Material Price Escalation Clause Sample Clauses

Material Price Escalation Clause. In recent years, building materials have been subject to unforeseeable, drastic market-wide price increases, including but not limited to, lumber, steel, drywall, siding, appliances, roofing materials, piping, iron and copper-based materials, and many more types of materials. The Contract Price is based upon the assumption and agreement between the Parties that there will be no significant market-wide price increases, through no fault of the Contractor, after the Agreement is executed for any particular material used on the House (“Market-Wide Material Cost Increase”). A Market-Wide Material Cost Increase only occurs when (a) the price of a material increases by ten percent (10%) or more between the date of execution of the Agreement and date of the ordering or purchase of the material at issue by Contractor and (b) Contractor, after reasonable efforts, is unable to locate an appropriate substitute brand or type of such material of the same or greater quality for a lesser price. In the event there is a Market-Wide Material Cost Increase, the Contract Price shall be increased in the amount of eighty percent (80%) of the increase in cost–that is, 80% of the differential between the price for the particular material on the date of execution of the Agreement versus the increased price of the material to be paid by Contractor as of the date of the ordering or purchase by Contractor on the Project. Contractor shall absorb the other twenty percent (20%) of the increase in cost. In the event of a Market- Wide Material Cost Increase, Contractor will notify Buyer in writing of the aforementioned increase in the Contract Price, for which Buyer is solely responsible; such notification can come at any point of time and may come as part of Contractor’s calculation of the final Contract Price of the House in advance of the closing. Contractor, in its discretion, may choose, but is not required, to document such increase in Contract Price via a Change Order and/or may require Buyer to pay all or part of the increased amount upfront.
Sample 1
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Related to Material Price Escalation Clause

  • Escalation/De-escalation Clause In the event that prevailing market conditions warrant an adjustment in bid prices contained in the contract, the following escalation/de- escalation clause shall be the only clause applicable or acceptable:

  • PRICE ESCALATION/DE-ESCALATION (CPI) The County may allow a price escalation provision within this award. The original contract prices shall be firm for an initial one (1) year period. A price escalation/de-escalation will be considered at one (1) year intervals thereafter, provided the Contractor notifies the County, in writing, of the pending price escalation/de-escalation a minimum of sixty (60) days prior to the effective date. Price adjustments shall be based on the latest version of the Consumers Price Index (CPI-U) for All Urban Consumers, All Items, U.S. City Average, non-seasonal, as published by the U.S. Department of Labor, Bureau of Labor Statistics. This information is available at xxx.xxx.xxx. Price adjustment shall be calculated by applying the simple percentage model to the CPI data. This method is defined as subtracting the base period index value (at the time of initial award) from the index value at time of calculation (latest version of the CPI published as of the date of request for price adjustment), divided by the base period index value to identify percentage of change, then multiplying the percentage of change by 100 to identify the percentage change. Formula is as follows: Current Index – Base Index / Base Index = % of Change % of Change x 100 = Percentage Change CPI-U Calculation Example: CPI for current period 232.945 Less CPI for base period 229.815 Equals index point change 3.130 Divided by base period CPI 229.815 Equals 0.0136 Result multiplied by 100 0.0136 x 100 Equals percent change 1.4% A price increase may be requested only at each time interval specified above, using the methodology outlined in this section. To request a price increase, Contractor shall submit a letter stating the percentage amount of the requested increase and adjusted price to the Orange County Procurement Division. The letter shall include the complete calculation utilizing the formula above, and a copy of the CPI-U index table used in the calculation. The maximum allowable increase shall not exceed 4%, unless authorized by the Manager, Procurement Division. All price adjustments must be accepted by the Manager, Procurement Division and shall be memorialized by written amendment to this contract. No retroactive contract price adjustments will be allowed. Should the CPI-U for All Urban Consumers, All Items, U.S City Average, as published by the U.S. Department of Labor, Bureau of Labor Statistics decrease during the term of the contract, or any renewals, the Contractor shall notify the Orange County Procurement Division of price decreases in the method outlined above. If approved, the price adjustment shall become effective on the contract renewal date. If the Contractor fails to pass the decrease on to the County, the County reserves the right to place the Contractor in default, cancel the award, and remove the Contractor from the County Vendor List for a period of time deemed suitable by the County. In the event of this occurrence, the County further reserves the right to utilize any options as stated herein.

