Exhibit 10.1
Supplemental
Conditions of the Standard Form of Agreement Between Owner and
Design/Builder between AVANT Immunotherapeutics, Inc. (Owner) and
SPEC
Process Engineering & Construction, Inc. (Design/Builder)
These
Supplemental Conditions of the Standard Form of Agreement Between Owner and
Design/Builder (these Supplemental Conditions) supplement and modify the
Standard Form of Agreement Between Owner and Design/Builder, Part 2 Agreement, 1996
edition of AIA Document A191, as modified, which is being entered into by Owner
and Design/Builder simultaneously with the execution and delivery of these
Supplemental Conditions (the Agreement).
In the event of any conflict between the Agreement and these
Supplemental Conditions, the terms of these Supplemental Conditions shall
control. Capitalized terms used in these
Supplemental Conditions without definition shall have the meanings ascribed to
them in the Agreement.
1. Project Program. The Owner and the Design/Builder
have developed the program for the Project (the Project Program) described in
Exhibit 4. The Project Program sets
forth the mutual understanding of the Owner and the Design/Builder of the Owners
needs and requirements for the Project. In
establishing the Project Program, the Owner and the Design/Builder have
discussed and considered, without limitation:
(a) the Owners overall objectives, limitations and criteria for
the Project; (b) human, vehicular and material flow patterns that
characterize the services that the Owner will provide; (c) tasks performed
by each operating unit that will be accommodated at the Project, each units
overall space requirements and how each unit must work with other operating
units; (d) the number types of personnel assigned to each unit, and the amount
and type of space required by each; (e) any special processes conducted by
the Owner, including flow diagrams, personnel requirements and the relationship
of each process to other processes that will be conducted at the Project;
(f) all equipment and systems that will be located in the Project,
including the size and dimensions of each item of equipment, and the
relationship of each item of equipment to other equipment, processes and
personnel; (g) overall utility requirements for the Project; (h) special
utility requirements for equipment and processes; (i) security criteria;
(j) requirements for future expansion or alteration; (k) existing
utility characteristics and utility availability. The Guaranteed Maximum Price (as hereinafter
defined) and Construction Schedule (as hereinafter defined) have been
established based on the Project Program.
2. Execution, Correlation and Intent.
(a) The
Drawings and Specifications prepared by or on behalf of Design/Builder will be
based upon, and comply with, the Project Program. Although the Owner will be provided with
copies of progress drafts of the Drawings and Specifications at appropriate
intervals as such documents are developed, and may be asked to approve the
same: (i) the Design/Builder shall
be responsible to ensure that the Drawings and Specifications comply with the
Project Program and the provisions of the Contract Documents; and
(ii) should the Owner request any change in the Drawings and
Specifications which is inconsistent with the Project Program, such request for
a change will be handled in accordance with Article 8 of the Agreement.
(b) In
the performance of its services hereunder, Design/Builder shall make a diligent
investigation of all laws, statutes, ordinances, building codes, rules and regulations
applicable to the design, construction and intended use of the Project
(Laws), including, without limitation, requirements of the Americans With
Disabilities Act, as interpreted and applied by governmental officials with
jurisdiction over the design and construction of the Project, and any energy
efficiency requirements, and shall prepare all Construction Documents and
perform the Work in compliance with all Laws, to the extent in force and effect
at the time Design/Builder renders such services.
(c) All
manufactured articles, materials, and equipment shall be applied, installed,
connected, erected, used and cleaned in accordance with the manufacturers
written or printed directions and instructions unless otherwise indicated.
(d) Where
no explicit quality or standards for materials or workmanship are established
for Work, such Work is to be consistent with the quality of the surrounding
Work and of the construction of the Project generally.
3. Third Party Beneficiary.
Supplementing the provisions of Paragraphs 1.2.3 and 3.1.1 of the
Agreement, the Owner shall be an intended third party beneficiary of the
services performed by the Architect, the Subcontractors, and all parties
providing labor, materials or services for the Project.
