3or2 pre,ents the normal use of thecompleted portion%

    cM The O3ner may also issue to the !ontractor a 3rittenac2no3led$ement of substantial completion 3hich may be in the form of a!ertificate of #ubstantial !ompletion or e;ui,alent document but the dateof this document shall not be controllin$ if substantial completion is sho3nto ha,e been made at an earlier date: unless the !ontractor accepts thecertificate 3ithout ta2in$ e9ceptions thereto in 3ritin$ 3ithin &. days fromreceipt%

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    B% aM "ot3ithstandin$ para$raph A abo,e: the e;uipment: fi9tures andutilities (collecti,ely: the GacilityG) furnished andFor installed by the!ontractor 3hich the !ontract re;uires to be test'run prior to acceptanceshall be test'run successfully before the 4or2 can be accepted assubstantially completed%

    bM The O3ner shall: 3ithout delay: cause the test'run of the acility%#hould the !ontractor be unable to completely install or furnish and test'run the acility throu$h no fault of his: the !ontractor shall automaticallybe entitled to an e9tension of !ompletion Time e;ual to the period ofdelay%

    !% aM The O3ner shall issue to the !ontractor one or more lists of defectsfound or disco,ered on the completed 3or2: other3ise 2no3n as a punchlist or lists: 3hich the !ontractor must recei,e from the O3ner not laterthan thirty (-) days from date of substantial completion%

    bM The O3ner may add to the punch list items but only as to correcti,e3or2 on the items in the ori$inal punchlist or lists not later than si9ty (/)days from date of substantial completion%

    D% aM "o li;uidated dama$es for delay beyond the !ompletion Time shallaccrue after the date of substantial completion of the 4or2%

    bM If the tar$eted date of completion has arri,ed and the !ontractorcannot achie,e 6.J completion of the 4or2 due to the uncompleted

    acility caused by the O3ner7s fault: ne$li$ence or delay of the O3ner: the!ontractor shall be deemed to ha,e achie,ed substantial completionpro,ided (i) the contractor has completed at least 6.J of the 3or2 minusthe uncompleted acility: and (ii) the !ontractor has completed the 3or2re;uired on the acility but for that 3hich is directly affected by theO3ner7s fault: ne$li$ence or delay% The O3ner shall release to the!ontractor the !ontract Price less the cost of the uncompleted portion ofthe 3or2 and the amounts mentioned in Article ++%-%

    E% The purpose of this Article is to ensure that the !ontractor is paid for4or2 completed and for the O3ner to retain such portion of the !ontract

    Price 3hich: to$ether 3ith the Performance Bond: is sufficient to completethe 4or2 3ithout additional cost to the O3ner%

    +%&+ PERIOD O 8ACI"* *OOD O C"O4" DEE!T# OR A=LT#?

    The e9pression GPeriod of 8a2in$ *ood of Cno3n Defects or aultsG shallmean a period of not more than thirty (-) calendar days: calculated fromthe date of receipt by the !ontractor of the last item in the punch listsubmitted durin$ the period pro,ided in Article +%&& ! (b): durin$ 3hichthe !ontractor shall complete the correcti,e 3or2s%

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    +%&- 8ACI"* *OOD O C"O4" DEE!T# OR A=LT#? The !ontractorshall e9ecute at his o3n e9pense all 3or2s necessary for ma2in$ $ood of2no3n defects: imperfections or faults (3ear and tear e9cepted) 3ithinthe period stated in Article +%&+%

    If: in the opinion of the O3ner: the defect or fault in the punch list is dueto a cause attributable to the O3ner: the ,alue of such 3or2 shall beascertained and paid for as if it 3ere additional 3or2%

    If the !ontractor shall fail to do any such correcti,e 3or2: the O3ner shall:upon 3ritten notice to the !ontractor: be entitled to carry out such 3or2by his o3n 3or2men or by other contractors: and char$e the cost thereofto the !ontractor% The O3ner may 3ithhold an amount not e9ceedin$ the!ontract cost of e9ecutin$ such 3or2 from the payment to the !ontractor%

