Common use of Unknown and/or Unforeseen Conditions Clause in Contracts

Unknown and/or Unforeseen Conditions. If there is an Allowance, then Developer must submit a Request for Allowance Expenditure Directive, including supporting documentation as described below, to receive authorization for the release of funds from the Allowance. Allowance Expenditure Directives shall be based on Developer’s costs, without overhead and profit, for products, delivery, installation, labor, insurance, payroll, taxes, bonding and equipment rental will be included in Allowance Expenditure Directive authorizing expenditure of funds from this Allowance. No overhead and profit shall be added to the Allowance Expenditure Directive. If cost of the unforeseen condition(s) exceed the Allowance, and Developer submits a PCO for amounts in excess of the Allowance requesting an increase in Guaranteed Maximum Price and/or Contract Time that is based at least partially on Developer’s assertion that Developer has encountered unknown and/or unforeseen condition(s) on the Project, then Developer shall base the PCO on provable information that, beyond a reasonable doubt and to the District’s satisfaction, demonstrates that the unknown and/or unforeseen condition(s) were actually unknown and/or unforeseen. If not, the District shall deny the PCO as unsubstantiated, and Developer shall complete the Project without any increase in Guaranteed Maximum Price and/or Contract Time based on that PCO.