Common use of Disposition of Work and Inventory Clause in Contracts

Disposition of Work and Inventory. The Contractor shall transfer title and deliver to the Owner, such items which, if the Contract had been completed, would have been furnished to the Owner including: 1. Completed and partially completed Work; and 2. Materials or Equipment produced or in process or acquired in connection with the performance of the Work terminated by the notice. Other than the above, any termination inventory resulting from the Contract termination may, with written approval of the Engineer, be sold or acquired by the Contractor under the conditions prescribed by and at prices approved by the Engineer. The proceeds of any such disposition shall be applied to reduce any payments to the Contractor under this Contract, or shall otherwise be credited to the cost of Work covered by this Contract, or paid in a manner as directed by the Engineer. Until final disposition, the Contractor shall protect and preserve all the Material and Equipment related to this Contract which is in his possession and in which the Owner has or may have an interest.