Common use of Back Charges Clause in Contracts

Back Charges. In addition to the rights and obligations attendant to the Contractor's warranty in Section 2.9 above, Owner shall have the following rights and Contractor the following obligations: (a) In the event any aspect of the Work performed by Contractor or its subcontractors under this Agreement is found to be defective as to workmanship or not to be in conformance with plans, specifications or NRC or other agency requirements, it remains the responsibility of Contractor to promptly correct any deficiency when so directed. (b) If upon being notified by Owner of deficient Work and having been directed to correct the deficient Work by a specific date consistent with the current project schedule, Contractor states, or by its action indicates to Owner, its inability or unwillingness to comply, then Owner shall have the right to suspend further Work by Contractor pursuant to Section 2.19 of this Agreement and to proceed to have the Work accomplished by the best and/or most expeditious means available to Owner (as determined by it, in its sole discretion) and back charge Contractor for the cost of the Work undertaken by Owner. For purposes of calculating KUC's contributions to the Green Mountain Mining Venture as provided ▇▇ ▇ection 3 of the GMMV Amendment, each back charged dollar will count against KUC's obligation pursuant to Subsection 3(a) and each back charged ▇▇▇▇ar will be treated as a two dollar contribution for purposes of Subsection 3(b) of the amendment. (c) Before proceeding on such back charge work, Owner will advise Contractor and forward to Contractor an Authorization of Back Charge for Contractor's signature. However, failure of Contractor to provide such written authorization shall not impair Owner's right to proceed to have the work performed and charge Contractor therefor. Contractor shall pay actual costs incurred, computed as shown above, or Owner may withhold such sum from funds due Contractor. The performance of back charge work shall not relieve Contractor of any of its responsibilities under this Contract, including but not limited to, express or implied warranties, guarantees, specified standards for quality, liabilities and indemnification, and the Contract schedule. EXHIBIT 10.52

Back Charges. In addition 18.01 This article applies exclusively to production pieceworkers/subcontractors employed pursuant to Schedule “C” or “E”. 18.02 With respect to all back charges permitted under this Article, the rights and obligations attendant to the Contractor's warranty in Section 2.9 above, Owner shall have Company will follow the following rights and Contractor the following obligationsprocedure: (a) In The Company will advise the event any aspect pieceworker of its intention to impose a back charge on the applicable “Deficiency Notice Form”, attached at Appendix “F”. No Deficiency or back charge may be processed against a pieceworker/subcontractor which is not made in accordance with this process; (b) With respect to deficiencies, the pieceworker/subcontractor has 48 hours from receipt of the Work performed Deficiency Notice to repair or inspect the deficiency; and (c) If the pieceworker/subcontractor does not repair the deficiency within three (3) days of receipt of the Deficiency Notice, or does not advise the Company to complete the repair; then (d) The Company may back charge the pieceworker the cost of the repair as set out in the Deficiency Notice. The amount of a back charge shall be no more than the actual cost incurred by Contractor the Company for labour and material.. (e) The Union and the Company agree that the Company may also advise the pieceworker/subcontractor of its intention to impose a back charge for costs incurred as a direct result of an act or its subcontractors under this Agreement omission on the part of the pieceworker/subcontractor which results in damage to a jobsite or to client property, or for a failure to attend or comply with a Builder’s direction which has been communicated to the pieceworker/subcontractor resulting in a fine. Two days after issuing such notice on the Deficiency Notice Form attached at Schedule “F” the Company may back charge the pieceworker/subcontractor the amount set out in the Deficiency Notice, subject to Article 18.03 below. (f) It is found agreed that when the Company is entitled to back charge a pieceworker/subcontractor it shall deduct that amount from amounts owing to the pieceworker/subcontractor on invoices submitted but shall not, in any case, deduct more than ten percent (10%) of the amount payable on any particular invoice; and (g) The Company shall provide the Union with a copy of any Deficiency Notice with respect to which it has imposed a back charge, and shall notify the Union in writing of the amount to be defective as back charged, and thereafter including notice on any invoice of the amount back charged and specifying the invoice to workmanship or not to which the back charge relates. Particulars of the alleged deficiency and compliance with the process set out herein shall be in conformance with plans, specifications or NRC or other agency requirementsprovided at the request of the Union. 