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Init. <br />§ 6.4 If, prior to the conclusion of the Design Development Phase, the Construction Manager's estimate of the Cost of <br />the Work exceeds the Owner's budget for the Cost of the Work, the Construction Manager, in consultation with the <br />Architect, shall make appropriate recommendations to the Owner to adjust the Project's size, quality or budget, and <br />the Owner shall cooperate with the Construction Manager and Architect in making such adjustments. <br />§ 6.5 If the estimate of the Cost of the Work at the conclusion of the Design Development Phase exceeds the Owner's <br />budget for the Cost of the Work, the Owner shall <br />.1 give written approval of an increase in the budget for the Cost of the Work; <br />.2 in consultation with the Construction Manager and Architect, revise the Project program, scope, or <br />quality as required to reduce the Cost of the Work; or <br />.3 implement any other mutually acceptable alternative. <br />ARTICLE 7 COPYRIGHTS AND LICENSES <br />The Construction Manager and the Construction Manager's consultants, if any, shall not own or claim a copyright in <br />the Instruments of Service. The Construction Manager, the Construction Manager's consultants, if any, and the Owner <br />warrant that in transmitting Instruments of Service, or any other information, the transmitting party is the copyright <br />owner of such information or has permission from the copyright owner to transmit such information for its use on the <br />Project. If the Owner and Construction Manager intend to transmit Instruments of Service or any other information or <br />documentation in digital form, they shall endeavor to establish necessary protocols governing such transmissions. <br />ARTICLE 8 CLAIMS AND DISPUTES <br />§ 8.1 General <br />§ 8.1.1 The Owner and Construction Manager shall commence all claims and causes of action, whether in contract, <br />tort, or otherwise, against the other arising out of or related to this Ageement in accordance with the requirements of <br />the method of binding dispute resolution selected in this Agreement within the period specified by applicable law, but <br />in any case not more than 10 years after the date of Substantial Completion of the Work. The Owner and Construction <br />Manager waive all claims and causes of action not commenced in accordance with this Section 8.1.1. <br />§ 8.1.2 To the extent damages are covered by property insurance, the Owner and Construction Manager waive all <br />rights against each other and against the contractors, consultants, agents and employees of the other for damages, <br />except such rights as they may have to the proceeds of such insurance as set forth in AIA Document A232 -2009, <br />General Conditions of the Contract for Construction. The Owner or the Construction Manager, as appropriate, shall <br />require of the contractors, consultants, agents and employees of any of them similar waivers in favor of the other <br />parties enumerated herein. <br />§ 8.1.3 The Construction Manager shall indemnify and hold the Owner and the Owner's officers and employees <br />harmless from and against damages, losses and judgments arising from claims by third parties, including reasonable <br />attorneys' fees and expenses recoverable under applicable law, but only to the extent they are caused by the negligent <br />acts or omissions of the Construction Manager, its employees and its consultants in the performance of professional <br />services under this Agreement. The Construction Manager's duty to indemnify the Owner under this provision shall be <br />limited to the available proceeds of insurance coverage. <br />§ 8.1.4 The Construction Manager and Owner waive consequential damages for claims, disputes or other matters in <br />question arising out of or relating to this Agreement. This mutual waiver is applicable, without limitation, to all <br />consequential damages due to either party's termination of this Agreement, except as specifically provided in Section <br />9.7. <br />(Paragraphs deleted) <br />§ 8.2.4, The method of binding dispute resolution shall be the following: <br />(Check the appropriate box. If the Owner and Construction Manager do not select a method of binding dispute <br />resolution below, or do not subsequently agree in writing to a binding dispute resolution method other than litigation, <br />the dispute will be resolved in a court of competent jurisdiction) <br />[ ] Arbitration pursuant to Section 8.3 of this Agreement <br />AIA Document C1327'1 - 2009 �tonnerly 8801 TMCM8 - 1992). Copyright © 1973, 1980, 1992 and 2009 by The American Institute or Architects. All rights <br />reserved. WARNING: This /.IA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of <br />this Ale Document, or any portion of it, may result in severe civil and criminal penalties, and will he prosecuted to the maximum extent possible under 1w <br />tno law. This document was produced by AIA software at 10:12:33 on 12/18/2013 under Order No.1645001270 1 which expires on 10/17/2014, and is not for <br />resale. 16 <br />User Notes: <br />(1400123506) <br />