ARTICLE II. TITLE TO THE WORK.

The title of all work completed and in course of construction and of all materials on account of which any payment has been made, and materials to be paid for under Article 7, shall be in the Owner.

ARTICLE 12. ACCOUNTING, INSPECTION, AUDIT.

The Contractor shall check all material and labour entering into the work and shall keep such full and detailed accounts as may be necessary to proper financial management under this Agreement and the system shall be such as is satisfactory to the Architect or to an auditor appointed by the Owner. The Architect, the auditor and their timekeepers and clerks shall be afforded access to the work and to all the Contractor's books, records, correspondence, instructions, drawings, receipts, vouchers, memoranda, etc., relating to this contract, and the Contractor shall preserve all such records for a period of two years after the final payment hereunder.

ARTICLE 13. APPLICATIONS FOR PAYMENT.

The Contractor shall, between the first and seventh of each month, deliver to the Architect a statement, sworn to if required, showing in detail and as completely as possible all moneys paid out by him on account of the cost of the work during the previous month for which he is to be reimbursed under Article 5 hereof, with original pay rolls for labour, checked and approved by a person satisfactory to the Architect, and all receipted bills.

He shall at the same time submit to the Architect a complete statement of all moneys properly due for materials or on account of separate contracts, or on account of his fee, or otherwise, which are to be paid direct by the Owner under Article 7 hereof.

The provisions of this Article supersede those of Article 26 of the General Conditions of the Contract.

ARTICLE 14. CERTIFICATES OF PAYMENT.

The Architect shall check the Contractor's statements of moneys due, called for in Article 13, and shall promptly issue certificates to the Owner for all such as he approves, which certificates shall be payable on issuance.

The provisions of this Article supersede the first paragraph of Article 27 of the General Conditions of the Contract.

ARTICLE 15. DISBURSEMENTS.

Should the Contractor neglect or refuse to pay, within five days after it falls due, any bill legitimately incurred by him hereunder (and for which he is to be reimbursed under Article 5) the Owner, after giving the Contractor twenty-four hours' written notice of his intention so to do, shall have the right to pay such bill directly, in which event such payment shall not, for the purpose either of reimbursement or of calculating the Contractor's fee, be included in the cost of the work.

ARTICLE 16. TERMINATION OF CONTRACT.

(The provisions of this Article supersede all of Article 37 of the General Conditions of the Contract except the first sentence.)

If the Owner should terminate the contract under the first sentence of Article 37 of the General Conditions of the Contract, he shall reimburse the Contractor for the balance of all payments made by him under Article 5, plus a fee computed upon the cost of the work to date at the rate of percentage named in Article 4 hereof, or if the Contractor's fee be stated as a fixed sum, the Owner shall pay the Contractor such an amount as will increase the

payments on account of his fee to a sum which bears the same ratio to the said fixed sum as the cost of the work at the time of termination bears to a reasonable estimated cost of the work completed, and the Owner shall also pay to the Contractor fair compensation, either by purchase or rental, at the election of the Owner, for any equipment retained. In case of such termination of the contract the Owner shall further assume and become liable for all obligations, commitments and unliquidated claims that the Contractor may have theretofore, in good faith, undertaken or incurred in connection with said work and the Contractor shall, as a condition of receiving the payments mentioned in this Article, execute and deliver all such papers and take all such steps, including the legal assignment of his contractural rights, as the Owner may require for the purpose of fully vesting in him the rights and benefits of the Contractor under such obligations or commitments.

The Contractor and the Owner for themselves, their successors, executors, administrators and assigns hereby agree to the full performance of the covenants herein contained. IN WITNESS WHEREOF they have executed this agreement the day and year first above written.

*

**

THE GENERAL CONDITIONS OF THE

CONTRACT *

STANDARD FORM OF THE AMERICAN INSTITUTE
OF ARCHITECTS

The Standard Documents have received the approval of
the National Association of Builders' Exchanges, the Na-
tional Association of Master Plumbers, the National Asso-
ciation of Sheet Metal Contractors of the United States,
the National Electrical Contractors' Association of the
United States, the National Association of Marble Dealers,

*Third Edition, 1918

the Building Granite Quarries Association, the Building
Trades Employers Association of the City of New York,
and the Heating and Piping Contractors National
Association.

Third Edition, Copyright 1915-1918 by the American Institute
of Architects, the Octagon, Washington, D. C.

INDEX TO THE ARTICLES OF THE GENERAL CONDITIONS

ARTICLE I. PRINCIPLES AND DEFINITIONS.—

(a) The Contract Documents consist of the Agreement,
the General Conditions of the Contract, the Draw-
ings and Specifications, including all modifications
thereof incorporated in the documents before their
execution. These form the Contract.

(b) The Owner, the Contractor and the Architect are those named as such in the Agreement. They are treated throughout the Contract Documents as if each were of the singular number and masculine gender.

(c) The term Subcontractor, as employed herein, includes only those having a direct contract with the Contractor and it includes one who furnishes material worked to a special design according to the plans or specifications of this work, but does not include one who merely furnishes material not so worked. (d) Written notice shall be deemed to have been duly served if delivered in person to the individual or to a member of the firm or to an officer of the corporation for whom it is intended, or if delivered at or sent by registered mail to the last business address known to him who gives the notice.

(e) The term "work" of the Contractor or Subcontractor includes labour or materials or both.

(f) All time limits stated in the Contract Documents are of the essence of the contract.

(g) The law of the place of building shall govern the construction of this contract.

ART. 2. EXECUTION, CORRELATION AND INTENT OF DOCUMENTS.The Contract Documents shall be signed in duplicate by the Owner and Contractor. In case of failure to sign the General Conditions, Drawings or Specifications the Architect shall identify them.

The Contract Documents are complementary, and what is called for by anyone shall be as binding as if called for by all. The intention of the documents is to include all labour and materials reasonably necessary for the proper execution of the work. It is not intended however, that materials or work not covered by or properly inferable from any heading, branch, class or trade of the specifications shall