{"component": "clause", "props": {"groups": [{"samples": [{"hash": "4F29ofrkmVB", "uri": "/contracts/4F29ofrkmVB#back-charges", "label": "Subcontract Agreement", "score": 21.1560573578, "published": true}, {"hash": "anlfVc8vdDB", "uri": "/contracts/anlfVc8vdDB#back-charges", "label": "Subcontract Agreement", "score": 21.1067752838, "published": true}, {"hash": "9jVHktBOk3U", "uri": "/contracts/9jVHktBOk3U#back-charges", "label": "Subcontract Agreement", "score": 21.1067752838, "published": true}], "snippet_links": [{"key": "authority-to-negotiate", "type": "clause", "offset": [22, 44]}, {"key": "notice-to-contractor", "type": "clause", "offset": [103, 123]}, {"key": "contractor-to", "type": "clause", "offset": [208, 221]}, {"key": "amounts-due", "type": "definition", "offset": [233, 244]}, {"key": "by-subcontractor", "type": "clause", "offset": [302, 318]}, {"key": "by-owner", "type": "definition", "offset": [359, 367]}], "size": 7, "snippet": "Subcontractor has the authority to negotiate back charges directly with Owner. Subcontractor must give notice to Contractor that Subcontractor is negotiating back charges with Owner. Subcontractor authorizes Contractor to deduct any amounts due or to become due to Subcontractor any sums that are owed by Subcontractor to Contractor, as ultimately determined by Owner. These amounts so deducted shall be considered back charges.", "hash": "0e041329cd95ccd554ebf49a1ce5fd94", "id": 1}, {"samples": [{"hash": "lVwppKoNi0M", "uri": "/contracts/lVwppKoNi0M#back-charges", "label": "Guaranteed Maximum Price Agreement", "score": 31.2726345062, "published": true}, {"hash": "ktO3byZNgfs", "uri": "/contracts/ktO3byZNgfs#back-charges", "label": "Guaranteed Maximum Price Agreement", "score": 30.963312149, "published": true}], "snippet_links": [{"key": "payment-of-services-rendered", "type": "clause", "offset": [30, 58]}, {"key": "equipment-furnished", "type": "clause", "offset": [76, 95]}, {"key": "by-customer", "type": "clause", "offset": [96, 107]}, {"key": "previously-authorized", "type": "definition", "offset": [151, 172]}, {"key": "in-writing", "type": "definition", "offset": [173, 183]}, {"key": "the-event", "type": "definition", "offset": [229, 238]}, {"key": "act-or-omission", "type": "definition", "offset": [240, 255]}, {"key": "basis-of", "type": "clause", "offset": [269, 277]}], "size": 2, "snippet": "No back charges or claims for payment of services rendered or materials and equipment furnished by Customer to \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587-\u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587 shall be valid unless previously authorized in writing by \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587-\u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587 within ten (10) days of the event, act or omission which is the basis of the back charge.", "hash": "30f444562c0bac0fb0a834de505ce410", "id": 9}, {"samples": [{"hash": "3OlNoWjn1NX", "uri": "/contracts/3OlNoWjn1NX#back-charges", "label": "Fixed Price Construction Contract", "score": 29.7082557678, "published": true}, {"hash": "i7LPY7r9XbJ", "uri": "/contracts/i7LPY7r9XbJ#back-charges", "label": "Fixed Price Construction Contract", "score": 26.4692611694, "published": true}, {"hash": "ifQNNTIIp49", "uri": "/contracts/ifQNNTIIp49#back-charges", "label": "Fixed Price Construction Contract", "score": 24.2930526733, "published": true}], "snippet_links": [{"key": "sustained-by", "type": "clause", "offset": [20, 32]}, {"key": "the-government", "type": "clause", "offset": [45, 59]}, {"key": "terms-of-this-agreement", "type": "clause", "offset": [154, 177]}, {"key": "responsibility-of-the-contractor", "type": "clause", "offset": [209, 241]}, {"key": "contractor-actions", "type": "clause", "offset": [271, 289]}, {"key": "quality-assurance", "type": "clause", "offset": [379, 