Common use of Amount of Termination Settlement Clause in Contracts

Amount of Termination Settlement. Contractor and Owner shall negotiate in good faith to reach agreement on the settlement amount to be paid to Contractor by reason of the termination of Work pursuant to this Article 27. Such negotiated settlement shall include an allowance for profit solely on Work which has been performed as of the termination date. With the exception of demobilization costs, termination penalties and other shut-down costs recoverable by Contractor under this Contract, such agreed amount or amounts payable for the terminated Work shall not exceed the total Contract Price after adjustment to account for the Contract Price of Work not performed. Upon determination of the settlement amount this Contract will be amended accordingly, and Contractor will be paid the agreed amount as described in this Section 27.5. Owner’s execution and delivery of any settlement agreement shall not be deemed to affect any of its rights with respect to completed Work, relieve Contractor from its obligations with respect thereto, or affect Owner’s rights under the Performance Bond, or any of its rights against Subcontractors.