Common use of Surety Bonds Clause in Contracts

Surety Bonds. 8.3.1 Unless expressly indicated otherwise in row D.5 of the Information Sheet, the Contractor shall provide surety bonds, which shall be: .1 a performance bond with a coverage limit of fifty percent (50%) of the aggregate amount of the Fixed Price and the estimated Total Price of Unit Price Work (calculated using the Estimate of Units for Completion), plus Value Added Taxes; and a labour and material payment bond with a coverage limit of fifty percent (50%) of such aggregate amount; .2 in compliance with the requirements of the Construction Act and in the form prescribed by the Construction Act; and .3 delivered to the Owner prior to the execution of the Agreement by both the Owner and the Contractor. 8.3.2 The premiums for the bonds required by the Agreement are included in the Fixed Price and Unit Prices. 8.3.3 If the Contract Price increases during the Performance of the Work, the Owner shall have the right, in its sole discretion and at any time, to require riders be provided to the existing bonds, to increase the value of the bonds to fifty percent (50%) of the total of the Contract Price plus Value Added Taxes.

Surety Bonds. ‌ 8.3.1 Unless expressly indicated otherwise in row D.5 of the Information Sheet, the Contractor shall provide surety bonds, which shall be: .1 a performance bond with a coverage limit of fifty percent (50%) of the aggregate amount of the Fixed Price and the estimated Total Price of Unit Price Work (calculated using the Estimate of Units for Completion), plus Value Added Taxes; and a labour and material payment bond with a coverage limit of fifty percent (50%) of such aggregate amount; .2 in compliance with the requirements of the Construction Act and in the form prescribed by the Construction Act; and .3 delivered to the Owner prior to the execution of the Agreement by both the Owner and the Contractor. 8.3.2 The premiums for the bonds required by the Agreement are included in the Fixed Price and Unit Prices. 8.3.3 If the Contract Price increases during the Performance of the Work, the Owner shall have the right, in its sole discretion and at any time, to require riders be provided to the existing bonds, to increase the value of the bonds to fifty percent (50%) of the total of the Contract Price plus Value Added Taxes.