Common use of Design-Builder’s Responsibility Upon Termination for Convenience Clause in Contracts

Design-Builder’s Responsibility Upon Termination for Convenience. Unless Owner directs otherwise, after receipt of a written notice of termination for either cause or convenience, Design-Builder promptly shall: (1) Stop performing Work on the date and as specified in the notice of termination; (2) Place no further orders or subcontracts for materials, equipment, services or facilities, except as may be necessary for completion of such portion of the Work as is not terminated; (3) Cancel all orders and subcontracts, upon terms acceptable to Owner, to the extent that they relate to the performance of Work terminated; (4) Assign to Owner all of the right, title, and interest of Design-Builder in all orders and subcontracts; (5) Take such action as may be necessary or as directed by Owner to preserve and protect the Work, Site, and any other property related to this Project in the possession or control of Design-Builder (or Design-Builder’s agents) in which Owner has an interest; and (6) Continue performance only to the extent not terminated.