Art. III. The City shall pay and the Contractor shall receive as full compensation for everything furnished and done by the Contractor under this contract, including all work required but not specifically mentioned in the following items, and also for all loss or damage arising from the nature of the work aforesaid, or from the action of the elements, or from any unforeseen obstruction or difficulty encountered in the prosecution of the work and for well and faithfully completing the work as herein provided, as follows: Then follows a copy of the Proposal with the prices bid. The contract closes with the final clause: In witness whereof the said City of ____, party of the first part have hereunto set their hands and seals, and the Contractor has also hereunto set his hand and seal and the party of the first part and the Contractor have executed this agreement in duplicate, one part to remain with the party of the first part and one to be delivered to the Contractor this ____ day of ____ in the year one thousand nine hundred and ____ City of ____ ____ ____ Contractor ____ ____ ____ =117. The Bond.=—The bond called for in the Information and Instructions for Bidders is bound in the pamphlet following the Contract. No uniform practice is followed in the amount of the bond required. It varies from 50 to 100 per cent of the contract price and may be stated as a lump sum before the contract price is known. There is a possibility that the Contractor may fail before he has commenced work and the City may be unable to procure another contractor to take up the work. The City should then be protected by a 100 per cent bond. Such a contingency is remote. The Contractor seldom fails until work is well under way, and other contractors are usually available, although the failure of one contractor tends to increase the bids of other contractors for the same work. In fixing the amount of the bond the judgment of the Engineer is called into play in order that the amount may be as low as possible in fairness to the Contractor, and high enough to protect the interests to the City. By reducing the amount of the bond the expense to the City is also reduced as the City ultimately must pay its cost. Upon the acceptance of the bond and the execution of the Contract, the Engineer’s duties take him out of the designing office and into the construction field. CHAPTER XI CONSTRUCTION