396]}, {"key": "contract-requirements", "type": "definition", "offset": [437, 458]}, {"key": "recovery-schedule", "type": "definition", "offset": [487, 504]}, {"key": "as-scheduled", "type": "definition", "offset": [548, 560]}, {"key": "work-for", "type": "definition", "offset": [608, 616]}, {"key": "at-fault", "type": "definition", "offset": [637, 645]}, {"key": "fault-of-contractor", "type": "clause", "offset": [743, 762]}, {"key": "data-review", "type": "definition", "offset": [774, 785]}, {"key": "contractor-coordination", "type": "clause", "offset": [891, 914]}, {"key": "failure-to-restore", "type": "clause", "offset": [947, 965]}, {"key": "owned-property", "type": "clause", "offset": [997, 1011]}, {"key": "replacement-of", "type": "clause", "offset": [1058, 1072]}, {"key": "damage-by-contractor", "type": "clause", "offset": [1130, 1150]}, {"key": "a-third-party", "type": "clause", "offset": [1224, 1237]}, {"key": "by-subcontractor", "type": "clause", "offset": [1246, 1262]}, {"key": "failure-to-maintain", "type": "clause", "offset": [1283, 1302]}, {"key": "the-work-site", "type": "clause", "offset": [1346, 1359]}, {"key": "during-construction", "type": "clause", "offset": [1360, 1379]}, {"key": "final-acceptance", "type": "clause", "offset": [1387, 1403]}, {"key": "satisfaction-of", "type": "clause", "offset": [1427, 1442]}, {"key": "failure-to-return", "type": "clause", "offset": [1475, 1492]}, {"key": "transfer-to-another", "type": "clause", "offset": [1496, 1515]}, {"key": "security-badges", "type": "clause", "offset": [1528, 1543]}, {"key": "the-subcontractor", "type": "clause", "offset": [1571, 1588]}, {"key": "caused-by", "type": "clause", "offset": [1681, 1690]}, {"key": "performed-by", "type": "clause", "offset": [1719, 1731]}, {"key": "contractor-will", "type": "clause", "offset": [1732, 1747]}], "size": 7, "snippet": "\u200c\nA. When costs are sustained by Battelle or the Government as a result of Contractor failure in whole or in part to execute its responsibility under the terms of this Agreement, such costs are considered the responsibility of the Contractor and will be \u201cback- charged.\u201d Contractor actions having potential to result in back-charges include:\n1. Environmental, safety, health, or quality assurance violations;\n2. Rework necessary to meet Contract requirements;\n3. Support of Contractor's recovery schedule;\n4. Inspections by Battelle not performed, as scheduled, due to incomplete or inadequate status of the work for which Contractor is at fault;\n5. Inspections that must be repeated by Battelle due to errors, omissions, mismanagement or any fault of Contractor;\n6. Vendor data review and processing as a result of re-submittals in excess of three (3), which are attributable to inadequate Contractor coordination or preparation;\n7. Contractor's failure to restore all Battelle and/or Government-owned property, facilities, utilities, or systems, including replacement of survey stakes, to \"like-for-like\" condition after use or damage by Contractor;\n8. Contractor's failure to adequately repair and/or replace property of a third party damaged by Subcontractor;\n9. Subcontractor's failure to maintain the cleanliness and orderly arrangement of the work site during construction and at final acceptance, within reason, to the satisfaction of Contractor;\n10. Subcontractor\u2019s failure to return or transfer to another project all security badges will result in a charge to the Subcontractor in the amount of $250.00 per badge; and\n11. Hazardous or environmentally detrimental spills caused by Subcontractor with clean-up performed by Contractor will be charged to Subcontractor.", "hash": "43ff8dd23025509cb53fb959b4fbf6cb", "id": 2}, {"samples": [{"hash": "jpRywrSOxTm", "uri": "/contracts/jpRywrSOxTm#back-charges", "label": "Collective