Examples of Deficiency Holdback in a sentence
SC29 GC 5.5 PAYMENT OF HOLDBACK UPON SUBSTANTIAL PERFORMANCE OF THE WORK SC29.1 Amend paragraph 5.5.2 by adding the following sentence to the end of that paragraph: Paragraph 5.3.4, a Deficiency Holdback may also be retained by the Owner to secure the correction of deficiencies and/or warranty claims.
No part of the Deficiency Holdback shall become payable until all of the defective work is corrected and all of the work is complete.
If the defective or incomplete work is not corrected or completed within a reasonable time as determined by the Owner, then all or a portion of the Deficiency Holdback as determined by the Owner may be retained by the Owner to be applied against the loss and damage suffered by the Owner to correct or complete the work.
Upon rectification and completion of the deficiencies in accordance with the Contract Documents and as approved by the Municipality and/or Contract Administrator, the Deficiency Holdback (less any monies owed to the Municipality by the Contractor) will be released to the Contractor.
The Owner shall establish theamount of the Deficiency Holdback as twice the estimated cost to rectify defective work and finish incomplete work using the services of another contractor or the Owner’s own forces.
All monies payable to the Municipality by the Contractor, including but not limited to the costs and expenses incurred to rectify the deficiencies that the Contractor fails to rectify and complete to the Municipality’s satisfaction may be retained out of the Deficiency Holdback.
After the manuals are reviewed and returned to the Contractor, 2 complete revised sets of the manuals are to be prepared and submitted to the Consultant prior to release of Deficiency Holdback monies and as a condition thereof.
The Owner shall establish the amount of the Deficiency Holdback as twice the estimated cost to rectify defective work and finish incomplete work using the services of another contractor or the Owner’s own forces.
Release of the Deficiency Holdback shall occur once the associated deficiency work has been deemed completed by the Engineer and/or the respective governing municipality/utility.
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