2022 04 19 City Council
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_______________________________________________________________________________________________ Owner-Engineer Agreement OE 125T v. SP 04.01.22 Page 6 of 8 _______________________________________________________________________________________________ ENGINEER shall notify (1) OWNER and (2) appropriate governmental officials if ENGINEER reasonably concludes that doing so is required by applicable laws or regulations. D. B oth parties acknowledge that ENGINEER’s scope of services does not include any services related to Constituents of Concern. If an undisclosed Constituent of Concern is encountered, or if investigative, remedial action or other professional services are necessary with respect to disclosed or undisclosed Constituents of Concern, then ENGINEER may, at its option and without liability for consequential or any other damages, suspend performance of services on the portion of the Project affected thereby until OWNER: (1) retains appropriate specialist consultants or contractors to identify and, as appropriate, abate, remediate, or remove the Constituents of Concern; and (2) warrants that the Site is in full compliance with applicable laws and regulations. E. If the presence at the Site of undisclosed Constituents of Concern adversely affects the performance of Engineer’s services under this Agreement, then the Engineer shall have the option of (1) accepting an equitable adjustment in its compensation or in the time of completion, or both; or (2) terminating this Agreement for cause. F. Owner acknowledges that ENGINEER is performing professional services for OWNER and that ENGINEER is not and shall not be required to become an "owner" “arranger,” “operator,” “generator,” or “transporter” of hazardous substances, as defined in CERCLA, as amended, which are or may be encountered at or near the Site in connection with Engineer’s activities under this Agreement. 6.11 Allocation of Risks A. Indemnification. 1. To the fullest extent permitted by law, ENGINEER shall indemnify and hold harmless OWNER and OWNER’s officers, direc tors, members, partners, consultants, and employees from and against any and all costs, losses, and damages (including but not limited to reasonable fees and charges of all professionals, and all court costs) to the extent caused by the negligent acts or omissions of ENGINEER or ENGINEER’s officers, directors, partners, employees, or consultants in the performance services under this Agreement. 2. To the fullest extent permitted by law, a party’s total liability to the other party and anyone claiming by, through, or under the other party for any cost, loss, or damages caused in part by the negligence of the party and in part by the negligence of the other party or any other negligent contributor, shall not exceed the percentage share that the party’s negligence bears to the total negligence of all negligent contributors. 4. OWNER agrees that Article 6.10 adequately defines ENGINEER’S responsibilities toward the discovery of a Constituent of Concern at the Project site, and ENGINEER has no liability for such discovery. B. Mutual Waiver. To the fullest extent permitted by law, OWNER and ENGINEER waive consequential damages for claims, disputes or other matters in question arising out of or relating to this Agreement. Both the OWNER and ENGINEER shall require similar waivers of consequential damages protecting all the entities or persons named herein in all contracts and subcontracts with others involved in this project. C. Limitation of Liability. In recognition of the relative risk of bene fits of the project to both OWNER and ENGINEER, the risks have been allocated such that OWNER agrees, to the fullest extent permitted by law, to limit the liability of ENGINEER and it’s consultants to the OWNER and to all construction contractors and subcontractors on the project for any and all claims expenses from any cause or causes, so that the total aggregate liability of ENGINEER and it’s consultants to all those named shall not exceed two hundred fifty thousand dollars ($250,000.00). Such claims and causes include, but are not limited to negligence, professional errors or omissions, strict liability, breach of contract or warranty. D. Premium Cost. If, after the construction has begun, an error or omission is discovered and the item can still be provided in the planned sequence of construction without a premium cost to the OWNER; then the OWNER will pay for this entire item just as if it had been inc luded in the original Contract Documents. If this error or omission is discovered out of sequence with the planned construction schedule resulting in a premium cost, then the ENGINEER will pay the premium cost to have this item corrected or included, while the OWNER will pay the value of the item as if it had been included in the original Contract Documents. If such premium cost falls within two percent (2%) of the defined construction cost, then such cost shall be the responsibility of the OWNER. 6.12 Successors, Assigns and Beneficiaries . A. The OWNER and ENGINEER, respectively, bind themselves, their agents, successors, assigns and legal representatives to this Agreement. B. Neither the OWNER nor ENGINEER shall assign this Agreement without the written consent of the other. C. Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of a third party against either the OWNER or ENGINEER. 6.13 Miscellaneous Provisions A. Notices. Notices will be in writing, addressed to the appropriate party at its address on the signature page and given personally, or by registered or certified mail postage prepaid, or by a commercial courier service. All notices shall be effective upon the date of receipt. B. Survival and Severability . All express representations, waivers, indemnifications, and limitations of liability included in this Agreement will survive its completion or termination for any reason. Should any provisions of this Agreement be determined to 14