Agreement", "score": 33.612865448, "published": true}, {"hash": "3PP2ZExqfdG", "uri": "/contracts/3PP2ZExqfdG#back-charges", "label": "Collective Agreement", "score": 28.4630794525, "published": true}, {"hash": "300ueVVbcLd", "uri": "/contracts/300ueVVbcLd#back-charges", "label": "Collective Agreement", "score": 23.7323741913, "published": true}], "snippet_links": [{"key": "by-the-contractor", "type": "clause", "offset": [26, 43]}, {"key": "the-builder", "type": "clause", "offset": [49, 60]}, {"key": "performance-of-work", "type": "clause", "offset": [80, 99]}, {"key": "failure-to-perform", "type": "clause", "offset": [107, 125]}, {"key": "amounts-owing", "type": "definition", "offset": [172, 185]}, {"key": "in-relation-to", "type": "clause", "offset": [235, 249]}, {"key": "in-accordance-with", "type": "clause", "offset": [287, 305]}, {"key": "grievance-and-arbitration-procedures", "type": "clause", "offset": [310, 346]}], "size": 3, "snippet": "Any back charges received by the Contractor from the Builder as a result of the performance of work or the failure to perform work shall be deducted by the Contractor from amounts owing to the pieceworker on that project. Any disputes in relation to these back charges shall be resolved in accordance with the Grievance and Arbitration procedures contained herein.", "hash": "267d9df99ffb7f142cfcaf6ca7060065", "id": 3}, {"samples": [{"hash": "fNTMluEzc41", "uri": "/contracts/fNTMluEzc41#back-charges", "label": "Terms and Conditions of Sale", "score": 29.4978046417, "published": true}, {"hash": "as5sydkPZy4", "uri": "/contracts/as5sydkPZy4#back-charges", "label": "Terms and Conditions of Sale", "score": 25.6654891968, "published": true}], "snippet_links": [{"key": "withhold-payment", "type": "clause", "offset": [31, 47]}, {"key": "back-charge", "type": "definition", "offset": [54, 65]}, {"key": "the-seller", "type": "clause", "offset": [94, 104]}, {"key": "costs-incurred", "type": "clause", "offset": [121, 135]}, {"key": "by-buyer", "type": "clause", "offset": [136, 144]}, {"key": "third-party", "type": "clause", "offset": [152, 163]}, {"key": "the-performance", "type": "clause", "offset": [179, 194]}, {"key": "lack-of-performance", "type": "definition", "offset": [199, 218]}, {"key": "product-or-service", "type": "clause", "offset": [227, 245]}], "size": 2, "snippet": "\u2587\u2587\u2587\u2587\u2587 agrees that it shall not withhold payment from, back charge, invoice, or otherwise hold the Seller accountable for costs incurred by Buyer or any third party resulting from the performance, or lack of performance, of any product or service whatsoever.", "hash": "e1e97118cbee37e6e40b30e666d8333c", "id": 10}, {"samples": [{"hash": "6I405gT6y8v", "uri": "/contracts/6I405gT6y8v#back-charges", "label": "Rental Agreement", "score": 27.6117591858, "published": true}, {"hash": "hivcZCOgXbL", "uri": "/contracts/hivcZCOgXbL#back-charges", "label": "Rental Agreement", "score": 23.6748809814, "published": true}], "snippet_links": [{"key": "other-charges", "type": "clause", "offset": [31, 44]}, {"key": "in-arrears", "type": "definition", "offset": [64, 74]}, {"key": "the-tenant-shall", "type": "clause", "offset": [76, 92]}, {"key": "pay-in-full", "type": "definition", "offset": [93, 104]}, {"key": "notice-of-the", "type": "clause", "offset": [152, 165]}, {"key": "in-the-event-the", "type": "clause", "offset": [179, 195]}, {"key": "reports-to-management", "type": "clause", "offset": [210, 231]}, {"key": "change-in-income", "type": "definition", "offset": [234, 250]}, {"key": "payment-for", "type": "clause", "offset": [305, 316]}, {"key": "date-of", "type": "clause", "offset": [369, 376]}, {"key": "rent-adjustment", "type": "definition", "offset": [414, 429]}, {"key": "failure-to-make-payment-in-full", "type": "clause", "offset": [431, 