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UAP DOCUMENT 301

SECTION 1: DEFINITIONS
• CONTRACT DOCUMENTS – consists of the
following:
1. Agreement
2. General conditions
3. Special provisions
4. Specifications
5. Drawings
OWNER
person ordering the project for execution
ARCHITECT
commissioned by the owner
ENGINEER
person so named in the contract document
PROJECT REPRESENTATIVE
full time construction inspector hired by owner
assisting in the supervision of the work.
CONTRACTOR
person or firm whose proposal has been
accepted & contract awarded
SUB-CONTRACTOR
having direct contact with contractor, acts in
behalf of the contractor in executing any part of
the contract
SURETY
person, firm, or corporation providing guarantee
for contractor’s bonds
PROPOSAL
offer of a bidder
PROPOSAL BOND
cashier’s check or surety bond with the proposal
submitted by the bidder to guarantee that the
bidder will enter into the contract.
PERFORMANCE BOND
(15%) approved form of security furnished by
the contractor as a guarantee to execute work in
accordance with terms of the contract.
PAYMENT BOND
(15%) approved form of security furnished by
the contractor as guarantee to pay all
obligations arising from the contract
GUARANTEE BOND
(15%) approved form of security furnished by
the contractor to guarantee to the quality of
materials and workmanship performed.
AGREEMENT
(15%) approved form of security furnished by
the contractor to guarantee to the quality of
materials and workmanship performed.
ADVERTISEMENT/ INVITATION
TO BID
notice or invitation issued to bidders giving
information of the magnitude and extent of the
project, nature, etc.
BID BULLETIN
additional information on contract documents
INSTRUCTION TO BIDDERS
list of instructions on preparation & conditions
for award of contract
DRAWINGS
graphical representation of work
GENERAL CONDITIONS
printed documents stipulating procedural and
administrative aspects of the contract
SPECIAL PROVISIONS
instructions that supplement or modify
drawings, specs, & general conditions of the
contract.
SPECIFICATIONS
written or printed description of work describing
qualities of materials and mode of construction
SUPPLEMENTARY SPECS
addt’l info issued as an addition or amendment
to provisions of specs.
SCHEDULE OF MATERIALS AND
FINISHES
outline specs enumerating type and trade
names of materials used
BREAKDOWN OF WORK AND
CORRESPONDING VALUES
list of work and corresponding value in materials
& labor including profit and overhead
allowance.
WRITTEN NOTICE
info, advice or notification pertinent to the
project
ACT OF GOD/ FORCE MAJEURE
catastrophes, phenomena of nature,
misfortunes and accidents which human
prudence cannot foresee or prevent.
TIME LIMITS
duration of time allowed by the contract for
project completion
LOCAL LAWS
laws, ordinances, and government regulations
applicable to the project
WORK
includes labor and materials, equipment,
transportation, faculties necessary for
completion of the project
FURNISH
purchase and/or fabricate and deliver to the
jobsite”
INSTALL
build in, mount in positions, connect or apply
PROVIDE
“furnish and install”
SECTION 2:
• EXECUTION, CORRELATION AND INTENT OF
DOCUMENTS
• Documents signed in quintuplicate by owner
and contactor duly witnessed
Intent of contract documents
- prescribe the complete work
- Intention is to include labor, materials, equipment
and transportation necessary for completion and
Execution
- Specs shall take control in discrepancies in
drawings and specs
- Any discrepancies, errors and omissions shall be
reported to the architect or engineer. Any work
done involving errors are the contractor’s risk
Intent of contract documents
- Architect or engineer shall furnish additional detail
drawings and instructions consistent to contract
documents.
- Contractor and architect and engineer shall jointly
prepare a schedule in accordance to progress of work.
- Contractor shall keep a copy of all drawings, specs,
breakdown of work, and schedule of constructions
work, instructions at the site.
- Drawings, specs, and models are property of the
architect and are to be returned at completion of work
and before final payment to the contractor is made
ARTICLE 3: DRAWINGS AND SPECS
• Owner shall furnish contractor 3 sets of
drawings and specs for free
• Drawings and models must cooperate with
specs to form as part of the contract
documents. Figures are to be followed in
preference to measurement and scale.
ARTICLE 3: DRAWINGS AND SPECS
The contractor shall explain and verify any doubt as to
the meaning of the drawings and specs.
1. If there is a conflict in both drawings and specs, the
contractor, with the architect’s permission, shall
submit to the owner proposals as to which method or
material is required. If the les expensive work is done,
the contractor shall credit the owner the amount
equivalent to the difference of the expensive and less
expensive work.
2. The contractor must first refer to the architect before
proceeding with the work
ARTICLE 3: DRAWINGS AND SPECS
Discrepancies in figures, drawings must be
referred to the architect before any adjustment
be made by the contractor. The decision of the
architect will govern and must be followed by
the contractor
ARTICLE 4: DETAIL DRAWINGS AND
INSTRUCTIONS
Supplementary drawings and instructions shall
be promptly supplied by the architect and must
conform to contract documents. Contractor shall
do no work without proper drawings and
instructions.
Contractor and architect shall prepare a
schedule a when detail drawings will be
required.
ARTICLE 5: SHOP DRAWINGS
• Contractor shall prepare at his own expense and
submit 2 copies of all shop drawings to the
architect, who will make the necessary
corrections, and file the corrected copies.
• Contractor shall check drawings before
submitting to sub-contractors.
• Shop drawings shall represent:
1. Working and erection dimension
2. Arrangements and sectional views
3. Necessary details
4. Kinds of materials and finishes
ARTICLE 5: SHOP DRAWINGS
• Shop Drawings shall be dated and contain:
1. Name of project
2. Descriptive names of equipment, materials and
classified item numbers
3. Location at which materials or equipment are to be
installed.