    +%& #PE!IAL TE#T A"D I"#PE!TIO"? #pecial test: inspection orappro,al: not other3ise re;uired in the !ontract 3hich the O3nerinstructs the !ontractor to perform after the date of substantialcompletion shall be treated as a separate 3or2 3hich shall be co,ered bya supplemental a$reement%

    +%&. A!!EPTA"!E O "O"'!O"OR8I"* 4ORC? If the O3ner acceptsdefecti,e or non'conformin$ 3or2: instead of re;uirin$ its remo,al andcorrection: the O3ner shall issue to the !ontractor a chan$e order toreflect a reduction in the !ontract Price 3here appropriate by an amountnot e9ceedin$ the ,alue of the unfinished 3or2 as determined in the

    Brea2do3n of 4or2 and !orrespondin$ 5alue% #uch adustment shall beeffected 3hether or not final payment has been made%

    +%&/ ADK=#T8E"T O PRI!E#?

    A% There shall be added to or deducted from the !ontract Price such sumsin respect of the rise or fall of the cost of labor and materials and suchother matters affectin$ the e9ecution of the 4or2 caused by any of thefollo3in$? an e,ent of force majeureincludin$ abnormal chan$es in costsof materials: increases in labor costs mandated by la3 or 3a$e order:increase in the cost of oil: and the deterioration of peace and order%

    B% Adustment of prices due to escalation or reduction of costs ofe9ecutin$ the 3or2 shall be made usin$ a parametric formula to bea$reed upon by the parties% In default of such a$reement: the parametricformula used to implement Presidential Decree "o% &.6 shall be applied%#uch adustment shall be made to pro,ide e;uitable relief to both theO3ner and the !ontractor: allo3in$ neither to $ain nor to lose by suchfluctuation% Adustment of the !ontract Price due to escalation shall be forthe sole purpose of compensatin$ the !ontractor for the increase in thedirect cost of his labor and materials used for the 3or2: plus ,alue'added

    ta9%

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    shall be at a rate sufficient to complete the 4or2 in an acceptable manner3ithin the !ompletion Time%

    B% In case of slippa$e: the O3ner may call for meetin$s 3ith the!ontractor and other contractors in,ol,ed to determine the possible

    causeFs contributin$ to the slo3 pro$ress of the construction 3or2: and ifsuch slippa$e is due to the fault or ne$li$ence of the !ontractor: theO3ner may re;uire the !ontractor to submit a catch'up schedule 3hichshall be subect to appro,al by the O3ner%

    !% The O3ner may order the acceleration of 3or2 to meet a desiredcompletion date% Acceleration of 3or2 for the benefit or con,enience ofthe O3ner or caused by the fault of or delay by the O3ner: shall betreated as e9tra 3or2 for 3hich a !han$e Order shall be issued and the!ontractor shall be paid for the cost of such acceleration% >o3e,er: 3herethe reason for acceleration is due to the fault of the !ontractor: suchadditional cost for acceleration shall be borne by the !ontractor alone%

    +&% EHTE"#IO" O TI8E?

    A% The !ontractor shall be entitled to an e;uitable adustment of!ompletion Time 3here the !ontractor is obstructed or delayed in theprosecution or completion of the 4or2 by '

    aM the act: ne$lect: delay or fault of the O3ner: or any other contractoremployed by the O3ner on the 3or2@

    bM third'party stri2es or loc2outs or stri2es by employees other than the!ontractor7s employees or a loc2out by an employer other than the!ontractor@

    cM an act of *od or force majeure@

    dM unsuitable 3eather conditions 3hich render the 3or2 impracticable orimpossible or 3hich slo3 do3n the prosecution of the 4or2@

    eM peace and order conditions@

    fM chan$es ordered or authoried by the O3ner or authoried under the!ontract@ and

    $M delay authoried by the O3ner pendin$ arbitration of an unresol,eddispute bet3een the O3ner and the !ontractor%

    B% or delay caused by para$raphs A bM: cM: dM: eM and fM of this Article+&%: the !ontractor shall 3ithin fifteen (&.) days from the occurrence ofthe e,ent 3hich caused the delay: notify the O3ner and the O3ner shall:not later than fifteen (&.) days from receipt of such notice: $i,e the

