Common use of RIGHT TO WITHHOLD PAYMENT Clause in Contracts

RIGHT TO WITHHOLD PAYMENT. Notwithstanding any provision of the Contract Documents to the contrary, Owner shall have the right to withhold payment to Contractor as necessary to protect itself if, after written notice and reasonable opportunity to cure: (i) Contractor is in default of any of its Contract Documents obligations; (ii) Owner reasonably believes any part of a payment due is attributable to Project services or Work that fails to conform to the Contract Documents’ requirements, except that Owner shall make payment attributable to services or Work that does conform to the Contract Documents’ requirements; (iii) Contractor causes damage to the Work, Owner, or Owner’s Separate Contractors; (iv) Contractor fails to timely make payments due and owing to Subcontractors or Suppliers who contributed to Work for which Owner has paid Contractor and for which Contractor has given to Owner no notice of its good faith dispute concerning the unpaid Subcontractor or Supplier; (v) reasonable doubt that Contractor can complete the Work in accordance with the Contract Documents, including the Construction Schedule; (vi) Owner determines, based on a Statement of Outstanding Work or otherwise, that the Work of a Deliverable Portion of Work cannot be completed for the Contract Sum unless and until Contractor furnishes a reasonable and satisfactory statement and plan showing and certifying that the Work can be completed for the Contract Sum, or Contractor, at no cost to Owner, causes a sufficient portion of the applicable Work to be performed such that the unpaid portion of the Contract Sum is reasonably sufficient to complete the Work; (vii) reasonable evidence that the Work of a Deliverable Portion of Work will not be completed within the Contract Time, and the unpaid Contract Sum balance will not be adequate to cover Owner’s damages for the Delay; (viii) entitlement to offset for assessment of Liquidated Damages; (ix) reasonable evidence of probable third party claims, unless Contractor furnishes to Owner acceptable security.‌

RIGHT TO WITHHOLD PAYMENT. Notwithstanding any provision of the Contract Documents to the contrary, Owner shall have the right to withhold payment to Contractor as necessary to protect itself if[, after written notice and reasonable opportunity to cure]: (i) Contractor is in default of any of its Contract Documents obligations; (ii) Owner reasonably believes any part of a payment due is attributable to Project services or Work that fails to conform to the Contract Documents’ requirements, except that Owner shall make payment attributable to services or Work that does conform to the Contract Documents’ requirements; (iii) Contractor causes damage to the Work, Owner, or Owner’s Separate Contractors; (iv) Contractor fails to timely make payments due and owing to Subcontractors or Suppliers who contributed to Work for which Owner has paid Contractor and for which Contractor has given to Owner no notice of its good faith dispute concerning the unpaid Subcontractor or Supplier; (v) reasonable doubt that Contractor can complete the Work in accordance with the Contract Documents, including the Construction Schedule; (vi) Owner determines, based on a Statement of Outstanding Work or otherwise, that the Work of a Deliverable Portion of Work cannot be completed for the Contract Sum unless and until Contractor furnishes a reasonable and satisfactory statement and plan showing and certifying that the Work can be completed for the Contract Sum, or Contractor, at no cost to Owner, causes a sufficient portion of the applicable Work to be performed such that the unpaid portion of the Contract Sum is reasonably sufficient to complete the Work; (vii) reasonable evidence that the Work of a Deliverable Portion of Work will not be completed within the Contract Time, and the unpaid Contract Sum balance will not be adequate to cover Owner’s damages for the Delay; (viii) entitlement to offset for assessment of Liquidated Damages; (ix) reasonable evidence of probable third party claims, unless Contractor furnishes to Owner acceptable security.‌

