Common use of Rental Equipment Clause in Contracts

Rental Equipment. 7.12.1 Rental equipment (rental charges for machinery, equipment, and hand tools not customarily owned by construction workers that are provided by the CM@Risk at the site, whether rented from the CM@Risk or others, and costs of transportation, installation, minor repairs and replacements, dismantling and removal thereof). Rates, quantities of equipment rented, and duration of use shall be subject to the Owner’s prior approval. 7.12.2 The projected usage for each piece of equipment to be rented for use on the project and the estimated total rentals shall be considered by the CM@Risk before the piece of equipment is rented so that an appropriate rent versus buy decision can be made. Purchased equipment shall be considered “job owned”. At the completion of the project, the CM@Risk shall transfer title and possession of all remaining job-owned equipment to the Owner, or CM@Risk may keep any such equipment for an appropriate fair market value credit to job cost, which will be mutually agreed to by Owner and CM@Risk. 7.12.3 Each piece of equipment to be rented shall have hourly, daily, weekly and monthly rates, and the most economical rate available shall be reimbursed based on the circumstances of actual need and usage of the piece of equipment while it is stationed at the jobsite. When the piece of equipment is no longer needed for the work, no rental charges will be reimbursed if the piece of equipment remains at the jobsite for the convenience of the CM@Risk. 7.12.4 The reimbursable equipment rental rates shall not exceed xxxx percent (xx%) of the published rates in a mutually agreed publication. If the publication does not contain information related to the type of equipment rented, the CM@Risk will be allowed to use a maximum equipment rental rate equal to xxxx percent (xx%) of the current competitive rental rates from local third party equipment rental companies. Owner may agree to rely solely on current competitive rental rates from local third party equipment rental companies. 7.12.5 The aggregate rentals chargeable for each piece of CM@Risk-owned tools or equipment shall not exceed fifty percent (50%) of the fair market value of such equipment at the time of its commitment to the Work without prior written notification to the Owner including the original purchase price, date of purchase of the equipment, and copy of the purchase invoice for the piece of equipment. Such aggregate limitations will apply even if a piece of equipment is taken off the job and is later replaced by a similar piece of equipment. For purposes of computing the aggregate rentals applicable to aggregate rental limitations, rental charges for similar pieces of equipment will be combined if the pieces of equipment were not used at the same time. When the aggregate rental charge for each piece of CM@Risk-owned tools or equipment matches the fair market value of said equipment, said equipment may become “job owned” but only if the new value of such equipment exceeds $5,000. 7.12.6 Fair market value for used material and equipment as referred to in this Agreement shall mean the estimated price a reasonable purchaser would pay to purchase the used material or equipment at the time it was initially needed for the job. Note: this is usually lower than the price a reasonable purchaser would pay for similar new construction material or construction equipment. 7.12.7 Rental charges for equipment, except for equipment owned by CM@Risk or any of its affiliates, subsidiaries, or other related parties, and which is rented from third parties for use in proper completion of the Work shall be considered reimbursable, and will be reimbursed at actual costs, as long as rental rates are consistent with those prevailing in the locality. For any lease/purchase arrangement where any of the lease/purchase rental charges were charged to Owner as reimbursable job costs, appropriate credit adjustments to job cost will be made for an appropriate pro rata share of the fair market value of the equipment at the time it was last used on the job. 7.12.8 The CM@Risk shall be required to maintain a detailed equipment inventory of all job- owned equipment (either purchased and charged to job cost or job-owned through aggregate rentals) and such inventory shall be submitted either electronically or hard copy (at Owner’s election) to Owner each month. For each piece of equipment, such inventory should contain at a minimum (1) original purchase price or acquisition cost (2) acquisition date (3) approved fair market value at the time the piece of equipment was first used on the job and (4) final disposition.

Rental Equipment. 7.12.1 Rental equipment Equipment (rental Rental charges for machinery, equipment, and hand tools not customarily owned by construction workers that are provided by the CM@Risk at the site, whether rented from the CM@Risk or others, and costs of transportation, installation, minor repairs and replacements, dismantling and removal thereof). Rates, quantities of equipment rented, and duration of use shall be subject to the Owner’s prior approval. 7.12.2 The projected usage for each piece of equipment to be rented for use on the project and the estimated total rentals shall be considered by the CM@Risk before the piece of equipment is rented so that an appropriate rent versus buy decision can be made. Purchased equipment shall be considered “job owned”. At the completion of the project, the CM@Risk shall transfer title and possession of all remaining job-owned equipment to the Owner, or CM@Risk may keep any such equipment for an appropriate fair market value credit to job cost, which will be mutually agreed to by Owner and CM@Risk. 7.12.3 Each piece of equipment to be rented shall have hourly, daily, weekly and monthly rates, and the most economical rate available shall be reimbursed based on the circumstances of actual need and usage of the piece of equipment while it is stationed at the jobsite. When the piece of equipment is no longer needed for the work, no rental charges will be reimbursed if the piece of equipment remains at the jobsite for the convenience of the CM@Risk. 7.12.4 The reimbursable equipment rental rates shall not exceed xxxx percent (xx%) of the published rates in a mutually agreed publication. If the publication does not contain information related to the type of equipment rented, the CM@Risk will be allowed to use a maximum equipment rental rate equal to xxxx percent (xx%) of the current competitive rental rates from local third party equipment rental companies. Owner may agree to rely solely on current competitive rental rates from local third party equipment rental companies. 7.12.5 The aggregate rentals chargeable for each piece of CM@Risk-owned tools or equipment shall not exceed fifty percent (50%) of the fair market value of such equipment at the time of its commitment to the Work without prior written notification to the Owner including the original purchase price, date of purchase of the equipment, and copy of the purchase invoice for the piece of equipment. Such aggregate limitations will apply even if a piece of equipment is taken off the job and is later replaced by a similar piece of equipment. For purposes of computing the aggregate rentals applicable to aggregate rental limitations, rental charges for similar pieces of equipment will be combined if the pieces of equipment were not used at the same time. When the aggregate rental charge for each piece of CM@Risk-owned tools or equipment matches the fair market value of said equipment, said equipment may shall become “job owned” but only if following the new value of such equipment exceeds $5,000limitations as identified herein. 7.12.6 Fair market value for used material and equipment as referred to in this Agreement shall mean the estimated price a reasonable purchaser would pay to purchase the used material or equipment at the time it was initially needed for the job. Note: this is usually lower than the price a reasonable purchaser would pay for similar new construction material or construction equipment. 7.12.7 Rental charges for equipment, except for equipment which is not owned by CM@Risk or any of its affiliates, subsidiaries, or other related parties, parties and which is rented from third parties for use in proper completion of the Work shall be considered reimbursable, and will be reimbursed at actual costs, as long as rental rates are consistent with those prevailing in the locality. For any lease/purchase arrangement where any of the lease/purchase rental charges were charged to Owner as reimbursable job costs, appropriate credit adjustments to job cost will be made for an appropriate pro rata share of the fair market value of the equipment at the time it was last used on the job. 7.12.8 The CM@Risk shall be required to maintain a detailed equipment inventory of all job- owned equipment (either purchased and charged to job cost or job-owned through aggregate rentals) and such inventory shall be submitted either electronically or hard copy (at Owner’s election) to Owner each month. For each piece of equipment, such inventory should contain at a minimum (1) original purchase price or acquisition cost (2) acquisition date (3) approved fair market value at the time the piece of equipment was first used on the job and (4) final disposition.