    !ontractor an e;uitable adustment of the !ompletion Time% The failure ofthe O3ner to reply to the !ontractor or to $i,e an e;uitable adustment of

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    b% The amount of substantiated and unpaid claims by subcontractorsemployed in and suppliers of materials and labor for the 4or2 unustifiably3ithheld by the !ontractor@ and

    c% The amount 3hich has accrued as li;uidated dama$es%

    ++% !O"DITIO"# RELATI5E TO PA8E"T#?

    The O3ner shall estimate the ,alue of 3or2 accomplished by the!ontractor usin$ as basis the schedule stipulated in the Brea2do3n of4or2 and !orrespondin$ 5alue% #uch estimate of the O3ner of theamount of 3or2 performed shall be ta2en as the basis for thecompensation to be recei,ed by the !ontractor% 4hile such preliminaryestimates of amount and ;uantity shall not be re;uired to be made bystrict measurement or 3ith e9actness: they must be made as close aspossible to the actual percenta$e of 3or2 accomplishment%

    ++%. O4"ER7# A!TIO" O" REER RE

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    a% !ertificate of inal Buildin$ Occupancy unless such certificate cannot beobtained throu$h no fault of the !ontractor%

    b% !ertificate of inal Inspection of electrical: telephone: sanitary:mechanical: 3ater: $as: safety and other utilities unless such certificate

    cannot be obtained throu$h no fault of the !ontractor%

    c% Ori$inal and three (-) sets of prints of GAs'Built Dra3in$sG of Electrical:#anitary: *as: Telephone and 8echanical 3or2s: if such 3or2s are 3ithinthe scope of the !ontract% GAs'Built Dra3in$sG are the 3or2in$ dra3in$ssho3in$ the system and actual locations of outlets: fi9tures: ser,ices ande;uipment that 3ere installed%

    d% Three (-) copies of Directory of Panel Boards and list of circuits%

    e% Three (-) copies of Instructions and 8anual for operatin$ andmaintainin$ of fi9tures and e;uipment%

    f% Three (-) copies of Ceyin$ #chedule%

    $% A release of liens arisin$ under the !ontract as pro,ided in Article-%&: and the s3orn statements re;uired in Article ++%6 (A) and Article++%0%++%6 A!!EPTA"!E A"D I"AL PA8E"T? 4hene,er the !ontractornotifies the O3ner that the 4or2 under the !ontract has been completely

    performed by the !ontractor: the O3ner shall proceed to ,erify the 3or2:shall ma2e the final estimates: certify to the completion of the 3or2: andaccept the same%

    A% The O3ner shall then: e9cept for causes herein specified: pay to the!ontractor 3ithin the period stated in Article ++%. abo,e: the amount:3hich shall be found due: e9ceptin$ therefrom such sum or sums as maybe la3fully retained under any of the pro,isions of the !ontract@ pro,idedthat final payment on the !ontract shall not be made until the !ontractorhas submitted a statement s3orn to before an officer duly authoried toadminister oath: sho3in$ that all ta9es due from him in connection 3ith

    this !ontract ha,e been duly paid%

    B% In case the O3ner has reasonable $rounds of belief that the !ontractorhas not remitted to the appropriate $o,ernment a$ency the employer7sand employee7s contributions to the #ocial #ecurity #ystem or to8edicare: or the 3ithholdin$ ta9 on the employees7 3a$es: the O3nermay re;uire e,idence of remittance of such contributions or 3ithholdin$ta9 in addition to the s3orn statement mentioned abo,e: and 3ithholdin$release of the amount sufficient to co,er such payments until thee,idence re;uired by the O3ner is pro,ided by the !ontractor%

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    !% The acceptance by the !ontractor of final payment shall constitute a3ai,er of all his claims a$ainst the O3ner: e9cept the follo3in$? (a) aclaim co,ered by a prior notice to the O3ner reser,ed by the !ontractorto be filed in accordance 3ith the !ontract (b) a claim pendin$ before andunresol,ed by the O3ner at the time the re;uest for final payment is

    made@ (c) a dispute referred to arbitration in accordance 3ith Article-%.@ and (d) a claim 3hich the O3ner ac2no3led$es 3ith the paymentnot to be co,ered by it%

    ++%& !ORRE!TIO"# O 4ORC BEORE OR ATER I"AL PA8E"T?