• Drawings shall be accompanied by a letter of


transmittal containing name of project, contractor,
number of drawings, titles and other pertinent data.
ARTICLE 5: SHOP DRAWINGS
• Contractor shall submit 3 sets of prints of shop drawings to
the architect for approval.
1 copy shall be returned to the contractor with
necessary corrections.
1. Contractor shall make corrections and resubmit until
approved by the architect.
2. Contractor shall insert date of approval on tracings
and furnish the architect with 3 additional prints of approved
drawings.
3. No work be done without architect’s approval.
4. Contractor shall mention specific variations of shop
drawings from contract documents in his letter of submittal.

• Contractor is responsible for accuracy of shop drawings.


SECTION 2: LAWS, REGULATIONS, AND SITE CONDITIONS
ARTICLE 6: LAWS, REGULATIONS, AND SITE CONDITIONS

• Contractor shall comply with all laws and


regulations governing the project. If ever he
resists without the knowledge of the architect,
he shall bear the consequences.
• Before bidding, the contractor must visit the
site and make estimates of facilities and
difficulties attending to the scope of work and
its execution.
ARTICLE 7: PERMITS, TAXES AND SURVEYS

• All permits and licenses necessary shall be secured and fees paid by
the contractor but may be reimbursed from the owner. Contractor
is responsible if construction starts without necessary permits.
• Contractor will secure the occupancy permit.
• Owner is responsible for establishment of boundaries made by a
licensed surveyor. He may delegate the responsibility to the
contractor but the owner must pay for surveyor’s fees.
1. Contractor shall verify all grades, lines and levels as
indicated on drawings.
2. Contractor shall provide batter boards and maintain them.
He shall establish grade marks at
each floor line.
3. Contractor shall layout exact location of partitions
ARTICLE 7: PERMITS, TAXES AND SURVEYS

• Contractor shall pay the services of the surveyor when


so required to confirm location of columns, piers, etc.
required by the contract. Copy of certification shall be
furnished by the architect and will represent as an
independent verification of the layout.
1. Contractor shall furnish certifications from the surveyor
that all partitions of work are in accordance with
contract requirements.
2. Surveyor shall verify and certify to lines and levels of any
portion of work any time deemed necessary by the
architect.
3. Final verification shall be submitted upon completion of
work before payment is made.
SECTION 3: EQUIPMENT AND
MATERIALS ARTICLE 8: GENERAL
• All materials and equipment must conform to
all laws governing the project.
• Contractor shall obtain necessary permits and
pay fees covered within period of
construction.
• Contractor shall bear any and all damages by
reason of any delay in work.
ARTICLE 9: EQUIPMENT
• Architect and engineer must refer to
equipment by catalogue number and name.
1. Contractor shall furnish complete lists of
substitutions prior to signing of contract.
2. Contractor shall abide by architect and
engineer’s judgment when proposed items of
equipment are judged to be acceptable. General
contractor shall submit proposals for
substitutions in writing.
ARTICLE 9: EQUIPMENT
• Contractor shall furnish 3 copies of complete catalogue
data for every item of equipment.
1. Submission shall be compiled by contractor.
2. Data sheet or catalogue shall be indexed according to
specification, section and paragraph.
3. Submission shall become part of the contract.
4. Catalogue data does not supersede contract documents.
5. It is contractor’s responsibility that items be furnished fit
the space available.
6. Contractor’s responsibility to install equipment to operate
properly.
ARTICLE 10: MATERIALS, FIXTURES,
APPLIANCES AND FITTINGS FURNISHED BY CONTRACTOR
Names of proposed manufacturers, material men and dealers shall be submitted to
the architect for approval.
1. No manufacturer shall be approved unless he has a good reputation, capacity and
adequate quality control.
2. Transactions shall be made through the contractor.
3. Contractor shall provide manufacturers with complete sets of specs and drawings.
4. Manufacturer shall have materials supplied by him properly coded or identified in
accordance with existing standards.

