Common use of OWNER'S RIGHT TO TERMINATE CONTRACT Clause in Contracts

OWNER'S RIGHT TO TERMINATE CONTRACT. .1 If the Contractor should be adjudged as bankrupt, or if he/she should make a general assignment for the benefit of his/her creditors, or if a receiver should be appointed on account of his/her insolvency or if he/she should, except in cases recited in Paragraph 33 of Section One – General Conditions of the Contract, refuse or fail to supply enough properly skilled workmen or proper materials after having received seven (7) days' notice in writing from the Project Manager to supply additional workmen or materials, or if he/she should fail to make prompt payment to subcontractors for material or labour, or persistently disregard laws, ordinances or the instructions of the Project Manager, or otherwise be guilty of a substantial violation of the provisions of the contract then the Metropolitan Regional Housing Authority may, without prejudice to any other right or remedy, by giving the Contractor written notice, terminate the employment of the Contractor and take possession of the premises and of all materials, tools and appliances thereon and finish the work by whatever method which may be deemed expedient, but without undue delay or expense. In such case the Contractor shall not be entitled to receive any further payment until the Work is finished. If the unpaid balance of the contract price shall exceed the expense of finishing the Work such excess shall be paid to the Contractor. If such expense shall exceed such unpaid balance the Contractor shall pay the difference to the Metropolitan Regional Housing Authority.