4. Ownership and Use of Design Documents. Article 3
of the Agreement is hereby superseded in its entirety by the provisions of this
Section. All Plans and Specifications,
and any design or creative concepts contained therein, and any other design
materials submitted, created, developed, supplied or generated in connection
with the Project and this Agreement by or on behalf of the Design/Builder (the Covered
Documents) shall be considered works made for hire under 17 U.S.C. §101, and
shall be and remain the sole, exclusive and complete property of Owner at all
times, and Owner shall own all rights, copyrights, or other intellectual
property rights there may be with respect to the Covered Documents. Design/Builder shall deliver copies,
including reproducible copies and copies of computer disks or other computer
memory storage devices, of the Covered Documents to Owner for information,
reference and use. The Design/Builder
hereby agrees to execute and furnish, as necessary, any assignment or other
document that may be necessary to perfect, confirm or maintain the Owners
ownership of all intellectual property rights in the Covered Documents. The Design/Builder shall not use the Covered
Documents for any purpose not relating to the Project without the Owners prior
written consent. Prior to final payment
or at any other time requested by the Owner, the Design/Builder shall cause the
any separate architect, engineer or other party providing design services to
deliver instruments in form and substance satisfactory to the Owner confirming
Owners ownership of the Covered Documents.
Submission or distribution of the Covered Documents to meet official
regulatory requirements or for similar purposes in connection with the Project
is not to be construed as publication in derogation of the reserved rights of
the Owner. The Design/Builder shall not
be responsible for Owners use without the participation of the Design/Builder
on projects other than the Project; and Owner shall indemnify and hold harmless
the Design/Builder if any claim is brought by a third party against the
Design/Builder based on such use of the Covered Documents by Owner without the
participation of the Design/Builder on projects other than the Project.
5. Construction Documents.
Supplementing the provisions of Paragraph 3.2.3, each iteration of the
Construction Documents submitted to the Owner for approval shall show by
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clouding all changes from the previous versions
(including changes from the preliminary design documents prepared prior to the
execution of the Agreement), and shall be accompanied by a statement from the Design/Builder
delineating with reasonable specificity the nature and extent of all such
changes. The Owner will endeavor to complete
its review of each progress draft of the Construction Documents submitted to
the Owner within ten (10) working days following Owners receipt. If the Owner requests any changes to a
progress draft of the Construction Documents after the expiration of such ten
(10) working day period, the Design/Builder may be entitled to an extension of
the time for performing the Work (subject to Section 9 hereof) unless the
change is required to (a) conform such Construction Documents to the
Project Program or Laws, (b) make the Construction Documents consistent
with any previous draft of the Construction Documents reviewed and accepted by
the Owner, (c) fully and properly implement or correct any items which
were previously the subject of any Owner comments or otherwise supposed to be
included the Construction Documents, or (d) correct any errors, omissions
or internal inconsistencies contained within the Contract Documents.
6. Licenses, Permits and Approvals.
Supplementing the provisions of Paragraph 3.2.10, the Design/Builder
shall obtain as a Basic Service within the Guaranteed Maximum Price all
designated or required governmental inspections and all required certificates
of occupancy and operating permits for machinery and equipment included in the
Project.
7. Record Documents. Notwithstanding anything to the
contrary (including, without limitation, the provisions of Paragraph 3.3.6 of
the Agreement), the Design/Builder shall prepare and deliver to Owner prior to
final payment reproducible sets of the Construction Documents, in print and
electronic format acceptable to the Owner, showing (a) deviations from the
Construction Documents made during construction, (ii) details in the Work
not previously shown, (iii) changes to existing conditions or existing
conditions found to differ from those shown on the Construction Documents,
(iv) the actual installed position of cable, equipment, piping conduits,
switches, electric fixtures, circuiting, access panels, openings, stub-outs and
similar items, and (v) such other information as the Owner may reasonably
request. This shall be done as a Basic
Service within the Guaranteed Maximum Price (the Record Documents).
8. Additional Services.
Notwithstanding anything to the contrary, any services which are
required of Design/Builder and its consultants due to errors or omissions of
Design/Builder or its subcontractors or consultants (including the Architect)
shall not be considered Additional Services and shall not entitle
Design/Builder and its consultants to compensation.
9. Time.
(a) The
Design/Builder shall perform and deliver the Work in accordance with the schedule for
the Work attached hereto as Exhibit 1 (as amended from time to time with the
written approval of the Owner or otherwise in accordance with the Contract
Documents, the Construction Schedule).
The Construction Schedule includes dates that are critical in
ensuring the timely and orderly completion of the Work in accordance with the
Contract Documents. In the event that
the performance of the Work has not progressed or reached the level of
completion required by the Construction Schedule, Owner shall have the right to
compel Design/Builder to take corrective measures to expedite the progress of
the Work, including, without limitation, (i) working additional shifts or
overtime and/or (ii) supplying additional manpower, equipment
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and facilities (collectively, Extraordinary Measures). Such Extraordinary Measures shall be
performed at no additional cost to the Owner and shall continue until the
progress of the Work complies with the level of completion required by the
Construction Schedule. The
Design/Builder shall not be entitled to any adjustment in the Contract Sum in
connection with Extraordinary Measures required by the Owner.
