9a PERFORMANCE AND PAYMENT BONDS -- CONSTRUCTION Clause Samples

The 'Performance and Payment Bonds -- Construction' clause requires contractors to provide financial guarantees, typically in the form of bonds, to ensure both the satisfactory completion of construction work and the payment of subcontractors and suppliers. In practice, this means the contractor must obtain a performance bond, which protects the project owner if the contractor fails to fulfill contractual obligations, and a payment bond, which ensures that those providing labor and materials are paid. This clause is essential for mitigating the risk of non-performance and non-payment, thereby protecting the interests of both the project owner and third parties involved in the construction project.
9a PERFORMANCE AND PAYMENT BONDS -- CONSTRUCTION. (a) Unless the price of this Agreement is $100,000 or less, the Seller must furnish performance and payment bonds to the Company as follows: (1) Performance Bonds (either the Company form available under the title Special Articles and Forms at ▇▇▇▇://▇▇▇.▇▇▇▇.▇▇▇/adm/contracts/documents.shtml or Standard Form 25, available at ▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/portal/forms/type/SF, modified to name the Company as well as the United States of America as an obligee). The penal amount shall be 100 percent of the original Agreement price. (2) Payment Bonds (either the Company form available under the title Special Articles and Forms at ▇▇▇▇://▇▇▇.▇▇▇▇.▇▇▇/adm/contracts/documents.shtml or Standard Form 25-A, available at ▇▇▇▇://▇▇▇.▇▇▇.▇▇▇/portal/forms/type/SF, modified to name the Company as well as the United States of America as an obligee). The penal amount shall be 100 percent of the original Agreement price. (i) The Company may require additional performance and payment bond protection if the price is increased. The increase in protection shall generally equal 100 percent of the increase in price. (ii) The Company may secure the additional protection by directing the Seller to increase the penal amount of the existing bond or to obtain an additional bond. (b) The Seller shall furnish all executed bonds, including any necessary reinsurance agreements, to the Company within 10 days after receipt of notice of subcontract award unless otherwise specified in the solicitation, but in any event before starting any site work. (c) The bonds shall be in the form of firm commitment, supported by corporate sureties whose names appear on the list contained in Treasury Department Circular 570, individual sureties, or by other acceptable security such as postal money order, certified check, cashier's check, irrevocable letter of credit, or, in accordance with Treasury Department regulations, certain bonds or notes of the United States. Treasury Circular 570 is available at ▇▇▇▇://▇▇▇.▇▇▇▇▇.▇▇▇/c570/c570.html.
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9a PERFORMANCE AND PAYMENT BONDS -- CONSTRUCTION. (a) Unless the price of this Agreement is $100,000 or less, the successful offeror must furnish performance and payment bonds to the Company as follows: (1) Performance Bonds (either the Company form available at ▇▇▇.▇▇▇▇.▇▇▇/▇▇▇▇▇▇▇▇▇▇▇/▇▇▇▇▇▇▇▇.▇▇▇ or Standard Form 25, modified to name the Company as well as the United States of America as an obligee)): The penal amount shall be 100 percent of the original Agreement price. (2) Payment Bonds (either the Company form available at ▇▇▇.▇▇▇▇.▇▇▇/▇▇▇▇▇▇▇▇▇▇▇/▇▇▇▇▇▇▇▇.▇▇▇ or Standard Form 25-A, modified to name the Company as well as the United States of America as an obligee): The penal amount shall be 100 percent of the original Agreement price. (i) The Company may require additional performance and payment bond protection if the price is increased. The increase in protection shall generally equal 100 percent of the increase in price. (ii) The Company may secure the additional protection by directing the Seller to increase the penal amount of the existing bond or to obtain an additional bond. (b) The Seller shall furnish all executed bonds, including any necessary reinsurance agreements, to the Company within the time specified in the solicitation, but in any event before starting work. (c) The bonds shall be in the form of firm commitment, supported by corporate sureties whose names appear on the list contained in Treasury Department Circular 570, individual sureties, or by other acceptable security such as postal money order, certified check, cashier's check, irrevocable letter of credit, or, in accordance with Treasury Department regulations, certain bonds or notes of the United States. Treasury Circular 570 is available at fttp://▇▇▇.▇▇▇▇▇.▇▇▇/▇▇▇▇/▇▇▇▇.▇▇▇▇.
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9a PERFORMANCE AND PAYMENT BONDS -- CONSTRUCTION. (a) Unless the price of this Agreement is $100,000 or less, the successful offeror must furnish performance and payment bonds to the Company as follows:
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Related to 9a PERFORMANCE AND PAYMENT BONDS -- CONSTRUCTION