18.03 Where the Company issues a Deficiency Notice Form, it remains is agreed that if the Union or the pieceworker/subcontractor disputes responsibility for that penalty or deficiency or the amount of such deficiency, then such a dispute may be dealt with through the Grievance process. However, the Parties agree that the onus of proof with respect to whether a deficiency or penalty damages existed and the cost of fixing such a deficiency shall rest with the Company. 18.04 The Company may impose a back charge for a deficiency which is the responsibility of Contractor the installer up to promptly correct any deficiency when so directedseven (7) months from the date of installation for carpet, and up to seven (7) months from the date of closing with respect to hardwood and laminate floor coverings. The Parties agree that such deficiencies may include a charge from a builder or client that is a direct result of an act or omission on the part of the pieceworker/subcontractor. (a) A pieceworker/subcontractor must review the work order prior to leaving the shop and the floor plan upon arriving at the site, if available. If the floor plan does not match the house at the site or a pieceworker/subcontractor believes that the Company has made a mistake with respect to the materials or quantity of materials, he shall contact the Company to clarify the situation. Where a pieceworker/subcontractor cannot complete all of the assigned work due to mistakes with respect to materials or quantity of materials, they shall complete and invoice for all work possible. (b) If upon being notified by Owner of deficient Work and having been directed to correct the deficient Work by Provided a specific date consistent pieceworker/subcontractor has acted in accordance with the current project scheduleparagraph above the Company shall not back charge any pieceworker/subcontractor with respect to a failure by the Company to provide the correct materials or correct quantity of materials to the pieceworker/subcontractor. The pieceworker/subcontractor will not be responsible for shortage of material, Contractor statesquality or materials that are out of stock or any re-selection of colours provided that the pieceworker has acted reasonably. 18.06 Where a pieceworker/subcontractor believes that the Company has made a mistake with respect to the materials or quantity of materials, he shall contact the Company to clarify the situation. Where a pieceworker/subcontractor cannot complete all of the assigned work due to mistakes with respect to materials or quantity of materials, they shall complete and invoice for all work possible. Where the entire work assigned has not been completed due to mistakes with respect to materials or quantity of materials and the Employer requires the original pieceworker/subcontractor to re-attend at the site (which site is different from the site the pieceworker / subcontractor is currently working on) and complete the house or unit, the pieceworker / subcontractor shall be entitled to a minimum charge of $100.00 for hardwood or $75.00 for carpet. If the pieceworker / subcontractor is required to return to the same site the pieceworker / subcontractor is currently working on the pieceworker/subcontractor shall be entitled to a minimum charge of $50.00. 18.07 The Company is responsible for the payment of all remittances to the Union and/or the trust funds described in this Collective Agreement with respect to all work performed by its action indicates pieceworkers/subcontractors in accordance with Schedule “C” or “E”. Without limiting the generality of the foregoing, it is agreed that all benefit contributions and remittances are calculated prior to Owner, its inability any back charges which are or unwillingness to comply, then Owner shall have the right to suspend further Work by Contractor which may be imposed pursuant to Section 2.19 of this Agreement Article and prior to proceed any deductions to have create or maintain the Work accomplished by the best and/or most expeditious means available holdback account referred to Owner (as determined by it, in its sole discretion) and back charge Contractor for the cost of the Work undertaken by Owner. For purposes of calculating KUC's contributions to the Green Mountain Mining Venture as provided ▇▇ ▇ection 3 of the GMMV Amendment, each back charged dollar will count against KUC's obligation pursuant to Subsection 3(a) and each back charged ▇▇▇▇ar will be treated as a two dollar contribution for purposes of Subsection 3(b) of the amendmentthis Article. (c) Before proceeding on such back charge work, Owner will advise Contractor and forward to Contractor an Authorization of Back Charge for Contractor's signature. However, failure of Contractor to provide such written authorization shall not impair Owner's right to proceed to have the work performed and charge Contractor therefor. Contractor shall pay actual costs incurred, computed as shown above, or Owner may withhold such sum from funds due Contractor. The performance of back charge work shall not relieve Contractor of any of its responsibilities under this Contract, including but not limited to, express or implied warranties, guarantees, specified standards for quality, liabilities and indemnification, and the Contract schedule. EXHIBIT 10.52