Common use of Subcontractor Claims Clause in Contracts

Subcontractor Claims. 1. The Design-Builder must pay all lawful claims made against it by its Subcontractors and all lawful claims made against Design-Builder by other third persons arising out of, in connection with, or because of its performance of this Contract. The Design-Builder further will cause all of its Subcontractors to pay all lawful claims made against them. In the even such lawful claims are not satisfied, the Commission is hereby empowered to disburse such sums for and on account of the Design-Builder directly to the respective parties to which such sums are due and owed.