Common use of Subcontractor Bonds Clause in Contracts

Subcontractor Bonds. FOR DCAMM USE ONLY A. If the CM provided in its Guaranteed Maximum Price or other Proposal that any or all subcontractors shall provide the CM with payment and performance bonds for the full amount of their respective Subcontracts, then the costs for said bonds shall be the responsibility of the CM. Irrespective of whether the CM requests payment and performance bonds from their respective Subcontractors, the CM understands that if the Subcontractor defaults or is terminated, the CM shall have full responsibility for all costs and expenses related to said default or termination. B. If the CM, provided in its General Bid, that Subcontractors shall provide bonds, and subsequently waives the requirement, the CM shall give DCAMM a written certification that the CM understands that if the Subcontractor defaults or is terminated, the CM shall have full responsibility for all costs and expenses related to said default or termination.