(b) The
Design/Builder acknowledges and agrees that (1) no adjustments to the time for
performing the Work shall be made unless the events described in Paragraph 4.5
of the Agreement shall have the effect of actually delaying completion of
components of the Work on the critical path indicated in the Construction Schedule and
(2) adjustments to the time for performing the Work will be permitted in
connection with any such delay only to the extent such delay (i) is not caused,
or could not have been avoided, by the Design/Builder or anyone for whom the
Design/Builder is responsible, (ii) could not be limited or avoided by the
Design/Builders timely notice to the Owner of the delay and (iii) has no
concurrent or contributing cause for which the Design/Builder would not be
entitled to an extension of the time for performing the Work. Notwithstanding anything to the contrary
(including, without limitation, the provisions of Paragraph 4.5 of the
Agreement), the Design/Builder shall not be entitled to any extension of the
time for performing the Work or any increase in the Contract Sum on account of
any labor action directed at the Design/Builder, any subcontractor, any lower
tier subcontractor, any supplier or any other party for whom the Design/Builder
is responsible.
10. Progress Payments. The
provisions of this Section modify and supplement the provisions of Article 5
of the Agreement
(a) Applications
for Payment shall be submitted on a form approved by the Owner. Each Application for Payment shall cover a
period of one calendar month. In
addition to other required items, each Application for Payment shall be
accompanied by the following, all in form and substance satisfactory to the
Owner:
(i) A
certified report from the Design/Builder (in form and substance satisfactory to
the Owner) showing all suppliers who have provided supplies and/or materials to
the Project and Subcontractors with whom the Design/Builder has entered into
subcontracts, the amounts of such subcontracts, the amount requested for any
Subcontractor in the Application for Payment and the amount to be paid to the
Design/Builder from such progress payment;
(ii) A
duly executed Partial Waiver and Subordination of Lien from the Design/Builder
in the form required by M.G.L. c. 254, § 32, together with the Owners
Supplement to Partial Waiver and Subordination of Lien, each in the form
attached as Exhibit 2, completed in a manner satisfactory to the Owner;
(iii) A
duly executed Payment Acknowledgment and Lien Waiver, in the form attached
hereto as Exhibit 3, from each Subcontractor (and, to the extent requested
by the Owner, each lower tier subcontractor and supplier) for whom payment was
made under previous Applications for Payment; and
(iv) Such
other information, documentation and materials as the Owner may reasonably
require.
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(b) Provided
an Application for Payment properly prepared and accompanied by all required
lien waivers and supporting materials is received by the Owner not later than
the 5th day of a month for the immediately preceding calendar month, the Owner
shall make payment to the Design/Builder not later than the 5th day
of the following month. If an
Application for Payment properly prepared and accompanied by all required lien
waivers and supporting materials is received by the Owner after the application
date fixed above, payment shall be made by the Owner not later than the 30th
day following the date when such materials were received.
(c) Retainage
will not be withheld from progress payments except as set forth in this
paragraph. No further payments shall be
made to Design/Builder after the Owner has paid ninety percent (90%) of the
Contract Sum (as reasonably estimated by the Owner) to Design/Builder. Upon achievement of Substantial Completion of
the Work, the Owner shall release to the Design/Builder all retainage except an amount equal to the
sum of (i) five percent (5%) of the Design/Builders Fee plus (ii) two
hundred percent (200%) of the estimated cost to correct or complete incorrect
or incomplete Work as shown on the Punchlist (as hereinafter defined). The Owner shall thereafter make payments
monthly for corrected and/or completed Punchlist items as such Punchlist items
are corrected
and/or completed. Final payment
of the balance of such withheld sum shall be made upon correction or completion
of all incomplete or nonconforming Work.
