In the event of default in the performance of, or violation of, any of the terms and conditions of this contract by the contractor or any subcontractor, the City may serve a written notice upon the contractor and the surety of its intention to terminate such contract with the reasons therefor. Unless within ten calendar days after the service of such notice such default shall be fully cured and/or such violation discontinued and all damages by reason thereof paid or provisions made for the payment thereof to the satisfaction of the City, the City, at its option, may terminate the contract by serving a written notice of such termination upon the contractor and the surety.
In the event of such termination, the surety shall have the right to take over and perform the contract. However, if the surety does not commence performance thereof within fifteen calendar days after the service upon it of such notice of termination, the City may take over the work and prosecute the same to completion by contract or otherwise for the account of and at the expense of the contractor.
In the event the City takes over the work as aforesaid:
(a) The contractor and his surety shall be liable to the City for any excess cost occasioned the City thereby, and
(b) The City may take possession of, and utilize in completing the work, such materials, appliances and plant as may be on the site of the work and necessary or useful in connection therewith.
(Ord. 33-1960. Passed 3-7-60.)
(Ord. 33-1960. Passed 3-7-60.)