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02-23-15-R
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02-23-15-R
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CITY OF ARDEN HILLS, MN <br />CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 17 <br /> <br />13. Default and Termination <br />13.1. If the work to be done under this Contract is abandoned by the Contractor; or if this <br />Contract is assigned by it without the written consent of the City Council; or if the <br />Contractor is adjudged bankrupt; or if a general assignment of assets is made for the <br />benefit of the Contractor’s creditors; or if a receiver is appointed for the Contractor of <br />any of its property; or if, at any time, the City determines that the performance of the <br />work under this Contract is being unnecessarily delayed or that the Contractor is <br />violating any of the conditions of this Contract, or that it is executing the same in bad <br />faith or otherwise not in accordance with the terms of this Contract, then the City may <br />serve written notice upon the Contractor and its surety of the City’s intention to <br />terminate this Contract. <br /> <br />13.2. Unless within twenty-one (21) days after the servicing of such notice, a satisfactory <br />arrangement is made for continuance, this Contract shall terminate and the Contractor <br />and its surety shall be liable to the City for all costs. <br /> <br />13.3. The City May Withhold Payments or Performance Bond. In the event of <br />Contractor’s default under the terms of this Contract, all payments due the Contractor <br />shall be retained by the City and applied to the completion of the Contract and to <br />damages suffered and expenses incurred by the City by reason of such default, unless <br />the surety on the performance bond shall assume the Contract, in which event all <br />payments remaining due the Contractor at the time of default, less amounts due the <br />City from the Contractor and less all sums due the City for damages suffered and <br />expense incurred by reason of such default shall be due and payable to such surety. <br />Thereafter, such surety shall receive monthly payments equal to those that would have <br />been paid to the Contractor had such Contractor continued to perform the Contract. <br /> <br />13.4. Liquidated Damages <br />13.4.1. The imposition of liquidated damages is not a penalty, but recognition of <br />the difficulty of ascertaining the damages resulting from certain types of <br />performance breaches. The assessment of liquidated damages shall be at <br />the reasonable discretion of the City and shall be in lieu of other <br />remedies, if imposed. <br />13.4.2. The City may deduct the full amount of any liquidated damages from any <br />payment due to the Contractor, but any liquidated damages not so <br />deducted shall remain the obligation of the Contractor and be payable to <br />the City on demand. <br />13.4.3. The City may assess liquidated damages in lieu of other remedies <br />available to the City for breach of the Contract or violation of the City’s <br />ordinances. Failure to impose liquidated damages for lack of <br />performance shall not constitute a waiver of the City’s other rights and/or
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