11. Completion of the Work.
(a) Substantial
Completion of the Work shall be achieved when (1) all Project systems
included in the Work are operational as designed and specified, (2) all
designated or required municipal governmental inspections (e.g.,
building department, etc.) have been successfully completed, and temporary or
permanent certificates of occupancy have been obtained (allowing unrestricted
use and occupancy by the Owner as intended), and (3) all of the other
conditions precedent to Substantial Completion of the Work set forth on Schedule E
have been satisfied. When the Design/Builder
believes that Substantial Completion of the Work has been achieved, the Design/Builder
shall submit to the Owner a list of items to be completed or corrected together
with the Design/Builders proposed estimated value of completing or correcting
such item (as approved or the Owner, the Punchlist). Upon receipt of the Design/Builders list,
the Owner will make an inspection to determine whether (i) Substantial
Completion of the Work has been achieved and/or (ii) whether the proposed
Punchlist submitted by Design/Builder is correct and complete. The Owner shall have the right to modify and/or
supplement the list of items on the proposed Punchlist submitted by
Design/Builder and to modify or, for items added by the Owner, establish the
estimated value of completing or correcting such items. The failure to include any items on the
Punchlist does not alter the responsibility of the Design/Builder to complete
all Work in accordance with the Contract Documents.
(b) Supplementing
the provisions of Paragraph 5.2 of the Agreement, final completion of the Work
shall not be deemed to have occurred, and final payment shall not become due
and payable unless and until, all Work has been fully completed and
Design/Builder has delivered to Owner, and Owner has approved, the following
items: (i) conditional final lien
waivers from Design/Builder and all Subcontractors in form and substance
satisfactory to the Owner demonstrating receipt by such parties of all prior
payments and confirming that the only
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outstanding amounts payable with respect to the Work are amounts to be
paid out of the final payment; (ii) the Record Documents; (iii) all
special warranties and binders containing information on equipment and controls
that are part of the Work; and (iv) to the extent not previously
delivered, final and unconditional certificates of occupancy for the Work.
12. Hazardous Materials. In the
event the Design/Builder encounters at the Project site material reasonably
believed to be hazardous under state or federal law which has not been rendered
harmless, the Design/Builder shall report the condition to the Owner in
writing. The Work in the affected area
shall not thereafter be resumed except by written agreement of the Owner and Design/Builder
if hazardous or contaminated under state or federal law and has not been
rendered harmless. The Work in the
affected area shall be resumed in the absence of material defined as hazardous
or contaminated under state or federal law or when it has been rendered
harmless. The Design/Builder shall not
be required pursuant to Article 8 of the Agreement to perform without
consent any Work relating to material defined as hazardous or contaminated
under state or federal law. If, without
negligence on the part of the Design/Builder or anyone for whom the
Design/Builder is responsible, the Design/Builder is held liable for the cost
of remediation of a hazardous material or substance outside the scope of the
Work solely by reason of performing Work as required by the Contract Documents,
the Owner shall indemnify the Design/Builder for all cost and expense thereby
incurred.
13. Insurance. The provisions of this Section modify
and supplement Article 7 of the Agreement.
(a) Design/Builders
Insurance. The Design/Builder shall
procure and maintain, at the Design/Builders expense, the following insurance
coverages, which insurance shall be placed with insurance companies rated at
least A/VI or better in Bests Key Rating Guide. Each policy shall include an endorsement
requiring that the insurance company give written notice to Owner at least
thirty (30) days prior to the modification, cancellation, non-renewal or
reduction in the coverage limits of such policy:
(i) Workers
compensation insurance in statutory amounts and employers liability insurance
in the amount of $500,000;
(ii) Motor
vehicle insurance covering owned, non-owned and hired vehicles for personal
injury in the amount of $1,000,000 combined single limit for bodily injury and
for property damage;
(iii) Commercial
general liability coverage for bodily injury, personal injury and property
damage in the amount of $1,000,000 bodily injury per occurrence, $1,000,000
property damage per occurrence and $5,000,000 aggregate limit;
(iv) Professional
liability coverage for all professional services relating to the Project in the
minimum amount of $2,000,000; and
(v) Umbrella
Liability Coverage over Commercial General Liability and Motor Vehicle
Insurance in the amount of $5,000,000.
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The liability policies
shall include a contractual liability endorsement covering the indemnification
obligations under the Contract Documents.
