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shall have the right to increase the number of working days or not, as may seem best to serve
<br />the interest of City; and if it is decided to increase the said number of working days, City shall
<br />further have the right to charge to Contractor, and deduct from the final payment for the work, all
<br />or any part, as City may deem proper, of the actual cost of engineering, inspection,
<br />superintendence, and other overhead expenses of City which are directly chargeable to this
<br />Agreement, except that the cost of final surveys and the preparation of the final estimate shall
<br />not be included in such charges to be paid by Contractor.
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<br /> 9. Except as otherwise may be provided herein, Contractor hereby expressly
<br />guarantees for one (1) full year from the date of the final completion of the work under this
<br />Agreement and acceptance thereof by City's City Council, to repair or replace any part of the
<br />work performed hereunder which constitutes a defect resulting from the use of inferior or
<br />defective materials, equipment or workmanship. If, within said period, any repairs or
<br />replacements in connection with the work are, in the opinion of the City Engineer, rendered
<br />necessary as a result of the use of inferior or defective materials, equipment or workmanship,
<br />Contractor agrees, upon receipt of notice from City, and without expense to City, to promptly
<br />repair or replace such material or workmanship and/or correct any and all defects therein. If
<br />Contractor, after such notice, fails to proceed promptly to comply with the terms of this
<br />guarantee, City may perform the work necessary to effectuate such correction and recover the
<br />cost thereof from Contractor or his sureties.
<br />
<br /> Any and all other special guarantees which may be applicable to definite parts of the
<br />work under this Agreement shall be considered as an additional guarantee and shall not reduce
<br />or limit the guarantee as provided by Contractor pursuant to this paragraph during the first year
<br />of the life of such guarantee.
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<br /> 10. Contractor hereby agrees to indemnify and save harmless City, its Council,
<br />officers, boards, commissions, agents and employees of and from any and all claims, suits or
<br />actions of every name, kind and description which may be brought against City, its Council,
<br />officers, boards, commissions, agents, or employees by reason of any injury to or death of any
<br />person or damage suffered or sustained by any person or corporation, caused by, or alleged to
<br />have been caused by, any act or omission to act, negligent or otherwise, of Contractor, its
<br />officers, agents or employees in the performance of any work required of Contractor by this
<br />Agreement.
<br />
<br /> The duty of Contractor to indemnify and save harmless, as set forth herein, shall include
<br />a duty to defend as set forth in Section 2778 of the California Civil Code; provided, however,
<br />that nothing herein shall be construed to require Contractor to indemnify City, its Council,
<br />officers, boards, commissions, agents and employees against any responsibility or liability in
<br />contravention of Section 2782 of the California Civil Code.
<br />
<br /> 11. Contractor, at its sole cost and expense, shall acquire and maintain in full force
<br />and effect throughout the term of this Agreement Workers' Compensation, employer's liability,
<br />commercial general liability, and owned, non-owned and hired automobile liability insurance
<br />coverage relating to Contractor's Work to be performed hereunder covering City's risks in form
<br />subject to the approval of the City Attorney. The minimum amounts of coverage corresponding
<br />to the aforesaid categories of insurance per insurable event shall be as follows:
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<br />F:Atty/Agr/Agr.068 6
<br />082002
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