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replacements in connection with the work are, in the opinion of the City Engineer,
<br /> rendered necessary as a result of the use of inferior or defective materials, equipment or
<br /> workmanship, Contractor agrees, upon receipt of notice from City, and without expense
<br /> to City, to promptly repair or replace such matedal or workmanship and/or correct any
<br /> and all defects therein. If Contractor, after such notice, fails to proceed promptly to
<br /> comply with the terms of this guarantee, City may per[orm the work necessary to
<br /> effectuate 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 the
<br /> work under this Agreement shall be considered as an additional guarantee and shall not
<br /> reduce or limit the guarantee as provided by Contractor pursuant to this paragraph dudng
<br /> the first year of the life of such guarantee.
<br />
<br /> 7. Contractor hereby agrees to indemnify and save harmless City, its Council, officers,
<br /> 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
<br /> Council, officers, boards, commissions, agents, or employees by reason of any injury to
<br /> or death of any person or damage suffered or sustained by any person or corporation,
<br /> caused by, or alleged to have been caused by, any act or omission to act, negligent or
<br /> otherwise, of Contractor, its officers, agents or employees in the performance of any
<br /> work required of Contractor by this 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,
<br /> however, that nothing herein shall be construed to require Contractor to indemnify City,
<br /> its Council, officers, boards, commissions, agents and employees against any
<br /> responsibility or liability in contravention of Section 2782 of the 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 liability,
<br /> commercial general liability, and owned, non-owned and hired automobile liability
<br /> insurance coverage relating to Contractor's Work to be performed hereunder covering
<br /> City's risks in form subject to the approval of the City Attorney. The minimum amounts of
<br /> coverage corresponding to the aforesaid categories of insurance per
<br />
<br /> Insurance Cateqory Minimum Limits
<br /> Workers' Compensation Statutory minimum.
<br /> Employer's Liability $1,000,000.00 per accident for
<br /> bodily injury or disease.
<br /> Commercial General Liability $1,000,000.00 per occurrence,
<br /> $2,000,000.00 for bodily injury,
<br /> personal injury and property damage.
<br /> Automobile Liability $1,000,000.00 per accident,
<br /> $2,000,000.00 for bodily injury and
<br /> property damage (coverage required t
<br /> the extent applicable to Contractor's
<br /> vehicle usage in performing work
<br /> hereunder).
<br />
<br />Agmt-381 5
<br />F: Sh/sh/Redwood/Com~cil
<br />DES:rg
<br />07/12/01
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