Contractor shall furnish samples specified for approval.


1. 3 samples shall be submitted.
2. Samples shall be labeled, bearing material name and quality
3. If specs require manufacturer’s installation directions, directions shall accompany
samples for approval.
4. 3 copies of letter of transmittal from contractor shall accompany all samples.
5. Transportation charges to architect’s office must be prepaid.
6. No orders of materials are to be made without architect’s approval
ARTICLE 10: MATERIALS, FIXTURES,
APPLIANCES AND FITTINGS FURNISHED BY CONTRACTOR
• No substitution for materials be made without architect’s approval.
• Samples for materials to be used for substitution shall be approved by architect.
• Contractor shall submit samples for testing to the architect.
• All costs for shipping, handling and testing of samples are to be paid by the
contractor.
• Quality of materials used shall be of best grade and new otherwise specified.
• Contractor shall provide space for subcontractors’ storage and work force.
• All materials affected by moisture shall be stored and protected from the
weather.
• Moving materials will be done at the contractor’s expense.
• Defective materials or materials not conforming to specs shall be used upon
approval. The architect shall have the authority to remove or replace such
deducting the cost from the contractor.
• Contractor shall pay for royalties and license fees on patented materials furnished
by him.
• All materials shall be applied and installed following the manufacturer’s
directions.
SECTION 4: PREMISES AND TEMPORARY
STRUCTURE
ARTICLE 14: USE OF PREMISES
• Contractor shall confine materials to limits
indicated by law.
• Contractor shall not load or permit any part of
the structure to be loaded with a weight that
will disregard the safety of others.
ARTICLE 15: TEMPORARY STRUCTURES
• OFFICE AND CONTRACTOR’S BUILDING – wooden floor raised above ground; room of approx.
12 sq.m. for the architect.
• HOUSING FOR WORKERS – tents or protection on designated areas.
• SANITARY FIXTURES AND 1ST AID STATION – ample sanitary toilets and other conveniences
including water connections.
• TEMPORARY BARRICADES AND GUARD LIGHTS – necessary for proper prosecution and
completion of work. Lights located at false work tower to be provided by contractor.
• TEMPORARY WATER, POWER, AND TELEPHONE FACILITIES – provided by contractor through
arrangements with local utility companies. All expenses paid by the contractor
• TEMPORARY SIGNS – no advertisements to be displayed without architect’s approval.
• TEMPORARY ROADWAYS – provide proper access
• TEMPORARY STAIRS, LADDERS, RAMPS, and RUNWAYS – such shall meet requirements of
local laws.
• TEMPORARY ELEVATORS AND HOISTS – install adequate number of elevators and hoists
located bat sufficient distance from exterior walls.
• TEMPORARY ENCLOSURES – exterior doors shall be equipped with self-closing hardware;
windows equipped with removable sash frames.
• TEMPORARY OR TRIAL USAGE – privilege of owner.
• REMOVAL OF TEMPORARY STRUCTURES – contractor shall remove all temporary structures
erected by him and shall clean premises as condition of completing the work.
SECTION 5: PROTECTION OF WORK AND OWNER’S
PROPERTY ARTICLE 16: PROTECTION OF WORK AND
OWNER’S PROPERTY
The contractor shall maintain and protect owner’s property
from damage.
1. The contractor shall provide watchmen (competent
enough for the architect) and provide all doorways with
locks. It is the contractor who shall lock and close the
doors after each day’s work.
2. No smoking except on designated areas. No building of fires
except with the consent of the architect.
3. Contractor shall provide barrels of water and buckets for
the main purpose of fire protection and should not be used
for any other reason.
4. Contractor shall provide adequate number of fire
extinguishers.
SECTION 5: PROTECTION OF WORK AND OWNER’S
PROPERTY ARTICLE 16: PROTECTION OF WORK AND
OWNER’S PROPERTY
Old materials of value shall be piled in areas designated
by the owner or architect and are in the responsibility of
the contractor.
Existing trees and shrubs are to be boxed and protected
from damage. Cutting of trees in site must have consent
of the architect.
1. Plants needed to be transplanted within 50 meters
must be done at the expense of the contractor.
2. Damage to trees, etc shall be made good by the
contractor at his own expense.
ARTICLE 17: PROTECTION OF ADJACENT PROPERTY
AND EXISTING UTILITIES

