CFR > Title 7 - Agriculture > SUBTITLE B—Regulations of the Department of Agriculture > CHAPTER XVII—RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE (parts 1700 to 1794) > PART 1789—USE OF CONSULTANTS FUNDED BY BORROWERS > SUBPART B—Escrow Account Funding and Payments (§1789.166 to §1789.168-1789.175) > 1789.167—Terms and conditions of escrow agreement.

1789.167—Terms and conditions of escrow agreement.

Escrow Agreements between and among the Borrower, Consultant and Third-party Commercial Institution shall be in form and substance satisfactory to RUS and provide for, among other matters, the following:
(a) Specific reference by number to the applicable contract for services;
(b) Specific reference by number to the applicable Task Order;
(c) Specific reference by number to the Escrow Account into which funds are to be deposited;
(d) Invoices to specifically identify the applicable contract and Task Order(s);
(e) Funds to be held in the Escrow Account by the escrow agent until paid to the Consultant pursuant to the government's authorization;
(f) The Escrow Account to be closed and all remaining funds remitted to the Borrower after payment of the Final Invoice, unless otherwise directed by the government;
(g) The government, the Consultant and the Borrower to have the right to be informed, in a timely manner and in such form as they may reasonably request, as to the status of and activity in the Escrow Account; and
(h) The Escrow Agreement shall not be effective unless and until approved in writing by RUS.