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~,,- <br />I <br />If the termination is for the convenience of the Recipient, the Contracting Of~cer shall make an <br />equitable adjustment in the contract price but shall allow no anticipated profit on unperformed <br />services. <br />If the termination is for failure of the Contractor to fulfill the contract obligations, the Recipient may <br />complete the work by contract or otherwise and the Contractor shall be liable for any additional cost <br />incurred by the Recipient. <br />' If, after temunation for failure to fulfill contract obligations, it is deternuned that the Contractor was <br />~ not in default, the rights and obligations of the parties shall be the same as if the termination had been <br />~ issued for the convenience of the Recipient. <br />j. Termination for Convenience or Defauit (Cost-1~pe Contracts) The Recipient may terminate this <br />~ contract, or any portion of it, by serving a notice or temunation on the Contractor. The notice shall <br />~( state whether the tennination is for convenience of the Reeipient or for the default of the Contractor. <br />s If the termination is for default, the notice shall state the manner in which the Contractor has failed to <br />perform the requirements of the contract. The Contractor shall account for any property in its <br />possession paid for from funds received from the Recipient, or property supplied to the Contractor <br />~ by the Recipient. If the temunation is for d~fault, the Recipient may fix the fee, if the contract <br />:; provides for a fee, to be paid the Contractor in proportion to the value, if any, of worl~performed up <br />'~ to the time of termination. The Contractor shall promptly submit its termination claim to the <br />~ Recipient and the parties shall negotiate the temunation settlement to be paid the Contractor. <br />If the termination is for the convenience of the Recipient, the Contractor shall be paid its contract <br />close-out costs, and a fee, if the contract provided for payment of a fee, in proportion to the work <br />performed up to the time of termination. <br />If, after serving a nodce of termination for default, the Recipient determines that the Contractor has <br />an excusable reason for not perfoiming, such as strike, fire, flood, ~vents which are not the fault of <br />and are beyond the control of the Contractor, the Recipient, after setting up a new work schedule, <br />may allow the Contractor to continue work, or treat the termination as a termination for convenience. <br />4. In connection with the performance by Contractor of work or services within the scope of this <br />Agreement, Contractor agrees to comply with the following provis~ons, which need not be <br />included in subcontracts: ~ <br />Dispute Resolution <br />Dispat~s - Disputes arising in the performance of this Contract which are not resolved by agreement <br />of the parties shall t>e decided in writing by the authorized representative of Recipient's Contract <br />O~cer. This decision shall be final and conclusive unless within ten (10) days fmm the date of <br />receipt of its copy, the Contractar mails or otherwise fumishes a written appeal to the General <br />Manager. In connection with any such appeal, the Contractor shall be afforded an opportunity to be <br />heard and to offer evidence in support of its position. The decision of the General Manager shall be <br />binding upon the Contractor and the Contractor shall abide be the decision. In the event that the <br />decision of the General Manager is contrary to law or violates the terms of the Contract, Contractor <br />may pursue such remedy or relief as may be available for breach of Contract. <br />Performance During Dispute - Unless otherwise directed by Recipient, Contractor shall continue <br />performance under this Contract while matters in dispute are being resolved. <br />Claims for Damages - Should either party to the Contract suffer injury or damage to person or <br />property because of any act or omission of the party or of any of his employees, agents or others for <br />whose acts he is legally liable, a claim for damages therefor shall be made in writing to such other <br />party within a reasonable time after the first observance of such injury of damage. <br />Addendum, FTA Con~act Requirements <br />Page - 21 <br />1008981030 <br />