Contractor shall protect adjacent property and


existing utilities as provided by law and contract
documents at his own expense. He is liable and
must pay for all damages by his acts and
negligence or by his employees.
ARTICLE 18: PROTECTION OF LIFE, WORK AND
PROPERTY DUE TO EMERGENCY

In cases of emergency where a life is at stake,


the contractor may have the power to act
without consultation. Any compensation
claimed by the contractor shall be determined
by agreement or arbitration.
SECTION 6: LABOR, WORK AND PAYMENTS
ARTICLE 19: LABOR
The contractor must employ competent and efficient workmen and
must act, upon request of the architect, to discharge or remove any
employee deemed incompetent. Should the contractor fail to do so,
the architect may withhold payment or suspend work until such orders
are complied with.

The supervisor must be a licensed engineer or architect who will work


personally and inspect at least once a week.

The contractor shall keep a competent project engineer


who will represent the contractor in his absence. His decisions are
binding to the contractor and he has full authority to execute the
orders or directions of the architect.
ARTICLE 20: WORK
• The contractor shall use methods and appliances necessary to complete
the work within contract time.
1. The architect may order the contractor to increase efficiency or improve
system of operation. Failure of the architect to demand such does not relieve
contractor of his liability to the contract.
2. The contractor shall furnish approved full information and evidence of
appliances used if required.
Stakes, benchmarks placed by contractor shall be gradually preserved and
maintained by the Contractor. If such are displaced or damage due to neglect,
the contractor must replace them at his own expense.
ARTICLE 20: WORK
• The owner, architect and representatives shall have access to work for
inspection. Contractor shall provide proper facilities for access and
inspection.
1. The contractor shall give the architect and party a notice of its
readiness for inspection. If work should be covered up without approval, the
architect may uncover it for examination at contractor’s expense.
2. Re-examination of work may be ordered by the architect and
uncovered by the contractor. If work is found not in accordance with the
contract, the contractor shall pay for the cost.
3. Contractor shall furnish promptly without additional charge all
facilities, labor, and materials necessary for safe inspection without delaying
schedule of work.
ARTICLE 20: WORK
• 4. The architect may examine work already completed before final
acceptance. If work is found defective due to contractor’s fault, he shall
defray all the expenses of such examination and satisfactory
reconstruction. If work is found to be satisfactory, actual cost of labor and
materials in examination plus 15% shall be allowed the contractor and
granted extension time on account of additional work.
• Contractor shall perform any work during an emergency. He may inform
the architect and engineer of the emergency as soon as practicable.
• Adjustment of drawings to suit field conditions may be necessary during
construction. The contract recognizes the essence of this as long as
resulting overruns and under runs do not exceed 5%. Discrepancies shall
be submitted immediately to the architect before adjustments.
• The owner may at any time change or alter by adding or deducting from
work without invalidating the contract by stating the changes to be made
in writing.
ARTICLE 20: WORK
• If sub-surface conditions that are different from that on the drawings are
discovered, the architect must be informed immediately. He must
investigate and make the necessary changes in the drawings and specs.
• If changes in work ma cause an increase or decrease in the amount due,
the contract shall be modified in writing and the contractor shall furnish
proportionate additional performance bond.
• Value of extra work shall be determined by the following:
1. Estimate and acceptance in lump sum
2. Unit prices stipulated in contract provided that the extra does not
exceed 20% of the original contract details.
3. Actual direct cost plus 15% for contractor’s profit, overhead and
contractor’s tax.
Contractor shall present a correct account of costs with vouchers.
The architect will certify the 15% allowance for overhead and profit of the
contractor.
ARTICLE 20: WORK
• Claim of adjustment must be asserted within 15 days from date of the
order of change unless architect will extend the time.
• Architect shall have the authority to make minor changes in the work not
involving extra cost.
• Owner reserves to right to employ other persons to perform the extra
work.
• If any instructions in drawings involve extra cost, the contractor will inform
the architect through written notice within 15 days after the receipt of
such instruction. If delays incur in mobilization of work, the contractor
must give the architect a written notice within 15 days after recognition of
delay and proceed to claim the extra cost
ARTICLE 20: WORK
• Contractor shall keep the premises free of waste materials from the
accumulation of work. After the work is completed, he shall remove all his
rubbish, scaffolding, surplus materials and turn over the work to the
occupants with:
1. All dirt, stains from floors, walls, ceiling, etc. removed.
2. All woodwork, hardware and metalwork cleaned and polished.
3. All glazing, marble and tile work washed and polished.
• The owner has the right to use the completed portions of the work
regardless of the time of completion of work.
• Upon notice of completion of work from the contractor, the architect shall
immediately inspect the project. If the work is substantially complete (not
less than 98% is finished), the architect shall issue a certificate of
completion of work in respect to the work.
ARTICLE 20: WORK
• Prior to the issuance of the certification of completion, the contractor
must execute a written undertaking to finish any work during the period of
Making Good of Known Defects or Faults (period of not more than 60
days).
• The contractor shall execute at his own expense all work necessary for
making good of known defects within the period of 60 days after the
issuance of the certificate of completion or within 15 days after its
expiration as a result of the inspection by the architect. If the owner is
responsible for the defect, the value of work will be regarded and paid for
as additional work.
• The contractor shall search for cause of any defects and faults in the
project. If the cause of the defect is something the contractor is not liable
for, the owner will pay for the cost of work carried out by the contractor.
But if the cause binds the contractor liable, the cost of searching, repair,
rectification and make good of such defect shall be borne by him
ARTICLE 21: TIME OF COMPLETION OF WORK

