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by Owner or permitted by Laws and Regulations as contemplated in Paragraph 6.1 LA is found ' <br /> to be defective, Contractor shall promptly, .without cost to Owner and in accordance with <br /> Owner's written instructions: <br /> 1. repair such defective land or areas;or ' <br /> 2. correct such defective Work; or ' <br /> 3. if the defective Work has been rejected by Owner, remove it from the Project and replace <br /> it with Work that is not defective, and ' <br /> 4. satisfactorily correct or repair or remove and replace any damage to other Work, to the <br /> work of others or other land or areas resulting therefrom. ' <br /> B. If Contractor does not promptly comply with the terms of Owner's written instructions, or in an <br /> emergency where delay would cause serious risk of loss or damage, Owner may have the <br /> defective Work corrected or repaired or may have the rejected Work removed and replaced. All <br /> claims, costs, losses, and damages(including but not limited to all fees and charges of engineers, <br /> architects, attorneys, and other professionals and all court or arbitration or other dispute <br /> resolution costs) arising out of or relating to such correction or repair or such removal and , <br /> replacement (including but not limited to all costs of repair or replacement of work of others) <br /> will be paid by Contractor. ' <br /> C. In special circumstances where a particular item of equipment is placed in continuous service <br /> before Substantial Completion of all the Work, the correction period for that item may start to <br /> run from an earlier date if so provided in the Specifications. ' <br /> D. Where defective Work (and damage to other Work resulting therefrom) has been corrected or <br /> removed and replaced under this Paragraph 13.07, the correction period hereunder with respect , <br /> to such Work will be extended for an additional period of one year after such correction or <br /> removal and replacement has been satisfactorily completed. <br /> E. Contractor's obligations under this Paragraph 13.07 are in addition to any other obligation or , <br /> warranty. The provisions of this Paragraph 13.07 shall not be construed as a substitute for, or a <br /> waiver of,the provisions of any applicable statute of limitation or repose. <br /> 13.08 Acceptance of Defective Work <br /> A. If, instead of requiring correction or removal and replacement of defective Work, Owner (and, ' <br /> prior to Engineer's recommendation of final payment, Engineer)prefers to accept it, Owner may <br /> do so. Contractor shall pay all claims, costs,losses, and damages(including but not limited to all ' <br /> fees and charges of engineers, architects, attorneys, and other professionals and all court or <br /> arbitration or other dispute resolution costs) attributable to Owner's evaluation of and <br /> determination to accept such defective Work (such costs to be approved by Engineer as to , <br /> reasonableness) and for the diminished value of the Work to the extent not otherwise paid by <br /> Contractor pursuant to this sentence. If any such acceptance occurs prior to Engineer's <br /> recommendation of final payment, a Change Order will be issued incorporating the necessary ' <br /> revisions in the Contract Documents with respect to the Work, and Owner shall be entitled to an <br /> appropriate decrease in the Contract Price, reflecting the diminished value of Work so accepted. <br /> EJCDC C-700 Modified Standard General Conditions of the Construction Contract ' <br /> Copyright 0 2007 National Society of Professional Engineers for EJCDC. All rights reserved. <br /> Page 66 of 81 <br />