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<br />1. The Contractor aM the Surety, jointly and severally, Olnd
<br />themselves, their heins, executors, adminiStrators, successors and
<br />assigns to the Owner for thl! perfonnanca of the Construction Contract,
<br />which 19 incorporated her..in by rgfer..n..o.
<br />2. If the Contractor performs the Construction Contract, the Surety and
<br />the Contractor shall have no obligation under this Bond, except 10
<br />particlpate In conferences as provided in Subparagraph 3.1.
<br />J. It lI1ere is no Owner uetault, the Surety's obligation under this Bona
<br />shall arise after:
<br />3.1. The Owner has notifled the Contractor and the Surety at its
<br />:lddrn.." d~(:/'Ibcd in I"aragraph 10 below, that the Ownar 10
<br />considering declaring a Contractor Default and has
<br />requested and attemptBd to arrangl! a conference with the
<br />Contractor and the, SUJ'8ty to bf:! Held not later than fifteen
<br />days afbsr receipt of such notice to discuss methods of
<br />performing the Construction Contract. If the Owner, the
<br />Contractor and the Surety agree, the Contractor shall be
<br />elllowed B reasonabl" timo to p"rform the Con3truollon
<br />Contract, but such an agreement shall not waive the
<br />Owner's right. if any, subsequently to declare a Contractor
<br />Default: and
<br />3.2. The Owner has declared a Contractor Default and formally
<br />terminated the Contractor's righllo complete the contract.
<br />Such Contractor Default shall not be declared earlier than
<br />twenty days after the Contr.Jctor and the surety hlfVe
<br />received notice as provided In Subparagraph 3.1: and
<br />3.3. The Owner has agreed to pay the Balance of the Contract
<br />Price to the Surety in accordanC8 with the terms of the
<br />Construction Contract or to a contractor selected to perform
<br />the Construction Contract In accordance with tlla terms of
<br />the contract with the OWner.
<br />4. When thlt Owner hill" :!Ia~fied the condition:l of ~aragrllph 3. the
<br />Surety shall promptly and at the Suraty's expense take ona of the
<br />following actions:
<br />4.1. Arl'lmCle fOr t1U! contractor. with consent of the Owner. to
<br />perform and complete the ConstructIon Contract: or
<br />4.2. Undertake to perform and complete the Construction
<br />Contract itself, through Its agents or through Independent
<br />contml;tQl'5; or
<br />4.3. Obtain bids or negotlated proposals from qualified
<br />contractors acceptable to the Owner for a contract for
<br />p~rformgn~ and r::cmpl~tion of ltll" Com;;tnlction Contnlct.
<br />arrange for a contract to be prepared for execution by the
<br />OWner and the contractor selBcted with the Owner's
<br />conCUm'lnce. to be secured with performance and payment
<br />Donds execuf8<l Dy a quallftea surety eqUlvall!nt to tne Donas
<br />issued on the Construction Contract. and pay to the Owner
<br />the amount of damages as described in Paragraph 5 in
<br />aXCB!il5 of the Balance of the Contract Prio? incurred by the
<br />Owner rasulting from the Contractor's default: or
<br />4.4. Waive Its rlght to perform and complete, arrange for
<br />completIon, or obtaIn a new contractor and with reasonable
<br />promptness under the circumstances:
<br />1. After investigation, detennine the amount for which it
<br />may be liable to the Owner and, as soon as practfcable
<br />QftQr lhQ Qmount h: dQtorm/nQd, tQlldQr PQymQnt
<br />therefor to the Owner: or
<br />2. Deny liability in whole or in part and notify the OWner
<br />citing reasons therefor.
<br />5. If the Suraty does not proceed as provided in Paragraph 4 with
<br />reasonable promptne99, the Surety shall be deemed to be In default on
<br />thIs 80nd fifteen days after receipt of an additional written notice from the
<br />Owner to the Surety demanding thet the Suroly porlorm 11$ obllgatlono
<br />under this Bond, and the Owner shall be entftfed to enforce any remedy
<br />available to the Owner. If the Surety proceeds as provided in
<br />SubparaQraph 4.4, and tile Owner refusee the payment tendered or the
<br />Surety has denied liability, In whole or in part, without further notice the
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<br />Own~ .,.11 be ~ttl,,,.,. ....... ,"y """,.y ,,,,"'... w ..J Ow.e..
<br />6. After the Ownar has terminated the Contractor's right10 complete
<br />the Construction Contract, and If the Surety elects to act under
<br />$:'lhfl"r:>gr.>ph 4.1, 4. 7, or 4.3 abov'? the" th~ "",-,pon"jh itip_", nf Ih..
