Asphalt Overlay of CDC Roads - Clark Freeport Zone

38.2. The use of a third party to correct defects that are uncorrected by theContractor will in no way relieve the Contractor of its liabilities andwarranties under the Contract.39. Advance Payment39.1. The Procuring Entity shall, upon a written request of the contractorwhich shall be submitted as a contract document, make an advancepayment to the contractor in an amount not exceeding fifteen percent(15%) of the total contract price, to be made in lump sum or, at themost two, installments according to a schedule specified in the SCC.39.2. The advance payment shall be made only upon the submission to andacceptance by the Procuring Entity of an irrevocable standby letter ofcredit of equivalent value from a commercial bank, a bank guaranteeor a surety bond callable upon demand, issued by a surety orinsurance company duly licensed by the Insurance Commission andconfirmed by the Procuring Entity.39.3. The advance payment shall be repaid by the Contractor by an amountequal to the percentage of the total contract price used for theadvance payment.39.4. The contractor may reduce his standby letter of credit or guaranteeinstrument by the amounts refunded by the Monthly Certificates in theadvance payment.39.5. The Procuring Entity will provide an Advance Payment on the ContractPrice as stipulated in the Conditions of Contract, subject to themaximum amount stated in SCC Clause 39.1.40. Progress Payments40.1. The Contractor may submit a request for payment for Workaccomplished. Such request for payment shall be verified and certifiedby the Procuring Entity’s Representative/Project Engineer. Except asotherwise stipulated in the SCC, materials and equipment delivered onthe site but not completely put in place shall not be included forpayment. An affidavit should be submitted for each progress billingsthat the said labor, equipment and materials are already been paid.40.2. The Procuring Entity shall deduct the following from the certified grossamounts to be paid to the contractor as progress payment:(a)(b)(c)Cumulative value of the work previously certified and paid for.Portion of the advance payment to be recouped for the month.Retention money in accordance with the condition of contract.68Clark Development CorporationSection IV General Conditions of the ContractAsphalt Overlay of CDC Roads