    A% Acceptance by the O3ner of the 4or2 of the !ontractor shall relie,e the!ontractor of liability for any defect in the 4or2 unless?

    aM The defect is hidden and the O3ner could not ha,e disco,ered thedefect e,en 3ith the e9ercise of reasonable dili$ence%

    bM The O3ner accepted the 4or2 3ith e9press reser,ations seasonablymade as to the specific portion of the 4or2 3hich 3as found defecti,e and3hich re;uires replacement or correction% A reser,ation 3hich fails tospecify the portion 3hich is alle$ed to be defecti,e and state in as muchdetail as possible the nature and e9tent of the defect shall be considereda $eneral reser,ation and shall be ineffecti,e%B% Para$raph A shall apply not3ithstandin$ the issuance of the finalcertificate of completion or of full payment%

    !% Poor or inferior 3or2 or 3or2 3hich does not comply 3ith the Dra3in$sand #pecifications 3hich is apparent upon inspection by the O3ner or bythe technical representati,es and inspectors employed by the O3ner shallforth3ith be condemned and the !ontractor notified thereof to $i,e the!ontractor an opportunity 3ithout loss of time and 3ithout incurrin$unnecessary cost: to correct: remo,e and replace the defecti,e 3or2%4or2 not so condemned 3ithin one year from final payment cannot laterbe reected by the O3ner% If the O3ner instructs the !ontractor to remo,eor replace it thereafter: the instruction shall be treated as a chan$e order%

    D% The !ontractor shall be liable to the O3ner for any hidden defectdisco,ered and notified to the !ontractor 3hich the !ontractor recei,esfrom the O3ner 3ithin the 3arranty period as pro,ided in the !ontract: orin default of any pro,ision fi9in$ the 3arranty period: 3ithin one year fromthe postin$ of the *uarantee Bond%

    E% "othin$ herein shall be deemed to limit the liability of the !ontractor tothird persons due to any loss or dama$e resultin$ from the collapse of the4or2 due to defects in the construction or the use of materials of inferior;uality or due to any ,iolation of the terms of the !ontract in accordance

    3ith Article &0+- of the !i,il !ode of the Philippines%

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    ++%&& RELEA#E O RETE"TIO"? #ubect to Article -%& herein: theamount retained by the O3ner under the pro,ision of the !ontract shallbe released not later than the e9piration of the Period of 8a2in$ *ood ofCno3n Defects as pro,ided in Article +%&+ upon the postin$ of the!ontractor7s *uarantee Bond%

    CTIO! *II. CO!T&ACTO& +PA&AT CO!T&ACTO&+U4CO!T&ACTO& &ATIO!

    A&T. $1< PA&AT CO!T&ACT IT; OT;& CO!T&ACTO&

    +-%& The O3ner may perform 3or2 outside of the !ontractor7s scope of3or2 or a3ard separate contracts to other contractors% If the !ontractorclaims that delay: dama$e or additional cost is in,ol,ed as a result: the!ontractor shall ma2e such claim as pro,ided in the !ontract% The O3nershall pro,ide for the coordination of the 3or2 performed by the O3nerandFor each separate contractor 3ith the 4or2 of the !ontractor%

    A&T. $,< CO!T&ACTO&+PA&AT CO!T&ACTO& &ATIO!

