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Permitted Uses and Disclosures by Business Associate 3.1 Except as otherwise limited in this Agreement, Flex-Plan may use or disclose Protected Health Information to perform functions, activities, or services for, or on behalf of, Covered Entity as specified in The Administrative Services Agreement between Flex- Plan and Covered Entity. Except as otherwise limited in this Agreement, Flex-Plan may use Protected Health Information for the proper management and administration of Flex-Plan or to carry out the legal responsibilities of Flex-Plan. Flex-Plan may use Protected Health Information to report violations of law to appropriate Federal and State authorities, consistent with 164.502(j)(l). Obligations of Covered Entity 4.1 Covered Entity shall notify Flex-Plan of any limitation(s) in its notice of privacy practices of Covered Entity in accordance with 45 CFR 164.520, to the extent that such limitation may affect Flex-Plan's use or disclosure of Protected Health Information. 2.8 2.9 Ill. 3.2 3.3 IV. 4.2 4.3 Flex-Plan agrees to provide access, at the request of Covered Entity and within ten (10) business days after receipt of written request, to Protected Health Information in a Designated Record Set, to Covered Entity or, as directed by Covered Entity, to an Individual in order to meet the requirements under 45 CFR 164.524. Flex-Plan agrees to make anyamendment(s) to Protected Health Information in a Designated Record Set that the Covered Entity directs or agrees to pursuant to 45 CFR 164.526 at the request of Covered Entity or an Individual within ten (10) business days after receipt of written request. Covered Entity shall notify Flex-Plan of any changes in, or revocation of, permission by Individual to use or disclose Protected Health Information, to the extent that such changes may affect Flex-Plan's use or disclosure of Protected Health Information. Covered Entity shall notify Flex-Plan of any restriction to the use or disclosure of Protected Health Information that Covered Entity has agreed to in accordance with 45 CFR 164.522, to the extent that such restriction may affect Flex-Plan's use or disclosure of Protected Health Information. Permissible Requests by Covered Entity 5.1 Covered Entity shall not request Flex-Plan to use or disclose Protected Health Information in any manner that would not be permissible under the Privacy Rule if done by Covered Entity. Term and Termination V. VI. 6.1 6.2 1421823.3 Term. The Term of this Agreement shall commence April 1, 2005, and shall terminate on the date of the termination of the term of the underlying Administrative Services Agreement. Termination for Cause. Upon Covered Entity's knowledge of a material breach of the terms hereof by Flex-Plan, Covered Entity shall provide notice to Flex-Plan of the breach, and Flex-Plan shall have the opportunity to cure that breach within the time period reasonably required to cure that breach. In the event that Flex-Plan does not cure the breach or end the violation within that time period, then Covered Entity shall be entitled to provide notice of termination of the term hereof. 3