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<br />15.1.2. Worker's Compensation 1nsurance. 1n accordance with the provisions of <br />Section 3300 of the Labor Code, FAAC is required to be insured against liability for <br />worker's compensation or to undertake self-insurance. Prior to commencing the <br />performance of the work under this Agreement, FAAC agrees to obtain and maintain any <br />employer's liability insurance with limits not less than $1,000,000 per accident. <br /> <br />15.2. The following requirements apply to the insurance to be provided by FAAC <br />pursuant to this section: . <br /> <br />(i) F AAC shall maintain all insurance required above in full force and effect for the <br />entire period covered by this Agreement. <br />(ij) Certificates of insurance shall be furnished to the City upon execution of this <br />Agreement and shall be approved in form by the City Attorney. <br />(iii) Certificates and policies shall state that the policies shall not be canceled or reduced <br />in coverage or changed in any other material aspect without thirty (30) days prior <br />written notice to the City. <br /> <br />15.3. IfFAAC fails or refuses to produce or maintain the insurance required by this <br />section or fails or refuses to furnish the City with required proof that insurance has been procured <br />and is in force and paid for, the City shall have the right, at the City's election, to forthwith <br />terminate this Agreement. Such termination shall not effect FAAC's right to be paid for its time <br />and materials expended prior to notification of termination. FAAC waives the right to receive <br />compensation and agrees to indemnify the City for any work performed prior to approval of <br />insurance by the City. <br /> <br />16. GENERAL <br /> <br />16.1. TAXES. The Equipment purchase price does not include any excise, sales, lease, <br />use, property, or other taxes, assessments or duties, all of which will be paid by City except as <br />exempt by law. If FAAC is required to pay any of these taxes, FAAC will send an invoice to <br />City and City will pay to FAAC the arnount of the taxes within forty-five (45) days after the date <br />of the invoice. City will be solely responsible for reporting the Equiprnent for personal property <br />tax purposes, and FAAC will be solely responsible for reporting taxes on its income or net worth. <br /> <br />16.2. ASSIGNABILITY AND SUBCONTRACTING. Neither Party may assign this <br />Agreement without the prior written consent of the other Party. FAAC may subcontract any of <br />the work, but subcontracting will not relieve FAAC of its duties under this Agreement. <br /> <br />16.3 WAIVER. Failure or delay by either Party to exercise a right or power under this <br />Agreernent will not be a waiver of the right or power. For a waiver of a right or power to be <br />effective, it must be in a writing signed by the waiving Party. An effective waiver of a right or <br />power will not be construed as either a future or continuing wai ver of that same right or power, <br />or the waiver of any other right or power. <br /> <br />16.4. SEVERABILITY. If a court of competent jurisdiction renders any part of this <br />Agreement invalid or unenforceable, that part will be severed and the remainder of this <br />Agreement will continue in full force and effect. <br /> <br />Santa Ana, CSA <br />FAAC <br /> <br />Page 7 <br /> <br />2-6-06 <br />