Lien-Free Obligation. If any subcontractor, supplier, or subconsultant records or files, or maintains any action regarding a construction lien, stop payment notice, or lis pendens relating to the Work or the property where the Project is situated, the General Contractor or Prime Consultant, as applicable, will immediately vacate, discharge, extinguish, or expunge the construction lien, stop payment notice, or lis pendens, provided the Owner has paid the General Contractor or Prime Consultant for the Work and the General Contractor or Prime Consultant failed to pay their respective subconsultants, subcontractors or suppliers. If Prime Consultant or General Contractor fails to make timely payments to their respective subconsultants, subcontractors, and suppliers as required, the Owner may reasonably settle or bond over those claims, or take other actions necessary to prevent a default under any other agreement affecting the Owner’s property or the Project, and General Contractor or Prime Consultant, as applicable, will upon written demand reimburse Owner for any substantiated amounts that were necessary to satisfy Prime Consultant’s or General Contractor’s obligation to satisfy or discharge any claim for lien or stop payment notice. The Prime Consultant and General Contractor will each indemnify and hold the Owner harmless from any claims filed by their respective subconsultants, subcontractors, or suppliers for enforcement of construction liens or stop payment notices, provided the Owner has made payment to the Prime Consultant and General Contractor for the Work that is subject to the claim. Nothing contained in this Section will be construed to require the General Contractor or Prime Consultant to vacate, discharge, extinguish, or expunge any valid construction lien, stop notice, lis pendens, or other claim arising from the Owner’s non- payment or a valid dispute between the Parties or a dispute approved by PMT with a third party.
Lien-Free Obligation. If any subcontractor, supplier or consultant record or file, or maintain any action on or respecting a claim of mechanics’ lien, stop notice or lis pendens, relating to the Work, the Contractor and/or Architect will immediately procure, furnish and record appropriate statutory release bonds, which will extinguish or expunge the mechanics lien, stop notice or lis pendens, provided that the Owner has paid the Contractor and/or Architect for the Work and Contractor and/or Architect failed to pay its respective consultants, subcontractors or suppliers. If Architect or Contractor fail to make payments to its respective consultants, subcontractors and suppliers as required by the payment provisions of this Agreement, the Owner may settle or bond over those claims or take such other actions necessary to prevent a default under any other agreement affecting the Project, and Contractor and Architect will upon written demand reimburse Owner for any substantiated amounts that were necessary to satisfy Architect’s and/or Contractor’s obligation to satisfy, discharge or defend against any such claim of lien or stop notice. The Architect and/or Contractor will indemnify and hold the Owner harmless from any claims filed by their respective consultants, subcontractors or suppliers for foreclosure on mechanics liens or stop notices provided the Owner has made payment to the Architect and Contractor for such services and/or work. Nothing contained in this Section will be construed to require the Contractor or Architect to provide release bonds for any valid mechanics lien, stop notice, lis pendens or other claim due to non-payment by Owner or a valid dispute between the Parties.
Lien-Free Obligation. If any subcontractor, supplier, or consultant records or files, or maintains any action regarding a construction lien, or lis pendens relating to the Work or the property where the Project is situated, the Contractor or Architect, as applicable, will immediately have the construction lien, or lis pendens vacated and any action against the Owner dismissed, provided the Owner has paid the Contractor or Architect for the Work and the Contractor or Architect failed to pay their respective consultants, subcontractors, or suppliers. If Architect or Contractor fails to make timely payments to their respective consultants, subcontractors, and suppliers as required, the Owner may settle or vacate any claims, or take other actions necessary to prevent a default under any other agreement affecting the Owner’s property or the Project, and Contractor or Architect, as applicable, will upon written demand reimburse Owner for any substantiated amounts that were necessary to satisfy Architect’s or Contractor’s obligation to satisfy, discharge, or defend against any claim of lien, including but not limited to all legal fees and applicable interest. The Architect and Contractor will each indemnify and hold the Owner harmless from any claims filed by their respective consultants, subcontractors, or suppliers for enforcement of construction liens, provided the Owner has made payment to the Architect and Contractor for the Work that is subject to the claim. Nothing contained in this Section will be construed to require the Contractor or Architect to file bonds for any valid construction lien, lis pendens, or other claim due to the Owner’s non-payment or a valid dispute between the Parties.
