Common use of Failure to Correct Clause in Contracts

Failure to Correct. If Design Builder fails to correct defective or nonconforming Work, Owner may correct it at the expense of Design Builder. In addition, if Design Builder does not proceed with the correction of defective or nonconforming Work within a reasonable period of time, Owner may remove it and store it at the expense of Design Builder. If Design Builder fails to pay the cost of such removal and storage within ten (10) calendar days of written notice from Owner, Owner may sell the Work by any means it chooses and, after satisfying its expenses incurred therein, will pay the balance remaining, if any, to Design Builder. If the proceeds of such a sale do not cover all costs that Design Builder should have borne, the difference will be charged to Design Builder.

Appears in 2 contracts

Sources: Agreement for Design Build Services, Agreement for Continuing Design Build Services