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§ 7 If the Surety elects to act under Section 5. 1, 5.2 or 5.3, then the responsibilities of tile Surety to tile Owner shall not be greater than those of the Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner tinder the Construction Contract. Subject to the commitment by the Owner to pay tile Balance of the Conti -act Price, tile Surety is obligated, without duplication, for .1 the responsibilities of the Contractor for correction of defective work and completion of the Construction ContracV, .2 additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the actions or failure to act of the Surety under Section 5; and .3 liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual damages caused by delayed performance or non-performance of the Contractor. 8 If the Surety elects toact under Section 5.1, 5.3 or SA, the Surety's liability is limited to the amount of this Bond. 9 'file Surety shall not be liable to die Owner or others for obligations of the Contractor that are unrelated to the Construction Contract, and the Balance of the Contract Price shall not be reduced or set offon account of any such unrelated obligations. No right of action shall accrue oil this Bond to any person or entity other than tile Owner or its heirs, executors, administrators, successors and assigns. § 10 The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase orders and other obligations. § 11 Any proceeding, legal or equitable, under this Bond may be instituted in any court of competentjurisdictioll ill tile location in which the work or part of the work is located and shall be instituted within two years after a declaration of Contractor Default or within two years after the Contractor ceased working or within two years after the Surety refuses or fails to perform its obligations tinder this Bond, whichever occurs first. If the provisions of this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction of the suit shall be applicable, § 12 Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown oil the page on which their signature appears, § 13 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted hercfroni and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. When so furnished, the intent is that this Bond shall be construed as a statutory bond and not as a common law bond. 14 Definitions 14.1 Balance of the Contract Price. The total amount payable by the Owner to the Contractor under the Construction Contract. after all proper adjustments have been made, including allowance to the Contractor of any amounts received or to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled, reduced by all valid and proper payments made to or on behalf of the Contractor tinder the Construction Contract. §'14.2 Construction Contract. *rhe agreement between the Owner and Contractor identified on the cover page, including all Contract Documents and changes made to the agreement anis the Contract Documents, § 14.3 Contractor Default, Failure of tile Contractor, which has not been remedied or waived, to perform or otherwise to comply with a material term of tile Construction Contract. § 14.4 Owner Default. Failure of the Owner, which has not been remedied or waived, to pay the Contractor as required under the Construction Contract or to perform and complete or comply with the other material terms of the Construction Contract, § 14.5 Contract Documents. All the documents that comprise the agreement between the Owner and Contractor. § 15 If this Bond is issued for an agreement between a Conti -actor and subcontractor, the term Contractor in this Bond shall be deemed to be Subcontractor and the term Owner shall be deemed to be Contractor. IML AIA DocurnontA312114 —2010. The Amerism institute of Architects.