Common use of Termination of the Contract for Convenience Clause in Contracts

Termination of the Contract for Convenience. (a) Owner may at any time and for any reason terminate Contractor’s services and Work at Owner's convenience. Upon receipt of such notice, Contractor shall, unless the notice directs otherwise, immediately discontinue the Work and placing of orders for materials, facilities and supplies in connection with the performance of this Contract. (b) Upon such termination, Contractor shall be entitled to payment only as follows: (1) the actual cost of the Work completed in conformity with this Contract; plus, (2) such other costs actually incurred by Contractor prior to notice of termination as permitted by this Contract; (3) plus ten percent (10%) of the cost of the Work referred to in subparagraph (1) above for overhead and profit. There shall be deducted from such sums as provided in this subparagraph the amount of any payments made to Contractor prior to the date of the termination of this Contract. Contractor shall not be entitled to any claim or claim of lien against Owner’s property for any additional compensation or damages in the event of such termination and payment.