<br />Surety to the Owner shall not be greater than those of th Contractor
<br />under the Construction Contract, and the responsibilities of ~e Owner to
<br />the Surety shall not be graater than those of the Owne under the
<br />Construction Contract TO the limit of me amount of Ih Bond, but
<br />subject to commitment by the Owner of the Balance of the Contract Price
<br />to mitigation of costs and damages on the Construction dantract, ths
<br />Suroty I~ obllg:lt~ without dupllc:rtlon for: t
<br />5.1, The responslbfllties of thl!! Contractor for c rrection of
<br />defective work and completion of the Constructio Contract:
<br />6.2.. Additional legal, design professional and elay costs
<br />reSUlting from the Contractor's DefaUlt. and reSulting from
<br />the actions or failure to act of the Surety under !aragrapl1 4:
<br />and
<br />6.3. Llqvid"lod d:>mog"", or if no liquldoted cl mog<:a on::
<br />specified In the Construction Contract, actu I damages
<br />caused by delayed performance or non-perfor ance of the
<br />Contractor.
<br />7. The Suraty shall not be liable to the OWner or others obligations
<br />of the Contractor that am unrelated to the Construction Cont act, and the
<br />Balance of the Contract Prfce shall not be reduced or set on account
<br />of any such unrelated obligations. No right of aetiOl'l shall a ern" on thl:!.
<br />Bond to any person or entity other than the OWner or Its hei ,eXBcutors.
<br />administrators, or successors.
<br />8. The Surety hereby waives notice of any change, Inclu n9 changes
<br />of time. to the Construction Contract or to related subcantra , purchase
<br />ordl!ll'S and other obligations. ~
<br />9. Any proceeding, legal or equitable, under. this Bo d may be
<br />Instituted In any court of c:ompetont Jurl"dI~IOIl In the loumion in which the
<br />work or part of the work is located and shall be institutecl Wll in two yea""
<br />after Contractor Default or within two years after the Conti: ctor ceased
<br />wi:i1Kii'fgor Within lWei 'yea18 aflertlltfSLifetY tEifillfes6fffiJls. -perfOrm' Its
<br />obllgatlons under this Bond, whichever occurs first. If the rovlslons of
<br />limitation availabls to sureties as a defense in the jurisdicti n of the suit
<br />shall be applicable.
<br />10. Nuti"", lu 11ll::'3urely. the Owner ur the CUfllt3t.iur :shall e lllaile\J or
<br />delivered to the address sl10wn on the signatUfl:l p<Jge.
<br />11. When this Bond has been furnished to comply with a statutDIY or
<br />olhttr 1"'0'il1 ~quinmJ"'nt in thto! 1r'll"~tiM whp.rp. th~ r".tln~tl1lr.ti n Wla!:l 10 bp.
<br />performed, any provision in this Bond conflicting with said statutDIY or
<br />legal requirament shall be deemed deleted hefl:lfmm a provisions
<br />conforming to such statutory or other legal requirement shal be deemed
<br />mcorporat80 narem. rne intent is that this Bond shall be construed as a
<br />statutory bond and not as a common law bond. 1
<br />12. Definitions.
<br />12.1. Balance of the Contract Price: The. total amou p<lyabl~ by
<br />the Owner to the Contractor under the Construe/ion Contract
<br />after aU proper adjustments have been made, including
<br />allowanca to the Contractor of any amounts rdceived or to
<br />be received by the Owner in settlement Of Insurance or other
<br />claims for damages to which the Contractotis entitled,
<br />reduced by all valid and proper payments m e to or on
<br />bQhQIf of thQ COlltl';letor undQr thQ Con;trut:tloll ontrod.
<br />12.2. Construction Contract: The agreement betweeh the Owner
<br />and the Contractor identified on the sign lura page,
<br />including all Contract Documents and ohanges'~ tereta.
<br />12.3. Contractor Default Failure of the Conlracto which has
<br />neither been remedied nor waived, to perform Dr otherwise
<br />to comply with the terms of the Construction COI met.
<br />1<:,4, Owner Defllvlt Fal/ul'O of t"~ Owner, which hS3 neither
<br />been remedied nor waived, to pay the Contracto as fIlquired
<br />by the Construction Contract or to perform and complete or
<br />comply with the other terms thereof.
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<br />(FOR INFORMATION ONLY-Name, Address and Telephone)
<br />AGENT or BROKER: OWNER'S REPRESENTATIVE (Architect, Engineer or ott er party):
<br />Brown & Brown of Florida, Inc.
<br />8000 Governors Sq. Blvd., Ste. 400
<br />Miami Lakes, FL 33016
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<br />04/08 Final Version. 00601-2
<br />EJCDC No, 191O-28A (1Y84 EdlUOn) .
<br />Prepared'mrough the jomt effortS of the Surety Association of America, Engineers' Joint Contract Documents Committee, The Associated
<br />General Contractors of America, American lnstitute of Architetts, American Subcontractors A8sociation, and the ASSOCiated Specialty
<br />Comractors. .
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