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part ii - contract clauses

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DE-AC05-00OR22725<br />

Modification No. 341<br />

Section I<br />

(<strong>ii</strong>)<br />

A closing financial statement;<br />

(<strong>ii</strong>i) The accounting for Government-owned property required by the clause<br />

entitled “Property”; and<br />

(iv) A release discharging the Government, its officers, agents, and<br />

employees from all liabilities, obligations, and claims arising out of or<br />

under this <strong>contract</strong> subject only to the following exceptions:<br />

(A) Specified claims in stated amounts or in estimated amounts where<br />

the amounts are not susceptible to exact statement by the<br />

<strong>contract</strong>or;<br />

(B) Claims, together with reasonable expenses incidental thereto,<br />

based upon liabilities of the <strong>contract</strong>or to third <strong>part</strong>ies arising out<br />

of the performance of this <strong>contract</strong>; provided that such claims are<br />

not known to the <strong>contract</strong>or on the date of the execution of the<br />

release; and provided further that the <strong>contract</strong>or gives notice of<br />

such claims in writing to the <strong>contract</strong>ing officer promptly, but not<br />

more than one (1) year after the <strong>contract</strong>or's right of action first<br />

accrues. In addition, the <strong>contract</strong>or shall provide prompt notice to<br />

the <strong>contract</strong>ing officer of all potential claims under this clause,<br />

whether in litigation or not (see also Contract Clause 970.5228-1,<br />

“Insurance-Litigation and Claims”);<br />

(C) Claims for reimbursement of costs (other than expenses of the<br />

<strong>contract</strong>or by reason of any indemnification of the Government<br />

against patent liability), including reasonable expenses incidental<br />

thereto, incurred by the <strong>contract</strong>or under the provisions of this<br />

<strong>contract</strong> relating to patents; and<br />

(D) Claims recognizable under the clause entitled, Nuclear Hazards<br />

Indemnity Agreement.<br />

(3) In arriving at the amount due the <strong>contract</strong>or under this clause, there shall be<br />

deducted,<br />

(i)<br />

(<strong>ii</strong>)<br />

Any claim which the Government may have against the <strong>contract</strong>or in<br />

connection with this <strong>contract</strong>, and<br />

Deductions due under the terms of this <strong>contract</strong>, and not otherwise<br />

recovered by or credited to the Government. The unliquidated balance of<br />

the special financial institution account may be applied to the amount<br />

due and any balance shall be returned to the Government forthwith.<br />

DE-AC05-00OR22725 Section I—Page 254 of 276

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