  • Performance and Payment Bonds The authority and responsibility for requesting performance and payment bonds shall rest with the Customer. Under this Contract, the Customer issuing the purchase order may request a performance and payment bond, as deemed necessary by the size of the job. Inability to provide a bond may result in the Contractor being found in default of the purchase order.

  • Performance and Payment Bond Contractor shall post with County, not later than ten (10) days of the execution of this Agreement, a performance and payment bond in the amount of one hundred percent (100%) of the total lump sum price in such form as is satisfactory to County. The bond shall be executed by a corporate surety company duly authorized and admitted to do business in the State of Texas and licensed to issue such a bond in the State of Texas.

  • PERFORMANCE AND PAYMENT BONDS FOR INDIVIDUAL ORDERS H-GAC’s contractual requirements DO NOT include a Performance & Payment Bond (PPB); therefore, Contractor shall offer pricing that reflects this cost savings. Contractor shall remain prepared to offer a PPB to cover any order if so requested by the END USER. Contractor shall quote a price to END USER for provision of any requested PPB, and agrees to furnish the PPB within ten business (10) days of receipt of END USER's purchase order.

  • Performance Bond and Payment Bond The Contractor shall furnish both a performance bond and a payment bond in the exact form set forth in Section 7, (Forms) of these General Conditions.

  • PRE-CONSTRUCTION PHASE FEE The Pre-Construction Phase Fee is the total compensation payable to Contractor for the performance of Pre-Construction Phase Services, except for Additional Pre-Construction Phase Services approved in advance and in writing by Owner. The Pre-Construction Phase Fee shall be a lump sum amount based on the AACC established in this Agreement. 6.1 Except as specifically allowed by Owner, Contractor shall not be entitled to any increase in the Pre-Construction Phase Fee for any costs, expenses, liabilities or other obligations arising from the performance of Pre-Construction Phase Services. 6.2 Costs associated with the following items are specifically, but not exclusively, included in the establishment of the Pre-Construction Phase Fee: profit and profit sharing; general overhead; salaries and labor; housing and relocation; estimating, scheduling and information management systems and software; contract administration; office expenses; printing and copying; consulting fees; legal or accounting fees; cost of money; taxes; insurance premiums and deductibles; bond costs; purchase or rental of equipment; utilities; travel; per diem; fines or penalties; and damage awards. 6.3 If the scope of the Pre-Construction Phase Services is changed materially, the Pre- Construction Phase Fee shall be equitably adjusted. If the AACC is changed materially before acceptance of the GMP Proposal, the Pre-Construction Phase Fee shall be adjusted in writing in proportion to the change in the AACC. There shall be no adjustments in the Pre-Construction Phase Fee following acceptance of the GMP Proposal. 6.4 For Additional Pre-Construction Phase Services that are approved in advance and in writing by Owner, Contractor shall be entitled to additional compensation computed as follows: 6.4.1 A pre-established lump sum amount; or 6.4.2 The hourly cost of Contractor’s employees or consultants who actually perform the Additional Services based on the employee’s Worker Wage Rate or prorated Monthly Rate plus the actual cost of allowable expenses incurred in the performance of the Additional Pre-Construction Phase Services, plus an overhead and profit markup of ten percent (10%) of the total cost; or 6.4.3 As otherwise agreed in advance and in writing.