HomeMy WebLinkAboutContract No. 2015-2660NT1-
NORTHERN
TECHNOLOGIES, INC.
July 6, 2015
Ms. Kathy Young
City of Columbia Heights
637-38 1h Avenue NE
Columbia Heights, MN 55421
1408 Northland Orive, Suite 107
Mendota Heights, MN 55120
P:763.433.9175 F:651.389.4190
www,NTIgeo.com
RE: Proposal for Construction Materials Testing
2015 Street Rehabilitation, Zone 1 2015 State Aid Street Overlay
S.A.P. 113 - 050 -013 S.A.P. 113 -104 -013
CH Project 1502 CH Project 1505
Columbia Heights, Minnesota
NTI Proposal P5376
I1 : t i
Northern Technologies, Inc. (NTI) is pleased to submit this Construction Materials Testing proposal for the above
referenced project.
We have reviewed the project plans, specifications and our geotechnical evaluation. Our estimate is based upon
these documents and previous experience on similar street rehabilitation and overlay projects.
PROJECT INFORMATION
The proposed project includes two street reconstruction project comprised to be the City of Columbia Heights'
2015 Street Rehabilitation project. The first project will include full street reconstruction of 4th Street from 40th
Avenue to 44th Avenue. New concrete curb and gutter, sidewalks, entrance walks and aprons will also be
installed.
The second project consists of full depth reclamation as well as milling and bituminous overlay portions of 41St
Avenue from Central Avenue to the cul -de -sac, 44th Avenue from Tyler Place to Reservoir Boulevard and
Reservoir Boulevard from 44th Avenue to CSAH 2. New concrete curb and gutter, sidewalks, entrance walks and
aprons will also be installed.
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Proposal for Construction Materials Testing
2015 Street Rehabilitation, Zone 1
2015 State Aid Street Overlay
Columbia Heights, Minnesota
NTI Proposal P5376
SCOPE OF WORK — CONSTRUCTION MATERIALS TESTING & SPECIAL INSPECTIONS
The following presents a general description of the proposed testing and observations to be performed by our
firm. We propose staffing this project from our Ramsey location on an intermittent to full time basis as project
progress dictates with individuals qualified to perform the required test or inspection.
NTI will provide qualified staff to:
• Perform laboratory Proctor tests to determine the maximum standard Proctor dry density and optimum
moisture content of fill materials
• Perform moisture /density testing of engineered fill placed beneath exterior pavements and walks to
document conformance with project compaction specifications
• Check gradation and density of aggregate base materials
• Perform laboratory mechanical analyses of prospective engineered fill materials
• Obtain samples of plastic concrete and test for slump, air content, temperature, and cast cylinders for
compressive strength testing
• Perform proof roll tests to document pavement subgrade and subbase suitability
• Obtain samples of bituminous hot mix to perform laboratory testing and document conformance with
project specifications
• Mark locations on bituminous pavement for coring to perform density and thickness testing
Discrepancies with construction documents will be presented to the construction manager and /or contractor for
corrective action.
Our activities will be coordinated with the construction manager and /or your designated representative. Daily
reports will be left with the site manager and sent to you along with our test results on a weekly basis.
NTI proposes to provide an engineering staff consisting of:
• Kyler R. Bender, P.E. - Construction Services Manger/ Principal Engineer, will act as our Senior Project
Manager /Client Manager. He will periodically review project progress, as well as provide engineering
consulting support as required and requested.
• Michael F. "Mike" Bailey, P.E., will act as our project manager and will coordinate our efforts with the
on -site representative, supervise our field personnel, assign field staff to the project and supervise and
approve all laboratory testing. Mike will be your main point of contact.
Robb Lux, will be NTI's Engineering Assistant /Laboratory Manager assigned to this project. Mr. Lux has
over 10 years experience providing structural special inspections, excavation observations and
laboratory material testing. His extensive background in the construction material testing industry and
his attention to detail makes him an asset to our proposed team. Robb will be responsible for
overseeing laboratory testing, scheduling and see that the necessary testing and special inspections
proceed in a timely, accurate and professional manner.
NTI's on -site technicians assigned to this project will have the applicable certifications pertaining to the
required testing. We intend to have the same technicians perform the testing on the project to
maintain continuity with the contractor. Our technicians experience on similar projects make them well
versed for this project.