The other insurance clause shall be deleted from each policy of
insurance carried by the Design/Builder so as to make it clear that the
coverage of such policy is primary and any coverage under any policy or
policies of insurance held by the Owner or any other additional insured is
secondary. Each policy of insurance carried by the
Design/Builder shall be endorsed to provide a separate general aggregate limit
for the Work performed under this Contract, and will, by its terms,
specifically cover the entire term of the Contract Documents. All of the insurance required to maintained
by Design/Builder shall be written on an occurrence basis, except that
professional liability and umbrella liability can be written on a claims made
basis provided that such coverages are maintained for six years following final
payment. The Owner, the Landlord, any lender(s) and
such other persons designated by the Owner from time to time shall be named as
additional insureds on all insurance policies required hereunder except workers
compensation and professional liability policies. The Design/Builder shall, upon demand,
provide the Owner with proof that the insurance requirements have been met,
which shall be in the form of certificates of insurance (or, at the Owners
request, insurance policies) reasonably acceptable to the Owner. Renewal certificates for all policies that
expire during the term of the Contract Documents must also be provided at least
thirty (30) days prior to each policys respective expiration. Nothing in this clause, or any failure of
Design/Builder to secure required coverages or otherwise comply with the
insurance provisions of the Contract Documents, shall modify or limit the
Design/Builders liability or other obligations under the Contract Documents.
(b) Owners
Insurance. Notwithstanding anything
to the contrary in the Contract Documents:
(a) any property insurance maintained by the Owner or the Landlord
shall not be required to cover portions of the Work stored off site or portions
of the Work in transit; (b) the Owner shall have the sole right to adjust
and settle claims with its property insurers and shall have no obligation to
post any bond for performance of its duties; (c) although the Owner shall
be required to act in good faith in adjusting any claims with its property
insurers and thereafter applying any insurance proceeds received from its
property insurers, the Owner shall not be a fiduciary of the Design/Builder or
any Subcontractor; and (d) any liability insurance maintained by the Owner
is and shall be secondary to and excess of any insurance maintained by the
Design/Builder, the Architect, any subcontractor or any other party for whom
the Design/Builder is responsible.
14. Changes in the Work.
(a) No
change in the Work shall proceed and no claim for additional monies or
additional time for any extra Work will be valid unless such Work is done
pursuant to a written Change Order or Construction Change Directive. Notwithstanding anything to the contrary, the
maximum allowable percentages for fee and so-called general conditions and general
requirements items to Design/Builder on proposals for an increase in the
Contract Sum shall not exceed sixteen percent (16%) of the net increase in the
direct Cost of the Work (i.e.,
the Cost of the Work excluding Design/Builders fee and so-called general
conditions and general requirements items).
(b) The
Owner will designate individuals (each, an Owner Representative) who shall be
authorized to approve or direct changes in the Work. The initial Owner
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Representatives are Mary Nicholson.
The Owner may change, or name additional, Owner Representatives from
time to time by written notice to Design/Builder.
15. Claims and Disputes.
(a) In
the event of any mediation, arbitration or legal proceeding between the Owner
and any third party arising out of or relating to the Project, the
Design/Builder agrees that (i) the Owner may join the Design/Builder in any
such proceedings and that the Owner may consolidate any such proceedings with
any proceeding between the Design/Builder and the Owner under the Contract
Documents, and (ii) the Owner may make persons other than the Owner and the
Design/Builder parties to any mediation, arbitration or legal proceeding
hereunder with respect to any claim, dispute or other matter in question
arising out the Project.
(b) The
provisions of Paragraph 11.4 of the Agreement shall not limit the time within
which the Owner may assert any claim against the Design/Builder alleging a
failure to comply with the Contract Documents or any defective or nonconforming
Work.
16. Indemnification. The obligations of the
Design/Builder to indemnify and hold harmless under Paragraph 11.5 of the
Agreement shall: (a) extend to the
Landlord, any lender(s) and the partners, officers, directors, trustees and
employees of the Owner, the Landlord and any lender(s); and (b) include,
to the fullest extent permitted by law, any claims, damages, losses or expenses
in any way arising or alleged to be arising from the design or performance of
the Work or the failure of the Design/Builder, the Design/Builders
Subcontractors, lower level subcontractors and employees or agents of any of
them to design or perform the Work in accordance with applicable Laws.
17. Compensation.
(a) Contract
Sum. For Design/Builders performance
of the Work, Owner shall pay Design/Builder an amount (the Contract Sum)
consisting of the Cost of the Work (as hereinafter defined) and the
Design/Builders Fee (as hereinafter defined); provided, however, that the
Contract Sum shall in no event exceed One Million Nine Hundred Seventeen
Thousand Seven Hundred Two Dollars ($1,917,702) (as adjusted by Change Order
pursuant the Contract Documents, the Guaranteed Maximum Price).
(i) Cost
of the Work. The term Cost of the
Work shall mean the costs set forth on Schedule A attached hereto which
are actually and necessarily incurred by Design/Builder in the proper
performance of the Work. Such costs
shall be at rates not higher than those customarily paid at the place of the
Project except with prior consent of Owner.
