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.3 failure of the Contractor to make payments properly to Subcontractors or for labor, materials or equipment; .4 reasonable evidence that the Work cannot be completed for the unpaid balance of the Contract Sum; .5 damage to the Owner or a separate contractor; .6 reasonable evidence that the Work will not be completed within the Contract Time, and that the unpaid balance would not be adequate to cover actual or liquidated damages for the anticipated delay; or .7 repeated failure to carry out the Work in accordance with the Contract Documents. § 9.5.2 When the above reasons for withholding certification are removed, certification willbe made for amounts previously withheld. § 9.5.3 If the Architect withholds certification for payment under Section 9.5.1.3, the Owner may, at its sole option, issue joint checks to the Contractor and to any Subcontractor or material or equipment suppliers to whom the Contractor failed to make payment for Work properly performed or material or equipment suitably delivered. If the Owner makes payments by joint check, the Owner shall notify the Architect and the Architect ,will reflect such payment on the next Certificate for Payment. � c § 9.6 PROGRESS PAYMENTS 1 § 9.6.1 After the Architect has issued a Certificate for Payment, the Owner shall make payment in the marnertand within the time provided in the Contract Documents, and shall so notify the Architect. § 9.6.2 The Contractor shall pay each Subcontractor no later than seven days after receipt of payment from the Owner the amount to which the Subcontractor is entitled, reflecting percentages actually retained from payments to the Contractor on account of the Subcontractor's portion of the Work. The Contractor shall, by appropriate agreement with each Subcontractor, require each Subcontractor to make payments to Sub -subcontractors in a similar manner. § 9.6.3 The Architect will, on request, furnish to a Subcontractor, if practicable, information regarding percentagesGof completion or amounts applied for by the Contractor and action taken thereon by the Architect and Owner on c account of portions of the Work done by such Subcontractor. ` § 9.6.4 The Owner has the right to request written evidence from the Contractor that the Contractor has properly paid Subcontractors and material and equipment suppliers amounts paid by the Owner to the Contractor for subcontracted •_:„• Work. If the Contractor fails to furnish such evidence within seven days, the Owner shall have the right to contact Subcontractors to ascertain whether they have been properly paid. Neither the Owner nor Architect shall have an obligation to pay or to see to the payment of money to a Subcontractor, except as may otherwie be required by law.- § 9.6.5 Contractor payments to material and equipment suppliers shall be treated in a manner similar to that provided, in Sections 9.6.2, 9.6.3 and 9.6.4. I § 9.6.6 A Certificate for Payment, a progress payment, or partial or entire use or occupancy ,of the Project by the Owner shall not constitute acceptance of Work not in accordance with the Contract Documents. § 9.6.7 Unless the Contractor provides the Owner with a payment bond in the full penal suni of the Contract -Sum; - payments received by the Contractor for Work properly performed by Subcontractors and suppliers shall be held by the Contractor for those Subcontractors or suppliers who performed Work or furnished materials, or both, under contract with the Contractor for which payment was made by the Owner. Nothing contained herein shall require money to be placed in a separate account and not commingled with money of the Contractor, shall..create any fiduciary liability or tort liability on the part of the Contractor for breach of trust or shall entitle aiiy person or entity to an award of punitive damages against the Contractor for breach of the requirements of thus provision. § 9.7 FAILURE OF PAYMENT If the Architect does not issue a Certificate for Payment, through no fault of the Contractor; within seven days after receipt of the Contractor's Application for Payment, or if the Owner does not pay the Contractorwithin'severi days - after the date established in the Contract Documents the amount certified by the Architect orawardedby_binding ., dispute resolution, then the Contractor may, upon seven additional days' written notice to the Owner and Architect, AIA Document A201n' — 2007. Copyright O 1911, 1915, 1918, 1925, 1937, 1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987, 1997 and 2007 by The American Institute of Architects. All rights reserved. WARNING: This AIA Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This draft was produced by AIA software at 15:05:44 on 08/20/2009 under Order No.3726989292_1 which expires on 05/28/2010, and is not for resale. User Notes: (926118731)