    +%& #TORA*E O 8ATERIAL# A"D 4ORC !OORDI"ATIO"? The!ontractor shall: to the e9tent possible: afford other contractorsreasonable opportunity for the introduction and stora$e of their materials

    and the e9ecution of their 3or2: and shall properly connect and cooperatein the O3ner7s effort to coordinate his 3or2 3ith that of other contractorsso as to minimie interference or obstruction in the pro$ress of the 3or2performed by each of them%

    +%+ !=TTI"*: PAT!>I"* A"D DI**I"*? The !ontractor shall do allcuttin$: fittin$ or patchin$ of his 3or2 that may be re;uired to ma2e itsse,eral parts come to$ether properly and fit it to recei,e or be recei,edby 3or2 of other contractors sho3n upon: or reasonably impliedby: the Dra3in$s and #pecifications for the completed structure%

    Any cost caused by defecti,e or ill'timed 3or2 shall be borne by the partyresponsible therefor%

    The !ontractor shall not endan$er any 3or2 by cuttin$: di$$in$ orother3ise and shall not cut or alter the 3or2 of any other contractor sa,e3ith the consent of the O3ner%

    +%- DEE!TI5E 4ORC B #EPARATE !O"TRA!TOR#? If any part of the!ontractor7s 3or2 depends for proper e9ecution or results upon the 3or2of any other contractor: the !ontractor shall inspect and promptly report it

    to the O3ner% >is failure to inspect and report it shall constitute anacceptance of the other contractor7s 3or2 as fit and proper for the

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    reception of his 3or2: e9cept as to defects 3hich may de,elop in the othercontractor7s 3or2 after the e9ecution of the !ontractor7s 3or2%

    To insure the proper e9ecution of his subse;uent 3or2 the !ontractorshall ,erify 3or2 already in place and shall at once report to the O3ner

    any discrepancy noticed bet3een the e9ecuted 3or2 and the dra3in$s%

    +% DA8A*E !A=#ED B !O"TRA!TOR TO #EPARATE !O"TRA!TOR#?#hould the !ontractor cause dama$e to the 3or2 of any separatecontractor: the !ontractor a$rees to relie,e the O3ner of any liability3hich may arise therefrom%

    A&T. $8< U4+CO!T&ACT

    +.%& *E"ERAL? It is understood and a$reed that no portion of the 4or2shall be sublet or sub'contracted 3ithout the O3ner7s consent% >o3e,er:any part thereof or any specialty 3or2 therein: may be sublet or sub'contracted: subect to the pro,isions of Articles +.%+ and -%-%

    The consent of the O3ner to the !ontractor7s en$a$ement of asubcontractor: by itself: shall not create any contractual relation bet3eenthe sub'contractor and the O3ner%

    +.%+ !O"TRA!TOR7# RE#PO"#IBILIT? The !ontractor a$rees that he isas fully responsible to the O3ner for the acts and omissions of his sub'contractors and the persons either directly or indirectly employed by

    them: as he is for the acts and omissions of persons directly employed byhim%

    CTIO! *III. UP!IO! O% O&5 A!D T&MI!ATIO! O%CO!T&ACT

    A&T. $=< CO!T&ACTO&9 &I';T TO UP!D O&5 O&T&MI!AT CO!T&ACT !A=#E% The O3ner may immediately terminatethe !ontract: 3ithout prior notice to the !ontractor: upon the occurrenceof any of the follo3in$ e,ents?

    a) If !ontractor is adud$ed ban2rupt or insol,ent@b) If !ontractor ma2es a $eneral assi$nment of his assets for the benefitof his creditors@c) If a trustee or recei,er is appointed for the !ontractor or for any of the!ontractor7s property@ ord) If the !ontractor files a petition for suspension of payments: or toreor$anie under the ban2ruptcy or similar la3s%

    +6%+ OT>ER *RO="D# OR TER8I"ATIO" 4IT> !A=#E% The O3ner mayterminate the !ontract upon the occurrence of any of the follo3in$e,ents?a) The !ontractor repeatedly fails to supply: based on the constructionschedule: the sufficient number of s2illed 3or2men or suitable materialsor e;uipment@

    b) The !ontractor repeatedly fails to ma2e 3ithout ust cause prompt

    payments to subcontractors for labor: materials or e;uipment: andcompletion of the 4or2 is bein$ delayed@