RIGHT TO WITHHOLD PAYMENT. Notwithstanding any provision of the Contract Documents to the contrary, Owner shall have the right to withhold payment to Contractor as necessary to protect itself if, after written notice and reasonable opportunity to cure: (i) Contractor is in default of any of its Contract Documents obligations; (ii) Owner reasonably believes any part of a payment due is attributable to Project services or Work that fails to conform to the Contract Documents’ requirements, except that Owner shall make payment attributable to services or Work that does conform to the Contract Documents’ requirements; (iii) Contractor causes damage to the Work, Owner, or Owner’s Separate Contractors; (iv) Contractor fails to timely make payments due and owing to Subcontractors or Suppliers who contributed to Work for which Owner has paid Contractor and for which Contractor has given to Owner no notice of its good faith dispute concerning the unpaid Subcontractor or Supplier; (v) reasonable doubt that Contractor can complete the Work in accordance with the Contract Documents, including the Construction Schedule; (vi) Owner determines, based on a Statement of Outstanding Work or otherwise, that the Work of a Deliverable Portion of Work cannot be completed for the Contract Sum unless and until Contractor furnishes a reasonable and satisfactory statement and plan showing and certifying that the Work can be completed for the Contract Sum, or Contractor, at no cost to Owner, causes a sufficient portion of the applicable Work to be performed such that the unpaid portion of the Contract Sum is reasonably sufficient to complete the Work; (vii) reasonable evidence that the Work of a Deliverable Portion of Work will not be completed within the Contract Time, and the unpaid Contract Sum balance will not be adequate to to‌ cover Owner’s damages for the Delay; (viii) entitlement to offset for assessment of Liquidated Damages; (ix) reasonable evidence of probable third party claims, unless Contractor furnishes to Owner acceptable security.‌;

RIGHT TO WITHHOLD PAYMENT. Notwithstanding any provision of the Contract Documents to the contrary, Owner shall have the right to withhold payment to Contractor as necessary to protect itself if, after written notice and reasonable opportunity to cure: (i) Contractor is in default of any of its Contract Documents obligations; (ii) Owner reasonably believes any part of a payment due is attributable to Project services or Work that fails to conform to the Contract Documents’ requirements, except that Owner shall make payment attributable to services or Work that does conform to the Contract Documents’ requirements; (iii) Contractor causes damage to the Work, Owner, or Owner’s Separate Contractors; (iv) Contractor fails to timely make payments due and owing to Subcontractors or Suppliers who contributed to Work for which Owner has paid Contractor and for which Contractor has given to Owner no notice of its good faith dispute concerning the unpaid Subcontractor or Supplier; (v) reasonable doubt that Contractor can complete the Work in accordance with the Contract Documents, including the Construction Schedule; (vi) Owner determines, based on a Statement of Outstanding Work or otherwise, that the Work of a Deliverable Portion of Work cannot be completed for the Contract Sum unless and until Contractor furnishes a reasonable and satisfactory statement and plan showing and certifying that the Work can be completed for the Contract Sum, or Contractor, at no cost to Owner, causes a sufficient portion of the applicable Work to be performed such that the unpaid portion of the Contract Sum is reasonably sufficient to complete the Work; (vii) reasonable evidence that the Work of a Deliverable Portion of Work will not be completed within the Contract Time, and the unpaid Contract Sum balance will not be adequate to cover Owner’s damages for the Delay; (viii) entitlement to offset for assessment of Liquidated Damages; (ix) reasonable evidence of probable third party claims, unless Contractor furnishes to Owner acceptable security.‌;

RIGHT TO WITHHOLD PAYMENT. Notwithstanding any provision of the Contract Documents to the contrary, Owner shall have the right to withhold payment to Contractor as necessary to protect itself if[, after written notice and reasonable opportunity to cure]: (i) Contractor is in default of any of its its‌ Contract Documents obligations; (ii) Owner reasonably believes any part of a payment due is attributable to Project services or Work that fails to conform to the Contract Documents’ requirements, except that Owner shall make payment attributable to services or Work that does conform to the Contract Documents’ requirements; (iii) Contractor causes damage to the Work, Owner, or Owner’s Separate Contractors; (iv) Contractor fails to timely make payments due and owing to Subcontractors or Suppliers who contributed to Work for which Owner has paid Contractor and for which Contractor has given to Owner no notice of its good faith dispute concerning the unpaid Subcontractor or Supplier; (v) reasonable doubt that Contractor can complete the Work in accordance with the Contract Documents, including the Construction Schedule; (vi) Owner determines, based on a Statement of Outstanding Work or otherwise, that the Work of a Deliverable Portion of Work cannot be completed for the Contract Sum unless and until Contractor furnishes a reasonable and satisfactory statement and plan showing and certifying that the Work can be completed for the Contract Sum, or Contractor, at no cost to Owner, causes a sufficient portion of the applicable Work to be performed such that the unpaid portion of the Contract Sum is reasonably sufficient to complete the Work; (vii) reasonable evidence that the Work of a Deliverable Portion of Work will not be completed within the Contract Time, and the unpaid Contract Sum balance will not be adequate to cover Owner’s damages for the Delay; (viii) entitlement to offset for assessment of Liquidated Damages; (ix) reasonable evidence of probable third party claims, unless Contractor furnishes to Owner acceptable security.‌;