What happens during the final payment?

Whenever the Contractor notifies the Owner that the Work under the Contract has been completely performed by the Contractor, the Owner shall, within 10 days from receipt of such notice, proceed to verify the work, make the final estimates, certify to the completion of the work, and accept the same.

 

Except for causes herein specified, the Owner shall pay to the Contractor within the period stated in Article 22.05 the amount which shall be found due, less such sums as may be lawfully retained under any of the provisions of the Contract; provided that final payment on the Contract shall not be made until the Contractor has submitted a statement under oath showing that all taxes due from him in connection with this Contract have been duly paid.

 

The acceptance by the Contractor of final payment shall constitute a waiver of all his claims against the Owner, except the following:

 a)    a claim covered by a prior notice to the Owner reserved by the Contractor to be filed in accordance with the Contract;

 b)    a claim pending before and unresolved by the Owner at the time the request for final payment is made;

 c)    a dispute referred to arbitration in accordance with Article 34.05; and

 d)    a claim which the Owner acknowledges with the payment not to be covered by it.

 NOTE: include provision where contract is terminated before completion of the Work.