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Area. Termination of work hereunder shall be effected by <br /> delivery to the WIA Contractor of a Notice of Termination <br /> specifying the extent to which performance of work under the <br /> Contract Agreement is terminated and the date upon which such <br /> termination becomes effective. In no instance shall a <br /> termination for convenience be effective in less than ten <br /> (10) days after receipt of notice thereof. <br /> After receipt of the Notice of Termination, the WIA <br /> Contractor shall cancel outstanding commitments covering the <br /> procurement or rental of materials, supplies, equipment and <br /> miscellaneous items . In addition, the WIA Contractor shall <br /> exercise all reasonable diligence to accomplish the <br /> cancellation or diversion of outstanding commitments covering <br /> personal services that extend beyond the date of such <br /> termination to the extent that they relate to the performance <br /> of any work terminated by the notice. With respect to such <br /> canceled commitments, the WIA Contractor agrees to: <br /> 1) Settle all outstanding liabilities and all claims arising <br /> out of such cancellation of commitments; or ratify all <br /> such settlements; and <br /> 2) Assign to the Consortium, at the time and to the extent <br /> directed by the Consortium, all of the rights, title and <br /> interest of the WIA Contractor under the orders <br /> subcontractors so terminated. The Consortium/WDB shall <br /> have the right, at its discretion, to settle or pay any <br /> or all claims arising out of the termination of such <br /> orders and subcontracts . <br /> B. Termination for Cause: <br /> If through any cause, the WIA Contractor shall fail to <br /> fulfill in a timely and proper manner its obligation under <br /> this Contract, or if the WIA Contractor shall violate any of <br /> the covenants, agreements, representations or stipulations of <br /> this Contract, the LA shall have the right to terminate this <br /> Contract by giving written notice to the WIA Contractor of <br /> such termination and specifying the effective date thereof. <br /> In such an event, all finished documents and other materials <br /> collected or produced under this Contract shall, at the <br /> option of the LA, become its property. The WIA Contractor <br /> shall be entitled to receive just and equitable compensation <br /> for any work satisfactorily performed under this Contract, <br /> except to the extent such work must be duplicated in order to <br /> complete the Contract . Notwithstanding the foregoing, the <br /> WIA Contractor shall not be relieved of liability to the LA <br /> for damages sustained by the LA by virtue of any breach of <br /> this contract by the WIA Contractor and the LA may withhold <br /> payment of any additional sums as security for payment of <br /> damages caused by the WIA Contractor' s breach, until such <br /> time as the exact amount of the damages resulting from such <br /> breach is determined. <br /> The LA may unilaterally terminate or modify this Contract if <br /> necessitated by unavailability of or reduction in funding, <br /> and/or nonperformance by the WIA Contractor. <br /> Local Workforce Area Contract Agreement Page 13 of 29 <br /> Amended 7/14 <br />