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satisfactory to the City guaranteeing payment of losses and related investigations, <br /> claim administration and defense expenses. <br /> 4.3.4 Wasting Policies. No policy required by this Section 4 shall include a"wasting" <br /> policy limit(i.e. limit that is eroded by the cost of defense). <br /> 4.3.5 Endorsement Requirements. Each insurance policy required by Section 4 shall <br /> be endorsed to state that coverage shall not be canceled by either party, except <br /> after 30 days' prior written notice has been provided to the City. <br /> 4.3.6 Subcontractors. Contractor shall include all subcontractors as insureds under its <br /> policies or shall furnish separate certificates and certified endorsements for each <br /> subcontractor. All coverages for subcontractors shall be subject to all of the <br /> requirements stated herein. <br /> 4.4 Remedies. In addition to any other remedies City may have if Contractor fails to provide <br /> or maintain any insurance policies or policy endorsements to the extent and within the time <br /> herein required, City may, at its sole option exercise any of the following remedies, which <br /> are alternatives to other remedies City may have and are not the exclusive remedy for <br /> Contractor's breach: <br /> ■ Obtain such insurance and deduct and retain the amount of the premiums for such <br /> insurance from any sums due under the Agreement; <br /> ■ Order Contractor to stop work under this Agreement or withhold any payment that <br /> becomes due to Contractor hereunder, or both stop work and withhold any payment, <br /> until Contractor demonstrates compliance with the requirements hereof; and/or <br /> ■ Terminate this Agreement. <br /> Section 5. INDEMNIFICATION AND CONTRACTOR'S RESPONSIBILITIES. Contractor shall <br /> indemnify, defend with counsel acceptable to City, and hold harmless City and its officers, officials, <br /> employees, agents and volunteers from and against any and all liability, loss, damage, claims, expenses, <br /> and costs(including without limitation, attorney's fees and costs and fees of litigation) (collectively, <br /> "Liability")of every nature arising out of or in connection with Contractor's performance of the Services or <br /> its failure to comply with any of its obligations contained in this Agreement, except such Liability caused by <br /> the sole negligence or willful misconduct of City. <br /> The Contractor's obligation to defend and indemnify shall not be excused because of the Contractor's <br /> inability to evaluate Liability or because the Contractor evaluates Liability and determines that the <br /> Contractor is not liable to the claimant. The Contractor must respond within 30 days, to the tender of any <br /> claim for defense and indemnity by the City, unless this time has been extended by the City. If the <br /> Contractor fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any <br /> other remedy authorized by law, so much of the money due the Contractor under and by virtue of this <br /> Agreement as shall reasonably be considered necessary by the City, may be retained by the City until <br /> Non-Professional Services Agreement between City of San Leandro and 11/6/2017 <br /> Flagship Facility Services, Inc, for citywide janitorial services Page 8 of 15 <br />