Faber Construction Corporation 1/10/2019

City of Everett 00 7200 - 18 , Evergreen Branch Library Expansion 2017-008 in the Contract Sum or an extension of Contract Time,or both,directly attributable to any suspension in accordance with the Change Order procedures herein;provided,the Contractor shall not be entitled to an increase to the extent caused by the Contractor. I 5.4. TERMINATION PROCEDURES 5.4.1. Termination by Owner for Default The Owner may terminate the Contract upon written notice to Contractor and its surety whenever the Contractor is deemed to be in default or fails to fulfill,in a timely and proper manner, one or more Contract obligations, or is in violation of any provisions or covenants of the Contract. Termination shall be effective upon receipt of such notice by the Contractor. For purposes of this paragraph, the Contractor shall be deemed to be in default upon the occurrence of any one or more of the following events: I 1. If Contractor is bankrupt or insolvent. 2. If Contractor makes a general assignment for the benefit of creditors. 111 3. If a trustee or receiver is appointed for Contractor,or for any of Contractor's property. 4. If Contractor files a petition to take advantage of any debtor's law, or to reorganize under any bankruptcy chapter or law. I 5. If Contractor repeatedly fails to make prompt payments to Subcontractors or others for labor, materials,or Equipment. 6. If Contractor disregards laws,ordinances,rules,regulations,or orders of any public body having jurisdiction. 7. If Contractor disregards the authority of the Owner or Owner's Representative. 8. If Contractor violates in a substantial way the provisions of the Contract Documents or fails, neglects, or refuses to proceed in compliance with the provisions of the Contract Documents. 9. If the Contractor made material misrepresentations to the Owner with respect to: (a)its I qualifications or those of its Subcontractors; (b)its or its subcontractors' ability to perform the Work in a timely,workmanlike manner; (c)the materials installed or to be installed; or(d) progress pay estimates. After termination of the Contractor for default,the Owner may transfer performance of the Work to the Contractor's surety. The Owner may exclude the Contractor from the Site and take possession of the Work and all of the Contractor's tools, appliances,owned or rented construction equipment,and machinery at the Site and use the same to the full extent they could be used by the Contractor. The Owner may incorporate in the Work all materials and Equipment stored at the Site or for which the Owner has paid the Contractor,but which are not yet on Site. In such case,the Contractor will not be entitled to receive any further payment until the Work is finished. At the Owner's sole option, Contractor shall assign and transfer any contractual rights to material and Equipment to be installed, incorporated,or used in the performance of the Work. Owner shall credit Contractor for the reasonable fair market rental value of any and all Contractor owned equipment for so long as retained and used by the Owner. Owner shall credit Contractor for all materials and supplies on Site or on order,but not yet paid for by Owner, provided that ownership is transferred and assigned to the Owner and the materials and supplies conform to the requirements of the Contract Documents. I If the unpaid balance of the Contract Sum exceeds the direct and indirect cost of the completed Work, including construction management services, such excess shall be paid to the Contractor. If such costs exceed such unpaid balance,the Contractor shall pay the difference to the Owner. Such costs incurred by the Owner will be verified by the Owner's Representative and incorporated into a Change Order,but in finishing the Work, the Owner may negotiate for materials, Equipment and services to complete the Work and will not be required to obtain the lowest figure for Work performed. I 00 7200 - 18 GENERAL CONDITIONS