CONSTRUCTION COST; PAYMENT Clause Samples
The "Construction Cost; Payment" clause defines how the costs associated with a construction project are determined and the procedures for making payments to the contractor. It typically outlines what expenses are included in the construction cost, such as labor, materials, and equipment, and specifies the schedule and method for submitting invoices and receiving payments. This clause ensures that both parties have a clear understanding of financial obligations and payment timelines, thereby reducing the risk of disputes over costs and facilitating smooth project cash flow.
CONSTRUCTION COST; PAYMENT. A. Upon the execution of this Agreement, the Industry shall pay the Railroad the sum of TWO HUNDRED FIFTY THOUSAND TWO HUNDRED FIFTY-THREE DOLLARS ($250,253.00), which is the firm cost to the Industry for construction of that portion of the Track to be constructed by the Railroad, as described in Article 4.
B. The Railroad reserves the right to change construction costs and design of the Track if construction is not started by the Railroad within six (6) months of the date of this Agreement due to delays imposed by the Industry.
CONSTRUCTION COST; PAYMENT. 1. Prior to the execution of this Agreement, Industry shall pay Railroad the sum of DOLLARS ($ ), which is the firm cost to Industry for the portion of the Track to be installed by Railroad as described in SubArticle – “MATERIALS SUPPLIED AND WORK PERFORMED BY RAILROAD.” Railroad acknowledges receipt of Industry’s initial deposit of $ on , and this deposit has been applied toward the cost of Railroad’s signal design. Upon execution of this Agreement, Industry shall pay Railroad the remaining balance of $ as shown on Exhibit C.
2. Railroad reserves the right to change construction costs and design of the Track if construction is not started by Railroad within twelve (12) months of the Effective Date due to delays imposed by Industry.