  • TERMINATION CLAUSE In the event Contractor fails to carry out or comply with any of the terms and conditions of this Agreement, Hastings reserves the right to demand correction of any breach or default within ten (10) calendar days of notice to Contractor. In the event Contractor fails to correct the failure or default within the specified ten (10) day period, Hastings may terminate the Agreement without additional notice. Failure to terminate this Agreement is not to be deemed a waiver of the breach or default. Upon termination, Hastings shall compensate Contractor for Work rendered within thirty (30) days of termination of this Agreement.

  • Task Order Clauses) All costs associated with the preparation, presentation, and discussion of the Contractor’s proposal in response to a task order solicitation will be at the Contractor’s sole and exclusive expense and each task order will be funded by the ordering agency at the task order level.

  • CONTRACT CLAUSES  A SOLICITATION/CONTRACT FORM 1  I CONTRACT CLAUSES 58  B SUPPLIES OR SERVICES AND PRICES/COSTS 2 PART III - LIST OF DOCUMENTS, EXHIBITS & ATTACHMENTS  C DESCRIPTION/SPECS./WORK STATEMENT 25  J LIST OF ATTACHMENTS 74  D PACKAGING AND MARKING 26 PART IV - REPRESENTATIONS AND INSTRUCTIONS  E INSPECTION AND ACCEPTANCE 27 K REPRESENTATIONS, CERTIFICATIONS OTHER STATEMENTS OF OFFERORS  F DELIVERIES OR PERFORMANCE 29  G CONTRACT ADMINISTRATION DATA 32 L INSTRS., CONDS., AND NOTICES TO  H SPECIAL CONTRACT REQUIREMENTS 34 M EVALUATION FACTORS FOR AWARD CONTRACTING OFFICER WILL COMPLETE ITEM 17 OR 18 AS APPLICABLE

  • Integration Clause Except for documents and instruments specifically referenced herein, this Agreement constitutes the entire agreement between Bank and Borrower regarding the Loan and all prior communications verbal or written between Borrower and Bank shall be of no further effect or evidentiary value.

  • Escalation Cap In a single year of the Contract, the maximum price increase for each individual item on contract shall not exceed the lesser of two (2%) percent of the Contractor’s current NYS pricing as found in the OGS Centralized Contract or the percent increase in the latest available National Consumer Price Index - All Urban Consumers (CPI-U), Not Seasonally Adjusted, U.S. City Average, All Items (Series Id: CUUR0000SA0, CUUS0000SA0); as published by the U.S. Department of Labor, Bureau of Xxxxx Xxxxxxxxxx, Xxxxxxxxxx, X.X. 00000. CPI-U data may be obtained at xxx.xxx.xxx.

  • CONTRACT PRICE/PRICE LIMITATION/ PAYMENT 5.1 The contract price, method of payment, and terms of payment are identified and more particularly described in EXHIBIT C which is incorporated herein by reference.

  • C1 Contract Price C1.1 In consideration of the Contractor’s performance of its obligations under the Contract, the Authority shall pay the Contract Price in accordance with clause C2 (Payment and VAT).

  • Review Clause Taking account of the volume of trade in agricultural and fishery products between the Parties, of their particular sensitivities, of the rules of the Community common policies and of the policies for agriculture and fisheries in Serbia of the role of agriculture and fisheries in the economy of Serbia, of the consequences of the multilateral trade negotiations in the framework of the WTO as well as of the eventual accession of Serbia to the WTO, the Community and Serbia shall examine in the Stabilisation and Association Council, no later than three years after the entry into force of this Agreement, product by product and on an orderly and appropriate reciprocal basis, the opportunities for granting each other further concessions with a view to implementing greater liberalisation of the trade in agricultural and fishery products.

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