Common use of Bond Reduction Clause in Contracts

Bond Reduction. Upon Contractor’s written request, Contracting Officer shall redetermine the amount of Contractor’s performance bond to an amount not less than Contractor’s remaining obligations, including the value of Included Timber remaining on Contract Area, plus the estimated cost of uncompleted work required of Contractor and any unpaid xxxxxxxx due on the contract. Contracting Officer shall provide written notice of the redetermined amount to Contractor and to Contractor’s surety. Similarly, Contracting Officer shall report to Contractor in writing the amount of deposited cash or deposited securities required thereafter, if such deposits exist in lieu of a surety bond. As soon as security for the performance of this contract or the settlement of Claims incident thereto is no longer necessary, appropriate notice shall be given to surety or deposits that may have been made in lieu of surety bond shall be returned to Contractor, subject to the conditions in J.5.

Bond Reduction. Upon Contractor’s written request, Contracting Officer shall redetermine the amount of Contractor’s performance bond to an amount not less than Contractor’s remaining obligations, including the value of Included Timber remaining on Contract Area, plus the estimated cost of uncompleted work required of Contractor and any unpaid xxxxxxxx due on the contract. Contracting Officer shall provide written notice of the redetermined amount to Contractor and to Contractor’s surety. Similarly, Contracting Officer shall report to Contractor in writing the amount of deposited cash or deposited securities required thereafter, if such deposits exist in lieu of a surety bond. As soon as security for the performance of this contract or the settlement of Claims incident thereto is no longer necessary, appropriate notice shall be given to surety or deposits that may have been made in lieu of surety bond shall be returned to Contractor, subject to the conditions in J.5JT.5.