Common use of Successor Relationships Clause in Contracts

Successor Relationships. An additional bond may be required of a contractor not in violation of this agreement if that contractor becomes associated with a person or persons who have previously, or who currently are, acting as a principal or managing individual of another contractor that has an unpaid monetary obligation as a result of violations of this agreement or any of its predecessor agreements. The additional bond may be required when the following conditions exist. One, the principal or managing individual becomes an owner, partner, joint venture or a managing person of the contractor not in violation of this agreement. Two, the contractor not in violation of this agreement has actively conducted a plastering business for less than three years. If these conditions are met, the Joint Conference Board, by unanimous vote of those present and voting, may require that the contractor not in violation of this agreement post an adequate bond in an amount and for a time as determined by the Board.