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<br />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
<br />promptly repair or replace such material or workmanship and/or correct any and all
<br />defects therein. If Contractor, after such notice, fails to proceed promptly to comply
<br />with the terms of this guarantee, City may perform the work necessary to effectuate
<br />such correction and recover the cost thereof from Contractor or his sureties.
<br />
<br />Any and all other special guarantees which may be applicable to definite parts of
<br />the work under this Agreement shall be considered as an additional guarantee and
<br />shall not reduce or limit the guarantee as provided by Contractor pursuant to this
<br />paragraph during the first year of the life of such guarantee.
<br />
<br />7. Contractor hereby agrees to indemnify and save harmless City, its Council,
<br />officers, boards, commissions, agents and employees, of and from any and all
<br />claims, suits or actions of every name, kind and description which may be brought
<br />against City, its Council, officers, boards, commissions, agents, or employees by
<br />reason of any injury to or death of any person or damage suffered or sustained by
<br />any person or corporation, caused by, or alleged to have been caused by, any act
<br />or omission to act, negligent or otherwise, of Contractor, its officers, agents or
<br />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
<br />include a duty to defend as set forth in Section 2778 of the California Civil Code;
<br />provided, however, that nothing herein shall be construed to require Contractor to
<br />indemnify City, its Council, officers, boards, commissions, agents and employees
<br />against any responsibility or liability in contravention of Section 2782 of the
<br />California Civil Code.
<br />
<br />8. Contractor, at its sole cost and expense, shall acquire and maintain in full force and
<br />effect throughout the term of this Agreement Workers' Compensation, employer's
<br />liability, commercial general liability, and owned, non-owned and hired automobile
<br />liability insurance coverage relating to Contractor's Work to be performed
<br />hereunder covering City's risks in form subject to the approval of the City Attorney.
<br />The minimum amounts of coverage corresponding to the aforesaid categories of
<br />insurance per insurable event shall be as follows:
<br />
<br />Insurance Cateqorv
<br />Workers' Compensation
<br />
<br />Minimum Limits
<br />Statutory minimum.
<br />
<br />Employer's Liability
<br />
<br />$1,000,000.00 per accident for bodily injury or
<br />disease.
<br />
<br />Commercial General Liability
<br />
<br />$1,000,000.00 per occurrence, $2,000,000
<br />aggregate for bodily injury, personal injury and
<br />property damage.
<br />
<br />Automobile Liability $2,000,000.00 per occurrence, (coverage
<br />required to the extent applicable to Contractor's
<br />vehicle usage in performing work hereunder).
<br />
<br />Any deductibles or self-insured retentions must be declared to, and approved by
<br />City. At the option of City either Contractor's insurer shall reduce or eliminate the
<br />
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