ANTICIPATED SCHEDULE AND FEES
We propose performing the above referenced construction services during the 2015 construction season for the
unit rates outlined in the attached fee schedule. Based on our experience with similar projects we estimate our
fees to be approximately.
2015 Street Rehabilitation, Zone 1 $5,975
2015 State Aid Street Overlay $3,875
Total
$9,850
Our final fee, which may be higher or lower, is dependent upon contractor scheduling, weather, actual
requested services and any unforeseen circumstances beyond our control. We will advise you as early in the
process as possible if we anticipate our fee will exceed this estimate.
An invoice for our services will be submitted to you monthly and is due within 30 days of receipt. The attached
GENERAL CONDITIONS are an integral part of this proposal for services. This proposal is valid through August 6,
2015.
Please indicate your acceptance of this proposal by signing one copy and returning it to us. We look forward to
working with you and being part of your team. If you have any questions, feel free to contact Kyler at
KylerB @NTigeo.com or 651 - 389 -4182.
NORTHERN TECHNOLOGIES, INC.
r_L..
Michael F. Bailey, P.E.
Senior Project Manager / Project Engineer
Kyler Bender, P.E.
Construction Services Manager /
Principal Engineer
Attachments: Estimate of Services
General Conditions
CITY OF COLUMBIA HEIGHTS
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Table 1 - Estimate of Services
Full Street Reconstruction - 4th Street
Columbia Heights, Minnesota
Estimated Units Unit Cost Estimated Fee
Excavation Observation and Testing Services for Pavement Construction
Excavation /Roll Test Observations
per sample
$1,100.00
$215.00
per test
Engineer
$210.00
$110.00
per hour
$110.00
Engineering Assistant / EIT- 1 Trip
3
$75.00
per hour
$225.00
Subgrade /Aggregate Base Testing
per hour
$720.00
24 $17.50
percylinder
Engineer
2 $52.50
$110.00
per hour
Senior Engineer
MnDOT Certified Technician - 3 Trips
9
$60.00
per hour
$540.00
Dynamic Cone Penetrometer (ASTM D2166)
5
$15.00
per test
$75.00
Moisture Content Determination of Soils (ASTM D2216)
5
$25.00
per test
$125.00
Density Test of Soil
q
$16.00
per test
$64.00
Standard Proctor (ASTM D -698)
1
$110.00
per test
$110.00
Mechanical Analysis through No. 200 Sieve (Granular Soil)
2
$105.00
per test
$210.00
MnDOT Topsoil Borrow (Mechanical Analysis, Organic Content, Nutrients, pH)
$260.00
per test
Bituminous Pavement Testing - Assumes 2 Days of Paving
Engineer
MnDOT Certified Technician (Locate & Mark Core Locations, Hot Mix and Core Sample pick up) - 3 Trips
MnDOT Gyratory Mix Properites (Gyratory Density, Rice's Specific Gravity,
Bituminous Extraction and Aggregate Gradation, Fine Aggregate Angularity,
and Percent Crushed)
Extraction of Asphalt Cement & Aggregate Gradation (ASTM D -2172, C -137, C -117)
Density by Gyratory Compaction (ASTM D6925 -09)
Rice Maximum Theoretical Specific Gravity (ASTM D 2041)
Core Sample Bulk Density (ASTM D 2726)
Concrete Pavement Testing
MnDOT Certified Technician (Plastic Concrete Testing) - 6 Trips
Cylinder Compressive Strength (ASTM C -39) - 4 cylinders per set / 200 cy or fraction thereof
Sample Pickup - Soils and Concrete Compressive Strength Cylinders
Technician - 2 Trips
$110.00 perhour
12 $60.00 perhour $720.00
2 $550.00
per sample
$1,100.00
$215.00
per test
$210.00
per test
Services for Construction Meetings, Engineering Consulting, and Project Management
$110.00
per test
4 $40.00
per core
$160.00
12 $60.00
per hour
$720.00
24 $17.50
percylinder
$420.00
2 $52.50
per hour
$105.00
Vehicle Mileage - 16 Trips 800
$0.75
per mile
$600.00
$5,174.00
Services for Construction Meetings, Engineering Consulting, and Project Management
Engineering Assistant 2
$75.00
per hour
$150.00
Engineer /Project Manager 4
$110.00
per hour
$440.00
Principal Engineer
$175.00
per hour
Senior Engineer
$135.00
perhour
Clerical Support Staff 4
$50.00
per hour
$200.00
$790.00
Summary of Services
Excavation Observation and Testing Services for Pavement Construction $5,174.00
Services for Construction Meetings, Engineering Consulting, and Project Management $790.00
ESTIMATED PROJECT FEES $5,964.00
,
per hour
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4 $60.00
per hour
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5 $15.00
per test
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1 $25.00
NORTHERN
$25.00
$16.00
TECHNOIOGIES.INC.
