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Page 3 <br />EJCDC E-500 Agreement Between Owner and Engineer for Professional Services <br />Copyright © 2008 National Society of Professional Engineers for EJCDC. All rights reserved. <br />1. For cause, <br />a. By either party upon 30 days written notice in the event of substantial failure by the <br />other party to perform in accordance with the Agreement’s terms through no fault of <br />the terminating party. Failure to pay Engineer for its services is a substantial failure to <br />perform and a basis for termination. <br />b. By Engineer: <br />1) upon seven days written notice if Owner demands that Engineer furnish or perform <br />services contrary to Engineer’s responsibilities as a licensed professional; or <br />2) upon seven days written notice if the Engineer’s services for the Project are delayed <br /> for more than 90 days for reasons beyond Engineer’s control. <br />Engineer shall have no liability to Owner on account of a termination by Engineer <br />under Paragraph 3.01.A.1.b. <br />c. Notwithstanding the foregoing, this Agreement will not terminate as a result of a <br />substantial failure under Paragraph 3.01.A.1.a if the party receiving such notice begins, <br />within seven days of receipt of such notice, to correct its substantial failure to perform <br />and proceeds diligently to cure such failure within no more than 30 days of receipt of <br />notice; provided, however, that if and to the extent such substantial failure cannot be <br />reasonably cured within such 30 day period, and if such party has diligently attempted <br />to cure the same and thereafter continues diligently to cure the same, then the cure <br />period provided for herein shall extend up to, but in no case more than, 60 days after <br />the date of receipt of the notice. <br />2. For convenience, by Owner effective upon Engineer's receipt of written notice from <br />Owner. <br />B. The terminating party under Paragraph 3.01.A may set the effective date of termination at a time <br />up to 30 days later than otherwise provided to allow Engineer to complete tasks whose value <br />would otherwise be lost, to prepare notes as to the status of completed and uncompleted tasks, and <br />to assemble Project materials in orderly files. <br />C. In the event of any termination under Paragraph 3.01, Engineer will be entitled to invoice Owner <br />and to receive full payment for all non-disputed services performed or furnished in accordance <br />with this Agreement and all reimbursable expenses incurred through the effective date of <br />termination. <br />4.01 Successors, Assigns, and Beneficiaries <br />A. Owner and Engineer are hereby bound and the successors, executors, administrators, and legal <br />representatives of Owner and Engineer (and to the extent permitted by Paragraph 4.01.B the <br />assigns of Owner and Engineer) are hereby bound to the other party to this Agreement and to the <br />successors, executors, administrators, and legal representatives (and said assigns) of such other <br />party, in respect of all covenants, agreements, and obligations of this Agreement. <br />B. Neither Owner nor Engineer may assign, sublet, or transfer any rights under or interest (including, <br />but without limitation, moneys that are due or may become due) in this Agreement without the