Surety Default Sample Clauses

Surety Default. If Surety defaults on its obligations under the Bond, District will be entitled to recover all costs it incurs due to Surety’s default, including legal, design professional, or delay costs.

Surety Default. 14.4.1 If upon receipt of a notice of termination for cause, the surety fails to perform its obligations under the Performance Bond with reasonable promptness, the City shall declare the surety in default under the Performance Bond in accordance with the provi- sions of this paragraph. 14.4.1.1 No default of the surety under the Performance Bond shall be declared however, until the expiration of seven (7) days after receipt by the surety of a written notice from the Official demanding that the surety perform its obligations under the Performance Bond. 14.4.1.2 If the City declares the surety in default, the City shall have full power and authority to exclude the surety and Contractor from the site, assume any Sub-agreements which the City so selects and take possession of the Work and of all the surety's and Contractor's tools, appliances, plant and office, and construction equipment at the site and (a) use the same to the full extent they could be used by the surety and Contractor (without liability to the surety or Contractor for trespass, rent or conversion), (b) incorporate into the Work all materials and equipment stored at the site or for which the City has paid the Contractor but which are stored elsewhere, and (c) prosecute the Work to completion by contract or as the City otherwise may deem expedient. 14.4.2 If the City has terminated the Contractor or defaulted the surety, any such termination or default will not affect any rights or remedies of the City against the Contractor or surety, or both, then existing or which may accrue after termination. Any retention or payment of monies due the Contractor or surety by the City will not release the Contractor or surety from any liability. All provisions of the Contract Documents that by their nature survive final acceptance of the Work shall remain in full force and effect after a termination for cause of the Contractor or default of the surety, or both, as applicable. 14.4.3 The City may, in its sole discretion, permit the Contractor or surety to continue to perform Work when the Contractor or surety has been terminated or declared in default for any reason. Such decision by the City shall in no way operate as a waiver of any of the City's rights under the Contract Documents or the Performance Bond, nor in the event of a subsequent default, entitle the Contractor or surety to continue to perform or prosecute the Work to completion.

Surety Default. 14.3.1. If upon receipt of a notice of termination for cause, the surety fails to proceed immediately and as provided in paragraph 14.2.2, the Owner shall declare the surety in default under Section 00610 Performance Bond in accordance with the terms and conditions of this paragraph. 14.3.1.1. No default of the surety under the Section 00610 Performance Bond shall be declared, however, until the expiration of fifteen (15) Calendar Days after receipt by the surety of an additional written notice from the Owner demanding that the surety perform its obligations under Section 00610 Performance Bond. 14.3.2. If the Owner declares the surety in default, the Owner shall have full power and authority to exclude the surety and Contractor from the site, assume any Subagreements that the Owner so selects and take possession of the Work and of all the surety's and Contractor's tools, plant and office, and construction equipment at the site (without liability to the surety or Contractor for trespass, rent or conversion). The Owner will (a) proceed to the full extent that the surety and Contractor could have proceeded, (b) incorporate into the Work all materials and equipment stored at the site or elsewhere, and (c) prosecute the Work to completion as the Owner may deem expedient. When the Owner exercises any of the rights or remedies provided in this paragraph, the Owner shall not be required to obtain the lowest price for Work performed. 14.3.3. If the Owner has defaulted the surety, any such termination or default will not affect any rights or remedies of the Owner against the Contractor or surety, or both, then existing or that may accrue after termination. Any retention or payment of monies due the Contractor or surety by the Owner will not release the Contractor or surety from liability. All provisions of the Contract Documents that, by their nature, survive final acceptance of the Work shall remain in full force and effect after a termination for cause of the Contractor or default of the surety, or both.

Surety Default. Failure of the Surety to perform or otherwise comply with the terms of this Bond.