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SCHEDULE 3-DISTRIBUTED ENERGY RESOURCES INTERCONNECTION PROCESS <br /> 12.2. Non-Warranty <br /> The Area EPS Operator does not give any warranty, expressed or implied, as to the <br /> adequacy, safety, or other characteristics of any structures, equipment, wires, <br /> appliances or devices owned, operated, installed or maintained by the Interconnection <br /> Customer, including without limitation the DER and any structures, equipment, wires, <br /> appliances or devices not owned, operated or maintained by the Area EPS Operator. <br /> The Area EPS Operator does not guarantee uninterrupted power supply to the DER and <br /> will operate the Distribution System with the same reliability standards for the entire <br /> customer base. <br /> 12.3. Indemnification <br /> Each Party is protected from liability incurred to third parties as a result of carrying out <br /> the provisions of this interconnection process and subsequent interconnection <br /> agreements.The Parties shall at all times indemnify, defend, and save the other Party <br /> harmless from, any and all damages, losses, claims, including claims and actions <br /> relating to injury to or death of any person or damage to property, demand, suits, <br /> recoveries, costs and expenses, court costs, attorney fees, and all other obligations by <br /> or to third parties, arising out of or resulting from the other Party's action or inactions <br /> of its obligations under this agreement on behalf of the indemnifying Party, except in <br /> cases of gross negligence or intentional wrongdoing by the indemnified Party. <br /> This indemnification obligation shall apply notwithstanding any negligent or intentional <br /> acts, errors or omissions of the indemnified Party, but the indemnifying Party's liability <br /> to indemnify the indemnified Party shall be reduced in proportion to the percentage by <br /> which the indemnified Party's negligent or intentional acts, errors or omissions caused <br /> the damages. <br /> Neither Party shall be indemnified for its damages resulting from its sole negligence, <br /> intentional acts or willful misconduct. These indemnity provisions shall not be <br /> construed to relieve any insurer of its obligation to pay claims consistent with the <br /> provisions of a valid insurance policy. <br /> If an indemnified person is entitled to indemnification under this article as a result of a <br /> claim by a third party, and the indemnifying Party fails, after notice and reasonable <br /> opportunity to proceed under this article, to assume the defense of such claim, such <br /> indemnified person may at the expense of the indemnifying Party contest, settle or <br /> consent to the entry of any judgment with respect to, or pay in full, such claim. <br /> If an indemnifying party is obligated to indemnify and hold any indemnified person <br /> harmless under this article, the amount owing to the indemnified person shall be the <br /> 17 <br /> 152 <br />