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(ii) Design/Builders
Fee. Design/Builders fee for all
services hereunder (Design/Builders Fee) shall be the stipulated lump sum
amount of One Hundred Eight Thousand Five Hundred Forty-Nine Dollars ($108,549).
(iii) Savings. All Guaranteed Maximum Price Savings (as
such term is defined below), if any, shall accrue to the Owner. As of the date of final completion of the
Work the amount, if any, by which (x) exceeds (y) shall be considered the
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Guaranteed Maximum Price
Savings, where (x) is the Guaranteed Maximum Price and (y) is the sum of the
actual Cost of the Work and the actual Design/Builders Fee.
(b) Competitive
Bids. Except as otherwise agreed in
writing by the Owner, all labor, materials and equipment (whether rented or
purchased) for each portion of the Work with a cost (together with all other
items to be provided by the proposed subcontractor or supplier) of Ten Thousand
Dollars ($10,000) or more shall be obtained on the basis of competitive bids in
accordance with this paragraph. Design/Builder
shall provide the Owner with a list of proposed bidders for each portion of the
Work who have been selected by Design/Builder for their ability to perform the
applicable Work. The Owner may, but
shall have no obligation to, review and approve the Design/Builders list of
proposed bidders prior to the Design/Builders solicitation of bids. Design/Builder shall request bids from at
least three (3) prospective qualified subcontractors or suppliers from such
list for each portion of the Work that Design/Builder does not intend to
perform with Design/Builders own forces or through an affiliate of
Design/Builder. For any portion of the
Work that Design/Builder intends to perform with Design/Builders own forces or
through an affiliate, Design/Builder shall (i) request bids from at least
two (2) prospective qualified subcontractors or suppliers unaffiliated with
Design/Builder from the list and (ii) submit, or cause its affiliate to
submit, a bid for the Work to Owner at least one (1) business day prior to
receipt of bids from the unaffiliated prospective subcontractors or
suppliers. Following receipt of all bids
for a portion of the Work, Design/Builder shall equalize (based on scope of
Work and bid responses) and summarize the bids received and make
recommendations to Owner as to which bids should be accepted. Design/Builder, with the Owners consent,
shall then determine which bids will be accepted. Work by a Design/Builder or affiliate of
Design/Builder shall be permitted only if (1) Owner consents thereto in writing
after full disclosure in writing by the Design/Builder to the Owner of the
affiliation or relationship and (2) Owner approves in writing any subcontract,
contract, purchase order, agreement or other arrangement in form and substance. Unless the Owner otherwise approves in
writing, the lowest qualified bidder (that is a bidder who, if selected, is
capable of performing the applicable Work without having a negative effect on
the outcome of the project or impairing the Design/Builders ability to meet
the requirements of this Agreement) will be selected by Design/Builder;
however, the Design/Builder may elect to use a bidder other than the low bidder
without the written approval of the Owner if the selected bidder is within 2.5%
of the cost of the low bidder (but any such selection shall not increase the
Guaranteed Maximum Price). If the Owner
without reasonable justification requires the Design/Builder to select a bidder
other than the lowest priced qualified bidder recommended by Design/Builder,
and the bid price of the bidder required by Owner is higher than the bid price
of the lowest priced qualified bidder recommended by Design/Builder, the
Guaranteed Maximum Price shall be increased by the difference between the bid
price of the bidder required by Owner and the bid price of the lowest priced
qualified bidder recommended by Design/Builder, which adjustment to the
Guaranteed Maximum Price shall be implemented by Change Order prior to
commencement of the applicable subcontractors Work.
(c) Discounts,
Rebates and Refunds. All discounts,
rebates or refunds in connection with the Work shall be credited against the
Cost of the Work.
(d) Books
and Records. Design/Builder shall
keep full and detailed accounts as necessary for proper financial management of
the Project. Owner and its
representatives shall
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at all reasonable times be afforded access to all records, books,
correspondence, instructions, drawings, receipts, vouchers, memoranda and
similar data of Design/Builder and any and all of its consultants and
subcontractors relating to the Agreement and performance of the Work, and may
make copies of such items.
Design/Builder and all of its consultants and subcontractors shall
preserve all such records for a period of at least three years after the final
payment or longer where required by law.
Design/Builder shall cause all of its consultants and subcontractors to
comply with the provisions of this paragraph.
If any review by Owner reveals an overpayment by Owner, Design/Builder
shall pay to the Owner the amount of such overpayment within ten (10) days of
Owners demand.
