Common use of Form of Subcontract Clause in Contracts

Form of Subcontract. Design-Build Contractor shall ensure that each Subcontract (at all tiers) shall include those terms that are specifically required by the PPA Documents to be included therein as well as such additional terms and conditions as are appropriate to ensure compliance by the Subcontractor with all applicable requirements of the PPA Documents. Each Subcontract shall: (a) Set forth a standard of professional responsibility or a standard for commercial practice equal to or better than the requirements of the PPA Documents and Good Industry Practice for work of similar scope and scale and shall set forth effective procedures for claims and change orders; (b) Require the Subcontractor to carry out its scope of Work in accordance with the PPA Documents, the Governmental Approvals and Governmental Rules, including the applicable requirements of the MWVBE Performance Plan, and to be joined in any dispute resolution proceeding pursuant to Section 19 if such joinder is determined by IFA to be reasonably necessary to resolve the Dispute; (c) Set forth effective procedures for claims and change orders which are consistent with the Change Order process set forth in the PPA Documents; (d) Set forth warranties, guaranties and liability provisions of the contracting party in accordance with Good Industry Practice for work of similar scope and scale; (e) Expressly state that all remaining warranties and guarantees, express or implied, shall inure to the benefit of IFA and its successors and assigns upon expiration of the term or earlier termination of this Agreement; (f) Include the following: (i) requirement to maintain usual and customary books and records for the type and scope of operations of business in which the Subcontractor is engaged (e.g., constructor, equipment supplier, designer, service provider); (ii) provision permitting audits to be conducted by Design-Build Contractor and IFA; (iii) requirement to provide progress reports to Design-Build Contractor appropriate for the type of work it is performing sufficient to enable Design-Build Contractor to provide the reports it is required to furnish IFA under this PPA; (iv) requirement for the Subcontractor to maintain all appropriate licenses and qualifications;