Numbers 3.

Ohio and Mississippi Rivers, transportation steamers, gun-boats, distances, &c.*

Numbers 4. Agreement between James B. Eads, of the city of Saint Louis, State of Missouri, of the first part, and Brigadier General M. C. Meigs, Quartermaster-General, acting for the United States, of the second part, witnesseth: That the party of the first part, for and in consideration of the matter hereinafter referred to and set out, covenants and agrees with the party of the second part to build, on the Mississippi River, and deliver to the party of the second part at the what in the city of Cairo, State of Illinois, seven gun-boats, as described and referred to in the printed specifications, a copy of which is annexed to, and is to be deemed and taken as a part of, this contract, and to do the same in conformity to said specifications and to the directions he may from time to time receive from the superintendents in charge. Said gun-boats are to be completed and finished, according to the specifications, on or before the 10th day of October next; and the said party of the first part agrees to forfeit to the United States the sum of $250 per day for each and every boat that is delayed beyond that time, i. e., the 10th day of October next. The party of the first part further binds himself, with four sureties of $30,000 each, that he will faithfully perform his part of the contract, said sureties to be approved by the Secretary of War. And the party of the second part, for and in consideration of the premises, covenants and agrees to pay to the party of the first part, for each and every boat so built, the sum of $89,500, as follows: The work to be estimated every twenty days, and 75 per cent. of said estimate to be paid by the party of the second part to the party of the first part: Provided, nevertheless, That in case the party of the second part shall at any time be of opinion that this contract is not duly complied with by the party of the first part, or that it is not in due progress of execution, or that the party of the first part is irregular or negligent, in such case he shall be authorized to declare this contract forfeited, and thereupon the same shall become null and void. And the United States shall thereupon be exonerated from every obligation thence arising, and the reserved percentage on the contract price, as well as all the material furnished, upon which no estimate or payment may have been made, shall be forfeit to and become the right and property of the United States; and the party of the second part may thereafter agree with any other person for the execution of the remainder of the work, and the party of the first part shall have no appeal from the opinion and the decision aforesaid, and he hereby releases all right to except to or question the same in any place or under nay circumstances whatever; but the party of the first part shall still remain liable to the party of the second part for the damages occre or refusal. And its if further agreed between he parties that, in order to secure the punctual performance of the covenants above made by the party of the first part, and to indemnify and protect the party of the second part from loss in case of default and forfeiture of this contract, that said party of the second part shall be authorized to

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*Here omitted. See Series I, Vol. LII, Part I, pp. 164-168.

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