Common use of Retainage on Progress Payments Clause in Contracts

Retainage on Progress Payments. Owner will retain ten percent (10%) of each payment up to a maximum of [Five Percent of Contract Price Spelled Out] Dollars($[5% of Price in Numbers]). Once [Five Percent of Contract Price Spelled Out] Dollars($[5% of Price in Numbers]) has been retained, in total, Owner will not retain any additional amounts from any subsequent payments. Owner will also reasonably consider reducing retainage for Subcontractors completing their work early in the Project. Upon Substantial Completion of the Work Owner shall release to Design-Builder all retained amounts less an amount equal to the reasonable value of all remaining or incomplete items of Work and less an amount equal to the value of any Subcontractor lien waivers not yet obtained, as noted in the Certificate of Substantial Completion, provided that such payment shall only be made if Design-Builder has met the Performance Guarantee Criteria listed in Exhibit A as demonstrated in Performance Tests conducted pursuant to Section 7.2.