Common use of Applications for Payments Clause in Contracts

Applications for Payments. 1. At least 20 days before the date established in the Agreement for each progress payment (but not more often than once a month), Contractor shall submit to Project Administrator, and to Design Professional, unless directed otherwise, for review an Application for Payment filled out and signed by Contractor covering the Work completed as of the date of the Application and accompanied by such supporting documentation as is required by the Contract Documents. 2. If payment is requested on the basis of materials and equipment not incorporated in the Work but delivered and suitably stored (i.e. stored materials) at the Site, the Application for Payment shall also be accompanied by a xxxx of sale, invoice, or other documentation warranting that Owner has received the materials and equipment free and clear of all Liens and evidence that the materials and equipment are covered by appropriate property insurance or other arrangements to protect Owner’s interest therein, all of which must be satisfactory to Owner. If payment is requested for materials stored at a location other than the Site, in addition to the above requirements the Application for Payment shall also be accompanied by: a) Right of Entry from the property owner, for the alternate location, that allows the Owner to enter the property to review and/or retrieve, if necessary, materials; and b) Contractor will be responsible for cost of time and travel expenses of the Project Administrator, Design Professional, or testing agency to review the stored materials. The Owner shall not be required to approve any alternate location for storage of materials if all the above requirements are not met or the Owner has other reasonable objections to the alternate storage locations. 3. Beginning with the second Application for Payment, each Application shall include an affidavit of Contractor stating that all previous progress payments received on account of the Work have been applied on account to discharge Contractor’s legitimate obligations associated with prior Applications for Payment. 4. The amount of retainage with respect to progress payments will be as stipulated in the Agreement.