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(c) The obligations to defend, indemnify and hold harmless the Agency, specified in <br />Sections 3.07(a) and (b) above, shall not apply to any claim against the Agency arising from damage caused <br />by the Agency's act or omission or the tortious conduct of the Agency. <br />(d) Developer, the Agency, and Developer's construction contractor shall have an <br />affirmative duty to cooperate with one another in the conduct of any suit arising from this Agreement or from <br />development of the Property pursuant to this Agreement; provided, however, that such duty to cooperate shall <br />be limited by any conflict of interest which arises during the course of any such suit. <br />3.08 Liability Insurance. <br />(a) Developer shall maintain in force during the construction of the Improvements public <br />liability and property damage insurance, including personal injury, contractual, and owned and non -owned <br />automobiles, with such coverage and limits as may be reasonably requested by Agency from time to time, but <br />in no event for less than the sum of ONE MILLION DOLLARS ($1,000,000.00) combined single limit. <br />(b) Public liability insurance policy or policies shall name Agency and City as additional <br />insureds, and any policy or policies shall contain cross -liability endorsements. An endorsement shall be <br />provided which states the coverage is primary insurance and that no other insurance held by Agency or City <br />will be called upon to contribute to a loss under this coverage. <br />(c) A certificate evidencing such insurance coverage or coverages shall be filed with <br />Agency and City prior to the commencement of construction of the Improvements, and said certificate shall <br />provide that such insurance coverage will not be canceled or reduced without at least thirty (30) days' prior <br />written notice to Agency and City. <br />(d) If such coverage is canceled or reduced, Developer shall, within fifteen (15) days after <br />receipt of written notice from Agency or City of such cancellation or reduction in coverage, but in no event later <br />than the effective date of cancellation or reduction, file with Agency and City a certificate showing that the <br />required insurance has been reinstated or provided through another insurance company or companies. Upon <br />failure to so file such certificate, Agency or City may, without further notice and at its option, procure such <br />insurance coverage at Developer's expense, and Developershall promptly reimburse Agency forsuch expense <br />upon receipt of billing from Agency or City. <br />3.09 Rights and Remedies Cumulative. <br />Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are <br />cumulative, and the exercise or failure to exercise one or more of such rights or remedies by either Party shall <br />not preclude the exercise by it, at the same time or different times, of any right or remedy for the same default <br />or any other default. <br />Disposition and Development Page 29 of 32 <br />Agreement (Lavery California Dealership Properties No. 1 LLC) <br />