Sample Subcontract Agreement - Lauren Engineers & Constructors

Exhibit B - Compensation
SC 556-000
PAYMENT BASIS: REIMBURSABLE COST
B.1 TERMS OF COMPENSATION
B.1.1 Contractor shall pay to Subcontractor as full and complete compensation
for the Work, the amount determined by Contractor’s audit of
Subcontractor’s submitted documents, as proper reimbursement of
amounts actually expended upon the Work by Subcontractor, plus a fee of
% of labor costs and % of materials provided by
Subcontractor.
B.1.2 The Guaranteed Maximum Price (if any) is
($ ) for the Scope of Work set forth in Exhibit A.
DOLLARS
B.2 TERMS OF PAYMENT
B.2.1 Subcontractor’s invoice shall be prepared in a form acceptable to
Contractor and submitted by the Wednesday following the last Sunday of
the month. Each invoice shall include Subcontractor's and any subsubcontractor's
partial release of lien, in a form suitable to Contractor, for
the cost of the Work invoiced, which shall be determined based upon
Subcontractor’s original estimate for the Work, modified by Changes, if
any. All progress invoices are subject to 10% retention.
B.2.2 After review and approval of Subcontractor's invoice by Contractor,
Subcontractor shall be entitled to receive payment of the approved and
non-retained portion of its requisition within three (3) business days
following Contractor’s (bank cleared) receipt of payment for the
Subcontractor’s work from the Owner. Any amount disputed by
Contractor will be withheld until the dispute is resolved, and the disputed
balance will be paid immediately upon resolution of the dispute.
Contractor and Subcontractor agree to discuss in good faith and attempt
settlement of any disputed amount as rapidly as possible.
B.3 FINAL INVOICE
B.3.1 Subsequent to receipt of Contractor's Notice of Final Acceptance,
Subcontractor shall submit a Final Invoice for any amounts properly due
Subcontractor not previously invoiced.
B.3.2 The Final Invoice shall be supported by "Subcontractor's Final Invoice
Affidavit and Waiver of Lien", in form acceptable to Contractor, certifying
that all claims for labor, material, subcontracts, and other costs have been
SAMPLE SUBCONTRACT