Common use of Restrictions on Subcontractors and Subcontract Terms Clause in Contracts

Restrictions on Subcontractors and Subcontract Terms. Contractor shall cause every Subcontractor to enter into a written Subcontract with terms and conditions that are reasonably acceptable to Owner. Contractor shall require that every Subcontractor assume all of the duties toward the Contractor that Contractor assumes toward Owner under the Contract Documents. In addition, the foregoing restrictions shall apply: (a) Contractor shall not contract with a proposed person or entity to whom the Owner or Architect/Engineer has made reasonable and timely objection. The Contractor shall not be required to contract with anyone to whom the Contractor has made reasonable objection; (b) If the Owner or Architect/Engineer has reasonable objection to a person or entity proposed by the Contractor, the Contractor shall propose another to whom the Owner or Architect/Engineer has no reasonable objection. If the proposed but rejected Subcontractor was reasonably capable of performing the Work, the Contract Sum and Contract Time shall be increased or decreased by the difference, if any, occasioned by such change, and an appropriate Change Order shall be issued before commencement of the substitute Subcontractor's Work. However, no increase in the Contract Sum or the Contract Time shall be allowed for such change unless the Contractor has acted promptly and responsively in submitting names as required; (c) Contractor shall not substitute another for a Subcontractor, person or entity previously approved if the Owner makes reasonable objection to such substitution; (d) Contractor shall not sublet the Work as a whole. The approval of Subcontractors in no way relieves the Contractor from full responsibility for performance and completion of the Work and its obligations under the Contract Documents; (e) Throughout the period of Work, the Contractor shall attempt to maintain the SMWBE goals as described in the Contractor’s Community Outreach Plan; and (f) Where appropriate, the Contractor shall require each Subcontractor to enter into similar agreements with its sub-subcontractors to ensure that they perform in accordance with the requirements of this Agreement. The Contractor shall make available to each proposed Subcontractor, prior to the execution of its Subcontract, access to the Contract Documents to which the Subcontractor will be bound, and, upon written request of the Subcontractor, identify to the Subcontractor terms and conditions of the proposed Subcontract which may be at variance with the Contract Documents. Subcontractors will similarly make copies of applicable portions of such documents available to their respective proposed sub-subcontractors.

Appears in 4 contracts

Samples: Construction Contract, Construction Contract, Construction Contract

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