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<br />In the event the Subdivider shall fail to comply with the conditions of the foregoing guarantee <br /> <br />within thirty (30) days time, after being notified of the defect in writing, City shall have the right, but shall <br /> <br />not be obligated, to repair or obtain the repair of the defect, and Subdivider shall pay to City on demand all <br /> <br />costs and expense of such repair. Notwithstanding anything herein to the contrary, in the event that any <br /> <br />defect in workmanship or material covered by the foregoing guarantee results in a condition which <br /> <br />constitutes an immediate hazard to the public health, safety, or welfare, City shall have the right to <br /> <br />immediately repair, or cause to be repaired, such defect, and Subdivider shall pay to City on demand all <br /> <br />costs and expense of such repair. The foregoing statement relating to hazards to health and safety shall be <br /> <br />deemed to include either temporary or permanent repairs which may be required as determined in the sole <br /> <br />discretion and judgment of City. <br /> <br />If City, at its sole option, makes or causes to be made the necessary repairs or replacements or <br /> <br />performs the necessary work, Subdivider shall pay, in addition to actual costs and expenses of such repair or <br /> <br />work, fifty percent (50%) of such costs and expenses for overhead and interest at the maximum rate of <br /> <br />interest permitted by law accruing thirty (30) days from the date of billing for such work or repairs. <br /> <br />19. Subdivider Not Agent of City. Neither Subdivider nor any of Subdivider's agents or contractors <br /> <br />are or shall be considered to be agents of City in connection with the performance of Subdivider's <br /> <br />obligations under this Agreement. <br /> <br />20. Notice of Breach and Default. If Subdivider refuses or fails to obtain prosecution of the work, <br /> <br />or any severable part thereof, with such diligence as will insure its completion within the time specified, or <br /> <br />any extension thereof, or fails to obtain completion of said work within such time, or if Subdivider should <br /> <br />be adjudged as bankrupt, or should make a general assignment for the benefit of Subdivider's creditors, or if <br /> <br />a receiver should be appointed, or if Subdivider, or any of Subdivider's contractors, subcontractors, agents <br /> <br />or employees should violate any of the provisions of this Agreement, the City Engineer may serve written <br /> <br />notice on Subdivider and Subdivider's surety or holder of other security of breach of this Agreement, or of <br /> <br />any portion, thereof, and default of Subdivider. <br /> <br />TRACT MAP 7579 <br />SUBDIVISION IMPROVEMENT AGREEMENT-public <br />G:\_LD\.,Tract Map & Parcel Map\TM7579-WASHINGTON & springlakc\SUBIMP.AGR-public.doc PAGE 11 OF 16 <br /> <br />(ff <br />