• Written notice to proceed work shall be given to the


contractor following the execution of the contract agreement.
• Contractor shall complete all the work contracted in the time
stated. Computation of the contract time shall commence on
the 7th day from receipt of the notice to proceed.
• Contractor shall submit the schedule of work in CPM form or
any form acceptable to the architect, indicating the
approximate dates each item will be started and completed,
for approval.
ARTICLE 21: TIME OF COMPLETION OF WORK
• Contractor will be allowed an extension based on the following reasons:
1. Delay due to the employees of the owner and the owner himself, act of god or force
majeure, delay by the architect pending arbitration, the contractor shall within 15 days
from the occurrence of such delay file the necessary request of extension for the approval
of the architect. No extension of time shall be granted for failure of owner to furnish
materials unless they be required for proper execution of work or contractor shall have
made request for them 10 days before they are actually needed.
2. Written consent of bondsmen must be attached to any request for extension and
submitted to the owner.
3. If there is increase in work and the contract time is unreasonably short, the time
allowance for extension and increases shall be agreed upon in writing.
4. If no schedule or agreement stating upon which drawings shall be furnished is made,
then no claim for delay shall be allowed on the account of failure to furnish drawings until 2
weeks after demands for such drawings.
5. If work is interrupted for any reason, it must be resumed on the removal of the cause of
delay.
6. Contractor shall submit written notice to the architect at least 10 days prior to beginning,
suspending or resuming the work to the end that the architect may make
ARTICLE 21: TIME OF COMPLETION OF WORK
• Contractor will be allowed an extension based on the following
reasons:
6. Contractor shall submit written notice to the architect at least 10 days
prior to beginning, suspending or resuming the work to the end that the
architect may make preparations for inspection without delaying the
work. All delays resulting from failure of the contractor are the
contractor’s risk. All extra costs due to such delay will be deducted from
the final payment.

