(A) There are two types of termination: termination for convenience; and termination by default. Termination for convenience means the city can terminate the contract at anytime. This usually occurs when project plans have huge errors or the project is severely affected by other projects or emergencies outside the control of the city.
(B) Termination by default means the city can terminate the contract for the following reasons:
(1) Contractor fails to commence his or her work within a reasonable time;
(2) Contractor does not perform with reasonable progress;
(3) Contractor abandons, fails or refuses to complete work;
(4) Contractor improperly performs the work; or
(5) Contractor goes out of business or files bankruptcy.
(C) Termination by default is not an immediate event. This type of default requires a series of events to occur over a period of time, all of which must be documented by the DOE. The use of a daily diary is a very critical aspect of this termination.
(Ord. 131-05, passed 10-17-2005)