462]}, {"key": "termination-of-the-rental-agreement", "type": "clause", "offset": [494, 529]}, {"key": "in-its-discretion", "type": "clause", "offset": [551, 568]}, {"key": "to-negotiate", "type": "definition", "offset": [576, 588]}, {"key": "payment-arrangement", "type": "clause", "offset": [602, 621]}, {"key": "not-to-exceed", "type": "clause", "offset": [622, 635]}, {"key": "to-ensure", "type": "clause", "offset": [667, 676]}, {"key": "agree-to", "type": "clause", "offset": [736, 744]}, {"key": "responsible-for", "type": "clause", "offset": [782, 797]}, {"key": "balance-of-the", "type": "clause", "offset": [807, 821]}, {"key": "as-required", "type": "clause", "offset": [850, 861]}], "size": 2, "snippet": "(a) If the Tenant owes rent or other charges owed to Management in arrears, the Tenant shall pay in full these back charges within 90 days of receiving notice of the back charge. In the event the Tenant timely reports to Management a change in income and a back charge results from an increase in income, payment for any back charges are not due until 90 days from the date of a completed reexamination or interim rent adjustment. Failure to make payment in full of back charges will result in termination of the Rental Agreement.\n(b) Management may, in its discretion, elect to negotiate a reasonable payment arrangement not to exceed six (6) months with the Tenant to ensure payment in full of the back charge. If Management does not agree to a payment arrangement, the Tenant is responsible for the full balance of the back charges within 90 days as required under subsection (a) of this paragraph.", "hash": "35ca1f1c9ebb3f3f68104afec08e0a4f", "id": 7}, {"samples": [{"hash": "i2H9Lz6MP3C", "uri": "/contracts/i2H9Lz6MP3C#back-charges", "label": "Services Agreement (Us Energy Corp)", "score": 18.0, "published": true}, {"hash": "eareY5rflgi", "uri": "/contracts/eareY5rflgi#back-charges", "label": "Services Agreement (Crested Corp)", "score": 18.0, "published": true}], "snippet_links": [{"key": "the-rights-and-obligations", "type": "clause", "offset": [15, 41]}, {"key": "to-the-contractor", "type": "clause", "offset": [52, 69]}, {"key": "in-the-event", "type": "clause", "offset": [187, 199]}, {"key": "work-performed-by-contractor", "type": "clause", "offset": [218, 246]}, {"key": "this-agreement", "type": "clause", "offset": [275, 289]}, {"key": "conformance-with-plans", "type": "clause", "offset": [349, 371]}, {"key": "agency-requirements", "type": "clause", "offset": [404, 423]}, {"key": "responsibility-of-contractor", "type": "clause", "offset": [440, 468]}, {"key": "by-owner", "type": "definition", "offset": [549, 557]}, {"key": "work-and", "type": "clause", "offset": [571, 579]}, {"key": "having-been", "type": "clause", "offset": [580, 591]}, {"key": "directed-to", "type": "definition", "offset": [592, 603]}, {"key": "project-schedule", "type": "clause", "offset": [678, 694]}, {"key": "to-owner", "type": "definition", "offset": [742, 750]}, {"key": "right-to-suspend", "type": "clause", "offset": [820, 836]}, {"key": "work-by-contractor", "type": "clause", "offset": [845, 863]}, {"key": "pursuant-to-section", "type": "definition", "offset": [864, 883]}, {"key": "available-to", "type": "definition", "offset": [994, 1006]}, {"key": "sole-discretion", "type": "definition", "offset": [1042, 1057]}, {"key": "back-charge", "type": "definition", "offset": [1063, 1074]}, {"key": "the-cost-of-the-work", "type": "clause", "offset": [1090, 1110]}, {"key": "for-purposes-of", "type": "clause", "offset": [1132, 1147]}, {"key": "contributions-to", "type": "clause", "offset": [1166, 1182]}, {"key": "green-mountain", "type": "definition", "offset": [1187, 1201]}, {"key": "pursuant-to-subsection", "type": "clause", "offset": [1326, 1348]}, {"key": "the-amendment", "type": "clause", "offset": [1463, 