Milestone Overpayment Clause Samples

Milestone Overpayment. If, at any time during the Design/Preconstruction Phase or Construction Phase, the amount of the distributed Milestone ICL payments exceed the ICL, as adjusted, then Prime Consultant and General Contractor will reimburse the Owner their proportional share of any overpayment of ICL, including amounts of overpaid ICL that are paid to their subcontractors, Vendors, and subconsultants. Reimbursement will be made within 10 Business Days of receiving written demand from Owner. Also, if at any time after 50% completion of the Construction Phase the Owner reasonably determines that the aggregate Chargeable Costs are likely to exceed the Target Cost, the Owner may proportionally offset the applicable amounts of prior Milestone ICL payments against succeeding payments of Chargeable Costs to General Contractor and Prime Consultant respectively. Any such offset will be reversed after Project Final Completion if the actual Chargeable Costs do not exceed the Target Cost.