If failure to complete work at the said contract time, the contractor will
pay the owner the liquidated damages in the amount stipulated in the
contract agreement.
ARTICLE 22: PAYMENTS
• The contractor shall, within 15 days from receipt of notice to proceed,
submit a complete breakdown of work and corresponding value for
approval and will be used as basis for all requests for payment.
• The contractor shall submit a request for payment for work done, not
more than once each month. Each request shall be computed from the
work completed on all items listed in the breakdown of work, less 10%
retention. When 50% of the contract has been accomplished, no retention
shall be made.
• The contractor, at his own expense, shall furnish the architect progress
photographs which shall be taken monthly.
1. Photograph size shall be 6” by 8”. Four exposures shall be taken (2 copies
for each exposure = 8), a total of 8 prints to be delivered to the architect,
and all negatives bearing the date of exposure and name of work.
2. No partial payment may be considered for approval without the pictures
accompanying request for payment.
ARTICLE 22: PAYMENTS
• 15 days upon receipt of the request for payment, the architect shall
either issue a certificate of payment or withhold the request and
inform the contractor in writing the reasons for withholding it. The
certificate of payment shall include the value of work accomplished
during the period of time covered by the certificate.
• The architect may recommend withholding of payment on any of
the following:
1. Defective work not remedied.
2. Reasonable evidence indicating probable filing of claims.
3. Failure of contractor to make payments to sub-contractors
or for material and labor.
4. Reasonable doubt that the contract can be completed for
the balance then unpaid.
5. Damage to another contractor.
ARTICLE 22: PAYMENTS
• The architect shall estimate the value of work using the
breakdown of work and corresponding values as a basis.
• Estimates of the architect are considered final and
conclusive evidence of the amount of work performed and
shall be basis for the full measure of the compensation of
the contractor, but bear in mind that the estimates are
approximate only.
• Within 15 days from the date of approval of a request for
payment and issuance of certificate of payment, the owner
shall pay the amount as certified, or such other amount he
deems is due the contractor informing both the contractor
and architect in writing his reasons for paying the amended
amount.
ARTICLE 22: PAYMENTS
• The contractor shall pay promptly his workmen, materials
and equipment used, taxes and remit all amount withheld
from salaries and wages of his employees. If required by
the owner, the contractor shall swear before an officer duly
authorized to administer oath that all persons who have
done work and all materials furnished have been paid for.
• No payments shall be made in excess of 65% of the
contract price unless a notarized statement is submitted by
the contractor to the effect that all bills for labor, other
than current wages, and bills for materials have been paid.
• The contractor shall promptly remove from the premises all
work condemned by the architect as failing to conform to
the contract. He shall replace and re-execute his own work
in accordance to the contract documents at his own
expense.
ARTICLE 22: PAYMENTS
• The contractor shall submit the following before final payment is
made:
1. Certificate of final building occupancy
2. Certificate of final inspection of utilities
3. Original and 3 sets of prints of “as-built-drawings” of
electrical, sanitary, gas, telephone and mechanical works.
4. 3 copies of directory of panel boards and list of circuits.
5. 3 copies of instructions and manual for operating fixtures
and equipment.
6. 3 copies of keying schedule.
7. Guarantee bond equivalent to 30% of the contract price
covering a period of 1 year after the final acceptance of the
work.
ARTICLE 22: PAYMENTS
• The architect shall proceed to verify the work, make final estimates,
certify the completion of work and accept the same.
1. The owner shall then pay the contractor the remainder of the fee
provided that the final payment of the contract shall not be made
until the contractor has submitted a sworn statement showing
that all taxes due from him, all materials and labor have been duly
paid.
2. The making and acceptance of the final payment shall constitute a
waiver of all claims by the contractor.

The final certificate of payment nor any provisions may relieve the
contractor of responsibility for faulty materials. He shall remedy
defects and pay for the damage, which will appear within a year’s
period from date of acceptance of work by the owner.

No provision may limit the contractor’s liability to defects.


ARTICLE 22: PAYMENTS
• The owner shall give notice of observed
defects with reasonable promptness. All
questions shall be decided by the architect
whose decision shall be subject to arbitration.
• The amount retained by the owner shall be
released 3 months after the date of the final
payment.
SECTION 7: CONTRACTOR-SEPARATE CONTRACTOR-SUB-
CONTRACTOR RELATIONSHIP
ARTICLE 23: SEPARATE CONTRACTS TO OTHER CONTRACTORS

