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AGREEMENT

Construction Agreement

AGREEMENT | Document Parties: FIRST UNITED ETHANOL LLC | Scruggs Company | Southwest Georgia Ethanol, LLC You are currently viewing:
This Construction Agreement involves

FIRST UNITED ETHANOL LLC | Scruggs Company | Southwest Georgia Ethanol, LLC

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Title: AGREEMENT
Governing Law: Georgia     Date: 8/26/2008

AGREEMENT, Parties: first united ethanol llc , scruggs company , southwest georgia ethanol  llc
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Exhibit 99.1

AGREEMENT

THIS AGREEMENT is dated as of the 19 th day of August in the year 20 08 , by and between Southwest Georgia Ethanol, LLC (hereinafter called OWNER) and The Scruggs Company (hereinafter called CONTRACTOR).

OWNER and CONTRACTOR, in consideration of the mutual covenants hereinafter set forth, agree as follows:

Article 1. WORK.

CONTRACTOR shall complete all Work as specified or indicated in the Contract Documents. The Work is generally described as follows: Paving Project .

The Project for which the Work under the Contract Documents may be the whole or only a part is generally described as follows: Paving Project .

Article 2. ENGINEER.

The Project has been designed by Carter & Sloope, Inc. who is hereinafter called ENGINEER and who is to act as OWNER’s representative, assume all duties and responsibilities and have the rights and authority assigned to ENGINEER in the Contract Documents in connection with completion of the Work in accordance with the Contract Documents.

Article 3. CONTRACT TIME.

3.1. CONTRACTOR agrees to commence Work under this Agreement on or before a date to be specified on a written “Notice to Proceed” of the OWNER and to fully complete the Work within 45 consecutive calendar days from the “Notice to Proceed” date.

3.2. Liquidated Damages. OWNER and CONTRACTOR recognize that time is of the essence of this Agreement and that OWNER will suffer financial loss if the Work is not completed within the times specified in paragraph 3.1 above, plus any extensions thereof allowed in accordance with Article 12 of the General Conditions. They also recognize the delays, expense and difficulties involved in proving in a legal or arbitration proceeding the actual loss suffered by OWNER if the Work is not completed on time. Accordingly, instead of requiring any such proof, OWNER and CONTRACTOR agree that as liquidated damages for delay (but not as a penalty) CONTRACTOR shall pay OWNER One Thousand and 00/100 Dollars ($1,000.00) for each day that expires after the time specified in paragraph 3.1.

 

 

 

 

 

 

First United Ethanol, LLC (FUEL)

 

C&S Project No.: F3300.001

Paving Project

 

August 2008

 

A-1


 

Article 4. CONTRACT PRICE.

4.1. OWNER shall pay CONTRACTOR for completion of the Work in accordance with the Contract Documents in current as follows:

One million three hundred twenty-two thousand nine hundred eighty-one dollars and 46/100 Dollars ($ 1,322,981.46 )

Article 5. PAYMENT PROCEDURES.

CONTRACTOR shall submit Applications for Payment in accordance with Article 14 of the General Conditions. Applications for Payment will be processed by ENGINEER as provided in the General Conditions.

Article 6. CONTRACTOR’S REPRESENTATIONS.

In order in induce OWNER to enter into this Agreement CONTRACTOR makes the following representations:

6.1. CONTRACTOR has familiarized itself with the nature and extent of the Contract Documents, Work, site, locality, and all local conditions and Laws and Regulations that in any manner may affect cost, progress, performance or furnishing of the Work.

6.2. CONTRACTOR has reviewed all information and data shown or indicated on the Contract Documents with respect to existing Underground Facilities at or contiguous to the site and assumes responsibility for verifying the accurate locations of said Underground Facilities. CONTRACTOR assumes responsibility for coordination of the work with the Owners of such underground facilities during construction as provided for in the General Conditions.

6.3. CONTRACTOR has correlated the results of all such observations, examinations, and investigations, with the terms and conditions of the Contract Documents.

6.4. CONTRACTOR has given ENGINEER written notice of all conflicts, errors or discrepancies that he has discovered in the Contract Documents and the written resolution thereof by ENGINEER is acceptable to CONTRACTOR.

Article 7. CONTRACT DOCUMENTS.

7.1. This Agreement

7.2. Exhibits to this Agreement

 

 

 

 

 

 

First United Ethanol, LLC (FUEL)

 

C&S Project No.: F3300.001

Paving Project

 

August 2008

 

A-2


 

7.3. Performance and other Bonds

7.4. Notice of Award

7.5. General Conditions

7.6. Supplementary Conditions

7.7. Specifications bearing the title Paving Project and consisting of Divisions and Sections as listed in Table of Contents thereof.

7.8. Drawings, consisting of a cover sheet and sheets numbered 1 through 11 , inclusive with each sheet bearing the following general title: Paving Project .

7.9. Addenda numbers 1 to 1 , inclusive.

7.10. CONTRACTOR’s Bid

7.11. Documentation submitted by CONTRACTOR prior to Notice of Award.

7.12. The following which may be delivered or issued after the Effective Date of the Agreement and are not attached hereto: All Written Amendments and other documents amending, modifying, or supplementing the Contract Documents pursuant to paragraphs 3.4 and 3.5 of the General Conditions.

7.13. The documents listed in paragraphs 7.2 et seq. above are attached to this Agreement (except as expressly noted otherwise above).

There are no Contract Documents other than those listed above in this Article 7. The Contract Documents may only be amended, modified or supplemented as provided in paragraphs 3.4 and 3.5 of the General Conditions.

Article 8. RETAINAGE.

8.1 RETAINAGE OF CONTRACTOR’S PAYMENT.

The retainage shall be an amount equal to 10% of Contractor’s partial pay estimate until 50% of the work has been completed. At 50% completion, further partial payments shall be made in full to the CONTRACTOR and no additional amounts may be retained unless the ENGINEER certifies that the job is not proceeding satisfactorily, but amounts previously retained shall not be paid to the CONTRACTOR. At 50% completion or any time thereafter when the progress of the Work is not satisfactory, the 10% retainage may be reinstated. Upo


 
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