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insurance, self-insurance or joint self-insurance maintained by City, and the <br />policies shall include such coverage or be endorsed to provide the coverage. <br />Section 12.2 Indemnification. To the fullest extent permitted by law, Developer shall <br />defend (with counsel reasonably acceptable to City), indemnify, assume all responsibility for, and <br />hold harmless City Parties, from and against, any and all claims, causes of action, damages, <br />demands, defense costs, injuries or deaths, liabilities, obligations, and costs or expenses, including <br />attorneys’ fees and costs, arising directly or indirectly from or in connection with, or caused, or on <br />account of: (a) the work to construct the Project and its Community Benefits and public <br />improvements, including the design, development, construction, and operation thereof; (b) the <br />process for development of the Project, including any approval with respect thereto; (c) any <br />relocation obligations to residential tenants, homeowners, or businesses permanently or <br />temporarily displaced from the donated property; and/or (d) any other transaction contemplated by <br />this Agreement, whether such claims shall accrue or be discovered before or after expiration or <br />termination of this Agreement. The City shall, after receipt of notice of the existence of such a <br />claim for which it is entitled to indemnity hereunder, notify Developer in writing of the existence <br />of such claim or commencement of such action. Developer’s indemnity obligations under this <br />Section 12.2 shall not extend to claims occasioned by the sole negligence or willful misconduct of <br />City Parties. The provisions of this Section 12.2 shall survive termination or expiration of this <br />Agreement. <br />Section 12.3 Defense, Indemnification, and Cooperation in the Event of a Legal <br />Challenge. <br /> A. The filing of any third party court action or proceeding instituted by <br />a third party or other governmental entity or official against City or Developer relating to the <br />Project Approvals, this Agreement, or construction of the Project shall not delay or stop the <br />development, processing, or construction of the Project or approval of any Subsequent Approvals, <br />unless the third party obtains a court order preventing the activity. City shall not stipulate to or <br />cooperate in the issuance of any such order. <br /> B. City and Developer shall cooperate in the defense of any court action <br />or proceeding instituted by a third party or other governmental entity or official against City or <br />Developer relating to the Project Approvals, this Agreement, or construction of the Project <br />(“Litigation Challenge”), and the Parties shall keep each other informed of all developments <br />relating to such defense, subject only to confidentiality requirements that may prevent the <br />communication of such information. To the extent Developer desires to contest or defend such <br />Litigation Challenge: <br /> 1. Developer shall take the lead role defending such Litigation <br />Challenge and may, in its sole discretion, elect to be represented by the legal counsel of its choice; <br /> 2. City may, in its sole discretion, elect to be separately <br />represented by the legal counsel of its choice, with the reasonable costs of such representation to <br />be paid by Developer; <br />ATTY/ORD.0002/CC ORD APPROVING DEVELOPMENT AGREEMENT (901 EL CAMINO REAL) - EXHIBIT A <br />REV: 04-23-25 VR <br /> <br />Page 46 of 336