What is a clause that binds a subcontractor by the same obligations as the general contractor called?

A clause that binds a subcontractor by the same obligations as the general contractor is referred to as a flow-down clause. This type of clause is critical in construction contracts as it ensures that the responsibilities and conditions imposed on the general contractor are also extended to subcontractors. The intention behind flow-down clauses is to maintain uniformity across all parties involved in a project, ensuring that subcontractors adhere to the same standards, obligations, and requirements that the general contractor is obligated to follow.

This can include compliance with specifications, liability issues, and timelines. By including this clause, the general contractor can effectively manage risk and ensure that all project participants are aligned with the same contractual frameworks, thereby reducing potential disputes and enhancing overall project coordination. In contrast, the other types of clauses mentioned serve different functions; for instance, hold harmless and indemnity clauses deal with liability issues, while termination clauses outline the conditions under which contracts can be ended.