1476]}, {"key": "owner-will", "type": "clause", "offset": [1526, 1536]}, {"key": "to-contractor", "type": "definition", "offset": [1567, 1580]}, {"key": "for-contractor", "type": "definition", "offset": [1613, 1627]}, {"key": "contractor-to-provide", "type": "clause", "offset": [1661, 1682]}, {"key": "written-authorization", "type": "definition", "offset": [1688, 1709]}, {"key": "right-to-proceed", "type": "clause", "offset": [1735, 1751]}, {"key": "contractor-shall", "type": "clause", "offset": [1811, 1827]}, {"key": "actual-costs-incurred", "type": "clause", "offset": [1832, 1853]}, {"key": "as-shown", "type": "definition", "offset": [1864, 1872]}, {"key": "the-performance", "type": "clause", "offset": [1938, 1953]}, {"key": "its-responsibilities", "type": "clause", "offset": [2013, 2033]}, {"key": "under-this-contract", "type": "clause", "offset": [2034, 2053]}, {"key": "not-limited", "type": "clause", "offset": [2069, 2080]}, {"key": "implied-warranties", "type": "clause", "offset": [2096, 2114]}, {"key": "liabilities-and-indemnification", "type": "clause", "offset": [2161, 2192]}, {"key": "contract-schedule", "type": "clause", "offset": [2202, 2219]}], "size": 3, "snippet": "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:\n(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.\n(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 \u2587\u2587 \u2587ection 3 of the GMMV Amendment, each back charged dollar will count against KUC's obligation pursuant to Subsection 3(a) and each back charged \u2587\u2587\u2587\u2587ar will be treated as a two dollar contribution for purposes of Subsection 3(b) of the amendment.\n(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", "hash": "8b3c6ccfd70f35641a3e708a21235a8e", "id": 5}, {"samples": [{"hash": "i7HvGq5Y9mF", "uri": "/contracts/i7HvGq5Y9mF#back-charges", "label": "Terms and Conditions of Sale", "score": 31.2104549408, "published": true}, {"hash": "1goyBydmdzT", "uri": "/contracts/1goyBydmdzT#back-charges", "label": "Terms and Conditions of Sale", "score": 30.83228302, "published": true}], "snippet_links": [{"key": "costs-incurred", "type": "clause", "offset": [15, 29]}, {"key": "manufacturing-defects", "type": "clause", "offset": [37, 58]}, {"key": "in-writing", "type": "definition", "offset": [76, 86]}, {"key": "prior-to", "type": "clause", "offset": [127, 135]}], "size": 2, "snippet": "Any additional costs incurred due to manufacturing defects must be approved in writing by an authorized \u2587\u2587\u2587\u2587\u2587\u2587\u2587 representative prior to commencing such work, which results in additional costs.", "hash": "c193ac05e5e8bc2e78f6f3e7bab8211d", "id": 8}, {"samples": [{"hash": "c7yh4FEmJxw", "uri": "/contracts/c7yh4FEmJxw#back-charges", "label": "Professional Services", "score": 32.446849823, "published": true}, {"hash": "jqEzV4iColQ", "uri": "/contracts/jqEzV4iColQ#back-charges", "label": "Professional Services", "score": 31.5506477356, "published": true}], "snippet_links": [{"key": "moneys-owed", "type": "definition", "offset": [78, 89]}, {"key": "for-performance", "type": "clause", "offset": [103, 118]}, {"key": "performance-by-city", "type": "clause", "offset": [125, 144]}, {"key": "third-parties", "type": "clause", "offset": [148, 161]}, {"key": "the-services", "type": "clause", "offset": [165, 177]}], "size": 2, "snippet": "CITY may impose back charges against PROFESSIONAL or deduct back charges from moneys owed PROFESSIONAL for performance or re-performance by CITY or third parties of the Services.", "hash": "845c6ce3c6ecfd9284f251063c013400", "id": 6}, {"samples": [{"hash": "8GamSjJ5Gzi", "uri": "/contracts/8GamSjJ5Gzi#back-charges", "label": "Standard Terms and Conditions of Sale", "score": 23.2614650726, "published": true}, {"hash": "kSIu5pS0QaB", "uri": "/contracts/kSIu5pS0QaB#back-charges", "label": "Standard