$160.00
$110.00
per test
www.NT$geo.com
Table 2 - Estimate of Services
FDR /Mill and Overlay
Columbia Heights, Minnesota
Estimated Units Unit Cost Estimated Fee
Excavation Observation and Testing Services for Pavement Construction
Excavation /Roll Test Observations
Engineer
$110.00 per hour
Engineering Assistant / EIT
$75.00 per hour
Subgrade /Aggregate Base Testing
Engineer
Senior Technician - 1 Trip
Dynamic Cone Penetrometer (ASTM D2166)
Moisture Content Determination of Soils (ASTM D2216)
Density Test of Soil
Standard Proctor (ASTM D -698)
Mechanical Analysis through No. 200 Sieve (Granular Soil)
MnDOTTopsoil Borrow (Mechanical Analysis, Organic Content, Nutrients, pH)
Bituminous Pavement Testing - Assumes 2 Days of Paving
Engineer
MnDOT Certified Technician (Hot Mix Pick up) - 2 Trips
MnDOT Gyratory Mix Properites (Gyratory Density, Rice's Specific Gravity,
Bituminous Extraction and Aggregate Gradation, Fine Aggregate Angularity,
and Percent Crushed)
Extraction of Asphalt Cement & Aggregate Gradation (ASTM D -2172, C -137, C -117)
Density by Gyratory Compaction (ASTM D6925 -09)
Rice Maximum Theoretical Specific Gravity (ASTM D 2041)
Core Sample Bulk Density (ASTM D 2726)
Concrete Pavement Testing
MnDOT Certified Technician (Plastic Concrete Testing) - 4 Trips
Cylinder Compressive Strength (ASTM C -39) - 4 cylinders per set / 200 cy or fraction thereof
Sample Pickup - Soils and Concrete Compressive Strength Cylinders
Technician - 2 Trips
$110.00
per hour
$1,100.00
4 $60.00
per hour
$240.00
5 $15.00
per test
$75.00
1 $25.00
per test
$25.00
$16.00
per test
$160.00
$110.00
per test
$600.00
1 $105.00
pertest
$105.00
$260.00
per test
$105.00
$110.00 per hour
4 $60.00 per hour $240.00
2 $550.00
per sample
$1,100.00
$215.00
per test
$210.00
per test
Services for Construction Meetings, Engineering Consulting, and Project Management
$110.00
per test
4 $40.00
per core
$160.00
10 $60.00
per hour
$600.00
16 $17.50
percylinder
$280.00
2 $52.50
per hour
$105.00
Vehicle Mileage - 9Trips 450
$0.75
per mile
$33750
$3,267.50
Services for Construction Meetings, Engineering Consulting, and Project Management
Engineering Assistant 1
$75.00
per hour
$75.00
Engineer /Project Manager 3
$110.00
per hour
$330.00
Principal Engineer
$175.00
per hour
Senior Engineer
$135.00
per hour
Clerical Support Staff 4
$50.00
per hour
$200.00
$605.00
Summary of Services
Excavation Observation and Testing Services for Pavement Construction $3,267.50
Services for Construction Meetings, Engineering Consulting, and Project Management $605.00
ESTIMATED PROJECT FEES $3,872.50
1.0
a.
b.
2.0
a.
b.
C.
d.
3.0
b.
4.0
a.
b.
GENERAL TERMS & CONDITIONS
CONTRACT
The foregoing Proposal and these General Terms and Conditions
constitute the contract (hereinafter, "Contract ") between Northern
Technologies, Inc., (hereinafter, "NTI ") and the party signing the
Client Authorization (hereinafter, "Client ")
If Client directs NTI to proceed with Services (as defined below) prior
to execution of this Contract, or if Client allows NTI to continue with
Services after having received this Contract, it is understood that
each party is bound by the terms and conditions of this Contract
whether or not Client has signed this Contract.
