Common use of Contracts and Supplies Clause in Contracts

Contracts and Supplies. Property Manager shall, at Owner’s expense, upon Owner’s direction and, upon the best terms available, execute contracts for the furnishing to the Property of required utility services, heating and air-conditioning service and other maintenance, security protection, pest-control and any other services and concessions which are required in connection with the maintenance and operation of the Property. Said contracts shall be for a one-year term, cancelable by either party on thirty (30) days’ written notice, without cause. Property Manager shall also place purchase orders for services and personal property as necessary to properly maintain the Property. All such contracts and orders shall be subject to limitations set forth in the approved Budget. When taking bids or issuing purchase orders, Property Manager shall secure for and credit to Owner, any discounts, commissions or rebates obtainable as a result of such purchases or services. Property Manager shall make purchases and (where necessary or desirable) let bids for necessary labor and materials at the lowest possible cost as in its judgment is consistent with good quality, workmanship and service standards. Property Manager shall not incur any obligation to any person or entity in which Property Manager, its officers, agents, employees or family members of any of the former, has a financial interest, at a price or fee higher than that which would have been charged as a result of bona fide arms-length negotiations for goods or services of comparable quality, and shall disclose to Owner all non-arms-length transactions. Property Manager shall use commercially reasonable efforts (subject to all applicable Laws) to contract with qualified businesses owned by minorities, women and disabled veterans. Property Manager shall competitively bid all service contracts for repetitive services (e.g., janitorial, landscaping, window washing) no less frequently than once every three years.