Common use of Fixed Price Contract Sum Clause in Contracts

Fixed Price Contract Sum. Owner shall pay Contractor for all costs actually incurred by Contractor in Contractor’s performance of the Work and Contractor’s obligations under this Agreement; however, in no event shall Owner be obligated to pay Contractor more than the Contract Sum, set forth in the Budget attached hereto as Exhibit “B” (the “Budget”). The Budget identifies (i) the anticipated costs of completing the Work, and (ii) the maximum portion of the total Contract Sum allocated to each component of the Work. Owner shall not be required to pay Contractor for costs not provided for in the Budget. Contractor represents and warrants that except as has been disclosed to Owner, the Budget has been prepared in good faith by Contractor based on information known as of the date of this Agreement, is the budget utilized by Contractor for its internal purposes and is Contractor’s reasonable estimate of the anticipated costs to Complete the Work. Owner and Contractor hereby acknowledge and agree that Contractor shall be entitled to any and all reimbursement and/or advances from any Financing District (as defined in the Option Agreement).