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    c) The !ontractor disre$ards the La3s or orders of any public body ha,in$urisdiction@

    d) The !ontractor other3ise ,iolates in any substantial 3ay any pro,ision

    of the !ontract@ or

    e) #lippa$e of the !ontractor in e9cess of +.J in the prosecution of 3or2per a$reed construction schedule andFor PERTF !P8%The O3ner may: after $i,in$ !ontractor and his surety &. days7 3rittennotice: terminate the ser,ices of the !ontractor: e9clude the !ontractorfrom the site and ta2e possession of the 4or2 and of all the !ontractor7stools: appliances: construction e;uipment and machinery at the site anduse the same and incorporate into the 3or2 all materials and e;uipmentstored at the site includin$ those stored else3here for 3hich the O3nerhas paid the !ontractor: and finish the 3or2 as O3ner may deeme9pedient% In such case the !ontractor shall not be entitled to recei,e anyfurther payment until the 3or2 is finished%

    +6%- TER8I"ATIO" 4IT>O=T !A=#E% =pon &. days7 3ritten notice to the!ontractor: the O3ner may: 3ithout preudice to any other ri$ht orremedy: elect to abandon the 3or2 and terminate the !ontract% In suchcase: the !ontractor shall be paid for all 3or2 e9ecuted and any e9pensesustained plus reasonable termination e9penses%

    A&T. 1#< O!&9 &I';T TO P&OCD IT; T; O&5 A%T&&DUCTIO! I! CO!T&ACTO&9 COP O% O&5? PA&TIATA5O*& %&OM CO!T&ACTO&

    -%& O4"ER7# RI*>T TO !ARR O=T T>E 4ORC ? If the !ontractor?

    a) Repeatedly fails to supply sufficient s2illed 3or2men or suitablematerials or e;uipment@

    b) Repeatedly fails to ma2e prompt payments to subcontractors for labor:materials or e;uipment@

    c) ails 3ithin a reasonable time after 3ritten notice of the O3ner tocorrect defecti,e 3or2 or to remo,e and replace repeated 3or2@ or

    d) ails to perform the 3or2 in accordance 3ith the !ontract (includin$re;uirements of the pro$ress schedule)@ the O3ner may: after se,en (0)days follo3in$ receipt by the !ontractor of 3ritten notice and 3ithoutpreudice to any other remedy the O3ner may ha,e and 3ithoutterminatin$ the !ontract: ma2e $ood such deficiencies% In such case anappropriate chan$e order shall be issued deductin$ from the payments

    then or thereafter due the !ontractor the cost of correctin$ suchdeficiencies: includin$ compensation of additional ser,ices made

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    necessary by such default: ne$lect or failure% If the payments then orthereafter due the !ontractor are not sufficient to co,er such amount: the!ontractor shall pay the difference to the O3ner%

    -%+ =#E O 8ATERIAL# A"D E

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    a% Li;uidated dama$es 3hich may ha,e accrued up to and includin$ theday immediately before the date the O3ner effecti,ely ta2es o,er the3or2 or the date of substantial completion 3hiche,er occurs earlier@

    b% The e9cess cost incurred by the O3ner in the completion of the proecto,er the !ontract Price inclusi,e of re'lettin$ the same@ If the O3nercompletes the 3or2 by administration: the direct cost of completin$ the3or2 shall include the reasonable cost of mana$erial and administrati,eser,ices incurred from the time the O3ner effecti,ely too2 o,er the 3or2by administration%

    CTIO! I0. &PO!I4IITI A!D IA4IITI O% CO!T&ACTO&A!D O% O!&

    A&T. 1"< CO!T&ACTO&9 &PO!I4IIT3 %O& ACCID!T A!DDAMA'

