6.3. SR 05-07-2007 - Laserfiche WebLink

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ARTICLE VII INSURANCE Section 7.01. Lessor Insurance. Throughout the Lease Term, Lessor shall procure and maintain continuously in effect with respect to the Project, insurance against liability for injuries to or death of any person or damage to or loss of property arising out of or in any way relating to the maintenance, use or operation of the Project or any part thereof, in amounts not less than Lessor's tort liability limits under Minnesota Statutes, Chapter 466. Other than as allowed pursuant to Section 4.07 of this Lease, the Net Proceeds of all such insurance shall be applied toward extinguishment or satisfaction of the liability with respect to which the insurance proceeds may be paid. It is understood that with respect to persons or entities other than Lessor, this insurance covers any and all liability of Lessor and its officers, employees and agents. As an alternative to the purchase of liability insurance, Lessor may self-insure against such liabilities in accordance with the provisions of applicable law. Policies of such insurance may include deductibles of no more than ten percent (10%) of policy amounts. Lessor shall, throughout the Lease Term, keep the Building and fixtures which are now or hereafter become a part of the Building insured against loss or damage by casualty or fire with extended coverage for not less than the full replacement value of the Project or the outstanding principal amount of the Bonds, whichever is greater. Such insurance shall name Lessee as an additional insured. Upon request, Lessor will deposit armually with Lessee policies evidencing such insurance, or a certificate or binder from the insurer(s), on which Lessee legally may rely, stating that such insurance is in force and effect. In order to avoid urmecessary expense to Lessee, Lessee may from time to time, but no more than once armually, present to Lessor alternative casualty insurance providing substantially similar coverage at lower cost. Lessor shall negotiate in good faith regarding substitution of such alternative insurance coverage. Lessee shall reimburse Lessor for the costs of obtaining one hundred percent (100%) of the insurance required under this Section 7.01. Section 7.02. Lessee Insurance. Lessee shall maintain in effect throughout the Lease Term personal injury liability insurance in the minimum amount of Five Million Dollars ($5,000,000) for injury to or death of anyone person, a minimum of Five Million Dollars ($5,000,000) for injury to or death of persons in anyone occurrence, and property damage liability insurance in the minimum amount of Five Million Dollars ($5,000,000). Such insurance shall name the City and Lessor as additional insureds. All insurance required in this Section shall be taken out and maintained in responsible insurance companies selected by Lessee that are authorized under the laws of the State of Mirmesota to assume the risks covered thereby. Upon request, Lessee will deposit armually with Lessor policies evidencing all such insurance, or a certificate or certificates or binders of the respective insurers statiog that such insurance is in force and effect. Section 7.03. Right to Pav Premiums. In the event of a party's failure to pay the premiums required of such party hereunder, Lessor, Lessee or the City shall be entitled, but shall have no obligation, to effect such insurance and pay the premiums therefor, which amounts shall be repayable to such party upon demand. Each insurer shall agree, by endorsement on the policies issued by it, that it will give to the other party at least thirty (30) days' written notice before the policy or policies in question shall be reduced in amount or canceled. Section 7.04. Builder's Risk Insurance. Any agreement for any portion of the construction of the Building shall require the contractor to maintain at all times during the construction process builder's risk 20