18. Schedule of Values; Allowances.
(a) The
initial schedule of values allocating the Guaranteed Maximum Price among
the various components of the Work prepared by the Design/Builder and approved
by the Owner is attached hereto as Schedule C (as amended from time to
time with the approval of the Owner, the Schedule of Values). The Schedule of Values shall be updated
by the Design/Builder as frequently as necessary to reflect changes as the Work
proceeds.
(b) The
Guaranteed Maximum Price includes allowances for the items, and in the amounts,
set forth on Schedule D attached hereto and made a part hereof. The Guaranteed Maximum Price shall be
increased or decreased, as applicable, by the difference between (i) the
amount of each allowance then listed on Schedule D and (ii) the
actual out-of-pocket cost to the Design/Builder of providing any of the
allowance items.
19. Liens. In the event that any
Subcontractor, supplier or other party for whom the Design/Builder is
responsible establishes a lien against the Project and/or the Project site, the
Design/Builder shall, within five (5) days following the request of the Owner,
obtain for the Owners benefit and at no cost to the Owner, cause such lien to
be discharged (by filing a lien discharge bond from a surety and in a form
acceptable to the Owner or otherwise).
If the Design/Builder fails to obtain a cause such lien to be discharged
within such five (5) day period, the Owner shall have the right to
(a) withhold succeeding progress payments or any other sums payable to the
Design/Builder and/or (b) have such lien discharged (by bonding, by making
payment to the lienor, or otherwise) at the Design/Builders cost and
expense. The Owner may either apply
amounts so withheld to discharging such lien(s) or may retain such amounts
until such lien(s) are discharged or released by the Design/Builder or the
lienor and shall thereafter credit to the Design/Builder any amounts remaining
after payment of the fees and expenses the Owner incurs in connection with such
lien(s). The Design/Builder agrees to
indemnify and hold harmless the Owner from all costs and expenses incurred by
the Owner in connection with defending or discharging such lien(s).
20. Non-Recourse. No partner, member, shareholder,
director, officer, agent or employee of the Owner or any of the foregoing shall
have any personal liability arising out of the Contract Documents or the
Project.
21. Key Personnel. The members of the Design/Builders
and Architects staff assigned to and primarily responsible for supervising
and/or performing the Work shall be the following persons:
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Person
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Position
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Steve Murray
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Project Manager
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Steve Savage
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Project Superintendent
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Anne Myers
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Project Architect
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Such key members of the Design/Builders staff shall
not be changed without the written consent of the Owner, unless such person
becomes unable to perform his or her duties due to death, disability or
termination of employment, or unless the Owner requests removal. If a key member is no longer capable of
performing in the capacity described in the attached exhibit, or is removed by
the Owner, the Owner and the Design/Builder shall agree on a mutually
acceptable substitute.
22. Protection From Water Damage. In
performing the Work, the Design/Builder shall exercise diligent efforts to
protect the Project and to cause all materials, supplies, systems and equipment
which are delivered to the Project site from exposure to, and damage from,
water. Without limiting the generality
of the foregoing, the Design/Builder shall (a) cause all materials,
supplies, systems and equipment which are delivered to the Project site to be
stored in a safe and secure location, packaged in a watertight manner where
possible, and stored in a manner which protects such items from inclement
weather, the elements (including, without limitation, rain, snow and water
damage) and other damage until such items are incorporated into the Work, and
(b) ensure that all plumbing components and exterior elements included within the
Work are constructed and installed in accordance with the Contract Documents so
as not to allow water leaks or penetration.
In addition to (and not in limitation of) the indemnification
obligations of Design/Builder set forth in Paragraph 11.5 of the Agreement,
Design/Builder shall indemnify and hold harmless the indemnified parties to the
fullest extent permitted by law from all claims, liabilities and losses arising
out of or resulting from the failure of the Design/Builder (or any
subcontractor of any tier) to comply with the provisions of this
paragraph. The foregoing indemnification
shall include, without limitation, any claim, liability of loss attributable to
(i) bodily injury, sickness, disease or death arising out of or relating
to, and (ii) the costs of any abatement, clean-up, removal and disposal
(to the satisfaction of Owner) of, any mold, fungal growth, spores or the like
which occurs at the Project site as a result of any failure by Design/Builder
(or any subcontractor of any tier) to comply with the provisions of this
paragraph.
