The Code

It should be noted that, for interpretation purposes, the French text shall prevail over the English, the latter being a translation of the French original. 

D-12 CONTENT OF THE LETTER OF INTENT

By issuing the letter of intent, the legal entity whose name is mentioned in Schedule II of this Code agrees to provide a performance bond and a bond for the payment of labour and materials, each for 50% of the tender price, if a contract is awarded and if these bonds are required when the contract is awarded.

The successful recipient contractor must notify the successful tenderers in writing, within ten (10) business days of the acceptance of their tender, that they will require them to provide a performance bond and a bond for the payment of labour and materials when the contract is awarded. In the absence of such notice, the successful tenderers and their bond shall be released from the obligation to provide such bonds.

Unless these bonds have been required by the tendering documents, the successful recipient contractor must, if they require them upon the award of the contract, pay the successful tenderer a fee of $10 per $1,000 of the contract amount, including taxes.

D-13 TENDER SECURITY BENEFICIARY

The tendersecurity provided in the form of a tender bond and letter of intent is established in favour of the successful recipient contractor.

The tender security provided in the form of an electronic money transfer to the BSDQ account is kept in trust and transferred to the successful recipient contractor unless it is refunded to the tenderer pursuant to Section D-14 of this Code.

D-13.1 OPTIONAL TENDER SECURITY

A tenderer whose tender price is lower than the amount indicated in Schedule III of this Code may choose to include a tender security. The provisions of Sections D-10 to D-13 and those of Section D14 apply to optional tender securities, with the necessary adjustments.

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Chapter D - Articles D-14 and D-15