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replacement Letter of Credit or certification of replenishment for the full amount
<br />stated in Section 9, Paragraph 2(a) as a substitution of the previous Letter of
<br />Credit. This shall be a continuing obligation for any draws upon the Letter of
<br />Credit.
<br />i. If any Letter of Credit is not so replaced or replenished, City may draw on said
<br />Letter of Credit for the whole amount thereof and use the proceeds as City
<br />determines in its sole discretion. The failure to replace or replenish any Letter of
<br />Credit may also, at the option of the City, be deemed a default by Grantee under
<br />this Franchise. The drawing on the Letter of Credit by City, and use of the money
<br />so obtained for payment or performance of the obligations, duties and
<br />responsibilities of Grantee which are in default, shall not be a waiver or release of
<br />such default.
<br />The collection by City of any damages, monies or penalties from the Letter of
<br />Credit shall not affect any other right or remedy available to City, nor shall any
<br />act, or failure to act, by City pursuant to the Letter of Credit, be deemed a waiver
<br />of any right of City pursuant to this Franchise or otherwise.
<br />3. Indemnification of City.
<br />a. City, its officers, boards, committees, commissions, elected officials, employees
<br />and agents shall not be liable for any loss or damage to any real or personal
<br />property of any Person, or for any injury to or death of any Person, arising out of
<br />or in connection with Grantee's construction, operation, maintenance, repair or
<br />removal of the System or as to any other action of Grantee with respect to this
<br />Franchise.
<br />b. Grantee shall indemnify, defend, and hold harmless City, its officers, boards,
<br />committees, commissions, elected officials, employees and agents, from and
<br />against all liability, damages, and penalties which they may legally be required to
<br />pay as a result of the City's exercise, administration, or enforcement of the
<br />Franchise.
<br />C. Nothing in this Franchise relieves a Person, except City, from liability arising out
<br />of the failure to exercise reasonable care to avoid injuring the Grantee's facilities
<br />while performing work connected with grading, regarding, or changing the line of
<br />a Right -of -Way or public place or with the construction or reconstruction of a
<br />sewer or water system.
<br />d. Grantee shall contemporaneously with this Franchise execute an Indemnity
<br />Agreement in the form of Exhibit A, which shall indemnify, defend and hold the
<br />City and Commission harmless for any claim for injury, damage, loss, liability,
<br />cost or expense, including court and appeal costs and reasonable attorneys' fees or
<br />reasonable expenses arising out of the actions of the City and/or Commission in
<br />granting this Franchise. This obligation includes any claims by another
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