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If any part of the Contractor's work depends for proper execution or results upon the work of any other contractor, the Contractor shall inspect and promptly report to the Architect any defects in such work that render it unsuitable for such proper execution and results. His failure so to inspect and report shall constitute an acceptance of the other contractor's work as fit and proper for the reception of his work, except as to defects which may develop in the other contractor's work after the execution of his work.

To insure the proper execution of his subsequent work the Contractor shall measure work already in place and shall at once report to the Architect any discrepancy between the executed work and the drawings.

Art. 42. Assignment. · Neither party to the Contract shall assign the Contract without the written consent of the other, nor shall the Contractor assign any moneys due or to become due to him hereunder, without the previous written consent of the Owner.

Art. 43. Subcontracts.

The Contractor shall notify the Architect in writing of the names of subcontractors proposed for the principal parts of the work and for such others as the Architect may direct and shall not employ any that the Architect may within a reasonable time object to as incompetent or unfit.

The Contractor may in his discretion or shall, if so required, submit with his proposal, a list of subcontractors. If the change of any name on such list is required or permitted after signature of agreement, the contract price shall be increased or diminished by the difference between the two bids.

The Architect shall, on request, furnish to any subcontractor, wherever practicable, evidence of the amounts certified to on his account.

The Contractor agrees to be fully responsible to the Owner for the acts or omissions of his subcontractors and of any one employed either directly or indirectly by him or them, and this contractual obligation shall be in addition to the liability imposed by law upon the Contractor for bodily injuries or death through negligence in the cases covered by Article 19 hereof.

Nothing contained in the Contract Documents shall create any contractual relation between any subcontractor and the Owner.

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Art. 44. Relations of Contractor and Subcontractor. The Contractor agrees to bind every subcontractor and every subcontractor agrees to be bound, by the terms of the General Conditions, Drawings and Specifications, as far as applicable to his work, including the following provisions of this Article, unless specifically noted to the contrary in a subcontract approved in writing as adequate by the Owner or Architect.

The Subcontractor agrees

(a) To be bound to the Contractor by the terms of the General Conditions, Drawings and Specifications and to assume toward him all the obligations and responsibilities that he, by those documents, assumes toward the Owner.

(b) To submit to the Contractor applications for payment in such reasonable time as to enable the Contractor to apply for payment under Article 26 of the General Conditions.

(c) To make all claims for extras, for extensions of time and for damages for delays or otherwise, to the Contractor in the manner provided in the General Conditions for like claims by the Contractor upon the Owner, except that the time for making claims for extra cost as under Article 25 of the General Conditions is one week.

The Contractor agrees

(d) To be bound to the Subcontractor by all obligations that the Owner assumes to the Contractor under the General Conditions, Drawings and Specifications and by all the provisions thereof affording remedies and redress to the Contractor from the Owner.

(e) To pay the Subcontractor, upon the issuance of certificates, if issued under the schedule of values described in Article 26 of the General Conditions, the amount allowed to the Contractor on account of the Subcontractor's work to the extent of the Subcontractor's interest therein.

(f) To pay the Subcontractor, upon the issuance of certificates, if issued otherwise than as in (e), so that at all times his total payments shall be as large in proportion to the value of the work done by him as the total amount certified to the Contractor is to the value of the work done by him.

(g) To pay the Subcontractor to such extent as may be provided by the Contract Documents or the subcontract, if either of these provides for earlier or larger payments than the above.

(h) To pay the Subcontractor on demand for his work or materials as far as executed and fixed in place, less the retained percentage, at the time the certificate should issue, even though the Architect fails to issue it for any cause not the fault of the Subcontractor.

(j) To pay the Subcontractor a just share of any fire insurance money received by him, the Contractor, under Article 21 of the General Conditions.