SERVICES
NTI will provide Client with the services specified in the Proposal
(hereinafter, "Services" or "Scope of Services ") in accordance with
the Contract's terms. Services enumerated in writing in the Contract
are considered Basic Services. Services not specifically enumerated
in writing in the Contract are not included in the scope of NTI's
Services and are not NTI's responsibility.
Should the need arise for NTI to expand our services in response to
conditions or events outside our control, NTI would, under Client's
direction, submit a separate proposal providing such Additional
Services. Additional Services are not included under Basic Services nor
are theycovered bythe compensation for Basic Services.
NTI will provide Services to Client as an independent contractor and
not as the Client's employee, agent, partner, or joint venturer.
NTI shall have no responsibility for the discovery, presence, handling,
removal or disposal of, or exposure of persons to, hazardous
materials or toxic substances in any form at the project site. If, while
performing the Services any hazardous substances or conditions are
discovered or encountered that pose unanticipated risks or costs, it
is agreed that the scope of Services, time schedule and the
estimated Contract costs shall be reconsidered and that this
Contract may, at NTI's option, be re- negotiated or terminated. If the
Contract is so terminated, Client shall pay NTI for the Services
performed up to the date of termination plus NTI's reasonable
termination and demobilization costs and expenses.
If NTI's performance of the Services is delayed by Client or by any
other circumstance beyond NTI's direct and reasonable control, then
the time for NTI's completion of the Services shall be automatically
extended based upon the duration and impact of each such delay
and NTI shall be entitled to additional compensation from Client
GENERAL RESPONSIBILITIES
NTI shall not be responsible for the performance of any activity or
obligation other than the Services specified in the Contract, and NTI's
performance shall not be construed as relieving Client or any third
party of their responsibilities. NTI shall have no responsibility for, or
any liability pertaining to: (1) the superintending, supervising, or
directing of the work of any independent contractor, agent or
employee of Client or any third party; or (2) the results or
consequences of work performed by any such independent
contractor, agent or employee of Client or any third party; or (3) any
claims or allegations of rights by any person or party other than
Client relating to NTI's Services; or (4) for job site safety at the
location which is the subject of this Contract (hereinafter, "Site ").
NTI will be responsible for obtaining only those government permits,
approvals and authorizations that are specified in the Scope of
Services of the Contract. NTI is not responsible for project delays,
damages or impacts due to the government's failure to issue said
permits in a timely fashion.
Unless otherwise expressly agreed by NTI and Client in writing NTI's
performance of its Services is solely and exclusively for the benefit of
the Client and no party other than Client shall be entitled to rely
upon any documentation, representation, report, statement or
service made or performed by NTI.
CLIENT RESPONSIBILITIES
Client will make available to NTI all known information regarding
existing and proposed requirements which affects the work,
including but not limited to: specifications, contracts,
recommendations, plans and change orders.
Client will immediately transmit to NTI any new information that
becomes available to Client or Client's contractors or subcontractors,
so that recommended actions can be reviewed.
C. Client will provide a representative to answer questions about the
project when required by NTI upon 24 -hour notice.
d. Client will not hold NTI liable for any incorrect advice, judgment, or
decision based on any inaccurate information furnished by or on
behalf of Client, and Client will indemnify NTI against liability arising
out of or contributed to by such information.
e. NTI shall be entitled to additional compensation for all extra work
caused by or resulting from the failure of the information provided
to accurately describe the Site conditions.
f. With the exception of those specified as NTI's responsibility in the
Scope of Services, Client shall timely obtain all necessary permits,
governmental approvals and access agreements to allow NTI and its
agents access to the Site and any buildings thereon.
g. Client is responsible for notifying property owner(s) of the nature,
scope and timing of NTI's work, along with any potential damage
that may occur during the execution of said work.
h. Client shall provide reasonable safe access to the proposed location
of work including but not limited to slopes, distance from unities,
removal of site obstructions, etc.
5.0 NTI RESPONSIBILITIES
a. NTI will perform its Services consistent with the level of care and skill
ordinarily exercised by members of the geotechnical and materials
testing profession currently practicing under similar conditions (the
"Standard of Care "). No warranty of any kind, expressed or implied,
is made by NTI.
b. NTI will be responsible for its data, interpretation and
recommendations, but will not be responsible for interpretation by
others.
C. NTI will take reasonable precautions to prevent damage to property.
However unless specifically included in the Scope of Services NTI will
not be responsible for the repair or cost of repairs of property
including but not limited to pavements, turf, walks, vegetation,
utilities, irrigation, buildings or any other site improvements.
