CLAIMS FOR EXTRA COMPENSATION Sample Clauses
The "Claims for Extra Compensation" clause defines the process by which a contractor or service provider can request additional payment beyond the original contract amount. Typically, this clause outlines the circumstances under which extra compensation may be claimed, such as unforeseen work, changes in project scope, or delays caused by the client, and specifies the required documentation and timelines for submitting such claims. Its core function is to provide a clear and fair mechanism for addressing situations where the contractor incurs additional costs, thereby reducing disputes and ensuring both parties understand how extra payments are handled.
CLAIMS FOR EXTRA COMPENSATION. In any case where the Engineer believes extra compensation is due for work and services not clearly covered by this Agreement or supplement thereto, the Engineer shall promptly notify the Owner in writing of their intention to make claim for such extra compensation before they begin the work on which they base their claim. If such notification is not given, no claim for such extra compensation will be considered. Such notice by the Engineer shall not in any way be construed as proving the validity of the claim. The claim must be approved by the Owner. In case the claim is found to be just, it shall be allowed and paid for as extra work in accordance with the terms of a contract amendment entered into before such work is started. The costs incurred by the Engineer in preparing a claim shall be maintained in a separate account. Such account shall be clearly coded and identified and shall be subject to audit by the Owner. These costs shall become a part of the claim and serve as documentation thereto. If the claim is allowed and paid, these costs shall become and be paid as a part of the claimed payment; if disallowed, the costs of preparing the claim will also be disallowed. If the claim is allowed and paid in part, the cost of preparation will be paid on a pro-rated basis.
CLAIMS FOR EXTRA COMPENSATION. 6.3.1 If Engineer encounters work and services not included in this Contract or any supplement thereto but which in the opinion of Engineer is necessary for the successful completion of the Contract and requires extra compensation, Engineer shall, before it begins the work on which it bases its claim, promptly notify the Owner in writing of its intention to perform the work and to make claim for extra compensation. Notification by Engineer under the terms of this paragraph shall not be construed as proving the validity of the claim. No claim for extra compensation will be filed or considered unless notification is given as herein set forth. Upon notification, the Owner shall promptly review any claim for extra compensation. If a claim is accepted by the Owner it shall be paid as extra work in accordance with the terms of a supplemental agreement executed by the parties before such work is begun. The amounts claimed as extra compensation by Engineer shall be separately itemized, become a part of the claim, and serve as documentation thereto. The amounts itemized shall be in sufficient detail to enable the Owner to analyze the need for the extra work and the costs claimed for the work. Where Contractor intends to claim the costs (other than attorney’s fees) of preparing a claim for extra compensation, such costs incurred by Engineer in preparing a claim shall be maintained in a separate account, clearly coded and identified, and shall be subject to audit by the City.