• Owner reserves the right to let other


contractors in connection to the work.
ARTICLE 24: CONTRACTOR-SEPARATE
CONTRACTORS RELATION
• The contractor shall provide other contractors the opportunity for
introduction and storage of materials and shall properly connect
and coordinate his work with theirs.
• The contractor shall do the cutting, patching and fitting required of
his work and must be fit to be received by work of other
contractors.
• Any cost caused by defective work shall be born by the party
responsible. The contractor shall not endanger any work by cutting,
etc. or cut and alter any work done by the sub-contractor without
the architect’s consent.
• The contractor shall promptly inform the architect of any defects
done by the sub-contractors. His failure to inspect and report shall
constitute an acceptance of proper execution of work by the
subcontractor.
• Should the contractor cause any damage of the work done by the
sub-contractors, both parties will settle as such by an agreement
and relieve the owner of any liability, which may arise there from.
ARTICLE 25: SUB-CONTRACTS
• At least 15 days prior to the date of bidding, the
contractor shall seek the architect’s clarification
as to which particular areas for which the
competence of the sub-contractor shall be
subject to evaluation by the architect where after,
the contractor may submit a list of prospective
sub-contractors for the architect’s approval.
• The contractor is responsible for the acts of his
sub-contractors and persons directly employed
by them.
ARTICLE 26: CONTRACTOR-SUB-
CONTRACTORS RELATIONS
• The contractor agrees:
1. To be bound to the sub-contractor by all the obligations assumed by the
owner to the contractor under the contract documents.
2. To pay the sub-contractor, upon the payment of certificates.
3. To pay the sub-contractor, to such extent as may be provided by the
contract documents.
4. To pay the sub-contractor 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 be issued.
5. To pay the sub-contractor adjust share of any fire insurance money
received by the contractor.
6. To make no demand to the sub-contractor for liquidated damages or
penalty for delay in any sum in excess of the amount stated in the sub-
contract.
7. To give the sub-contractor an opportunity to be present and to submit any
evidence in any arbitration involving his rights.
ARTICLE 26: CONTRACTOR-SUB-
CONTRACTORS RELATIONS
• The sub-contractor agrees:
1. To be bound to the contractor by the terms of
agreement in the contract documents and to assume
toward him all obligations assumed to him by the owner.
2. To submit to the contractor application for payment in
such reasonable time as to enable the contractor to apply
for payment.
3. To make all claims for extensions, extras, and for
damages for delays to the contractor.
The contractor and sub-contractor agree that their rights
and obligations and all procedure shall be analogous to
those set forth in the contract.
SECTION 8: SUSPENSION OF WORK AND TERMINATION OF THE CONTRACT
ARTICLE 27: CONTRACTOR’S RIGHTS TO SUSPEND WORK OR TERMINATE
CONTRACT

• The contractor may suspend or terminate work upon


15 days written notice to the owner and architect for
the following:
1. Order of court or public authority caused the work to
stop or suspension for 90 days through no act of the
contractor and employees.
2. If architect fails to act upon request for payment within
15 days after presented.
3. If owner fails to act upon request for payment within
15 days after presented.
4. If owner fails to pay the contractor within 30 days after
its award by arbitration.
ARTICLE 28: OWNER’S RIGHT TO TERMINATE
CONTRACT
• The owner, upon certification of the architect justifying his
action, may terminate the contract with the contractor within
15 days written notice and surety of the contractor if any and
take possession of the premises, tools, materials, etc.
• The owner shall terminate contract based on the following:
1. If contractor declares bankruptcy or assign assets to creditors.
2. Disregard or violate provisions of the contract documents or
fail to prosecute work according to schedule.
3. Fail to provide qualified superintendents, workman, sub-
contractors and materials.
4. Fail to make payments to sub-contractors, workmen and
dealers
ARTICLE 29: OWNER’S RIGHT TO PROCEED
AFTER WORK TAKEOVER FROM CONTRACTOR
• The contractor, upon receipt of notice of
termination, shall vacate position and work
stated in the notice. All materials, equipment,
etc. shall remain, at the option of the
architect, for completion of work.
• The owner shall take over the work and
proceed in administration.
ARTICLE 29: OWNER’S RIGHT TO PROCEED
AFTER WORK TAKEOVER FROM CONTRACTOR
• The architect will ascertain and fix the value of work completed by
the contractor.

1. If expenditures of owner on completion of work including all


charges prior to termination of the contract are not in excess of
the contract price, the difference between total expenditures and
contract price may be applied to settle claims, and the balance
may be paid to the contractor.

2. No amount in excess of the combined value of completed work,


retained percentage, and usable materials shall be paid.

3. In case of suspension of work, all unpaid work and expenses


incurred during suspension shall be evaluated by the architect and
paid for by the owner.
ARTICLE 29: OWNER’S RIGHT TO PROCEED
AFTER WORK TAKEOVER FROM CONTRACTOR
• The full extent of damage the contractor
and/or his sureties shall be liable shall be:
1. Total daily liquidated damages until the date
the owner takes over work.
2. Excess cost incurred by owner in completion
of the project over the contract price, which
includes administrative services, supervision and
inspection.
SECTION 9: RESPONSIBILITIES AND LIABILITIES OF CONTRACTOR
AND OF OWNER ARTICLE 30: CONTRACTOR’S RESPONSIBILITY
FOR ACCIDENTS AND DAMAGES

• The contractor shall take necessary precautions for the


safety of employees. The contractor shall erect
barriers, supports, braces, shoring, danger signs and
necessary safeguards to protect workmen from any
accident and damage in the consequence of his work.
• The contractor shall designate a member of his
organization whose duty shall be prevention of
accidents and damage to the owner’s property and
adjoining property and his name and position will be
reported to the architect.
The owner shall not be responsible for the following

1. Death of disease contracted by contractor or employees

2. Contractor’s plant or materials

3. Damages caused by the contractor to any property of the


owner and adjoining property All damages are the
contractor’s responsibility.

