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								    © 2015 SME SME General Conditions – Commercial (03/15)  1 
<br />SME GENERAL CONDITIONS 
<br />1. DEFINITIONS:  In this Agreement, the party agreeing to have the services performed is the “CLIENT.” The CLIENT’s CLIENT 
<br />shall be referred to as the “OWNER.” Unless expressly stated otherwise, SME, its employees, agents, subconsultants and 
<br />subcontractors, are collectively referred to as “SME.” The “services” to be provided under this Agreement are defined in SME’s Proposal 
<br />and subsequent written amendments, change orders, or otherwise-authorized additional services.   
<br />2. INVOICING AND PAYMENT:  SME will submit invoices to CLIENT monthly and a final bill upon completion of services.  
<br />Payment is due upon presentation of invoice to the CLIENT and is past due 30 days from date of the invoice. CLIENT agrees to pay a 
<br />service charge of 1-1/2% per month, or the maximum rate allowed by law, whichever is greater, on past due accounts. 
<br />3. INSTRUMENTS OF SERVICE:  All reports, field data, field notes, laboratory test data, calculations, estimates, and other 
<br />documents prepared by SME in connection with this Project shall be considered instruments of service, and shall remain the property of 
<br />SME. SME grants CLIENT and OWNER a limited license to use such instruments of service for the purpose of designing, constructing, 
<br />maintaining or repairing work that is part of this Project. Any reuse of SME’s instruments of service for any purpose other than the limited 
<br />license granted herein is prohibited and SME shall have no responsibility to CLIENT, OWNER or third parties for unauthorized use of its 
<br />instruments of services.  
<br />4. RECORDS RETENTION:  SME will retain pertinent records relating to the services performed for CLIENT for a period of time 
<br />consistent with SME’s File Management Plan, a copy of which will be provided to CLIENT upon request. During that period, the records 
<br />will be made available to the CLIENT at reasonable times. At the end of the retention period indicated in SME’s File Management Plan, 
<br />SME may, in its sole discretion, dispose of all such records. 
<br />5. SME MAKES NO WARRANTY, EXPRESS OR IMPLIED, WITH REGARDS TO ITS 
<br />SERVICES. 
<br />6. TERMINATION:  Either party may terminate this Agreement upon at least 7 days written notice in the event of substantial failure 
<br />by the other party to perform in accordance with the terms hereof. Such termination will not be effective if that substantial failure is 
<br />remedied before expiration of the period specified in the written notice. This Agreement shall also be automatically terminated upon a 
<br />suspension of the Project for more than 3 months. In the event of termination, CLIENT will pay SME for services performed to the 
<br />termination notice date plus reasonable termination expenses. In the event of termination, or suspension, prior to completion of all reports 
<br />contemplated by this Agreement, SME may complete such analyses and records as are necessary to complete the files and may also 
<br />complete a report on the services performed to the date of notice of termination or suspension. The expenses of termination or 
<br />suspension include all direct costs of completing such analyses, records, and reports. 
<br />7. DISPUTES:  If any dispute arising out of or relating to this Agreement, or its breach, is not settled through direct discussions, the 
<br />parties agree that as a condition precedent to litigation or arbitration, they will endeavor for 30 days following written notice by one party 
<br />to the other of a dispute or breach, to settle the dispute by mediation with the assistance of a neutral mediator. In any litigation or 
<br />arbitration, if applicable, the parties agree that the prevailing party is entitled to recover all reasonable costs incurred in defense or 
<br />prosecution of the claim, including its staff time, court costs, attorney’s fees, and other claim-related expenses. Notwithstanding, SME has 
<br />no obligation to mediate with CLIENT prior to litigation when collecting fees owed by CLIENT. 
<br />8. AUTHORIZATION:  By signing these General Conditions, CLIENT agrees to accept the proposal, including these General 
<br />Conditions and any Special Conditions, as the Agreement governing SME’s services and the relationship between the parties. If CLIENT 
<br />gives SME other-than-written authorization to proceed with services after receiving SME’s written proposal, CLIENT accepts the 
<br />proposal, these General Conditions, and any Special Conditions, as the Agreement governing SME’s services, and the Agreement is 
<br />effective, except for those provisions that CLIENT objects to in writing within 7 days following the other-than-written authorization. 
<br />9. SAFETY:  SME will be responsible only for the safety of SME employees. Unless otherwise explicitly described in our scope of 
<br />services, the scope of services does not include job or site safety for, or supervision or direction of, the work of others. The presence of 
<br />SME on the job site should not be construed to in any way relieve the CLIENT, other contractors, or other parties on the site of the 
<br />obligation and responsibilities for their personal safety and the safety of their employees, consultants, and subcontractors. 
<br />10.  INSURANCE:  SME and its staff are protected by worker’s compensation insurance and SME has coverage under General 
<br />Liability and Professional Liability insurance policies. SME will provide CLIENT with evidence of such policies upon written request.  SME 
<br />is not responsible for any loss, damage or liability arising from acts of CLIENT, its agents, staff, and other consultants employed by 
<br />CLIENT. 
<br />11. INDEMNIFICATION:  To the fullest extent permitted by law, CLIENT shall hold harmless, defend, and indemnify SME from 
<br />and against all claims, damages, losses and expense, including reasonable attorney fees, arising out of the performance of SME’s 
<br />services or the materials of others in connection with the Project regardless of whether or not such claim, damage, loss or expense is 
<br />caused in part by SME; provided however, that this obligation shall not apply to claims, damage, loss or expense caused solely by 
<br />negligence of SME. 
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