(k) To make no demand for liquidated damages or penalty for delay in any sum in excess of such amount as may be specifically named in the subcontract. (1) That no claim for services rendered or materials furnished by the Contractor to the Subcontractor shall be valid unless written notice thereof is given by the Contractor to the Subcontractor during the first ten days of the calendar month following that in which the claim originated.

(m) To give the Subcontractor an opportunity to be present and to submit evidence in any arbitration involving his rights.

(n) To name as arbitrator under Article 45 of the General Conditions the person nominated by the Subcontractor, if the sole cause of dispute is the work, materials, rights or responsibilities of the Subcontractor; or, if of the Subcontractor and any other subcontractor jointly, to name as such arbitrator the person upon whom they agree.

The Contractor and the Subcontractor agree that

(0) In the matter of arbitration, their rights and obligations and all procedure shall be analogous to those set forth in Article 45 of the General Conditions. Nothing in this Article shall create any obligation on the part of the Owner to

pay to or to see to the payment of any sums to any Subcontractor.

Art. 45. Arbitration. Subject to the provisions of Article 10, all questions in dispute under this Contract shall be submitted to arbitration at the choice of either party to the dispute.

The general procedure shall conform to the laws of the State in which the work lies, and wherever permitted by law the decision of the arbitrators may be filed in court to carry it into effect.

The demand for arbitration shall be filed in writing with the Architect, in the case of an appeal from his decision, within ten days of its receipt and in any other case within a reasonable time after cause thereof and in no case later than the time of final payment, except as to questions arising under Article 16. If the Architect

fails to make a decision within a reasonable time, an appeal to arbitration may be taken as if his decision had been rendered against the party appealing.

The parties may agree upon one arbitrator; otherwise there shall be three, one named in writing by each party and the third chosen by these two arbitrators or, if they fail to select a third within ten days he shall be chosen by the presiding officer of the nearest Bar Association. Should the party demanding arbitration fail to name an arbitrator within ten days of his demand, his right to arbitration shall lapse. Should the other party fail to choose an arbitrator within such ten days, the Architect shall appoint such arbitrator. Should either party refuse or neglect to supply the arbitrators with any papers or information demanded in writing, the arbitrators are empowered by both parties to take ex parte proceedings.

The arbitrators shall act with promptness. The decision of any two shall be binding on all parties to the dispute. The decision of the arbitrators upon any question subject to arbitration under this Contract shall be a condition precedent to any right of legal action.

The arbitrators, if they deem that the case demands it, are authorized to award to the party whose contention is sustained such sums as they shall deem proper for the time, expense and trouble incident to the appeal and, if the appeal was taken without reasonable cause, damages for delay. The arbitrators shall fix their own compensation, unless otherwise provided by agreement, and shall assess the costs and charges of the arbitration upon either or both parties.

The award of the arbitrators must be in writing and, if in writing, shall not be open to objection on account of the form of the proceedings or the award.

CHAPTER XVIII

BOND

The comparative values of personal Bonds and of surety company Bonds, and of certified checks, have been discussed previously. This chapter is concerned mainly with the form of Bonds.

The Contract Bond adopted by the American Railway Engineering Association has the following form:

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lawful money of the United States of America (or Canada, as the case may be), to be paid to said......

.its successors and assigns, to which payment the undersigned, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns.

The Condition of this Obligation is that if ........ Contractor, shall faithfully furnish and do everything required in the contract, executed in writing, dated...

between.

..19.. Company,

.this obligation shall become of no effect; other

. Contractor, and

for.....

wise it shall continue in full force.
Signed, sealed and delivered this........ day of.....
Attest:

19...

.(SEAL)

This is substantially the same in form as that used by the Cambridge Bridge Commission, the principal point of difference being that the latter refers to the "foregoing Contract" contained probably in a single pamphlet, while the Bond above describes the Contract. The Cambridge Bridge form is this:

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That the undersigned are held and bound unto the Cambridge Bridge Commission in the sum of two hundred thousand (200,000) dollars, lawful money of the United States of America, to be paid to said Commission or its assigns, to which

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