Township Council Meeting — Packet

4. The Contractor shall furnish written proof of payment of the materials no later than thirty (30) days after receipt of payment. 5. Materials delivered to the job site more than ninety (90) days in advance of their incorporation in the work will not be paid for as materials on hand unless payment is specifically approved by the Engineer. All materials and work covered by partial payments made shall thereupon become the sole property of the Owner, but this provision shall not be construed as relieving the Contractor from the sole responsibility for the care and protection of materials and work upon which payments have been made or the restoration of any damaged work or as a waiver of the right of the Owner to require the fulfillment of all the terms of the Contract. The Contractor agrees that he will indemnify and save the Owner harmless from all claims growing out of the lawful demands of subcontractors, laborers, workmen, mechanics, materialmen, and furnishers of machinery and parts thereof, equipment, power tools, and all supplies, including commissary, incurred in the furtherance of the performance of this Contract. The Contractor shall, at the Owner's request, furnish satisfactory evidence that all obligations of the nature hereinbefore designated have been paid, discharged, or waived. If the Contractor fails to do so, then the Owner may, after having served written notice on the said Contractor, either pay unpaid bills of which the Owner has written notice, deduct or withhold from the Contractor's unpaid compensation a sum of money deemed reasonably sufficient to pay any and all such lawful claims until satisfactory evidence is furnished that all liabilities have been fully discharged whereupon payment to the Contractor shall be resumed, in accordance with the terms of the Contract, but in no event shall the provisions of this sentence be construed to impose any obligations upon the Owner to either the Contractor or his surety. In paying any unpaid bills of the Contractor, the Owner shall be deemed the agent of the Contractor, and any payment so made by the Owner, shall be considered as a payment made under the Contract by the Owner to the Contractor and the Owner shall not be liable to the Contractor for any such payment made in good faith. The Owner may withhold or, on account of subsequently discovered evidence, nullify the whole or part of any

and the Owner shall not be liable to the Contractor for any such payment made in good faith. The Owner may withhold or, on account of subsequently discovered evidence, nullify the whole or part of any certificate to such extent as may be necessary to protect himself from loss on account of: a) Defective work not remedied. b) Claims filed or reasonable evidence indicating probable filing of claims by other parties against the Contractor. c) Failure of the Contractor to make payments properly to subcontractors or for material or labor. d) Damage to another Contractor. The Engineer shall, as soon as practicable after the completion of the work, make a final certificate of the entire amount of work done under this Contract, and the Owner shall, within thirty (30) days after such final estimate is approved, pay the entire sum so found to be due hereunder, after deducting therefrom all previous payments, and also all percentages and deductions to be retained under any of the provisions of this Contract. C-3