§ 8. Indemnity And Hold Harmless; Liability; Insurance; Surety Bond  


Latest version.
  • (a) The Company shall hold and save the City, its officers, employees, agents, and authorized contractors, harmless from and against all claims, damages, expense, liability, and costs including attorney fees, to the extent occasioned in any manner by the Company's occupancy of Right-of-Way, except to the extent that such were caused by the negligence or intentional conduct of the City, its officers, employees, agents, or authorized contractors. In the event a claim shall be made or an action shall be instituted against the City growing out of such occupancy of the Right-of-Way by Facilities of the Company, then upon notice by the City to the Company, the Company will assume responsibility for the defense of such actions at the cost of the Company, subject to the option of the City to appear in and defend, at its own cost, any such case. However, the Company shall have no duty to defend any such action to the extent that such action has resulted from the negligence or intentional conduct of the City, its officers, employees, agents, or authorized contractors.

    (b) The Company shall maintain throughout the term of this franchise insurance insuring the City and the Company with regard to all damages set forth in paragraph (a) of this section, in the minimum amounts of:

    (i) $1,000,000 for bodily injury or death to a person $3,000,000 for property damage resulting from any one accident;

    (ii) $50,000 for property damage resulting from any one accident;

    (iii) $1,000,000 for all other types of liability.

    Should Company elect to self-insure for this purpose, the Company shall possess a certificate of authority from the Kansas Insurance Commissioner.

    (c) On or before the Effective Date of this franchise, and as a condition precedent to the effectiveness of the franchise, the Company shall deposit with the City a surety bond in the amount of $100,000, payable to the City and securing the payment of repair or maintenance costs incurred as a result of any defects, impairments, or substandard condition in the Right-of-Way caused by the work of the Company or resulting from the Company's activities in the Right-of-Way. The required surety bond must be with good and sufficient sureties, issued by a surety company authorized to transact business in the State of Kansas, and satisfactory to the City Attorney in form and substance.