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<br />arise from a separate "occurrence", and the "occurrence" shall be deemed to take <br />place on the last day of the last exposure, in the employment of the "Covered Party", <br />to conditions causing or aggravating the disease. C) All "Occupational Disease" <br />sustained by one or more "employees" as a result of an outbreak of the same <br />"communicable disease" shall be deemed to arise from a single "occurrence". An <br />outbreak of the same "communicable disease" that spans more than one coverage <br />period shall be deemed to take place during the first such coverage period; <br /> <br />X. <br /> <br />"PAYROLL" shall mean payroll computed in accordance with the rules set forth in the <br />California Workers' Compensation Insurance Manual published by the Workers' <br />Compensation Insurance Rating Bureau; <br /> <br />XI. <br /> <br />"WORKERS' COMPENSATION ACT": The term "Workers' Compensation Act" <br />shall include any separate "Occupational Disease" Act, but shall not include the <br />Non-Occupational Disability Benefit Provisions of any such Act. <br /> <br />EXCLUSIONS <br /> <br />This Memorandum shall not apply to: <br /> <br />I. <br /> <br />Punitive or Exemplary Damages, fines or penalties assessed against or imposed upon <br />the "Covered Party": <br /> <br />A. On account of "bodily injury" or "occupational disease" sustained by any <br />"employee"; or <br /> <br />B. Because of the conduct of the "Covered Party" or any of its agents (i) in the <br />investigation, trial or settlement of any claim for benefits under the <br />applicable "Workers' Compensation Act" or for damages at law, or (ii) in <br />failing to payor delaying the payment of any such benefits or damages: or <br /> <br />C. On account of violation of any statute or regulation; or <br /> <br />D. "Bodily Injury" intentionally caused or aggravated by "Covered party"; or <br /> <br />E. "Bodily Injury" arising out of termination of employment; or <br /> <br />F. "Bodily Injury" arising out of the coercion, demotion, reassignment, <br />discipline, defamation, harassment or humiliation of, or discrimination <br />against any employee <br /> <br />II. <br /> <br />Under Paragraph C of Insuring Agreement I, to liability assumed by the "Covered <br />Party" under any contractual agreement, but this exclusion does not apply to a <br />warranty that work performed by or on behalf of the "Covered Party" will be done in a <br />workmanlike manner; <br /> <br />Form 7/1/2004 <br /> <br />Page 3 of 8 <br /> <br />.... _"_._0.."..' ._. <br />