    -&%& #AE*=ARD# TO BE ="DERTACE" B !O"TRA!TOR? The!ontractor shall ta2e all necessary precautions for the safety ofemployees and 3or2men on the 3or2: and comply 3ith all La3s topre,ent inury to persons on: about or adacent to the premises 3here the4or2 is bein$ performed% The !ontractor shall erect and properly maintainat all times: as re;uired by the conditions and pro$ress of the 3or2: suchbarriers: shorin$: supports: braces: li$hts: dan$er si$ns and necessarysafe$uards: as 3ill protect 3or2men and the public and as 3ill effecti,ely

    pre,ent any inury to persons and dama$e to property in conse;uence ofhis 3or2%

    The !ontractor shall desi$nate a responsible member of his or$aniationat the site: 3hose duty shall be the pre,ention of accidents and dama$eto the 4or2: the O3ner7s property and adoinin$ property% The name andposition of the person so desi$nated shall be reported by the !ontractor in3ritin$ to the O3ner%

    The !ontractor shall be primarily responsible for all safety measures inprosecutin$ the 4or2 in accordance 3ith the safety manual appro,ed by

    the !onstruction Industry Authority of the Philippines (!IAP) %

    -&%+ O4"ER "OT TO BE RE#PO"#IBLE? The !ontractor shall render theO3ner free and harmless for the death of: the disease contracted or inuryrecei,ed by the !ontractor or any of his employees or laborers: for anydama$e done by or to !ontractor7s plant or materials from any source orcause@ and for dama$es caused by the !ontractor or his employees to anyproperty of the O3ner and adoinin$ property%

    a% The !ontractor shall indemnify and sa,e harmless the O3ner from and

    a$ainst all losses and all claims: demands: payments: suits: actions:reco,eries: and ud$ment of e,ery nature and description brou$ht or

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    reco,ered a$ainst him: for any act or omission of said !ontractor: or of hisa$ents or employees: in the e9ecution of the 4or2 or the $uardin$ of it%

    b% !laims for payment and repairs for dama$es for 3hich the !ontractor isliable shall be settled by the !ontractor at his o3n e9pense% In the e,ent

    of failure of the !ontractor to repair such dama$es: and pay other claims:the O3ner may repair the same and pay the claims: and deduct the entirecost of such repairs and claims from the payments due the !ontractor%

    -&%- !O"TRA!TOR7# DEA=LT% The O3ner shall ha,e the ri$ht tounderta2e reasonable safety and protection measures in case of!ontractor7s default: and char$e the cost of such measures to the!ontractor%

    A&T. 1$< CO!T&ACTO&9 I!U&A!C A!D 4O!D

    -+%& !O"TRA!TOR7# LIABILIT I"#=RA"!E? The !ontractor shall secureand maintain insurance co,era$e from an insurance company acceptableto the O3ner as 3ill protect himself: his sub'contractors: and the O3nerfrom claims for bodily inury: death or property dama$e 3hich may arisefrom 3or2 under the !ontract% The !ontractor shall not commence 3or2under the !ontract until he has obtained the insurance co,era$e re;uiredand shall ha,e filed the insurance policy or the certified copy of theinsurance policy 3ith the O3ner% #uch insurance policy shall contain aclause pro,idin$ that it shall not be cancelled by the insurance company3ithout 3ritten notice to and appro,al of the O3ner% The nature: e9tent

    and amount of such insurance co,era$e shall be as a$reed upon bet3eenthe O3ner and the !ontractor% The !ontractor shall ensure that suchinsurance policy is effecti,e durin$ the e9ecution of the 4or2%

    -+%+ A!!IDE"T I"#=RA"!E OR 4ORCER#% The !ontractor shall: inaddition to compulsory co,era$e of 3or2ers under the 3or2men7scompensation la3: obtain insurance co,era$e for accidental death orinury of his officers: employees and laborers 3ithout re$ard to theirtenure of employment as permanent or re$ular 3or2ers: proect 3or2ersor casual employees performin$ 3or2 at the proect site in an amount ofnot less than P&:% per officer: employee or laborer% The premiums

    to be paid on the insurance policy shall be paid by the !ontractor and3ithout cost to those co,ered by the policy%

    -+%- !O"TRA!TOR7# IRE I"#=RA"!E? In addition to such ire Insuranceas the !ontractor elects to carry for his 3or2: he shall secure and maintainthe policies upon such structures and materials and in such amounts asshall be desi$nated in the oint names of the !ontractor and the O3ner astheir respecti,e interest may appear% These policies shall be secured froma company 3hich is satisfactory to the O3ner and deli,ered to the O3ner%A !ontractor7s All Ris2 Policy or any insurance for third party liability of the