The contractor shall indemnify and save harmless the owner


against all losses and claims, demands, payments, suits,
actions, recoveries and judgment brought or recovered
against him. Claims for payment and repairs for damages shall
be settled by the contractor at his own expense.
ARTICLE 31: CONTRACTOR’S INSURANCE AND BONDS

1. The contractor shall secure and maintain such insurance


from a company acceptable to the owner. He shall not
commence work until he has obtained insurance and shall
have filed the certificate of insurance or the certified copy
of the insurance policy to the owner. The policy will not be
cancelled prior to 10 days’ written notice to the owner of
intention to cancel.

1. The contractor shall furnish a performance bond of equal


to 15% of the contract amount and 15% payment bond
covering payments and obligations arising from the
contract, as form of sureties for the owner and will remain
in effect until replaced by the guarantee bond.
ARTICLE 31: CONTRACTOR’S INSURANCE AND BONDS

1. The owner will release the performance and


payment bonds after the expiration of 2
months from the final acceptance of work.
Only after shall the contractor furnish a
guarantee bond in the amount of 30% of the
total contract cost and shall be for a period of
1 year commencing from the date of
acceptance of work guaranteeing the quality
of work and materials.
ARTICLE 31: CONTRACTOR’S INSURANCE AND BONDS
1. Contractor’s guarantee-warranty:
1. The contractor shall secure warranties from sub-contractors and
deliver copies to the owner upon completion of work.
2. The contractor shall warrant all work performed by him where
guarantee is required.
3. The contractor shall warrant and guarantee for a period of 1 year or
for longer periods so provided in the specs all materials and workmanship
installed under the contract.
4. The contractor hereby agrees to make repairs to correct defective
work within a period of 5 days after written notice at his own expense within the
agreed period of warranty.
5. The owner may have the defective work done and charge the cost
against the amount retained, if the work costs more than the retained amount,
the contractor and his sureties will pay the remaining balance.
ARTICLE 32: OWNER’S RESPONSIBILITIES
AND LIABILITIES
• The owner, although optional, shall be
responsible and maintain such insurance to
protect him from personal injury including
disease and death of persons under his
employment, etc.
• The owner and architect shall give a list of
personnel assigned to the project who need to
be covered by insurance and amount of
coverage.
ARTICLE 33: LIENS, DISPUTE AND
ARBITRATION
• Before release of the final payment and retained
percentage, the contractor must deliver to the
owner a complete release of all liens arising out
of the contract, or receipts in full lieu.
• Assignment: 1. The contract shall not be assigned
by the contractor without prior written consent
of the owner and such consent shall not relieve
the contractor from responsibility and liability of
all terms and conditions of the contract.
ARTICLE 33: LIENS, DISPUTE AND
ARBITRATION
2. The owner’s consent of sub-letting of work shall; not be granted
until the contractor furnishes the owner with evidence that the sub-
contractor has ample insurance to the same extent.

3. The contractor shall exonerate, indemnify and save harmless the


owner form any loss and expense caused by sub-letting.

4. In case of transfer without previous consent, the owner may refuse


to carry out the contract, but rights to breach the contract is reserved
to the owner and the contractor.

Claim for damages shall be made in writing to the party liable within a
reasonable time and not later than the final payment and shall be
adjusted by agreement or arbitration.
ARTICLE 33: LIENS, DISPUTE AND
ARBITRATION
Disputes:
1. The architect shall make decisions on all claims of owner
and contractor on all matters relating to the progress and
execution of work or interpretation of contract
documents.

2. The architect, whose decision is final, will decide disputes,


concerning questions of fact arising under the contract.

3. if the architect fails to render a decision within 15 days after


parties presented their evidence, either party may demand
arbitration.
ARTICLE 33: LIENS, DISPUTE AND
ARBITRATION
All disputes, claims, questions subject to
arbitration shall be settled in accordance with
the provisions of this UAP document.

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