subsequently issued to the Owner by the Architect, the Owner shall make progress payments to the
Construction Manager on account of the Contract Price. On or before the 1
st
day of each month after
commencement of the Work, the Construction Manager shall submit a Request for Payment for the period
ending the 25
th
day of the month. Said Request for Payment shall be in such form and manner, and with
such supporting data and content, as the Architect or the Owner may require. Therein, the Construction
Manager may request payment for ninety percent (90%) of that portion of the Contract Price properly
allocable to materials or equipment properly stored at the Project site (or elsewhere if approved in
advance, in writing, by the Owner), less the total amount of previous payments received from the Owner.
PROVIDED, HOWEVER, that when fifty (50) percent of the contract value, including change orders and
other additions to the contract value, provided for by the Contract Documents is completed, and the
manner of completion of the contract Work and its progress are reasonably satisfactory to the Owner, the
Owner shall withhold no more retainage. At the discretion of the Owner, and with the approval of the
Construction Manager, the retainage of any Trade Contractor may be released separately as such Trade
Contractor completes its work. If, however, after discontinuing the retention, the Owner determines that
the Work is unsatisfactory or has fallen behind schedule, retention may be resumed at the previous level.
If retention is resumed by the Owner, the Construction Manager and the Trade Contractors shall be
entitled to resume withholding retainage accordingly. The rights of the Owner set forth herein to
retainage are in addition to all of the other rights and remedies of the Owner as set forth in this
Agreement. Payment for stored materials and equipment shall be conditioned upon the Construction
Manager’s proof, satisfactory to the Owner, that the Owner has title to such materials and equipment and
shall include proof of required insurance. Each such Request for Payment shall be signed by the
Construction Manager and shall constitute the Construction Manager’s representation that the Work has
progressed to the level for which payment is requested in accordance with this Agreement, and that the
Construction Manager knows of no reason why payment should not be made as requested. Thereafter,
the Owner and the Architect shall review the Request for Payment and may also review the Work at the
Project site or elsewhere to determine whether the quantity and quality of the Work is as represented in
the Request for Payment and is as required by this Agreement. The Architect shall determine and
approve in writing the amount, in the opinion of the Architect, properly owing to the Construction
Manager. The Owner shall make partial payments on account of the Contract Price to the Construction
Manager within thirty (30) days following the Architect’s written approval of each Request for Payment.
The amount of each partial payment shall be the amount approved for payment by the Architect less such
amounts, if any, otherwise owing by the Construction Manager to the Owner for which the Owner shall
have the right to withhold as authorized by this Agreement. The Architect’s approval of the Construction
Manager’s Requests for Payment shall not preclude the Owner from the exercise of any of its rights as
set forth in Paragraph 5.7 herein below. The submission by the Construction Manager of a Request for
Payment constitutes an affirmative representation and warranty that all Work for which payments have
been received from the Owner is free and clear of liens, claims, security interests or other encumbrances
in favor of the Construction Manager or any other person or entity whatsoever. As a condition precedent
for payment, the Construction Manager shall also furnish to the Owner properly executed waivers of lien,
in a form acceptable to the Owner, from all Trade Contractors, subcontractors, material men and
suppliers wherein said Trade Contractors, subcontractors, material men, and suppliers shall acknowledge
receipt of all sums due pursuant to all prior Requests for Payment and waive and relinquish any liens or
lien rights relating thereto. Furthermore, the Construction Manager warrants and represents that upon
payment of the Request for Payment submitted, title to all Work covered thereby shall immediately pass
to the Owner.
5.5 Upon receipt of any payment or partial payment from the Owner, the Construction Manager shall
promptly pay all Trade Contractors, material men, laborers, suppliers, and other such amounts as they
are entitled for the Work covered by such payment or partial payment. In the event the Owner becomes
informed that the Construction Manager has not paid a Trade Contractor, material men, laborer, supplier,
or other entity as provided herein, the Owner shall have the right but not the duty, to issue future checks
and payment to the Construction Manager of amounts otherwise due hereunder naming the Construction
Manager and any such Trade Contractor, material men, laborer, supplier, or other entity as joint payees.
Such joint check procedure, if employed by the Owner, shall create no rights in favor of any person or
entity beyond the right of the named payees to payment of the check and shall not be deemed to commit
the Owner to repeat the procedure in the future.