    !ontractor shall not include the O3ner as co'insured but as a third party%

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    -+% !O"TRA!TOR7# PEROR8A"!E A"D PA8E"T BO"D#? The!ontractor: prior to si$nin$ the !ontract: shall furnish a Performance Bonde;ual to &.J of the !ontract amount for the faithful performance of his3or2 and &.J bond co,erin$ !ontractor7s obli$ations arisin$ from the!ontract to its 3or2ers: subcontractors and suppliers% #uch bonds shall be

    in the form of surety bond as appro,ed by the O3ner: and shall remain ineffect until replaced by the !ontractor7s $uarantee bond%

    -+%. !O"TRA!TOR7# *=ARA"TEE BO"D? The Performance and PaymentBonds 3ill be released by the O3ner upon postin$ by the !ontractor of a*uarantee Bond e;ui,alent to the amount of the retention released to the!ontractor% The *uarantee Bond shall be for a period of one (&) yearcommencin$ from the date of postin$ as a $uarantee that all materialsand 3or2manship installed under the !ontract are of acceptable ;uality%

    -+%/ !O"TRA!TOR7# *=ARA"TEE'4ARRA"T? a% The !ontractor shall: incase of 3or2 performed by his sub'contractors and 3here $uarantees arere;uired: secure $uarantees from said sub'contractors and deli,er copiesof same to the O3ner upon completion of 3or2% The term G$uaranteeGshall include G3arrantyG%

    b% The !ontractor shall and thereby $uarantees all 3or2 performed by himdirectly and for 3hich $uarantees are re;uired%

    c% The !ontractor shall $uarantee for a period of one year: or for a lon$erperiod 3here so pro,ided in the #pecifications: all materials and

    3or2manship installed under the !ontract to be of acceptable ;uality ine,ery respect and to remain so durin$ the $uarantee period%

    d% #hould any defect de,elop in aforesaid 3or2: 3ithin the $uaranteeperiod due to fault in material andFor 3or2manship: the !ontractor shallma2e all repairs and do all necessary 3or2 to correct defecti,e 3or2 tothe O3ner7s satisfaction% #uch repairs and correcti,e 3or2s shall be doneby the !ontractor at his e9clusi,e e9pense and shall be commenced3ithin fi,e (.) days after receipt of 3ritten notice by the O3ner%

    e% In case the !ontractor fails to commence or do the 3or2 so ordered: the

    O3ner may ha,e the 3or2 done by another contractor and char$e thecost thereof a$ainst monies retained as pro,ided for in the !ontractandFor a$ainst his sureties%

    f% The fore$oin$ remedies shall be 3ithout preudice to the ri$hts of theO3ner under the "e3 !i,il !ode and other la3s no3 or hereafter that maybe applicable%

    -+%0 8A"DATOR !O"DITIO"# O BO"D#

    The bonds re;uired of the !ontractor shall be subect to the follo3in$mandatory conditions 3hich shall form part of said bonds%

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    A surety or bondsman issuin$ any bond called for in the !ontract isdeemed conclusi,ely to ha,e accepted the follo3in$ mandatoryconditions: and any pro,ision in the bond thereby issued or in anydocument made prior to: concurrent 3ith: or after the issuance of the

    bond 3hich tends to nullify: modify: or limit by time or other3ise: anyri$ht of the O3ner shall be ,oid and shall not pre,ail o,er thesemandatory conditions?

    a% The surety or bondsman a$rees in ad,ance to future no,ationFs of thebond either by adustin$ the scope of the 3or2 of the !ontractor causedby directed or constructi,e chan$es: the !ompletion Time or the !ontractPrice% 4here the !ontract pro,ides that the !ontractor shall obtain theappro,al of the surety or bondsman to any such adustment: the re;uiredappro,al shall be deemed to be a mere formality: the absence of 3hichshall not affect the obli$ation and liability of the surety or bondsmanunder the bond%

    b% The bond issued by surety