Answered: Why is the contractor liable of…

Why is the contractor liable of providing the surety bonds to obtain written release prior to the final payment on projects?

Fundamentals Of Construction Estimating

4th Edition

ISBN:9781337399395

Author:Pratt, David J.

Publisher:Pratt, David J.

Chapter13: Pricing Subcontractors' Work

Section: Chapter Questions

Problem 6RQ

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Why is the contractor liable of providing the surety bonds to obtain written release prior to the final payment on projects?

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6. Match the following terms with the most correct explanation Term Explanation Payment Bond Provides the owner with an amount to cover the damages/costs if the apparent low withdraws Bid Bond Provides the owner with a means for completing the work if the contractor cannot complete it. Lien Protects suppliers, subcontractors and employees Non-payment by the General Contractor Performance Bond Used primarily in private contracting; the General contractor and first-tier subcontractors place a debt upon the facility if they haven't been paid.
What is the cost Reimbursable contract?
Describe the procedure of how partial payments to the contractor is done?
1. True or False? A payment bond provides the construction contractor a guarantee that they will receive timely payment for properly completed work 2. True or False? The terms price and cost are the same thing as it applies to a construction estimate. 3. From the following list, which item is least governing when interpreting a contract requirement?a. The Contract Agreementb. Amendments to the Contract Agreementc. Section view drawingsd. Specifications
How are partial payments made to the contractors?
On the typical project, which are the twoprime contracts made with the owner?
. What are the payment provisions under JCT?
what are the advantages and disadvantages of the four basic contract types? -lump sum, cost-plus-free, guaranteed maximum price, unit price contracts
A contractor provided a surety bond as required by the bid specification for the building project. In this situation, the contractor is referred to Producer Surety Oblige Principle
What are the several factors to chose a contract?
Can the construction contracts for public works be resolved by arbitration method?
What payments are typically linked to Substantial Completion? And to Final Completion? What is retainage and what is its purpose. How is it calculated?