A contract for the procurement of construction shall include a provision which provides for negotiations between the state governmental unit and the contractor for the recovery of damages related to expenses incurred by the contractor for a delay for which the state governmental unit is responsible, which is unreasonable under the circumstances and which was not within the contemplation of the parties to the contract. This section shall not be construed to void any provision in the contract which requires notice of delays, provides for arbitration or other procedure for settlement or provides for liquidated damages.

Terms Used In Arizona Laws 41-2617

  • Contract: means all types of state agreements, regardless of what they may be called, for the procurement of materials, services, construction, construction services or the disposal of materials. See Arizona Laws 41-2503
  • Contract: A legal written agreement that becomes binding when signed.
  • Contractor: means any person who has a contract with a state governmental unit. See Arizona Laws 41-2503
  • Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • State governmental unit: means any department, commission, council, board, bureau, committee, institution, agency, government corporation or other establishment or official of the executive branch or corporation commission of this state. See Arizona Laws 41-2503
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