Terms and Conditions of Sale", "score": 23.1108837128, "published": true}, {"hash": "a6xaxWNGYAM", "uri": "/contracts/a6xaxWNGYAM#back-charges", "label": "Standard Terms and Conditions of Sale", "score": 23.0917186737, "published": true}], "snippet_links": [{"key": "seller-will", "type": "clause", "offset": [4, 15]}, {"key": "charges-for", "type": "clause", "offset": [54, 65]}, {"key": "costs-incurred", "type": "clause", "offset": [121, 135]}, {"key": "by-the-purchaser", "type": "clause", "offset": [136, 152]}, {"key": "repair-of", "type": "clause", "offset": [205, 214]}, {"key": "by-the-seller", "type": "clause", "offset": [233, 246]}, {"key": "agreed-to-by-the", "type": "definition", "offset": [297, 313]}, {"key": "in-writing", "type": "definition", "offset": [321, 331]}, {"key": "in-no-event-shall", "type": "clause", "offset": [333, 350]}, {"key": "replacement-of", "type": "clause", "offset": [383, 397]}, {"key": "price-of-the", "type": "clause", "offset": [491, 503]}], "size": 3, "snippet": "The Seller will not approve or accept returns or back charges for labour, material, transportation, in and out, or other costs incurred by the Purchaser, or others, in modification, adjustment, service or repair of product furnished by the Seller unless such returns or costs have been previously agreed to by the Seller in writing. In no event shall the remedy for alleged costs or replacement of item(s) irrespective of whether such defects are discoverable or latent, exceed the Purchase Price of the particular item(s).", "hash": "d33d4091cf49022f75347874617f1335", "id": 4}], "next_curs": "ClUST2oVc35sYXdpbnNpZGVyY29udHJhY3RzcjELEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2IhViYWNrLWNoYXJnZXMjMDAwMDAwMGEMogECZW4YACAA", "clause": {"size": 55, "children": [["", ""], ["general", "GENERAL"], ["contractors-obligations", "Contractor\u2019s Obligations"]], "title": "Back Charges", "parents": [["payment-to-subcontractors", "Payment to Subcontractors"], ["payment-of-pieceworkers", "Payment of Pieceworkers"], ["project-representatives", "Project Representatives"], ["construction-managers-representative", "Construction Manager's Representative"], ["remedies", "REMEDIES"]], "id": "back-charges", "related": [["bank-charges", "Bank Charges", "Bank Charges"], ["direct-charges", "Direct Charges", "Direct Charges"], ["contract-charges", "CONTRACT CHARGES", "CONTRACT CHARGES"], ["rental-charges", "RENTAL CHARGES", "RENTAL CHARGES"], ["utility-charges", "Utility Charges", "Utility Charges"]], "related_snippets": [], "updated": "2025-07-17T06:09:22+00:00", "also_ask": ["What key protections should be included to limit exposure to unjustified back charges?", "How can the clause be negotiated to require prior notice and documentation before imposing back charges?", "What are the most common legal pitfalls that render back charge provisions unenforceable in court?", "How do back charge clauses in this contract compare to industry standards or statutory requirements?", "What evidence is typically required to successfully defend or challenge a back charge claim in litigation?"], "drafting_tip": null, "explanation": "The Back Charges clause defines the right of one party, typically the project owner or general contractor, to recover costs incurred due to another party\u2019s failure to perform contractual obligations. In practice, this clause allows the party incurring extra expenses\u2014such as correcting defective work, cleaning up a job site, or repairing damages caused by a subcontractor\u2014to deduct those costs from payments otherwise due to the responsible party. Its core function is to allocate financial responsibility for noncompliance or mistakes, ensuring that the party at fault bears the cost of remedying their errors rather than shifting the burden to others."}, "json": true, "cursor": ""}}