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costs attributable to OWNER's trait'aliGn of and determi- nation to accept such defective Work (such costs to be approved by ENGINEER as to reasonab(cncss and to include but not be limited to fees and charges of engineers, architects, attor- neys and other professionals). If any such acceptance occurs prior to ENGINEER's recommendation of final payment, a Change Order will be issued incorporatlng the necessary revi- sions in the Contract Documents with respect to the Work; and OWNER shall be entitled to an appropriate decrease in the Contract Price, and, if the parties are unable to agree as to ~he amount thereof, OWNER may make a claim therefor as provided in Article 11. If the acceptance occurs after such recommendation, an appropriate amount will be paid by CONTRACTOR to OWNER. OWNER May Correct Defective Work: 13.14. If CONTRACTOR fails within a reasonable time after written notice of ENGINEER to proceed to correct and to correct defective Work or to remove and replace rejected Work as required by ENGINEER in accordance with para- graph 13.11, or if CONTRACTOR fails to perform the Work in accordance with the Contract Documents, or if CON- TRACTOR fails to comply with any other provision of the Contract Documents, OW'NER may, after seven days' writ- ten notice to CONTRACTOR, correct and remedy any such deficiency. In exercising the rights and remedies under this paragraph OWNER shall proceed expeditiously. To the extent necessary to complete corrective and remedial action, OWIqER may exclude CONTRACTOR from all or part of the site, take possession of all or part of the Work~ and suspend CON- TRACTOR's services related thereto, take possession of CONTRACTOR's tools, appliances, construction equipment and machinery at the site and incorporate in the Work all materials and equipment stored at the site or for which OWNER has paid CONTRACTOR but which are stored elsewhere. CONTRACTOR shall allow OWNER, OWNER's represen- t, atlves, agents and employees such access to the site as may be neoessary to enable OWNER to exercise the fights and remedies under this paragraph. All direct, indirect and con- sequential costs of OWNER in exercising such tights and remedies will be charged against CONTRACTOR in an amount approved as to reasonableness by ENGINEER, and a Change Order will be issued incorporating the necessary revisions in the Contract Documents with respect to the Work; and OWNER shall be entitled to an appropriate decrcase in the Contract Price, and, if the parties arc unable to agree as to the amount thereof, OWNER may make a claim therefor as provided in Article I 1. Such direct, indirect and consequen- tial costs will include but not be limited to fees and charges of engineers, architects, attorneys and other professionals, all court and arbitration costs and all costs of repair and replacement of work of others destroyed or damaged by correction, removal or replacement of CONTRACTOR's defective Work. CONTRACTOR shall not be allowed an extension of the Contract Time because of any delay in per- formance of the Work attributable to t he exercise by OWN ER of OWNER's fights and remedies hereunder. ARTICLE 14--PAYMENTS TO CONTRACTOR AND COMPLETION ~. Schedule of Values: 14.1. The schedule of values established as provided in paragraph 2.9 will serve as the basis for progress payments and will be incorporated into a form of Application for Pay- ment acceptable to ENGINEER. Progress payments on account of Unit Price Work will be based on the number of units completed. Application for Progress Payment: 14.2. At least twenty days before each progress payment is scheduled (but not more often than once a month), CON- TRACTOR shall submit to ENGINEER for review an Appll- cation for Payment filled out and signed by CONTRACTOR covering the Work completed as of the date of the Application and accompanied by such supporting documentation as is required by the Contract Documents. If payment is requested on the basis of materials and equipment not incorporated in the Work but delivered and suitably stored at the site or at another location agreed to in writing, the Application for Payment shall also be accompanied by a bill of sale, invoice or other documentation warranting that OWNER has received the materials and equipment free and clear of ali liens, charges, security interests and encumbrances (which are hereinafter in these General Conditions referred to as "Liens"} and evidence that the materials and equipment are covered by appropriate property insurance and other arrangements to protect OWNER's interest therein, all of which will be sat- isfactory to OWNER. The amount of retainage with respect to progress payments will be as stipulated in the Agreement. CONTRACTOR's Warranty of Title: 14.3. CONTRACTOR warrants and guarantees that title to all Work, materials and equipment covered by any Appli- cation for Payment, whether incorporated in the Project or not, will pass to OWNER no later than the time of payment free and clear of all Liens. Review of Appllcatlons for progress Payment: 14.4. ENGINEER will, within ten days after receipt of each Application for Payment, either indicate in writing a recommendation of payment and i~resent the Application to OWNER, or return the Application to CONTRACTOR indi- eating in writing ENGINEER's reasons for re'fusing to rec- ommend payment. In the latter ease, CONTRACTOR may make the necessary corrections and resubmit the Applica- tion. Ten days after presentation of thc Application for Pay- ment with ENGINEER's recommendation, the amount rec- ommended will (subject to the provisions of the last sentence of paragraph 14.7) become due and when due will be paid by OWNER to CONTRACTOR. 14.5. ENGINEER's recommendation of any payment requested in an Application for Payment will constitute a 54