6.0 INSURANCE
a. NTI will carry worker's compensation insurance and public liability,
property damage, and errors and omissions insurance policies, which
NTI considers adequate. In addition to any other limitations set
forth in this Contract, it is agreed that in no event will NTI be
responsible for loss, damage or liability beyond the limits and
conditions of NTI's available insurance. NTI will not be responsible
for any loss or liability arising from the negligence of Client or by
other persons or entities employed by Client.
7.0 COMPENSATION
a. NTI's Proposal specifies if the fee is a fixed fee or an estimate based
on set rates. Unless specifically stated in the Proposal Client
acknowledges that the fee estimate will not be construed to be a
maximum or not to exceed amount.
b. NTI will submit invoices to client monthly, and a final invoice upon
completion of Services. Invoices will show charges based on current
NTI Fee Schedule or other basis agreed upon in writing. A detailed
separation of charges and backup data will be provided at Client's
request.
C. Client shall notify NTI immediately if there are any issues relating to
the invoice format, amounts, name of responsible party or any other
factors preventing payment of the invoice as submitted.
d. Unless specifically stated in the Proposal, NTI's fees will not be
subject to retainage.
e. Unless specifically stated in the Proposal, payment of invoices for NTI
Services shall not be contingent upon project financing or payments
received by the Client from other parties.
f. The Client will pay the balance stated on the invoices unless Client
notifies NTI in writing of the particular item that is alleged to be
incorrect within fifteen (15) days from the invoice date. NTI will
strive to resolve Client's concerns in a timely manner as long as the
balance of the invoice is paid within the terms of this Contract. In
the event Client fails to bring a billing dispute to NTI's attention
within the 15 -day period, Client waives the right to later dispute the
invoice.
g. Payment is due upon receipt of invoice and is considered past due
thirty (30) days from invoice date. On past due accounts, Client will
pay a late charge of 1.5(%) per month, or the maximum allowed by
law.
GENERAL TERMS & CONDITIONS
h. In the event Client fails to pay NTI within sixty (60) days following
invoice date, NTI may consider the default a total breach of this
Contract and all duties of NTI under this Contract will be terminated.
I. Partial payments received will first be applied to accrued late
charges, then expenses and then to the principal balance.
j. Client agrees that NTI may increase its billing rates /fees on each
anniversary of this Contract.
8.0 OWNERSHIP OF DOCUMENTS /SAMPLES
a. The Client acknowledges that the reports, data, plans, specifications,
representations, correspondence and all other documents
prepared by NTI as part of its Services under this Contract
(collectively referred to as "Documentation ") are instruments of
NTI's service to Client. Client agrees to save, defend, indemnify and
hold NTI and its officers, directors, shareholders, employees and
agents harmless from and against all claims, damages, losses and
related expenses (including, without limitation, all reasonable
attorney fees, disbursements, expert witness fees and all costs of
court and litigation) in any manner arising from or pertaining to:
(a) any re -use of the Documentation without the prior written
authorization of NTI or, (b) claim(s) by any third party ( other than
Client) to whom Client distributed or provided any of the
Documentation, either directly, through an agent, or by requesting
that NTI provide it to the third party, without the prior written
authorization of NTI.
b. Client agrees that all reports and other work furnished to the Client
or his agents, which are not paid for, will be returned upon demand
and will not be used by the Client for any purpose.
C. NTI will retain all pertinent records concerning Services performed
for a period of two (2) years after the report is sent; during that time
the records will be made available to the Client during NTI's normal
business hours.
d. NTI will retain representative samples for 30 days after submission
of NTI report. Upon request by Client, samples can be shipped,
charges collect, to destination selected by Client; or NTI can store
them for an agreed upon storage charge.
9.0 DISPUTES
a. All claims, disputes, and controversies arising out of or in relation
to the performance, interpretation, application, or enforcement of
this Contract, including, but not limited to, breach thereof, shall be
referred for mediation under the then current Construction
Industry Mediation Rules of the American Arbitration Association
prior to any recourse to litigation.
b. In the event of any litigation arising out of or relating to this Contract
or the Services, the prevailing party shall be entitled to reasonable
attorneys' and experts' fees, court costs and other costs of collection
including NTI's labor costs in connection with the prosecution of any
collection lawsuit.
