Author Question: How are owners often assured of receiving realistic schedules from the contractors? What will be ... (Read 125 times)

BrownTown3 · **on:** Jul 26, 2018

How are owners often assured of receiving realistic schedules from the contractors?

What will be an ideal response?

Question 2

What distinguishes the last periodic payment from the final payment made to the contractor on most construction projects?

What will be an ideal response?

cassie_ragen · **Reply #1 on:** Jul 26, 2018

Answer to Question 1

As with schedules of values, owners often have greater assurances of receiving
realistic schedules when payments are linked to them. The contractor has a considerable
incentive to submit a realistic schedule if a provision states no progress payments will be
made for any work until a satisfactory schedule has been submitted to the Owner's
Representative.

Answer to Question 2

The last periodic payment is made after a project has reached substantial
completion. After the last periodic payment is made, the owner still will be withholding
the retainage. The retainage, often as much as 10 of the contract amount, is released at
the point of final completion in the form of the final payment. The punch list typically
separates the last periodic payment and the final payment.