Other Payment Issues. 8.5.1 Subcontractor must promptly pay each sub-subcontractor and supplier out of the amount paid to Subcontractor by Contractor on account of such sub-subcontractor’s or supplier’s portion of the Work. Alternatively, and at its sole option, Contractor may pay a sub-subcontractor or supplier by joint check or directly; in either case, such payment will be deemed to have been made directly to Subcontractor. 8.5.2 Subcontractor covenants that all funds paid to it hereunder shall be first used to discharge obligations incurred by Subcontractor in the performance of the Work and the funds shall not be used for any other purpose unless and until all such obligations have been fully discharged.
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