29.
30.
31.
32.
C-1.23
and named on the current list of "Surety Companies Acceptable on Federal Bonds" as
published in the Treasury Department Circular Number 570. The expense of these Bonds
shall be borne by the Contractor.
Additional or Substitute Bond. If at any time a surety on any such Bond is declared as
bankrupt or loses its right to do business in the state in which the Work is to be
performed, or is removed from the list of Surety Companies accepted on Federal Bonds,
the Contractor shall within ten (10) days after notice from the Owner to do so, substitute
an acceptable bond (or bonds) in such form and sum and signed by such other surety or
sureties as may be satisfactory to the Owner. The premiums on such bond shall be paid
by the Contractor. No further payments shall be deemed due nor shall be made until the
new surety or sureties shall have furnished such an acceptable bond to the Owner.
Assignments. The Contractor shall not assign the whole or any part of this contract or
any monies due or to become due hereunder without written consent of the Owner. In
case the Contractor assigns all or any part of any monies due or to become due under this
contract, the instrument of assignment shall contain a clause substantially to the effect
that it is agreed that the right of the assignee in and to any monies due or to become due
to the Contractor shall be subject to prior claims of all persons, firms and corporations for
services rendered or materials supplied for the performance of the work called for in this
contract.
Mutual Responsibility of Contractors. If, through acts of neglect on the part of the
Contractor, any other Contractor or any Subcontractor shall suffer loss or damage on the
work site, the Contractor agrees to settle with such other Contractor or Subcontractor by
agreement or arbitration if such other Contractor or Subcontractors will so settle. If such
other Contractor or Subcontractors shall assert any claim against the Owner on account of
any damage alleged to have been sustained, the Owner shall notify the Contractor, who
shall indemnify and save harmless the Owner against any such claim.
Subcontracting. When subcontracting, the Contractor:
32.1 May utilize the services of specialty Subcontractors on those parts of the work
which, under usual contracting practices, are performed by specialty Subcontractors.
32.2 Shall be as fully responsible to the Owner for the acts and omissions of his
Subcontractors, and of persons either directly or indirectly employed by them, as he is for
the acts and omissions of persons directly employed by him.
32.3. Shall cause appropriate provisions to be inserted in all subcontracts relative to the
work to bind Subcontractors to the Contractor by the terms of the contract documents
insofar as applicable to the work of Subcontractors and to give the Contractor the same
power as regards terminating any subcontract that the Owner may exercise over the
Contractor under any provision of the contract documents.
32.4 Shall not create any contractual relation between any Subcontractor and the
Owner.
32.5. Shall not award Work to Subcontractor(s), in excess of fifty percent (50%) of the
Contract Price, without prior written approval of the Owner.
