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(c) Naming City, its Council, commissions, boards, committees, officers, employees and agents as additional insureds; and (d) Providing that Developer's insurance shall be primary insurance relating to Contractor's work hereunder with respect to City, its Council, commissions, boards, committees, officers, employees and Agents, and further providing that any insurance or self-insurance maintained by City for itself, its Council, commissions, boards, committees, officers, employees and agents shall not be excess of Contractor's insurance and shall not be contributory with it. Such insurance shall also specifically insure any contractual liability assumed by Developer under the terms of this Agreement, including, but not limited to,the provisions of subsection(a) above. 18. In the event that Developer's insurance is cancelled, Developer shall provide replacement coverage or all work must cease as of the cancellation date until replacement insurance coverage is provided. 19. Workers' Compensation Insurance. Developer shall provide, or cause to be provided, Workers' Compensation insurance as required by law, and shall cause its contractors and their subcontractors, agents and representatives to also maintain Workers' Compensation insurance as required by law. No Work shall commence until such Workers' Compensation insurance is obtained and in full force and effect. 20. Com,pliance with Laws. Developer shall comply with all federal, state and local laws, " ordinances and regulations in the performance of this Agreement. Developer shall, at its own cost and expense, obtain all necessary permits and licenses for the Work, give all necessary notices, pay all fees and taxes required by law and make any and all deposits legally required by those public utilities that will serve the residential development on the Property. Copies and/or proof of payment of said permits, licenses,notices,fee and tax payments and deposits shall be furnished to the City Engineer upon request. 21. Encroachment Permits. Developer shall obtain, at its sole cost and expense, any encroachment permits required by City, including a Construction Permit,in order to perform the Work. 22. Pa.�. Developer agrees that it will pay, when due, all those furnishing labor or materials in connection with the Work. Developer further agrees that the Payment Security provided by Developer in accordance with Section 12.1 of this Agreement shall not be released if any mechanics liens or stop notices are outstanding, unless said liens are released by bond in compliance with Civil Code section 3143: 23. Notice of Breach and Default. The occurrence of any of the following constitutes a breach and default of this Agreement: (1) Developer refuses or fails to complete the Work within the time set forth herein or abandons the Work. (2) Developer assigns the Agreement without the prior written consent of City. (3) Developer is adjudged bankrupt or makes a general assignment for the benefit of creditors,or a receiver is appointed in the event of Developer's insolvency. ATTY/AGR/2012.055/SUBDIVISION IMPROVEMENT AGREEMENT 201 MARSHALL REV:06-05-12 VR Page 8 of 16