23. Termination by the Owner for Convenience.
Subparagraph 12.1.1 of the Agreement is hereby deleted in its entirety
and superseded by this Section. The
Owner may terminate the Design/Builders services in whole or in part for the
Owners convenience without cause. In
case of termination for the Owners convenience without cause, the
Design/Builder shall be entitled to receive payment for Work properly executed
in accordance with the Contract Documents (the basis for such payment shall be
as provided in the Agreement and these Supplemental Conditions) and for
reasonable demobilization and cancellation charges incurred by the
Design/Builder directly related to the termination of the Work (including
reasonable amounts necessary to terminate agreements with Subcontractors and
suppliers). The Design/Builder shall not
be entitled (nor shall any Subcontractor be entitled) to consequential or
incidental damages, including, but not limited to, damages for loss of anticipated
profits on Work not performed, on account of any termination for the Owners
convenience.
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24. Financing for the Project.
Subparagraph 2.10 of the Agreement is hereby deleted in its
entirety. The Design/Builder
acknowledges that the Owner may finance the work with funds provided and/or
administered by one or more construction lenders (each, a Lender). The Design/Builder agrees to comply with the
requirements of each Lender which bear upon the performance of the Work. The Design/Builder shall also: (a) make the site of the Work available
at reasonable times for inspection by the Lender or the Lenders
representatives; (b) consent to and execute all documents reasonably
requested by the Owner or any Lender in connection with the assignment of the
Contract to any Lender for collateral purposes and/or the disbursement of funds
by any Lender; (c) promptly furnish the Owner with information, documents,
materials and/or certificates that the Owner may reasonably request from time
to time in order to comply with the requirements of the Lender; and
(d) otherwise comply with all requirements of any Lender to the extent
applicable to the performance of the Work.
25. Special Provisions Regarding Lease. Notwithstanding
anything to the contrary, the Design/Builder acknowledges and agrees that: (a) the Work is to be performed in
premises leased from Massachusetts Development Finance Agency (Landlord);
(b) the Design/Builder shall make the site of the Work available at
reasonable times for inspection by Landlord or Landlords representatives;
(c) all or a portion of the Contract Sum shall be paid with funds provided
by Landlord; (d) the Design/Builder shall comply with any requirements,
rules or procedures imposed by Landlord and agreed to by the Owner which relate
to the design and/or performance of the Work or payment for the Work within the
Guaranteed Maximum Price (including all charges imposed by Landlord
thereunder); (e) the Landlord, and not the Owner, shall be providing
property insurance for the Project and the Project site, which property
insurance shall include only the coverages and limits normally carried by the
Landlord; (f) the Landlord shall be an indemnified party and shall be
named as an additional insured to the same extent as Owner under the Contract
Documents; and (g) the Design/Builders architect or engineer shall
certify to Owner and Landlord that all components of the Work, once installed,
will be compatible with the buildings plumbing, electrical and mechanical
systems.
26. Confidentiality. Design/Builder shall maintain,
and cause all of its subcontractors to maintain, the confidentiality of all
information about the Owner and the Project that would reasonably be considered
confidential (including, without limitation, technical information or
specifications regarding the Project and/or the Owners proprietary processes
and procedures), unless withholding such information would violate the law or
prevent Design/Builder from establishing a claim or defense in an adjudicatory
proceeding.
27. Building in Use. Design/Builder recognizes that
the Project may involve working in a facility which will be in use during the
period of construction, and Design/Builder shall cooperate with the Owner and
perform its Work hereunder in such a manner and at such times so as to
(a) protect persons and property in the facility and (b) minimize
interference with the present operation of the facility. Design/Builder acknowledges that it
incorporated into its Contract budget that the facility and surrounding areas
are open to the public, and Design/Builder agrees to make no claims for
additional costs or damages associated with any inefficiencies caused by the
normal building operations. Neither
shall the Owner be required to make any adjustment in the Contract Time for the
Design/Builder for any delays associated with normal building operations. The Design/Builder may make claims for
additional costs or
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adjustments to the Contract Time if the
inefficiencies are caused by unreasonable Landlord imposed conditions that are
not associated with normal building operations.
28. Counterparts. These Supplemental Conditions may
be executed in one or more counterparts, each of which shall be deemed an
original binding on the parties hereto.
[Signatures on Following Page(s)]
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IN WITNESS WHEREOF, the Owner and the Design/Builder
have entered into this Rider as of the date first set forth in the Agreement.
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AVANT
IMMUNOTHERAPEUTICS, INC.
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By:
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Name:
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Title:
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SPEC PROCESS ENGINEERING &
CONSTRUCTION, INC.
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By:
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Name:
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Title:
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