10.0 LIMITATION OF LIABILITY
a. CLIENT understands that the Services provided by NTI involve the
application of scientific and technical skill, judgment and discretion
that is not an exact science and that NTI cannot and does not
guaranty the results of its Services. Instead, NTI agrees to perform
the Services according to the Standard of Care.
b. NTI's liability to the Client and all contractors and subcontractors on
the project, for damages due to professional negligence, negligence
or breach of any other obligation to Client or others, will be limited
to an amount not to exceed $20,000 or NTI's fee, whichever is less.
C. Client will notify any contractor or subcontractor who performs work
in connection with any work done by NTI of the limitations of liability
for design defects, errors, omissions, or professional negligence, and
to require as a condition precedent to their performing their work, a
like indemnity and limitations of liability on their part as against NTI.
In the event the Client fails to obtain a like limitation and indemnity,
Client agrees to indemnify NTI for any liability to any third party.
d. NTI shall have no liability for any failure to perform or delay in
performance due to any circumstances beyond its reasonable
control. Additionally, in no event shall NTI be liable or responsible to
Client or any other person for any consequential, special, incidental,
exemplary, or punitive damages, including but not limited to,
governmental fines, penalties or liabilities, lost profits or other
economic loss (whether arising from negligence, errors, omissions,
breach of contract, breach of warranty, tort, strict liability or
otherwise), resulting from any claimed defect or deficiency in the
Services provided by NTI or any failure by NTI to provide Services.
11.0 TERMINATION
a. This agreement may be terminated by either party upon seven (7)
days written notice if there is substantial failure by the other party to
perform. Termination will not be effective if substantial failure is
remedied before expiration of the seven days. Upon termination
other than for NTI's default, NTI will be paid for Services rendered
plus reasonable termination expenses.
b. If the Contract is terminated prior to completion of all reports
contemplated by the agreement, or suspended for more than three
(3) months, NTI may complete analysis and records as are necessary
to complete its files and may complete a report on the Services
performed. Termination or suspension expenses will include direct
costs of completing analysis, records and report.
12.0 ASSIGNS
a. Neither party may assign duties or interest in the Contract without
the written consent of the other party.
13.0 MISCELLANEOUS
a. If any provision or provisions of this Contract shall be held to be
invalid, illegal, unenforceable or in conflict with the law of any
jurisdiction, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.
b. This Contract is the entire agreement between NTI and Client and
it supersedes all prior written or oral agreements with respect to
the subject matter hereof. No amendment or assignment of the
Contract shall be effective unless agreed to in a writing signed by
authorized representatives of both parties.
C. The provisions of this Contract relating to the limitation of
liability and damages, warranties, indemnification, use of plans,
specifications, reports and all other Documentation provided by
NTI and those specifying choice of law, dispute resolution, notice,
waiver, and severability shall survive termination of this Contract.
d. The terms of this Contract and its enforcement and
interpretation shall be governed by the laws of the state where
the project is located. If any provision of this Contract is
determined to be unlawful, invalid or unenforceable, that
provision shall be severed from the Contract and shall not
render this Contract, or any other of its other provisions,
unlawful, invalid or unenforceable.
14.0 PRE -LIEN NOTICE
a. By signing this Contract Client represents and warrants that it either
owns fee title to, or has the legal right to direct NTI to perform
Services in connection with, the site of the project and that there is
presently nothing to prevent NTI from filing a lien against the site of
the project.
b. ANY PERSON OR COMPANY SUPPLYING LABOR OR MATERIALS FOR
THIS IMPROVEMENT TO YOUR PROPERTY MAY FILE A LIEN AGAINST
YOUR PROPERTY IF THAT PERSON OR COMPANY IS NOT PAID FOR
THE CONTRIBUTIONS.
c. UNDER MINNESOTA LAW, YOU HAVE THE RIGHT TO PAY PERSONS
WHO SUPPLIED LABOR OR MATERIALS FOR THIS IMPROVEMENT
DIRECTLY AND DEDUCTTHIS AMOUNT FROM OUR CONTRACT PRICE,
OR WITHHOLD THE AMOUNTS DUE THEM FROM US UNTIL 120 DAYS
AFTER COMPLETION OF THE IMPROVEMENT UNLESS WE GIVE YOU A
LIEN WAIVER SIGNED BY PERSONS WHO SUPPLIED ANY LABOR OR
MATERIAL FOR THE IMPROVEMENT AND WHO GAVE YOU TIMELY
NOTICE.